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):	 	January 20, 2017	

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):
[ ] 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))

Item 2.02 Results of Operations and Financial Condition.
Item 7.01 Regulation FD.
On January 20, 2017 , SunTrust Banks, Inc. (the “Registrant”) announced financial results for the period ended December 31, 2016 . 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 January 20, 2017 , at 8:00 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

99.1    News release dated January 20, 2017 (furnished with the Commission as a part of this Form 8-K).

99.2    Presentation slides dated January 20, 2017 (furnished with the Commission as a part of this Form 8-K).

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:	January 20, 2017	 	By: /s/ Thomas E. Panther	
 	 	 	Thomas E. Panther, Senior Vice President,
Director of Corporate Finance and Controller

Exhibit 99.1

News Release

				
Contact:	 	 	 	
Investors	 	Media	 	
Ankur Vyas	 	Mike McCoy	 	
(404) 827-6714	 	(404) 588-7230	 	
For Immediate Release
January 20 , 2017

SunTrust Reports Fourth Quarter and Full Year 2016 Results
2016 Marks Fifth Consecutive Year of Improved Financial Performance for the Company

ATLANTA -- SunTrust Banks, Inc. (NYSE: STI) reported net income available to common shareholders of $448 million , or $0.90 per average common diluted share. This compares to $0.91 for the prior quarter and $0.91 for the fourth quarte r of 2015 . For the full year, earnings per share increased 1% from $3.58 in 2015 to $3.60 in 2016 driven by strong revenue growth and higher capital returns, partially offset by a higher provision expense and higher noninterest expense.

“Our performance this quarter marked a solid conclusion to a strong year for SunTrust," said William H. Rogers, Jr., chairman and CEO of SunTrust Banks, Inc. "2016 was the fifth consecutive year in which we grew earnings per share, improved efficiency, and increased capital return, demonstrating our consistent ability to deliver on the commitments we’ve made to our shareholders.  I am confident that 2017 will be another year in which we continue our positive financial performance trajectory and improve financial confidence for our clients and communities."

1

Fourth Quarter 2016 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 35% marginal federal tax rate. 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 23 and 24.)

Income Statement

•	Net income available to common shareholders was $448 million , or $0.90 per average common diluted share, compared to $0.91 for the prior quarter and $0.91 for the fourth quarte r of 2015 .	

•	Total revenue decreased 2% compared to the prior quarter and increased 7% compared to the fourth quarte r of 2015 .	

◦	The sequential decline was driven by lower noninterest income (primarily mortgage-related), which was partially offset by higher net interest income.	

◦	Compared to the fourth quarte r of 2015 , revenue growth was driven by increases in both net interest income and noninterest income.	

•	Net interest margin was 3.00% in the current quarter, up 4 basis points sequentially and up 2 basis points compared to the prior year quarter driven by higher earning asset yields and continued positive mix shift in the loan portfolio.	

•	Provision for credit losses increased $4 million sequentially and $50 million compared to the fourth quarte r of 2015 due to higher net charge-offs.	

•	Noninterest expense decline d 1% sequentially and increased 8% compared to the prior year quarter .	

◦	The sequential decrease was driven by reductions across most expense categories, partially offset by higher legal and consulting fees tied to business improvement initiatives and higher marketing and customer development costs.	

◦	Compared to the prior year quarter, the increase was driven by ongoing, strategic investments, higher compensation associated with improved business performance, investments in technology, and higher regulatory and compliance costs.	

•	The efficiency and tangible efficiency ratios in the current quarter were 63.7% and 63.1% , respectively, and were 62.6% and 62.0% , respectively, on a full year basis.	

◦	The full year efficiency and tangible efficiency ratios improved by 58 and 65 basis points, respectively, compared to 2015 , driven by positive operating leverage.	

Balance Sheet

•	Average loan balances increased $321 million sequentially, driven by growth in consumer loans, and 5% compared to the fourth quarte r of 2015 , due to broad-based growth across most asset classes.	

◦	Average sequential loan growth was impacted by a $1 billion auto loan sale in the latter part of the prior quarter. Period-end loan balances increased $1.8 billion, or 1%.	

•	Average consumer and commercial deposits increase d 2% sequentially and 7% compared to the fourth quarte r of 2015 , driven by continued success in deepening client relationships.	

Capital

•	Estimated capital ratios continue to be well above regulatory requirements. The Common Equity Tier 1 ("CET1") ratio was estimated to be 9.6% as of December 31, 2016 , and 9.5% on a fully phased-in basis.	

•	During the quarter, the Company repurchased $240 million of its outstanding common stock in accordance with its 2016 capital plan.	

•	Book value per common share was $45.38 and tangible book value per common share was $32.95 , down 3% and 4%, respectively, from September 30, 2016 , given the decline in accumulated other comprehensive income (AOCI) due to the increase in long-term rates.	

2

Asset Quality

•	Nonperforming loans decreased $104 million from the prior quarter and represented 0.59% of total loans at December 31, 2016 .	

•	Net charge-offs for the current quarter were $136 million , or 0.38% of average loans on an annualized basis, up $10 million compared to the prior quarter.	

•	The provision for credit losses increased $4 million sequentially due primarily to higher net charge-offs and increased loan growth, largely offset by a lower energy-related provision expense.	

•	At December 31, 2016 , the ALLL to period-end loans ratio declined 4 basis points from the prior quarter driven by the resolution of problem energy credits.	

																				

Income Statement (Dollars in millions, except per share data)	4Q 2016	 	3Q 2016	 	2Q 2016	 	1Q 2016	 	4Q 2015	
Net interest income	$1,343	 	$1,308	 	$1,288	 	$1,282	 	$1,246	
Net interest income-FTE 2	1,377	 	1,342	 	1,323	 	1,318	 	1,281	
Net interest margin	2.93	%	 	2.88	%	 	2.91	%	 	2.96	%	 	2.90	%	
Net interest margin-FTE 2	3.00		 	2.96		 	2.99		 	3.04		 	2.98		
Noninterest income	$815	 	$889	 	$898	 	$781	 	$765	
Total revenue	2,158		 	2,197		 	2,186		 	2,063		 	2,011		
Total revenue-FTE 2	2,192		 	2,231		 	2,221		 	2,099		 	2,046		
Noninterest expense	1,397		 	1,409		 	1,345		 	1,318		 	1,288		
Provision for credit losses	101		 	97		 	146		 	101		 	51		
Net income available to common shareholders	448		 	457		 	475		 	430		 	467		
Earnings per average common diluted share	0.90		 	0.91		 	0.94		 	0.84		 	0.91		
 	 	 	 	 	 	 	 	 	 	
Balance Sheet   (Dollars in billions)	 	 	 	 	 	 	 	 	 	
Average loans		$142.6		 		$142.3		 		$141.2		 		$138.4		 		$135.2		
Average consumer and commercial deposits	158.0		 	155.3		 	154.2		 	149.2		 	148.2		
 	 	 	 	 	 	 	 	 	 	
Capital	 	 	 	 	 	 	 	 	 	
Capital ratios at period end 1  :	 	 	 	 	 	 	 	 	 	
Tier 1 capital (transitional)	10.33	%	 	10.50	%	 	10.57	%	 	10.63	%	 	10.80	%	
Common Equity Tier 1 ("CET1") (transitional)	9.63		 	9.78		 	9.84		 	9.90		 	9.96		
Common Equity Tier 1 ("CET1") (fully phased-in) 2	9.48		 	9.66		 	9.73		 	9.77		 	9.80		
Total average shareholders’ equity to total average assets	11.84		 	12.12		 	12.11		 	12.33		 	12.43		
 	 	 	 	 	 	 	 	 	 	
Asset Quality	 	 	 	 	 	 	 	 	 	
Net charge-offs to average loans (annualized)	0.38	%	 	0.35	%	 	0.39	%	 	0.25	%	 	0.24	%	
Allowance for loan and lease losses to period-end loans	1.19		 	1.23		 	1.25		 	1.27		 	1.29		
Nonperforming loans to total loans	0.59		 	0.67		 	0.67		 	0.70		 	0.49		
1 Current period Tier 1 capital and CET1 ratios are estimated as of the date of this news release.
2 See Appendix A on page 23 for non-U.S. GAAP reconciliations and additional information.

3

Consolidated Financial Performance Details
(Commentary is on a fully taxable-equivalent basis unless otherwise noted)
Revenue
Total revenue was $2.2 billion for the current quarter, a decrease of $39 million compared to the prior quarter. Net interest income increased $35 million sequentially due to a higher net interest margin and growth in average earning assets. These increases were offset by a $74 million decline in noninterest income driven by lower mortgage-related income, partially offset by an increase in other noninterest income. Compared to the fourth quarte r of 2015 , total revenue increased $146 million , driven by a $96 million increase in net interest income and a $50 million increase in noninterest income due primarily to growth in capital markets, mortgage production, and other noninterest income.
For 2016 , total revenue was $8.7 billion , an increase of $568 million , or 7% , compared to 2015 . The increase was driven by higher net interest income, as well as strong growth in mortgage and capital markets-related income, partially offset by lower wealth management-related income and lower securities gains.
Net Interest Income
Net interest income was $1.4 billion for the current quarter, an increase of $35 million and $96 million compared to the prior quarter and prior year quarter, respectively. Both increases were driven by improvements in the net interest margin and growth in average earning assets.
Net interest margin for the current quarter was 3.00% , compared to 2.96% in the prior quarter and 2.98% in the fourth quarte r of 2015 . The 4 basis point sequential increase and 2 basis point year-over-year increase were driven by higher earning asset yields (as a result of the increase in benchmark interest rates and continued positive mix shift in the portfolio), partially offset by higher funding costs.
For 2016 , net interest income was $5.4 billion , a $453 million , or 9% , increase compared to 2015 . The net interest margin was 3.00% for 2016 , a 9 basis point increase compared to 2015 . The increases in both net interest income and net interest margin were driven by the same factors that impacted the sequential and year-over-year comparisons discussed above.
Noninterest Income
Noninterest income was $815 million for the current quarter, compared to $889 million for the prior quarter and $765 million for the fourth quarte r of 2015 . The $74 million sequential decrease was due to declines in mortgage and capital markets-related income, as well as client transaction and wealth management-related revenues, partially offset by an increase in other noninterest income. Compared to the fourth quarte r of 2015 , noninterest income increase d $50 million , driven by higher capital markets and mortgage production-related income, partially offset by declines in mortgage servicing and wealth management-related income.
For 2016, noninterest income was $3.4 billion , an increase of $115 million , or 4%, compared to 2015 due primarily to higher mortgage and capital markets-related income, partially offset by a decline in wealth management-related income.
Investment banking income was $122 million for the current quarter, compared to $147 million in the prior quarter and $104 million in the fourth quarte r of 2015 . The $25 million sequential decrease was due to declines in activity across most product categories following the record performance in the prior quarter. Compared to the fourth quarte r of 2015 , the increase was driven by strong deal flow activity in syndicated finance. For 2016, investment banking income increased 7%, which marks the ninth consecutive year of record performance.
Trading income was $58 million for the current quarter, compared to $65 million in the prior quarter and $42 million in the fourth quarte r of 2015 . The sequential decrease was driven by mark-to-market losses on fixed income inventory in relation to the increase in interest rates. The increase compared to the fourth quarter of 2015 was driven primarily by lower counterparty credit valuation reserves in connection with higher interest rates.

4

Mortgage production income for the current quarter was $78 million , compared to $118 million for the prior quarter and $53 million for the fourth quarte r of 2015 . The $40 million decrease from the prior quarter was due primarily to lower refinancing activity and lower gain-on-sale margins. The $25 million increase compared to the fourth quarte r of 2015 was primarily due to higher purchase and refinancing activity. For the full year, mortgage production income increased $96 million, or 36%, as a result of increased purchase and refinancing activity and continued market share gains.
Mortgage servicing income was $25 million for the current quarter, compared to $49 million in the prior quarter and $56 million in the fourth quarte r of 2015 . The $24 million sequential decrease and $31 million year-over-year decrease were driven primarily by lower net hedge performance and higher servicing asset decay expense. On a full year basis, servicing income increased $20 million relative to 2015 as a result of 8% growth in the servicing portfolio and better net hedge performance. At December 31, 2016 and 2015 , the servicing portfolio was $160.2 billion and $148.2 billion , respectively.
Trust and investment management income was $73 million for the current quarter, compared to $80 million for the prior quarter and $79 million for the fourth quarter of 2015. The $7 million decrease from the prior quarter was primarily related to seasonally higher tax-related trust fees earned in the prior quarter. The $6 million decrease compared to the prior year quarter was primarily due to a decline in trust and institutional assets under management.
Client transaction-related fees (namely service charges on deposits, other charges and fees, and card fees) decreased $10 million compared to the prior quarter due to the impact of the enhanced posting order process instituted during the fourth quarter and lower client-related transactional activity. Compared to fourth quarter of 2015, client transaction-related fees were stable.
Retail investment income was $69 million for the current quarter, compared to $71 million in both the prior quarter and the fourth quarte r of 2015 . The $2 million decline compared to the prior quarter and prior year quarter was a result of reduced transactional activity, partially offset by an increase in retail brokerage managed assets.
Other noninterest income was $62 million for the current quarter, compared to $21 million in the prior quarter and $30 million in the fourth quarte r of 2015 . The $41 million increase compared to the prior quarter and $32 million increase compared to the prior year quarter was due primarily to higher client transaction activity within certain Wholesale Banking businesses (Structured Real Estate and SunTrust Community Capital) in the fourth quarter as well as certain asset impairments recognized in the third quarter.
Noninterest Expense
Noninterest expense was $1.4 billion in the current quarter, representing a sequential decline of $12 million and an increase of $109 million compared to the fourth quarte r of 2015 . The sequential decrease was driven by reductions across most expense categories, partially offset by higher legal and consulting fees and higher marketing and customer development costs. The increase relative to the prior year quarter was driven by increases across most expense categories, partially offset by lower outside processing and software expenses.
For 2016 , noninterest expense was $5.5 billion compared to $5.2 billion for 2015 . The $308 million , or 6% , increase was related to ongoing, strategic investments, higher compensation associated with improved business performance, investments in technology, and higher regulatory and compliance costs.
Employee compensation and benefits expense was $762 million in the current quarter, compared to $773 million in the prior quarter and $690 million in the fourth quarte r of 2015 . The sequential decrease of $11 million was due to lower employee benefits costs, largely offset by increased incentive compensation expense tied to the performance of the Company’s stock price (which increased 25% during the quarter). The $72 million increase compared to the fourth quarte r of 2015 was due primarily to higher compensation costs associated with improved business performance, ongoing investments in talent, and increased incentive compensation expense tied to the Company's stock price (which increased 28% compared to the prior year).

5

Operating losses were $23 million in the current quarter, compared to $35 million in the prior quarter and $22 million in the fourth quarte r of 2015 . The sequential decrease of $12 million was due primarily to higher regulatory, compliance, and legal charges recognized during the prior quarter.
Outside processing and software expense was $209 million in the current quarter, compared to $225 million in the prior quarter and $222 million in the fourth quarte r of 2015 . The decrease relative to the prior quarter and prior year was primarily due to a benefit recognized during the current quarter resulting from a contract renegotiation with a key vendor.
FDIC premium and regulatory expense was $46 million in the current quarter, compared to $47 million in the prior quarter and $35 million in the fourth quarte r of 2015 . The increase compared to the prior year quarter was driven by the FDIC surcharge on large banks, which became effective during the third quarter of 2016, and a larger assessment base attributable to balance sheet growth. 
Marketing and customer development expense was $52 million in the current quarter, compared to $38 million in the prior quarter and $48 million in the fourth quarte r of 2015 . The increase relative to both quarters was driven by higher advertising and client development costs.
Net occupancy expense was $94 million in the current quarter, compared to $93 million in the prior quarter and $86 million in the fourth quarte r of 2015 .  The increase relative to the prior year quarter was primarily due to a reduction in amortized gains from prior sale leaseback transactions.
Other noninterest expense was $154 million in the current quarter, compared to $140 million in the prior quarter and $127 million in the fourth quarte r of 2015 . The $14 million sequential and $27 million year-over-year increase was driven primarily by higher legal and consulting fees in response to regulatory and compliance initiatives and higher credit-related expenses recognized in the current quarter.
Income Taxes
For the current quarter, the Company recorded an income tax provision of $193 million , compared to $215 million for the prior quarter and $185 million for the fourth quarte r of 2015 . The effective tax rate for the current quarter was 29% , compared to 31% in the prior quarter and 28% in the fourth quarte r of 2015 .

Balance Sheet
At December 31, 2016 , the Company had total assets of $204.9 billion and total shareholders’ equity of $23.6 billion , representing 12% of total assets. Book value per common share was $45.38 and tangible book value per common share was $32.95 , down 3% and 4% , respectively, from September 30, 2016 , driven by a decline in accumulated other comprehensive income due to the increase in long-term rates. Compared to December 31 , 2015 , book value per common share and tangible book value per common share increased 4% and 5% , respectively, as a result of growth in retained earnings.
Loans
Average performing loans were $141.7 billion for the current quarter, a slight increase over the prior quarter and a 5% increase over the fourth quarte r of 2015 . The sequential growth was driven by consumer other direct, guaranteed student, and C&I. This growth was partially offset by declines in average consumer indirect loans (in connection with the $1 billion auto loan sale executed in the prior quarter) and home equity products. The increase in average performing loans compared to the fourth quarter of 2015 was due to broad-based growth across most loan classes.

6

Deposits
Average consumer and commercial deposits for the current quarter were $158.0 billion , a 2% increase over the prior quarter and 7% increase over the fourth quarte r of 2015 . The sequential growth was due to a 4% increase in NOW account balances and a 3% increase in demand deposits. The growth compared to the fourth quarter of 2015 was driven primarily by increases in NOW, demand deposits, and money market accounts, partially offset by a slight decline in 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 9.6% at December 31, 2016 , and 9.5% on a fully phased-in basis. The ratios of average total equity to average total assets and tangible common equity to tangible assets were 11.84% and 8.15% , respectively, at December 31 , 2016 . 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.
Per its 2016 capital plan, the Company declared a common stock dividend of $0.26 per common share and repurchased $240 million of its outstanding common stock in the fourth quarte r . The Company currently expects to repurchase approximately $480 million of additional common stock during the first half of 2017 in accordance with its 2016 capital plan.
Asset Quality
Total nonperforming assets were $919 million at December 31, 2016 , down $100 million compared to the prior quarter and up $184 million compared to the fourth quarte r of 2015 . The decrease compared to the prior quarter was driven by the continued resolution of problem energy credits. Compared to the prior year, the increase was driven by increases in energy-related loans and home equity products, the latter of which was in response to changes in the Company's home equity line workout program during the first quarter of 2016. The ratio of nonperforming loans to total loans was 0.59% , 0.67% , and 0.49% at December 31 , 2016 , Septemb er 30 , 2016 , and December 31 , 2015 , respectively.
Net charge-offs were $136 million during the current quarter, an increase of $10 million and $53 million compared to the prior quarter and the fourth quarte r of 2015 , respectively. The increase compared to the prior quarter and prior year quarter was driven by energy, commercial real estate, and indirect auto. The current quarter included $40 million of energy-related net charge-offs compared to $33 million recognized in the prior quarter. The ratio of annualized net charge-offs to total average loans was 0.38% during the current quarter, compared to 0.35% during the prior quarter and 0.24% during the fourth quarte r of 2015 . The provision for credit losses was $101 million in the current quarter, an increase of $4 million and $50 million compared to the prior quarter and the fourth quarte r of 2015 , respectively. The increase in the provision for credit losses compared to the fourth quarte r of 2015 was due primarily to higher net charge-offs.
At December 31 , 2016 , the allowance for loan and lease losses was $1.7 billion , which represented 1.19% of total loans, a decrease of $34 million , or 4 basis points, relative to Septemb er 30 , 2016 . This decrease was due primarily to the resolution of problem energy credits.
Early stage delinquencies increased 8 basis points from the prior quarter to 0.72% at December 31 , 2016 . Excluding government-guaranteed loans, early stage delinquencies were 0.27% , up 2 basis points from the prior quarter and down 3 basis points compared to a year ago.

7

Accruing restructured loans totaled $2.5 billion and nonaccruing restructured loans totaled $306 million at December 31, 2016 , of which $2.6 billion were residential loans, $168 million were consumer loans, and $115 million were commercial loans. Nonaccruing restructured loans increased $130 million relative to December 31 , 2015 , largely driven by the classification of certain modified home equity products to nonaccrual status in order to coincide with changes to our home equity line risk mitigation program implemented during the first quarter of 2016. At December 31 , 2016 , the majority of the nonaccruing restructured home equity loans modified in 2016 were current with respect to payments and are expected to return to accruing status after the borrowers have demonstrated six months of consistent payment history.

8

OTHER INFORMATION

About SunTrust Banks, Inc.
SunTrust Banks, Inc. is a purpose-driven company dedicated to Lighting the Way to Financial Well-Being for the people, businesses, and communities it serves. Headquartered in Atlanta, the Company has three business segments: Consumer Banking and Private Wealth Management, Wholesale Banking, and Mortgage Banking. 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  December 31, 2016 , SunTrust had total assets of  $205 billion  and total deposits of  $160 billion . The Company provides deposit, credit, trust, investment, mortgage, asset management, securities brokerage, and capital market services. SunTrust leads onUp, a national movement inspiring Americans to build financial confidence. Join the movement at onUp.com.
Business Segment Results
The Company has included its business segment financial tables as part of this release. All revenue in the business segment tables is reported on a fully taxable-equivalent basis. For the business segments, results include net interest income, which is computed using matched-maturity funds transfer pricing. Further, provision for credit losses represents net charge-offs by segment combined with an allocation to the segments of the provision attributable to quarterly changes in the allowance for loan and lease losses and unfunded commitment 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 Corporate Other segment also includes 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-K .
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 and information which SunTrust has also published today and SunTrust’s forthcoming Form 10-K . Detailed financial tables and other information 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.
Conference Call
SunTrust management will host a conference call on January 20 , 2017 , at 8:00 a.m. (Eastern Time) to discuss the earnings results and business trends. Individuals may call in beginning at 7:45 a.m. (Eastern Time) by dialing 1-888-972-7805 (Passcode: 4Q16). Individuals calling from outside the United States should dial 1-517-308-9091 (Passcode: 4Q16). A replay of the call will be available approximately one hour after the call ends on January 20 , 2017 , and will remain available until February 20, 2017 , by dialing 1-800-925-4236 (domestic) or 1-203-369-3523 (international). 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 January 20 , 2017 , listeners may access an archived version of the webcast in the “Events & Presentations” section of the 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. The reconciliations of those measures to GAAP measures are provided within or in the appendix to this news release beginning at page 23 .

In this news release, 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”) 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 35% and 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

9

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 the allowance for loan and lease losses excluding government-guaranteed loans and fair value loans, and early-stage delinquencies excluding government-guaranteed loans and fair value loans. The Company believes that the exclusion of loans that are held at fair value with no related allowance, and loans guaranteed by a government agency that do not have an associated allowance recorded due to nominal risk of principal loss, better depicts the allowance relative to loans the allowance is intended to cover.	
		
•	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 result from merger and acquisition activity and amortization expense (the level of which may vary from company to company), it allows 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 the capital adequacy and profitability of the Company.	
		
•	Similarly, the Company presents an efficiency ratio-FTE and a 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. The 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. This measure is 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), on a fully-phased in basis. Fully phased-in ratios consider a 250% risk-weighting for MSRs and deduction from capital of certain carryforward DTAs, the overfunded pension asset, and other intangible assets. The Company believes this measure is useful to investors who wish to understand the Company's current compliance with future regulatory requirements.	
Important Cautionary Statement About Forward-Looking Statements
This news release contains forward-looking statements. Statements regarding potential future share repurchases, future expected dividends, and future levels of nonaccruing restructured loans 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,” “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. Future dividends, and the amount of any such dividend, must be declared by our board of directors in the future in their discretion. Also, future share repurchases and the timing of any such repurchase are subject to market conditions and management's discretion. 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, 2015 and in other periodic reports that we file with the SEC.

10

SunTrust Banks, Inc. and Subsidiaries
FINANCIAL HIGHLIGHTS

																						
(Dollars in millions and shares in thousands, except per share data) (Unaudited) 	Three Months Ended December 31	 	%	 	Twelve Months Ended December 3 1	 	%	
	2016		2015	 	 Change	 	2016		2015	 	 Change	
EARNINGS & DIVIDENDS	 		 	 	 	 	 		 	 	 	
Net income		$465		 		$484		 	(4	)%	 		$1,878		 		$1,933		 	(3	)%	
Net income available to common shareholders	448		 	467		 	(4	)	 	1,811		 	1,863		 	(3	)	
Total revenue	2,158		 	2,011		 	7		 	8,604		 	8,032		 	7		
Total revenue-FTE  1	2,192		 	2,046		 	7		 	8,742		 	8,174		 	7		
Net income per average common share:	 	 	 	 	 	 	 	 	 	 	 	
Diluted	0.90			0.91		 	(1	)	 	3.60			3.58		 	1		
Basic	0.91			0.92		 	(1	)	 	3.63			3.62		 	—		
Dividends paid per common share	0.26			0.24		 	8		 	1.00			0.92		 	9		
CONDENSED BALANCE SHEETS	 	 	 	 	 	 	 	 	 	 	 	
Selected Average Balances:	 	 	 	 	 	 	 	 	 	 	 	
Total assets		$203,146				$189,656		 	7	 %	 		$199,004				$188,892		 	5	 %	
Earning assets	182,475			170,262		 	7		 	178,825			168,813		 	6		
Loans	142,578			135,214		 	5		 	141,118			133,558		 	6		
Intangible assets including mortgage servicing rights ("MSRs")	7,654			7,629		 	—		 	7,545			7,604		 	(1	)	
MSRs	1,291			1,273		 	1		 	1,190			1,250		 	(5	)	
Consumer and commercial deposits	157,996			148,163		 	7		 	154,189			144,202		 	7		
Total shareholders’ equity	24,044			23,583		 	2		 	24,068			23,346		 	3		
Preferred stock	1,225			1,225		 	—		 	1,225			1,225		 	—		
Period End Balances:	 	 	 	 	 	 	 	 	 	 	 	
Total assets	 	 	 	 	 	 	204,875			190,817		 	7		
Earning assets	 	 	 	 	 	 	184,610			172,114		 	7		
Loans	 	 	 	 	 	 	143,298			136,442		 	5		
Allowance for loan and lease losses ("ALLL")	 	 	 	 	 	 	1,709			1,752		 	(2	)	
Consumer and commercial deposits	 	 	 	 	 	 	158,864			148,921		 	7		
Total shareholders’ equity	 	 	 	 	 	 	23,618			23,437		 	1		
FINANCIAL RATIOS & OTHER DATA	 	 	 	 	 	 	 	 	 	 	 	
Return on average total assets	0.91	%		1.01	%	 	(10	)%	 	0.94	%		1.02	%	 	(8	)%	
Return on average common shareholders’ equity 2	7.85			8.32		 	(6	)	 	7.97			8.46		 	(6	)	
Return on average tangible common shareholders' equity 1, 2	10.76			11.49		 	(6	)	 	10.91			11.75		 	(7	)	
Net interest margin	2.93			2.90		 	1		 	2.92			2.82		 	4		
Net interest margin-FTE  1	3.00		 	2.98		 	1		 	3.00		 	2.91		 	3		
Efficiency ratio	64.74		 	64.05		 	1		 	63.55		 	64.24		 	(1	)	
Efficiency ratio-FTE  1	63.73			62.96		 	1		 	62.55			63.13		 	(1	)	
Tangible efficiency ratio-FTE  1	63.08			62.11		 	2		 	61.99			62.64		 	(1	)	
Effective tax rate  	29			28		 	4		 	30			28		 	7		
Basel III capital ratios at period end (transitional) 3 :	 	 	 	 	 	 	 	 	 	 	 	
Common Equity Tier 1 ("CET1")	 	 	 	 	 	 	9.63		 	9.96		 	(3	)	
Tier 1 capital	 	 	 	 	 	 	10.33		 	10.80		 	(4	)	
Total capital	 	 	 	 	 	 	12.32		 	12.54		 	(2	)	
Leverage	 	 	 	 	 	 	9.23		 	9.69		 	(5	)	
Basel III fully phased-in CET1 ratio 1, 3	 	 	 	 	 	 	9.48		 	9.80		 	(3	)	
Total average shareholders’ equity to total average assets	11.84	%		12.43	%	 	(5	)%	 	12.09	%		12.36	%	 	(2	)%	
Tangible equity to tangible assets  1	 	 	 	 	 	 	8.82			9.40		 	(6	)	
Tangible common equity to tangible assets 1	 	 	 	 	 	 	8.15		 	8.67		 	(6	)	
Book value per common share 2	 	 	 	 	 	 		$45.38				$43.45		 	4		
Tangible book value per common share  1, 2	 	 	 	 	 	 	32.95			31.45		 	5		
Market capitalization	 	 	 	 	 	 	26,942			21,793		 	24		
Average common shares outstanding:	 	 	 	 	 	 	 	 	 	 	 	
Diluted	497,055			514,507		 	(3	)	 	503,466			520,586		 	(3	)	
Basic	491,497			508,536		 	(3	)	 	498,638			514,844		 	(3	)	
Full-time equivalent employees	 	 	 	 	 	 	24,375			24,043		 	1		
Number of ATMs	 	 	 	 	 	 	2,165			2,160		 	—		
Full service banking offices	 	 	 	 	 	 	1,367			1,401		 	(2	)	

1  	See Appendix A for additional information and reconcilements of non-U.S. GAAP performance measures.	
		
2  	Beginning January 1, 2016, noncontrolling interest was removed from common shareholders' equity in the calculation to provide a more accurate measure of the Company's return on common shareholders' equity and book value per common share. Accordingly, amounts for periods prior to January 1, 2016 have been updated for consistent presentation.	
3 Current period capital ratios are estimated as of the earnings release date.

11

SunTrust Banks, Inc. and Subsidiaries
FIVE QUARTER FINANCIAL HIGHLIGHTS

																				
 	Three Months Ended	
 	December 31	 	September 30	 	June 30	 	March 31	 	December 31	
(Dollars in millions and shares in thousands, except per share data) (Unaudited)	2016	 	2016	 	2016	 	2016	 	2015	
EARNINGS & DIVIDENDS	 	 	 	 	 	 	 	 	 	
Net income		$465		 		$474		 		$492		 		$447		 		$484		
Net income available to common shareholders	448		 	457		 	475		 	430		 	467		
Total revenue	2,158		 	2,197		 	2,186		 	2,063		 	2,011		
Total revenue-FTE 1	2,192		 	2,231		 	2,221		 	2,099		 	2,046		
Net income per average common share:	 	 	 	 	 	 	 	 	 	
Diluted	0.90		 	0.91		 	0.94		 	0.84		 	0.91		
Basic	0.91		 	0.92		 	0.95		 	0.85		 	0.92		
Dividends paid per common share	0.26		 	0.26		 	0.24		 	0.24		 	0.24		
CONDENSED BALANCE SHEETS	 	 	 	 	 	 	 	 	 	
Selected Average Balances:	 	 	 	 	 	 	 	 	 	
Total assets		$203,146		 		$201,476		 		$198,305		 		$193,014		 		$189,656		
Earning assets	182,475		 	180,523		 	178,055		 	174,189		 	170,262		
Loans	142,578		 	142,257		 	141,238		 	138,372		 	135,214		
Intangible assets including MSRs	7,654		 	7,415		 	7,543		 	7,569		 	7,629		
MSRs	1,291		 	1,065		 	1,192		 	1,215		 	1,273		
Consumer and commercial deposits	157,996		 	155,313		 	154,166		 	149,229		 	148,163		
Total shareholders’ equity	24,044		 	24,410		 	24,018		 	23,797		 	23,583		
Preferred stock	1,225		 	1,225		 	1,225		 	1,225		 	1,225		
Period End Balances:	 	 	 	 	 	 	 	 	 	
Total assets	204,875		 	205,091		 	198,892		 	194,158		 	190,817		
Earning assets	184,610		 	181,341		 	178,852		 	175,710		 	172,114		
Loans	143,298		 	141,532		 	141,656		 	139,746		 	136,442		
ALLL	1,709		 	1,743		 	1,774		 	1,770		 	1,752		
Consumer and commercial deposits	158,864		 	157,592		 	151,779		 	151,264		 	148,921		
Total shareholders’ equity	23,618		 	24,449		 	24,464		 	24,053		 	23,437		
FINANCIAL RATIOS & OTHER DATA	 	 	 	 	 	 	 	 	 	
Return on average total assets	0.91	%	 	0.94	%	 	1.00	%	 	0.93	%	 	1.01	%	
Return on average common shareholders’ equity 2	7.85		 	7.89		 	8.43		 	7.71		 	8.32		
Return on average tangible common shareholders' equity 1, 2	10.76		 	10.73		 	11.54		 	10.60		 	11.49		
Net interest margin	2.93		 	2.88		 	2.91		 	2.96		 	2.90		
Net interest margin-FTE  1	3.00		 	2.96		 	2.99		 	3.04		 	2.98		
Efficiency ratio	64.74		 	64.13		 	61.53		 	63.89		 	64.05		
Efficiency ratio-FTE 1	63.73		 	63.14		 	60.56		 	62.81		 	62.96		
Tangible efficiency ratio-FTE 1	63.08		 	62.54		 	60.05		 	62.33		 	62.11		
Effective tax rate	29		 	31		 	29		 	30		 	28		
Basel III capital ratios at period end (transitional) 3 :	 	 	 	 	 	 	 	 	 	
CET1	9.63		 	9.78		 	9.84		 	9.90		 	9.96		
Tier 1 capital	10.33		 	10.50		 	10.57		 	10.63		 	10.80		
Total capital	12.32		 	12.57		 	12.68		 	12.39		 	12.54		
Leverage	9.23		 	9.28		 	9.35		 	9.50		 	9.69		
Basel III fully phased-in CET1 ratio 1, 3	9.48		 	9.66		 	9.73		 	9.77		 	9.80		
Total average shareholders’ equity to total average assets	11.84		 	12.12		 	12.11		 	12.33		 	12.43		
Tangible equity to tangible assets  1	8.82		 	9.24		 	9.53		 	9.56		 	9.40		
Tangible common equity to tangible assets 1	8.15		 	8.57		 	8.85		 	8.85		 	8.67		
Book value per common share 2		$45.38		 		$46.63		 		$46.14		 		$44.97		 		$43.45		
Tangible book value per common share  1, 2	32.95		 	34.34		 	33.98		 	32.90		 	31.45		
Market capitalization	26,942		 	21,722		 	20,598		 	18,236		 	21,793		
Average common shares outstanding:	 	 	 	 	 	 	 	 	 	
Diluted	497,055		 	500,885		 	505,633		 	509,931		 	514,507		
Basic	491,497		 	496,304		 	501,374		 	505,482		 	508,536		
Full-time equivalent employees	24,375		 	23,854		 	23,940		 	23,945		 	24,043		
Number of ATMs	2,165		 	2,163		 	2,144		 	2,153		 	2,160		
Full service banking offices	1,367		 	1,369		 	1,389		 	1,397		 	1,401		

1  	See Appendix A for additional information and reconcilements of non-U.S. GAAP performance measures.	
		
2  	Beginning January 1, 2016, noncontrolling interest was removed from common shareholders' equity in the calculation to provide a more accurate measure of the Company's return on common shareholders' equity and book value per common share. Accordingly, amounts for periods prior to January 1, 2016 have been updated for consistent presentation.	
3 Current period capital ratios are estimated as of the earnings release date.

12

SunTrust Banks, Inc. and Subsidiaries
CONSOLIDATED STATEMENTS OF INCOME

																														
 	Three Months Ended	 	Increase/(Decrease)	 	Twelve Months End ed	 	Increase/(Decrease)	
(Dollars in millions and shares in thousands, except per share data) (Unaudited)	December 31	 			December 31	 		
	2016		2015	 	Amount	 	  % 2	 	2016		2015	 	Amount	 	  % 2	
Interest income		$1,492				$1,363		 		$129		 	9	 %	 		$5,778				$5,265		 		$513		 	10	 %	
Interest expense	149			117		 	32		 	27		 	557			501		 	56		 	11		
NET INTEREST INCOME	1,343			1,246		 	97		 	8		 	5,221			4,764		 	457		 	10		
Provision for credit losses	101			51		 	50		 	98		 	444			165		 	279		 	NM		
NET INTEREST INCOME AFTER PROVISION FOR CREDIT LOSSES	1,242			1,195		 	47		 	4		 	4,777			4,599		 	178		 	4		
NONINTEREST INCOME	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Service charges on deposit accounts	154		 	156		 	(2	)	 	(1	)	 	630			622		 	8		 	1		
Other charges and fees	90		 	92		 	(2	)	 	(2	)	 	380			377		 	3		 	1		
Card fees	84		 	82		 	2		 	2		 	327			329		 	(2	)	 	(1	)	
Investment banking income	122		 	104		 	18		 	17		 	494			461		 	33		 	7		
Trading income	58		 	42		 	16		 	38		 	211			181		 	30		 	17		
Trust and investment management income	73		 	79		 	(6	)	 	(8	)	 	304		 	334		 	(30	)	 	(9	)	
Retail investment services	69		 	71		 	(2	)	 	(3	)	 	281		 	300		 	(19	)	 	(6	)	
Mortgage production related income	78		 	53		 	25		 	47		 	366			270		 	96		 	36		
Mortgage servicing related income	25		 	56		 	(31	)	 	(55	)	 	189			169		 	20		 	12		
Net securities gains	—		 	—		 	—		 	—		 	4			21		 	(17	)	 	(81	)	
Other noninterest income	62		 	30		 	32		 	NM		 	197			204		 	(7	)	 	(3	)	
Total noninterest income	815			765		 	50		 	7		 	3,383			3,268		 	115		 	4		
NONINTEREST EXPENSE	 	 	 	 	 	 	 	 	 		 	 	 	 	 	
Employee compensation and benefits	762		 	690		 	72		 	10		 	3,071			2,942		 	129		 	4		
Outside processing and software	209		 	222		 	(13	)	 	(6	)	 	834			815		 	19		 	2		
Net occupancy expense	94		 	86		 	8		 	9		 	349			341		 	8		 	2		
Equipment expense	43		 	41		 	2		 	5		 	170		 	164		 	6		 	4		
FDIC premium/regulatory exams	46		 	35		 	11		 	31		 	173		 	139		 	34		 	24		
Marketing and customer development	52		 	48		 	4		 	8		 	172			151		 	21		 	14		
Operating losses	23		 	22		 	1		 	5		 	108			56		 	52		 	93		
Amortization	14		 	17		 	(3	)	 	(18	)	 	49		 	40		 	9		 	23		
Other noninterest expense	154		 	127		 	27		 	21		 	542			512		 	30		 	6		
Total noninterest expense	1,397			1,288		 	109		 	8		 	5,468			5,160		 	308		 	6		
INCOME BEFORE PROVISION FOR INCOME TAXES	660			672		 	(12	)	 	(2	)	 	2,692			2,707		 	(15	)	 	(1	)	
Provision for income taxes	193			185		 	8		 	4		 	805			764		 	41		 	5		
NET INCOME INCLUDING INCOME ATTRIBUTABLE TO NONCONTROLLING INTEREST	467			487		 	(20	)	 	(4	)	 	1,887			1,943		 	(56	)	 	(3	)	
Net income attributable to noncontrolling interest	2			3		 	(1	)	 	(33	)	 	9			10		 	(1	)	 	(10	)	
NET INCOME		$465				$484		 		($19	)	 	(4	)%	 		$1,878				$1,933		 		($55	)	 	(3	)%	
NET INCOME AVAILABLE TO COMMON SHAREHOLDERS		$448				$467		 		($19	)	 	(4	)%	 		$1,811				$1,863		 		($52	)	 	(3	)%	
Net interest income-FTE  1	1,377			1,281		 	96		 	7		 	5,359			4,906		 	453		 	9		
Total revenue	2,158		 	2,011		 	147		 	7		 	8,604		 	8,032		 	572		 	7		
Total revenue-FTE 1	2,192		 	2,046		 	146		 	7		 	8,742		 	8,174		 	568		 	7		
Net income per average common share:	 	 	 	 		 		 	 	 	 	 	 	 	 	
Diluted	0.90			0.91		 	(0.01	)	 	(1	)	 	3.60			3.58		 	0.02		 	1		
Basic	0.91			0.92		 	(0.01	)	 	(1	)	 	3.63			3.62		 	0.01		 	—		
Cash dividends paid per common share	0.26			0.24		 	0.02		 	8		 	1.00			0.92		 	0.08		 	9		
Average common shares outstanding:	 	 	 	 		 		 	 	 	 	 	 	 	 	
Diluted	497,055			514,507		 	(17,452	)	 	(3	)	 	503,466			520,586		 	(17,120	)	 	(3	)	
Basic	491,497			508,536		 	(17,039	)	 	(3	)	 	498,638			514,844		 	(16,206	)	 	(3	)	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
1 See Appendix A for additional information and reconcilements of non-U.S. GAAP measures to the related U.S.GAAP measures.
2 "NM" - Not meaningful. Those changes over 100 percent were not considered to be meaningful.

13

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)	December 31	 	Septemb er 30	 	Increase/(Decrease)	 	June 30	 	March 31	 	December 31	
	2016	 	2016	 	Amount	 	  % 2	 	2016	 	2016	 	2015	
Interest income		$1,492		 		$1,451		 		$41		 	3	 %	 		$1,424		 		$1,411		 		$1,363		
Interest expense	149		 	143		 	6		 	4		 	136		 	129		 	117		
NET INTEREST INCOME	1,343		 	1,308		 	35		 	3		 	1,288		 	1,282		 	1,246		
Provision for credit losses	101		 	97		 	4		 	4		 	146		 	101		 	51		
NET INTEREST INCOME AFTER PROVISION FOR CREDIT LOSSES	1,242		 	1,211		 	31		 	3		 	1,142		 	1,181		 	1,195		
NONINTEREST INCOME	 	 	 	 	 	 	 	 	 	 	 	 	 	
Service charges on deposit accounts	154		 	162		 	(8	)	 	(5	)	 	162		 	153		 	156		
Other charges and fees	90		 	93		 	(3	)	 	(3	)	 	104		 	93		 	92		
Card fees	84		 	83		 	1		 	1		 	83		 	78		 	82		
Investment banking income	122		 	147		 	(25	)	 	(17	)	 	126		 	98		 	104		
Trading income	58		 	65		 	(7	)	 	(11	)	 	34		 	55		 	42		
Trust and investment management income	73		 	80		 	(7	)	 	(9	)	 	75		 	75		 	79		
Retail investment services	69		 	71		 	(2	)	 	(3	)	 	72		 	69		 	71		
Mortgage production related income	78		 	118		 	(40	)	 	(34	)	 	111		 	60		 	53		
Mortgage servicing related income	25		 	49		 	(24	)	 	(49	)	 	52		 	62		 	56		
Net securities gains	—		 	—		 	—		 	—		 	4		 	—		 	—		
Other noninterest income	62		 	21		 	41		 	NM		 	75		 	38		 	30		
Total noninterest income	815		 	889		 	(74	)	 	(8	)	 	898		 	781		 	765		
NONINTEREST EXPENSE	 	 	 	 	 	 	 	 	 	 	 	 	 	
Employee compensation and benefits	762		 	773		 	(11	)	 	(1	)	 	763		 	774		 	690		
Outside processing and software	209		 	225		 	(16	)	 	(7	)	 	202		 	198		 	222		
Net occupancy expense	94		 	93		 	1		 	1		 	78		 	85		 	86		
Equipment expense	43		 	44		 	(1	)	 	(2	)	 	42		 	40		 	41		
FDIC premium/regulatory exams	46		 	47		 	(1	)	 	(2	)	 	44		 	36		 	35		
Marketing and customer development	52		 	38		 	14		 	37		 	38		 	44		 	48		
Operating losses	23		 	35		 	(12	)	 	(34	)	 	25		 	24		 	22		
Amortization	14		 	14		 	—		 	—		 	11		 	10		 	17		
Other noninterest expense	154		 	140		 	14		 	10		 	142		 	107		 	127		
Total noninterest expense	1,397		 	1,409		 	(12	)	 	(1	)	 	1,345		 	1,318		 	1,288		
INCOME BEFORE PROVISION FOR INCOME TAXES	660		 	691		 	(31	)	 	(4	)	 	695		 	644		 	672		
Provision for income taxes	193		 	215		 	(22	)	 	(10	)	 	201		 	195		 	185		
NET INCOME INCLUDING INCOME ATTRIBUTABLE
TO NONCONTROLLING INTEREST	467		 	476		 	(9	)	 	(2	)	 	494		 	449		 	487		
Net income attributable to noncontrolling interest	2		 	2		 	—		 	—		 	2		 	2		 	3		
NET INCOME		$465		 		$474		 		($9	)	 	(2	)%	 		$492		 		$447		 		$484		
NET INCOME AVAILABLE TO COMMON SHAREHOLDERS		$448		 		$457		 		($9	)	 	(2	)%	 		$475		 		$430		 		$467		
Net interest income-FTE  1	1,377		 	1,342		 	35		 	3		 	1,323		 	1,318		 	1,281		
Total revenue	2,158		 	2,197		 	(39	)	 	(2	)	 	2,186		 	2,063		 	2,011		
Total revenue-FTE 1	2,192		 	2,231		 	(39	)	 	(2	)	 	2,221		 	2,099		 	2,046		
Net income per average common share:	 	 	 	 	 	 	 	 	 	 	 	 	 	
Diluted	0.90		 	0.91		 	(0.01	)	 	(1	)	 	0.94		 	0.84		 	0.91		
Basic	0.91		 	0.92		 	(0.01	)	 	(1	)	 	0.95		 	0.85		 	0.92		
Cash dividends paid per common share	0.26		 	0.26		 	—		 	—		 	0.24		 	0.24		 	0.24		
Average common shares outstanding:	 	 	 	 	 	 	 	 	 	 	 	 	 	
Diluted	497,055		 	500,885		 	(3,830	)	 	(1	)	 	505,633		 	509,931		 	514,507		
Basic	491,497		 	496,304		 	(4,807	)	 	(1	)	 	501,374		 	505,482		 	508,536		

1 See Appendix A for additional information and reconcilements of non-U.S. GAAP measures to the related U.S.GAAP measures.
2 "NM" - Not meaningful. Those changes over 100 percent were not considered to be meaningful.

14

SunTrust Banks, Inc. and Subsidiaries
CONSOLIDATED BALANCE SHEETS

															
 	December 31	 	Increase/(Decrease)	
(Dollars in millions and shares in thousands, except per share data) (Unaudited)	2016	 	2015	 	Amount	 	  %  2	
ASSETS	 	 	 	 	 	 	 	
Cash and due from banks		$5,091		 		$4,299		 		$792		 	18	 %	
Federal funds sold and securities borrowed or purchased under agreements to resell	1,307		 	1,277		 	30		 	2		
Interest-bearing deposits in other banks	25		 	23		 	2		 	9		
Trading assets and derivative instruments	6,067		 	6,119		 	(52	)	 	(1	)	
Securities available for sale	30,672		 	27,825		 	2,847		 	10		
Loans held for sale ("LHFS")	4,169		 	1,838		 	2,331		 	NM		
Loans held for investment:	 	 	 	 	 	 	 	
Commercial and industrial ("C&I")	69,213		 	67,062		 	2,151		 	3		
Commercial real estate ("CRE")	4,996		 	6,236		 	(1,240	)	 	(20	)	
Commercial construction	4,015		 	1,954		 	2,061		 	NM		
Residential mortgages - guaranteed	537		 	629		 	(92	)	 	(15	)	
Residential mortgages - nonguaranteed	26,137		 	24,744		 	1,393		 	6		
Residential home equity products	11,912		 	13,171		 	(1,259	)	 	(10	)	
Residential construction	404		 	384		 	20		 	5		
Consumer student - guaranteed	6,167		 	4,922		 	1,245		 	25		
Consumer other direct	7,771		 	6,127		 	1,644		 	27		
Consumer indirect	10,736		 	10,127		 	609		 	6		
Consumer credit cards	1,410		 	1,086		 	324		 	30		
Total loans held for investment	143,298		 	136,442		 	6,856		 	5		
Allowance for loan and lease losses ("ALLL")	(1,709	)	 	(1,752	)	 	(43	)	 	(2	)	
Net loans held for investment	141,589		 	134,690		 	6,899		 	5		
Goodwill	6,337		 	6,337		 	—		 	—		
MSRs	1,572		 	1,307		 	265		 	20		
Other assets	8,046		 	7,102		 	944		 	13		
Total assets 1		$204,875		 		$190,817		 		$14,058		 	7	 %	
LIABILITIES	 	 	 	 	 	 	 	
Deposits:	 	 	 	 	 	 	 	
Noninterest-bearing consumer and commercial deposits		$43,431		 		$42,272		 		$1,159		 	3	 %	
Interest-bearing consumer and commercial deposits:	 	 	 	 	 	 	 	
NOW accounts	45,534		 	38,990		 	6,544		 	17		
Money market accounts	54,166		 	51,783		 	2,383		 	5		
Savings	6,266		 	6,057		 	209		 	3		
Consumer time	5,534		 	6,108		 	(574	)	 	(9	)	
Other time	3,933		 	3,711		 	222		 	6		
Total consumer and commercial deposits	158,864		 	148,921		 	9,943		 	7		
Brokered time deposits	924		 	899		 	25		 	3		
Foreign deposits	610		 	10		 	600		 	NM		
Total deposits	160,398		 	149,830		 	10,568		 	7		
Funds purchased	2,116		 	1,949		 	167		 	9		
Securities sold under agreements to repurchase	1,633		 	1,654		 	(21	)	 	(1	)	
Other short-term borrowings	1,015		 	1,024		 	(9	)	 	(1	)	
Long-term debt	11,748		 	8,462		 	3,286		 	39		
Trading liabilities and derivative instruments	1,351		 	1,263		 	88		 	7		
Other liabilities	2,996		 	3,198		 	(202	)	 	(6	)	
Total liabilities	181,257		 	167,380		 	13,877		 	8		
SHAREHOLDERS' EQUITY	 	 	 	 	 	 	 	
Preferred stock, no par value	1,225		 	1,225		 	—		 	—		
Common stock, $1.00 par value	550		 	550		 	—		 	—		
Additional paid-in capital	9,010		 	9,094		 	(84	)	 	(1	)	
Retained earnings	16,000		 	14,686		 	1,314		 	9		
Treasury stock, at cost, and other	(2,346	)	 	(1,658	)	 	688		 	41		
Accumulated other comprehensive loss, net of tax	(821	)	 	(460	)	 	361		 	78		
Total shareholders' equity	23,618		 	23,437		 	181		 	1		
Total liabilities and shareholders' equity		$204,875		 		$190,817		 		$14,058		 	7	 %	
 	 	 	 	 	 	 	 	
Common shares outstanding	491,188		 	508,712		 	(17,524	)	 	(3	)%	
Common shares authorized	750,000		 	750,000		 	—		 	—		
Preferred shares outstanding	12		 	12		 	—		 	—		
Preferred shares authorized	50,000		 	50,000		 	—		 	—		
Treasury shares of common stock	58,738		 	41,209		 	17,529		 	43		
1 Includes earning assets of $184,610 and $172,114 at December 31 , 2016 and 2015 , respectively.
2 “NM” - Not meaningful. Those changes over 100 percent were not considered to be meaningful.

15

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

																											
(Dollars in millions and shares in thousands, except per share data) (Unaudited)	December 31	 	Septemb er 30	 	(Decrease)/Increase	 	June 30	 	March 31	 	December 31	
	2016	 	2016	 	Amount	 	  % 2	 	2016	 	2016	 	2015	
ASSETS	 	 	 	 	 	 	 	 	 	 	 	 	 	
Cash and due from banks		$5,091		 		$8,019		 		($2,928	)	 	(37	)%	 		$4,134		 		$3,074		 		$4,299		
Federal funds sold and securities borrowed or purchased under agreements to resell	1,307		 	1,697		 	(390	)	 	(23	)	 	1,107		 	1,229		 	1,277		
Interest-bearing deposits in other banks	25		 	24		 	1		 	4		 	24		 	24		 	23		
Trading assets and derivative instruments	6,067		 	7,044		 	(977	)	 	(14	)	 	6,850		 	7,050		 	6,119		
Securities available for sale	30,672		 	29,672		 	1,000		 	3		 	29,336		 	28,188		 	27,825		
LHFS	4,169		 	3,772		 	397		 	11		 	2,468		 	1,911		 	1,838		
Loans held for investment:	 	 	 	 	 	 	 	 	 	 	 	 	 	
C&I	69,213		 	68,298		 	915		 	1		 	68,603		 	68,963		 	67,062		
CRE	4,996		 	5,056		 	(60	)	 	(1	)	 	6,228		 	6,034		 	6,236		
Commercial construction	4,015		 	3,875		 	140		 	4		 	2,617		 	2,498		 	1,954		
Residential mortgages - guaranteed	537		 	521		 	16		 	3		 	534		 	623		 	629		
Residential mortgages - nonguaranteed	26,137		 	26,306		 	(169	)	 	(1	)	 	26,037		 	25,148		 	24,744		
Residential home equity products	11,912		 	12,178		 	(266	)	 	(2	)	 	12,481		 	12,845		 	13,171		
Residential construction	404		 	393		 	11		 	3		 	397		 	383		 	384		
Consumer student - guaranteed	6,167		 	5,844		 	323		 	6		 	5,562		 	5,265		 	4,922		
Consumer other direct	7,771		 	7,358		 	413		 	6		 	6,825		 	6,372		 	6,127		
Consumer indirect	10,736		 	10,434		 	302		 	3		 	11,195		 	10,522		 	10,127		
Consumer credit cards	1,410		 	1,269		 	141		 	11		 	1,177		 	1,093		 	1,086		
Total loans held for investment	143,298		 	141,532		 	1,766		 	1		 	141,656		 	139,746		 	136,442		
ALLL	(1,709	)	 	(1,743	)	 	(34	)	 	(2	)	 	(1,774	)	 	(1,770	)	 	(1,752	)	
Net loans held for investment	141,589		 	139,789		 	1,800		 	1		 	139,882		 	137,976		 	134,690		
Goodwill	6,337		 	6,337		 	—		 	—		 	6,337		 	6,337		 	6,337		
MSRs	1,572		 	1,119		 	453		 	40		 	1,061		 	1,182		 	1,307		
Other assets	8,046		 	7,618		 	428		 	6		 	7,693		 	7,187		 	7,102		
Total assets 1		$204,875		 		$205,091		 		($216	)	 	—	 %	 		$198,892		 		$194,158		 		$190,817		
LIABILITIES	 	 	 	 	 	 	 	 	 	 	 	 	 	
Deposits:	 	 	 	 	 	 	 	 	 	 	 	 	 	
Noninterest-bearing consumer and commercial deposits		$43,431		 		$43,835		 		($404	)	 	(1	)%	 		$42,466		 		$42,256		 		$42,272		
Interest-bearing consumer and commercial deposits:	 	 	 	 	 	 	 	 	 	 	 	 		
NOW accounts	45,534		 	43,093		 	2,441		 	6		 	39,869		 	39,273		 	38,990		
Money market accounts	54,166		 	54,763		 	(597	)	 	(1	)	 	53,410		 	53,327		 	51,783		
Savings	6,266		 	6,256		 	10		 	—		 	6,343		 	6,418		 	6,057		
Consumer time	5,534		 	5,659		 	(125	)	 	(2	)	 	5,836		 	6,085		 	6,108		
Other time	3,933		 	3,986		 	(53	)	 	(1	)	 	3,855		 	3,905		 	3,711		
Total consumer and commercial deposits	158,864		 	157,592		 	1,272		 	1		 	151,779		 	151,264		 	148,921		
Brokered time deposits	924		 	950		 	(26	)	 	(3	)	 	972		 	897		 	899		
Foreign deposits	610		 	300		 	310		 	NM		 	—		 	—		 	10		
Total deposits	160,398		 	158,842		 	1,556		 	1		 	152,751		 	152,161		 	149,830		
Funds purchased	2,116		 	2,226		 	(110	)	 	(5	)	 	1,352		 	1,497		 	1,949		
Securities sold under agreements to repurchase	1,633		 	1,724		 	(91	)	 	(5	)	 	1,622		 	1,774		 	1,654		
Other short-term borrowings	1,015		 	949		 	66		 	7		 	1,883		 	1,673		 	1,024		
Long-term debt	11,748		 	11,866		 	(118	)	 	(1	)	 	12,264		 	8,514		 	8,462		
Trading liabilities and derivative instruments	1,351		 	1,484		 	(133	)	 	(9	)	 	1,245		 	1,536		 	1,263		
Other liabilities	2,996		 	3,551		 	(555	)	 	(16	)	 	3,311		 	2,950		 	3,198		
Total liabilities	181,257		 	180,642		 	615		 	—		 	174,428		 	170,105		 	167,380		
SHAREHOLDERS’ EQUITY	 	 	 	 	 	 	 	 	 	 	 	 	 	
Preferred stock, no par value	1,225		 	1,225		 	—		 	—		 	1,225		 	1,225		 	1,225		
Common stock, $1.00 par value	550		 	550		 	—		 	—		 	550		 	550		 	550		
Additional paid-in capital	9,010		 	9,009		 	1		 	—		 	9,003		 	9,017		 	9,094		
Retained earnings	16,000		 	15,681		 	319		 	2		 	15,353		 	14,999		 	14,686		
Treasury stock, at cost, and other	(2,346	)	 	(2,131	)	 	215		 	10		 	(1,900	)	 	(1,759	)	 	(1,658	)	
Accumulated other comprehensive (loss)/income, net of tax	(821	)	 	115		 	(936	)	 	NM		 	233		 	21		 	(460	)	
Total shareholders’ equity	23,618		 	24,449		 	(831	)	 	(3	)	 	24,464		 	24,053		 	23,437		
Total liabilities and shareholders’ equity		$204,875		 		$205,091		 		($216	)	 	—	 %	 		$198,892		 		$194,158		 		$190,817		
 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Common shares outstanding	491,188		 	495,936		 	(4,748	)	 	(1	)%	 	501,412		 	505,443		 	508,712		
Common shares authorized	750,000		 	750,000		 	—		 	—		 	750,000		 	750,000		 	750,000		
Preferred shares outstanding	12		 	12		 	—		 	—		 	12		 	12		 	12		
Preferred shares authorized	50,000		 	50,000		 	—		 	—		 	50,000		 	50,000		 	50,000		
Treasury shares of common stock	58,738		 	53,985		 	4,753		 	9		 	48,509		 	44,478		 	41,209		
1 Includes earning assets of $184,610 , $181,341 , $178,852 , $175,710 , and $172,114 at December 31 , 2016 , Septemb er 30 , 2016 , June 30 , 2016 , March 31 , 2016 , and December 31 , 2015 , respectively.
2 “NM” - Not meaningful. Those changes over 100 percent were not considered to be meaningful.

16

	
																																				
SunTrust Banks, Inc. and Subsidiaries
CONSOLIDATED DAILY AVERAGE BALANCES, INCOME/EXPENSE, AND AVERAGE YIELDS EARNED/RATES PAID	
 	Three Months Ended	 	Increase/(Decrease) From	
 	December 31, 2016	 	September 30, 2016	 	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: 1	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Commercial and industrial ("C&I")		$68,407				$549			3.19	%	 		$68,242		 		$536		 	3.13	%	 		$165		 	0.06		 		$2,002		 	0.15		
Commercial real estate ("CRE")	5,141			38			2.93		 	5,975		 	44		 	2.92		 	(834	)	 	0.01		 	(931	)	 	0.15		
Commercial construction	3,852			31			3.22		 	2,909		 	24		 	3.28		 	943		 	(0.06	)	 	1,916		 	0.17		
Residential mortgages - guaranteed	542			4			2.57		 	540		 	5		 	3.34		 	2		 	(0.77	)	 	(105	)	 	(1.92	)	
Residential mortgages - nonguaranteed	26,065			244			3.75		 	26,022		 	243		 	3.74		 	43		 	0.01		 	1,740		 	(0.07	)	
Residential home equity products	11,809			116			3.91		 	12,075		 	119		 	3.93		 	(266	)	 	(0.02	)	 	(1,352	)	 	0.13		
Residential construction	382			4			4.24		 	379		 	4		 	4.47		 	3		 	(0.23	)	 	6		 	(0.41	)	
Consumer student - guaranteed	5,990			62			4.12		 	5,705		 	58		 	4.03		 	285		 	0.09		 	1,245		 	0.26		
Consumer other direct	7,556			88			4.64		 	7,090		 	81		 	4.56		 	466		 	0.08		 	1,632		 	0.30		
Consumer indirect	10,633			92			3.44		 	11,161		 	96		 	3.41		 	(528	)	 	0.03		 	535		 	0.09		
Consumer credit cards	1,324			33			9.93		 	1,224		 	31		 	10.12		 	100		 	(0.19	)	 	300		 	(0.24	)	
Nonaccrual	877			8			3.77		 	935		 	4		 	1.70		 	(58	)	 	2.07		 	376		 	(0.09	)	
Total loans held for investment	142,578			1,269			3.54		 	142,257		 	1,245		 	3.48		 	321		 	0.06		 	7,364		 	0.13		
Securities available for sale:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Taxable	29,314			166			2.27		 	28,460		 	157		 	2.21		 	854		 	0.06		 	2,491		 	(0.15	)	
Tax-exempt	273			2			3.08		 	181		 	2		 	3.41		 	92		 	(0.33	)	 	112		 	(0.59	)	
Total securities available for sale	29,587			168			2.28		 	28,641		 	159		 	2.22		 	946		 	0.06		 	2,603		 	(0.14	)	
Federal funds sold and securities borrowed or purchased under agreements to resell	1,332			—			(0.03	)	 	1,171		 	—		 	0.11		 	161		 	(0.14	)	 	205		 	(0.04	)	
Loans held for sale ("LHFS")	3,570			30			3.42		 	2,867		 	25		 	3.47		 	703		 	(0.05	)	 	1,842		 	(0.28	)	
Interest-bearing deposits in other banks	24			—			0.47		 	24		 	—		 	0.38		 	—		 	0.09		 	1		 	0.38		
Interest earning trading assets	5,384			25			1.83		 	5,563		 	22		 	1.57		 	(179	)	 	0.26		 	198		 	0.10		
Total earning assets	182,475			1,492			3.25		 	180,523		 	1,451		 	3.20		 	1,952		 	0.05		 	12,213		 	0.07		
Allowance for loan and lease losses ("ALLL")	(1,724	)		 	 	 	 	(1,756	)	 	 	 	 	 	32		 	 	 	40		 	 	
Cash and due from banks	5,405			 	 	 	 	5,442		 	 	 	 	 	(37	)	 	 	 	440		 	 	
Other assets	15,375			 	 	 	 	14,822		 	 	 	 	 	553		 	 	 	850		 	 	
Noninterest earning trading assets and derivative instruments	1,103			 	 	 	 	1,538		 	 	 	 	 	(435	)	 	 	 	(127	)	 	 	
Unrealized gains on securities available for sale, net	512			 	 	 	 	907		 	 	 	 	 	(395	)	 	 	 	74		 	 	
Total assets		$203,146			 	 	 	 		$201,476		 	 	 	 	 		$1,670		 	 	 		$13,490		 	 	
LIABILITIES AND SHAREHOLDERS’ EQUITY	 		 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Interest-bearing deposits:	 		 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
NOW accounts		$42,929				$17			0.16	%	 		$41,160		 		$15		 	0.14	%	 		$1,769		 	0.02		 		$5,636		 	0.07		
Money market accounts	54,416			30			0.22		 	54,500		 	29		 	0.21		 	(84	)	 	0.01		 	2,166		 	0.06		
Savings	6,259			—			0.03		 	6,304		 	—		 	0.03		 	(45	)	 	—		 	164		 	—		
Consumer time	5,599			10			0.69		 	5,726		 	10		 	0.69		 	(127	)	 	—		 	(557	)	 	(0.08	)	
Other time	3,954			10			0.97		 	3,981		 	10		 	0.97		 	(27	)	 	—		 	233		 	(0.05	)	
Total interest-bearing consumer and commercial deposits	113,157			67			0.23		 	111,671		 	64		 	0.23		 	1,486		 	—		 	7,642		 	0.04		
Brokered time deposits	935			3			1.28		 	959		 	3		 	1.31		 	(24	)	 	(0.03	)	 	45		 	(0.10	)	
Foreign deposits	308			—			0.45		 	130		 	—		 	0.37		 	178		 	0.08		 	152		 	0.31		
Total interest-bearing deposits	114,400			70			0.24		 	112,760		 	67		 	0.24		 	1,640		 	—		 	7,839		 	0.04		
Funds purchased	1,008			1			0.43		 	784		 	1		 	0.36		 	224		 	0.07		 	139		 	0.28		
Securities sold under agreements to repurchase	1,708			2			0.45		 	1,691		 	2		 	0.45		 	17		 	—		 	(65	)	 	0.24		
Interest-bearing trading liabilities	1,146			6			2.13		 	930		 	5		 	2.11		 	216		 	0.02		 	268		 	(0.27	)	
Other short-term borrowings	978			—			0.11		 	1,266		 	—		 	0.19		 	(288	)	 	(0.08	)	 	(135	)	 	0.02		
Long-term debt	11,632			70			2.37		 	12,257		 	68		 	2.21		 	(625	)	 	0.16		 	3,182		 	(0.25	)	
Total interest-bearing liabilities	130,872			149			0.45		 	129,688		 	143		 	0.44		 	1,184		 	0.01		 	11,228		 	0.06		
Noninterest-bearing deposits	44,839			 	 	 	 	43,642		 	 	 	 	 	1,197		 	 	 	2,191		 	 	
Other liabilities	3,112			 	 	 	 	3,356		 	 	 	 	 	(244	)	 	 	 	(281	)	 	 	
Noninterest-bearing trading liabilities and derivative instruments	279			 	 	 	 	380		 	 	 	 	 	(101	)	 	 	 	(109	)	 	 	
Shareholders’ equity	24,044			 	 	 	 	24,410		 	 	 	 	 	(366	)	 	 	 	461		 	 	
Total liabilities and shareholders’ equity		$203,146			 	 	 	 		$201,476		 	 	 	 	 		$1,670		 	 	 		$13,490		 	 	
Interest Rate Spread	 		 		2.80	%	 	 	 	 	 	2.76	%	 	 	 	0.04		 	 	 	0.01		
Net Interest Income	 			$1,343			 	 	 	 		$1,308		 	 	 	 	 	 	 	 	 	 	
Net Interest Income-FTE 2	 	 		$1,377		 	 	 	 	 		$1,342		 	 	 	 	 	 	 	 	 	 	
Net Interest Margin  3	 		 		2.93	 %	 	 	 	 	 	2.88	%	 	 	 	0.05		 	 	 	0.03		
Net Interest Margin-FTE  2, 3	 	 	 	 	3.00		 	 	 	 	 	2.96		 	 	 	0.04		 	 	 	0.02		
1 Interest income includes loan fees of $41 million and $40 million for the three months ended December 31, 2016 and September 30, 2016 , 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 December 31, 2016 and September 30, 2016 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
CONSOLIDATED DAILY AVERAGE BALANCES, INCOME/EXPENSE, AND AVERAGE YIELDS EARNED/RATES PAID, continued	
 	Three Months Ended	
 	June 30, 2016	 	March 31, 2016	 	December 31, 2015	
(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	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Loans held for investment: 1	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
C&I		$68,918		 		$533		 	3.11	%	 		$68,058		 		$529		 	3.13	%	 		$66,405				$508			3.04	%	
CRE	6,055		 	44		 	2.91		 	6,066		 	44		 	2.91		 	6,072			43			2.78		
Commercial construction	2,589		 	21		 	3.25		 	2,232		 	18		 	3.28		 	1,936			15			3.05		
Residential mortgages - guaranteed	580		 	6		 	3.98		 	641		 	6		 	3.80		 	647			7			4.49		
Residential mortgages - nonguaranteed	25,408		 	241		 	3.80		 	24,712		 	236		 	3.81		 	24,325			232			3.82		
Residential home equity products	12,464		 	122		 	3.95		 	12,849		 	126		 	3.95		 	13,161			125			3.78		
Residential construction	376		 	4		 	4.41		 	368		 	4		 	4.42		 	376			4			4.65		
Consumer student - guaranteed	5,412		 	54		 	3.98		 	5,092		 	50		 	3.98		 	4,745			46			3.86		
Consumer other direct	6,590		 	74		 	4.54		 	6,239		 	70		 	4.48		 	5,924			65			4.34		
Consumer indirect	10,771		 	90		 	3.37		 	10,279		 	87		 	3.39		 	10,098			85			3.35		
Consumer credit cards	1,125		 	29		 	10.09		 	1,077		 	28		 	10.31		 	1,024			26			10.17		
Nonaccrual	950		 	4		 	1.67		 	759		 	5		 	2.72		 	501			5			3.86		
Total loans held for investment	141,238		 	1,222		 	3.48		 	138,372		 	1,203		 	3.50		 	135,214			1,161			3.41		
Securities available for sale:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Taxable	27,910		 	160		 	2.29		 	27,164		 	162		 	2.39		 	26,823			162			2.42		
Tax-exempt	151		 	1		 	3.60		 	151		 	1		 	3.64		 	161			1			3.67		
Total securities available for sale	28,061		 	161		 	2.29		 	27,315		 	163		 	2.39		 	26,984			163			2.42		
Federal funds sold and securities borrowed or purchased under agreements to resell	1,227		 	—		 	0.17		 	1,234		 	—		 	0.18		 	1,127			—			0.01		
LHFS	2,015		 	18		 	3.61		 	1,816		 	19		 	4.15		 	1,728			16			3.70		
Interest-bearing deposits in other banks	23		 	—		 	0.29		 	23		 	—		 	0.47		 	23			—			0.09		
Interest earning trading assets	5,491		 	23		 	1.65		 	5,429		 	26		 	1.86		 	5,186			23			1.73		
Total earning assets	178,055		 	1,424		 	3.22		 	174,189		 	1,411		 	3.26		 	170,262			1,363			3.18		
ALLL	(1,756	)	 	 	 	 	 	(1,750	)	 	 	 	 	 	(1,764	)		 	 	 	
Cash and due from banks	5,127		 	 	 	 	 	4,015		 	 	 	 	 	4,965			 	 	 	
Other assets	14,675		 	 	 	 	 	14,639		 	 	 	 	 	14,525			 	 	 	
Noninterest earning trading assets and derivative instruments	1,527		 	 	 	 	 	1,387		 	 	 	 	 	1,230			 	 	 	
Unrealized gains on securities available for sale, net	677		 	 	 	 	 	534		 	 	 	 	 	438			 	 	 	
Total assets		$198,305		 	 	 	 	 		$193,014		 	 	 	 	 		$189,656			 	 	 	
LIABILITIES AND SHAREHOLDERS’ EQUITY	 	 	 	 	 	 	 	 	 	 	 	 	 		 	 	 	
Interest-bearing deposits:	 	 	 	 	 	 	 	 	 	 	 	 	 		 	 	 	
NOW accounts		$41,691		 		$13		 	0.12	%	 		$37,994		 		$10		 	0.10	%	 		$37,293				$9			0.09	%	
Money market accounts	53,186		 	25		 	0.19		 	53,063		 	24		 	0.18		 	52,250			21			0.16		
Savings	6,399		 	1		 	0.02		 	6,179		 	—		 	0.03		 	6,095			—			0.03		
Consumer time	5,984		 	11		 	0.76		 	6,104		 	12		 	0.79		 	6,156			12			0.77		
Other time	3,881		 	10		 	1.03		 	3,813		 	10		 	1.04		 	3,721			10			1.02		
Total interest-bearing consumer and commercial deposits	111,141		 	60		 	0.22		 	107,153		 	56		 	0.21		 	105,515			52			0.19		
Brokered time deposits	913		 	3		 	1.35		 	898		 	3		 	1.37		 	890			3			1.38		
Foreign deposits	46		 	—		 	0.34		 	4		 	—		 	0.33		 	156			—			0.14		
Total interest-bearing deposits	112,100		 	63		 	0.23		 	108,055		 	59		 	0.22		 	106,561			55			0.20		
Funds purchased	1,032		 	1		 	0.36		 	1,399		 	1		 	0.35		 	869			—			0.15		
Securities sold under agreements to repurchase	1,718		 	2		 	0.40		 	1,819		 	2		 	0.40		 	1,773			1			0.21		
Interest-bearing trading liabilities	1,006		 	6		 	2.39		 	1,017		 	6		 	2.56		 	878			5			2.40		
Other short-term borrowings	1,220		 	—		 	0.20		 	2,351		 	2		 	0.32		 	1,113			—			0.09		
Long-term debt	10,517		 	64		 	2.46		 	8,637		 	59		 	2.73		 	8,450			56			2.62		
Total interest-bearing liabilities	127,593		 	136		 	0.43		 	123,278		 	129		 	0.42		 	119,644			117			0.39		
Noninterest-bearing deposits	43,025		 	 	 	 	 	42,076		 	 	 	 	 	42,648			 	 	 	
Other liabilities	3,217		 	 	 	 	 	3,321		 	 	 	 	 	3,393			 	 	 	
Noninterest-bearing trading liabilities and derivative instruments	452		 	 	 	 	 	542		 	 	 	 	 	388			 	 	 	
Shareholders’ equity	24,018		 	 	 	 	 	23,797		 	 	 	 	 	23,583			 	 	 	
Total liabilities and shareholders’ equity		$198,305		 	 	 	 	 		$193,014		 	 	 	 	 		$189,656			 	 	 	
Interest Rate Spread	 	 	 	 	2.79	%	 	 	 	 	 	2.84	%	 	 	 	 		2.79	%	
Net Interest Income	 	 		$1,288		 	 	 	 	 		$1,282		 	 	 	 			$1,246			 	
Net Interest Income-FTE 2	 	 		$1,323		 	 	 	 	 		$1,318		 	 	 	 	 		$1,281		 	 	
Net Interest Margin 3	 	 	 	 	2.91	%	 	 	 	 	 	2.96	%	 	 	 	 		2.90	%	
Net Interest Margin-FTE  2, 3	 	 	 	 	2.99		 	 	 	 	 	3.04		 	 	 	 	 	2.98		

1  	Interest income includes loan fees of $41 million, $43 million, and $47 million for the three months ended June 30, 2016 , March 31, 2016 , and December 31, 2015 , 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 June 30, 2016 , March 31, 2016 , and December 31, 2015 was attributed to C&I loans.	
		
3  	Net interest margin is calculated by dividing annualized net interest income by average total earning assets.	

18

	
																													
SunTrust Banks, Inc. and Subsidiaries
CONSOLIDATED DAILY AVERAGE BALANCES, INCOME/EXPENSE, AND AVERAGE YIELDS EARNED/RATES PAID, continued	
 	Twelve Months End ed	 	 	 	 	
 	December 31, 2016	 	December 31, 2015	Increase/(Decrease)	
(Dollars in millions) (Unaudited)	Average
Balances	 	Interest
Income/
Expense	 	Yields/
Rates	 	Average
Balances	 	Interest
Income/
Expense	 	Yields/
Rates	 	Average
Balances	 	Yields/
Rates	
ASSETS	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Loans held for investment: 1	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
C&I		$68,406		 		$2,148		 	3.14	%	 		$65,786		 		$1,974		 	3.00	%	 		$2,620		 	0.14		
CRE	5,808		 	169		 	2.92		 	6,178		 	173		 	2.80		 	(370	)	 	0.12		
Commercial construction	2,898		 	94		 	3.25		 	1,603		 	50		 	3.12		 	1,295		 	0.13		
Residential mortgages - guaranteed	575		 	20		 	3.45		 	636		 	24		 	3.77		 	(61	)	 	(0.32	)	
Residential mortgages - nonguaranteed	25,554		 	964		 	3.77		 	23,759		 	913		 	3.84		 	1,795		 	(0.07	)	
Residential home equity products	12,297		 	484		 	3.94		 	13,535		 	501		 	3.70		 	(1,238	)	 	0.24		
Residential construction	377		 	17		 	4.39		 	384		 	19		 	4.85		 	(7	)	 	(0.46	)	
Consumer student - guaranteed	5,551		 	224		 	4.03		 	4,584		 	173		 	3.78		 	967		 	0.25		
Consumer other direct	6,871		 	313		 	4.56		 	5,344		 	230		 	4.30		 	1,527		 	0.26		
Consumer indirect	10,712		 	365		 	3.40		 	10,262		 	333		 	3.24		 	450		 	0.16		
Consumer credit cards	1,188		 	120		 	10.10		 	944		 	94		 	10.00		 	244		 	0.10		
Nonaccrual	881		 	21		 	2.43		 	543		 	22		 	4.13		 	338		 	(1.70	)	
Total loans held for investment	141,118		 	4,939		 	3.50		 	133,558		 	4,506		 	3.37		 	7,560		 	0.13		
Securities available for sale:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Taxable	28,216		 	645		 	2.29		 	26,327		 	587		 	2.23		 	1,889		 	0.06		
Tax-exempt	189		 	6		 	3.37		 	176		 	6		 	3.70		 	13		 	(0.33	)	
Total securities available for sale	28,405		 	651		 	2.29		 	26,503		 	593		 	2.24		 	1,902		 	0.05		
Federal funds sold and securities borrowed or purchased under
agreements to resell	1,241		 	1		 	0.10		 	1,147		 	—		 	—		 	94		 	0.10		
LHFS	2,570		 	92		 	3.60		 	2,348		 	82		 	3.47		 	222		 	0.13		
Interest-bearing deposits in other banks	24		 	—		 	0.40		 	22		 	—		 	0.12		 	2		 	0.28		
Interest earning trading assets	5,467		 	95		 	1.73		 	5,235		 	84		 	1.62		 	232		 	0.11		
Total earning assets	178,825		 	5,778		 	3.23		 	168,813		 	5,265		 	3.12		 	10,012		 	0.11		
ALLL	(1,746	)	 	 	 	 	 	(1,835	)	 	 	 	 	 	89		 	 	
Cash and due from banks	4,999		 	 	 	 	 	5,614		 	 	 	 	 	(615	)	 	 	
Other assets	14,880		 	 	 	 	 	14,527		 	 	 	 	 	353		 	 	
Noninterest earning trading assets and derivative instruments	1,388		 	 	 	 	 	1,265		 	 	 	 	 	123		 	 	
Unrealized gains on securities available for sale, net	658		 	 	 	 	 	508		 	 	 	 	 	150		 	 	
Total assets		$199,004		 	 	 	 	 		$188,892		 	 	 	 	 		$10,112		 	 	
LIABILITIES AND SHAREHOLDERS’ EQUITY	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Interest-bearing deposits:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
NOW accounts		$40,949		 		$55		 	0.13	%	 		$35,161		 		$31		 	0.09	%	 		$5,788		 	0.04		
Money market accounts	53,795		 	107		 	0.20		 	50,518		 	85		 	0.17		 	3,277		 	0.03		
Savings	6,285		 	2		 	0.03		 	6,165		 	2		 	0.03		 	120		 	—		
Consumer time	5,852		 	43		 	0.73		 	6,443		 	49		 	0.77		 	(591	)	 	(0.04	)	
Other time	3,908		 	39		 	1.00		 	3,813		 	39		 	1.02		 	95		 	(0.02	)	
Total interest-bearing consumer and commercial deposits	110,789		 	246		 	0.22		 	102,100		 	206		 	0.20		 	8,689		 	0.02		
Brokered time deposits	926		 	12		 	1.33		 	888		 	13		 	1.41		 	38		 	(0.08	)	
Foreign deposits	123		 	1		 	0.42		 	218		 	—		 	0.13		 	(95	)	 	0.29		
Total interest-bearing deposits	111,838		 	259		 	0.23		 	103,206		 	219		 	0.21		 	8,632		 	0.02		
Funds purchased	1,055		 	4		 	0.37		 	822		 	1		 	0.11		 	233		 	0.26		
Securities sold under agreements to repurchase	1,734		 	7		 	0.42		 	1,821		 	4		 	0.21		 	(87	)	 	0.21		
Interest-bearing trading liabilities	1,025		 	24		 	2.29		 	881		 	22		 	2.44		 	144		 	(0.15	)	
Other short-term borrowings	1,452		 	3		 	0.23		 	2,135		 	3		 	0.16		 	(683	)	 	0.07		
Long-term debt	10,767		 	260		 	2.42		 	10,873		 	252		 	2.32		 	(106	)	 	0.10		
Total interest-bearing liabilities	127,871		 	557		 	0.44		 	119,738		 	501		 	0.42		 	8,133		 	0.02		
Noninterest-bearing deposits	43,400		 	 	 	 	 	42,102		 	 	 	 	 	1,298		 	 	
Other liabilities	3,252		 	 	 	 	 	3,276		 	 	 	 	 	(24	)	 	 	
Noninterest-bearing trading liabilities and derivative instruments	413		 	 	 	 	 	430		 	 	 	 	 	(17	)	 	 	
Shareholders’ equity	24,068		 	 	 	 	 	23,346		 	 	 	 	 	722		 	 	
Total liabilities and shareholders’ equity		$199,004		 	 	 	 	 		$188,892		 	 	 	 	 		$10,112		 	 	
Interest Rate Spread	 	 	 	 	2.79	%	 	 	 	 	 	2.70	%	 	 	 	0.09		
Net Interest Income	 	 		$5,221		 	 	 	 	 		$4,764		 	 	 	 	 	 	
Net Interest Income-FTE 2	 	 		$5,359		 	 	 	 	 		$4,906		 	 	 	 	 	 	
Net Interest Margin  3	 	 	 	 	2.92	%	 	 	 	 	 	2.82	%	 	 	 	0.10		
Net Interest Margin-FTE  2, 3	 	 	 	 	3.00		 	 	 	 	 	2.91		 	 	 	0.09		
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
1 Interest income includes loan fees of $165 million and $189 million for the twelve months ended December 3 1 , 2016 and 2015 , 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 twelve months ended December 3 1 , 2016 and 2015 was attributed to C&I loans.
3 Net interest margin is calculated by dividing annualized net interest income by average total earning assets.

19

	
																														
SunTrust Banks, Inc. and Subsidiaries
OTHER FINANCIAL DATA	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
 	Three Months Ended	 	 	 	 	 	Twelve Months End ed	 	 	 	 	
 	December 31	 	(Decrease)/Increase	 	December 31	 	(Decrease)/Increase	
(Dollars in millions) (Unaudited)	2016		2015	 	Amount	 	% 3	 	2016		2015	 	Amount	 	% 3	
CREDIT DATA	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Allowance for credit losses, beginning of period		$1,811				$1,847		 		($36	)	 	(2	)%	 		$1,815				$1,991		 		($176	)	 	(9	)%	
(Benefit)/provision for unfunded commitments	(1	)		2		 	(3	)	 	NM		 	4			9		 	(5	)	 	(56	)	
Provision/(benefit) for loan losses:	 	 	 	 	 	 	 	 	 	 	 	 	 	 			
Commercial	36			59		 	(23	)	 	(39	)	 	329			133		 	196		 	NM		
Residential	13			(37	)	 	50		 	NM		 	(59	)		(67	)	 	8		 	12		
Consumer	53			27		 	26		 	96		 	170			90		 	80		 	89		
Total provision for loan losses	102			49		 	53		 	NM		 	440			156		 	284		 	NM		
Charge-offs:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Commercial	(78	)		(35	)	 	43		 	NM		 	(287	)		(117	)	 	170		 	NM		
Residential	(34	)		(41	)	 	(7	)	 	(17	)	 	(136	)		(218	)	 	(82	)	 	(38	)	
Consumer	(51	)		(38	)	 	13		 	34		 	(168	)		(135	)	 	33		 	24		
Total charge-offs	(163	)		(114	)	 	49		 	43		 	(591	)		(470	)	 	121		 	26		
Recoveries:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Commercial	9			10		 	(1	)	 	(10	)	 	35			45		 	(10	)	 	(22	)	
Residential	8			11		 	(3	)	 	(27	)	 	30			42		 	(12	)	 	(29	)	
Consumer	10			10		 	—		 	—		 	43			42		 	1		 	2		
Total recoveries	27			31		 	(4	)	 	(13	)	 	108			129		 	(21	)	 	(16	)	
Net charge-offs	(136	)		(83	)	 	53		 	64		 	(483	)		(341	)	 	142		 	42		
Allowance for credit losses, end of period		$1,776				$1,815		 		($39	)	 	(2	)%	 		$1,776				$1,815		 		($39	)	 	(2	)%	
Components:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Allowance for loan and lease losses ("ALLL")	 	 	 	 	 	 	 	 		$1,709				$1,752		 		($43	)	 	(2	)%	
Unfunded commitments reserve	 	 	 	 	 	 	 	 	67			63		 	4		 	6		
Allowance for credit losses	 	 	 	 	 	 	 	 		$1,776		 		$1,815		 		($39	)	 	(2	)%	
Net charge-offs to average loans held for investment (annualized):	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Commercial	0.35	%		0.13	%	 	0.22		 	NM		 	0.32	%		0.10	%	 	0.22		 	NM		
Residential	0.26			0.30		 	(0.04	)	 	(13	)	 	0.27			0.45		 	(0.18	)	 	(40	)	
Consumer	0.64			0.51		 	0.13		 	25		 	0.51			0.44		 	0.07		 	16		
Total net charge-offs to total average loans held for investment	0.38			0.24		 	0.14		 	58		 	0.34			0.26		 	0.08		 	31		
Period Ended	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Nonaccrual/nonperforming loans ("NPLs"):	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Commercial	 	 	 	 	 	 	 	 		$414		 		$319		 		$95		 	30	 %	
Residential	 	 	 	 	 	 	 	 	424		 	344		 	80		 	23		
Consumer	 	 	 	 	 	 	 	 	7		 	9		 	(2	)	 	(22	)	
Total nonaccrual/NPLs	 	 	 	 	 	 	 	 	845		 	672		 	173		 	26		
Other real estate owned (“OREO”)	 	 	 	 	 	 	 	 	60		 	56		 	4		 	7		
Other repossessed assets	 	 	 	 	 	 	 	 	14		 	7		 	7		 	100		
Total nonperforming assets ("NPAs")	 	 	 	 	 	 	 	 		$919		 		$735		 		$184		 	25	 %	
Accruing restructured loans	 	 	 	 	 	 	 	 		$2,535		 		$2,603		 		($68	)	 	(3	)%	
Nonaccruing restructured loans	 	 	 	 	 	 	 	 	306		 	176		 	130		 	74		
Accruing loans held for investment past due > 90 days (guaranteed)	 	 	 	 	 	 	 	 	1,254		 	939		 	315		 	34		
Accruing loans held for investment past due > 90 days (non-guaranteed)	 	 	 	 	 	 	 	 	34		 	42		 	(8	)	 	(19	)	
Accruing LHFS past due > 90 days	 	 	 	 	 	 	 	 	1		 	—		 	1		 	NM		
NPLs to total loans held for investment	 	 	 	 	 	 	 	 	0.59	%	 	0.49	%	 	0.10		 	20	 %	
NPAs to total loans held for investment plus OREO and other repossessed assets	 	 	 	 	 	 	 	 	0.64		 	0.54		 	0.10		 	19		
ALLL to period-end loans held for investment 1, 2	 	 	 	 	 	 	 	 	1.19		 	1.29		 	(0.10	)	 	(8	)	
ALLL to NPLs 1, 2	 	 	 	 	 	 	 	 	2.03x		 	2.62x		 	(0.59x)		 	(23	)	
ALLL to annualized net charge-offs 1	3.17x		 	5.33x		 	(2.16x)		 	(41	)	 	3.54x		 	5.14x		 	(1.60x)		 	(31	)	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
1 This ratio is computed using the allowance for loan and lease losses ("ALLL").
2 Loans carried at fair value were excluded from the calculation.
3 "NM" - Not meaningful. Those changes over 100 percent were not considered to be meaningful.

20

	
																											
SunTrust Banks, Inc. and Subsidiaries
FIVE QUARTER OTHER FINANCIAL DATA	 	 	 	 	 	 	 	 	 	 	 	 	
 	Three Months Ended	 	 	 	 	 	Three Months Ended	
 	December 31	 	Septemb er 30	 	(Decrease)/Increase	 	June 30	 	March 31	 	December 31	
(Dollars in millions) (Unaudited)	2016	 	2016	 	Amount	 	% 3	 	2016	 	2016	 	2015	
CREDIT DATA	 	 	 	 	 	 	 	 	 	 	 	 	 	
Allowance for credit losses, beginning of period		$1,811		 		$1,840		 		($29	)	 	(2	)%	 		$1,831		 		$1,815		 		$1,847		
(Benefit)/provision for unfunded commitments	(1	)	 	2		 	(3	)	 	NM		 	5		 	(2	)	 	2		
Provision/(benefit) for loan losses:	 	 	 	 	 	 	 	 	 	 	 	 	 	
Commercial	36		 	81		 	(45	)	 	(56	)	 	114		 	98		 	59		
Residential	13		 	(36	)	 	49		 	NM		 	(4	)	 	(32	)	 	(37	)	
Consumer	53		 	50		 	3		 	6		 	31		 	37		 	27		
Total provision for loan losses	102		 	95		 	7		 	7		 	141		 	103		 	49		
Charge-offs:	 	 	 	 	 	 	 	 	 	 	 	 	 	
Commercial	(78	)	 	(78	)	 	—		 	—		 	(99	)	 	(32	)	 	(35	)	
Residential	(34	)	 	(28	)	 	6		 	21		 	(33	)	 	(41	)	 	(41	)	
Consumer	(51	)	 	(44	)	 	7		 	16		 	(35	)	 	(39	)	 	(38	)	
Total charge-offs	(163	)	 	(150	)	 	13		 	9		 	(167	)	 	(112	)	 	(114	)	
Recoveries:	 	 	 	 	 	 	 	 	 	 	 	 	 	
Commercial	9		 	7		 	2		 	29		 	9		 	10		 	10		
Residential	8		 	7		 	1		 	14		 	9		 	6		 	11		
Consumer	10		 	10		 	—		 	—		 	12		 	11		 	10		
Total recoveries	27		 	24		 	3		 	13		 	30		 	27		 	31		
Net charge-offs	(136	)	 	(126	)	 	10		 	8		 	(137	)	 	(85	)	 	(83	)	
Allowance for credit losses, end of period		$1,776		 		$1,811		 		($35	)	 	(2	)%	 		$1,840		 		$1,831		 		$1,815		
Components:	 	 	 	 	 	 	 	 	 	 	 	 	 	
ALLL		$1,709		 		$1,743		 		($34	)	 	(2	)%	 		$1,774		 		$1,770		 		$1,752		
Unfunded commitments reserve	67		 	68		 	(1	)	 	(1	)	 	66		 	61		 	63		
Allowance for credit losses		$1,776		 		$1,811		 		($35	)	 	(2	)%	 		$1,840		 		$1,831		 		$1,815		
Net charge-offs to average loans held for investment (annualized):	 	 	 	 	 	 	 	 	 	 	 	 	 	
Commercial	0.35	%	 	0.37	%	 	(0.02	)	 	(5	)%	 	0.46	%	 	0.12	%	 	0.13	%	
Residential	0.26		 	0.21		 	0.05		 	24		 	0.24		 	0.36		 	0.30		
Consumer	0.64		 	0.52		 	0.12		 	23		 	0.39		 	0.49		 	0.51		
Total net charge-offs to total average loans held for investment	0.38		 	0.35		 	0.03		 	9		 	0.39		 	0.25		 	0.24		
Period Ended	 	 	 	 	 	 	 	 	 	 	 	 	 	
Nonaccrual/NPLs:	 	 	 	 	 	 	 	 	 	 	 	 	 	
Commercial		$414		 		$513		 		($99	)	 	(19	)%	 		$503		 		$577		 		$319		
Residential	424		 	429		 	(5	)	 	(1	)	 	433		 	390		 	344		
Consumer	7		 	7		 	—		 	—		 	8		 	8		 	9		
Total nonaccrual/NPLs	845		 	949		 	(104	)	 	(11	)	 	944		 	975		 	672		
OREO	60		 	57		 	3		 	5		 	49		 	52		 	56		
Other repossessed assets	14		 	13		 	1		 	8		 	8		 	8		 	7		
Total NPAs		$919		 		$1,019		 		($100	)	 	(10	)%	 		$1,001		 		$1,035		 		$735		
Accruing restructured loans		$2,535		 		$2,522		 		$13		 	1	 %	 		$2,541		 		$2,569		 		$2,603		
Nonaccruing restructured loans	306		 	306		 	—		 	—		 	307		 	233		 	176		
Accruing loans held for investment past due > 90 days (guaranteed)	1,254		 	1,114		 	140		 	13		 	999		 	962		 	939		
Accruing loans held for investment past due > 90 days
(non-guaranteed)	34		 	30		 	4		 	13		 	42		 	34		 	42		
Accruing LHFS past due > 90 days	1		 	2		 	(1	)	 	(50	)	 	1		 	1		 	—		
NPLs to total loans held for investment	0.59	%	 	0.67	%	 	(0.08	)	 	(12	)%	 	0.67	%	 	0.70	%	 	0.49	%	
NPAs to total loans held for investment plus OREO and other repossessed assets	0.64		 	0.72		 	(0.08	)	 	(11	)	 	0.71		 	0.74		 	0.54		
ALLL to period-end loans held for investment 1, 2	1.19		 	1.23		 	(0.04	)	 	(3	)	 	1.25		 	1.27		 	1.29		
ALLL to NPLs 1, 2	2.03x		 	1.84x		 	0.19x		 	10		 	1.89x		 	1.83x		 	2.62x		
ALLL to annualized net charge-offs 1	3.17x		 	3.49x		 	(0.32x)		 	(9	)	 	3.22x		 	5.20x		 	5.33x		
 	 	 	 	 	 	 	 	 	 	 	 	 	 	
1 This ratio is computed using the allowance for loan and lease losses.
2 Loans carried at fair value were excluded from the calculation.
3 "NM" - Not meaningful. Those changes over 100 percent were not considered to be meaningful.

21

	
																								
SunTrust Banks, Inc. and Subsidiaries
OTHER FINANCIAL DATA, continued	 	 	 	 	 	 	 	 	 	 	 	
 	Three Months Ended December 31		Twelve Months Ended December 3 1	
(Dollars in millions) (Unaudited)	 MSRs -
Fair Value		Other		Total		 MSRs -
Fair Value		Other		Total	
OTHER INTANGIBLE ASSETS ROLLFORWARD	 	 	 	 	 	 	 	 	 	 	 	
Balance, beginning of period		$1,262				$20				$1,282				$1,206				$13				$1,219		
Amortization	—			(2	)		(2	)		—			(8	)		(8	)	
Servicing rights originated	54			—			54			238			13			251		
Servicing rights purchased	—		 	—		 	—		 	109		 	—		 	109		
Fair value changes due to inputs and assumptions 1	41			—			41			(32	)		—			(32	)	
Other changes in fair value 2	(49	)		—			(49	)		(210	)		—			(210	)	
Servicing rights sold	(1	)		—			(1	)		(4	)		—			(4	)	
Balance, December 31, 2015		$1,307				$18				$1,325				$1,307				$18				$1,325		
 	 	 	 	 	 	 	 	 	 	 	 	
Balance, beginning of period		$1,119				$12				$1,131				$1,307				$18				$1,325		
Amortization	—			(3	)		(3	)		—			(9	)		(9	)	
Servicing rights originated	114			—			114			312			—			312		
Servicing rights purchased	96		 	—		 	96		 	200		 	—		 	200		
Servicing rights acquired in Pillar acquisition	—		 	62		 	62		 	—		 	62		 	62		
Other intangible assets acquired in Pillar acquisition	—		 	14		 	14		 	—		 	14		 	14		
Fair value changes due to inputs and assumptions 1	315			—			315			(13	)		—			(13	)	
Other changes in fair value 2	(72	)		—			(72	)		(232	)		—			(232	)	
Servicing rights sold	—			—			—			(2	)		—			(2	)	
Balance, December 31, 2016		$1,572				$85				$1,657				$1,572				$85				$1,657		
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	
 	December 31	 	Septemb er 30	 	June 30	 	March 31	 	December 31	
(Shares in thousands) (Unaudited)	2016	 	2016	 	2016	 	2016	 	2015	
COMMON SHARES ROLLFORWARD	 	 	 	 	 	 	 	 	 	
Balance, beginning of period	495,936		 	501,412		 	505,443		 	508,712		 	514,106		
Common shares issued for employee benefit plans	560		 	259		 	752		 	991		 	2		
Repurchase of common stock	(5,308	)	 	(5,735	)	 	(4,783	)	 	(4,260	)	 	(5,396	)	
Balance, end of period	491,188		 	495,936		 	501,412		 	505,443		 	508,712		

22

	
																												
SunTrust Banks, Inc. and Subsidiaries
APPENDIX A TO THE EARNINGS RELEASE - RECONCILEMENT OF NON-U.S. GAAP MEASURES  1	 	 	
 	 	 	 	
 	Three Months Ended	 	Twelve Months End ed	
 	December 31	 	September 30	 	June 30	 	March 31	 	December 31	 	December 31	
(Dollars in millions) (Unaudited)	2016	 	2016	 	2016	 	2016	 	2015	 	2016		2015	
Net interest income		$1,343		 		$1,308		 		$1,288		 		$1,282		 		$1,246		 		$5,221		 		$4,764		
Fully taxable-equivalent ("FTE") adjustment	34		 	34		 	35		 	36		 	35		 	138		 	142		
Net interest income-FTE 2	1,377		 	1,342		 	1,323		 	1,318		 	1,281		 	5,359		 	4,906		
Noninterest income	815		 	889		 	898		 	781		 	765		 	3,383		 	3,268		
Total revenue-FTE 2		$2,192		 		$2,231		 		$2,221		 		$2,099		 		$2,046		 		$8,742		 		$8,174		
 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Return on average common shareholders’ equity 3	7.85	 %	 	7.89	 %	 	8.43	 %	 	7.71	 %	 	8.32	 %	 	7.97	 %		8.46	 %	
Impact of removing average intangible assets and related amortization, other than MSRs and other servicing rights	2.91		 	2.84		 	3.11		 	2.89		 	3.17		 	2.94			3.29		
Return on average tangible common shareholders' equity 4	10.76	%	 	10.73	%	 	11.54	%	 	10.60	%	 	11.49	%	 	10.91	%		11.75	%	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Net interest margin	2.93	 %	 	2.88	 %	 	2.91	 %	 	2.96	 %	 	2.90	 %	 	2.92	 %	 	2.82	 %	
Impact of FTE adjustment	0.07		 	0.08		 	0.08		 	0.08		 	0.08		 	0.08		 	0.09		
Net interest margin-FTE 2	3.00	 %	 	2.96	 %	 	2.99	 %	 	3.04	 %	 	2.98	 %	 	3.00	 %	 	2.91	 %	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Noninterest expense		$1,397		 		$1,409		 		$1,345		 		$1,318		 		$1,288		 		$5,468		 		$5,160		
Total revenue	2,158			2,197			2,186			2,063			2,011			8,604			8,032		
Efficiency ratio 5	64.74	%		64.13	%		61.53	%		63.89	%		64.05	%		63.55	%		64.24	%	
Impact of FTE adjustment	(1.01	)	 	(0.99	)	 	(0.97	)	 	(1.08	)	 	(1.09	)	 	(1.00	)	 	(1.11	)	
Efficiency ratio-FTE 2, 5	63.73		 	63.14		 	60.56		 	62.81		 	62.96		 	62.55			63.13		
Impact of excluding amortization related to intangible assets and certain tax credits	(0.65	)	 	(0.60	)	 	(0.51	)	 	(0.48	)	 	(0.85	)	 	(0.56	)		(0.49	)	
Tangible efficiency ratio-FTE 2, 6	63.08	%	 	62.54	%	 	60.05	%	 	62.33	%	 	62.11	%	 	61.99	%		62.64	%	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Basel III Common Equity Tier 1 ("CET1") ratio (transitional)  7	9.63	 %	 	9.78	 %	 	9.84	 %	 	9.90	 %	 	9.96	 %	 	 	 	 	
Impact of MSRs and other under fully phased-in approach  	(0.15	)	 	(0.12	)	 	(0.11	)	 	(0.13	)	 	(0.16	)	 	 	 	 	
Basel III fully phased-in CET1 ratio  7	9.48	 %	 	9.66	 %	 	9.73	 %	 	9.77	 %	 	9.80	 %	 	 	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	
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, and 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 35% and 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 Beginning January 1, 2016, noncontrolling interest was removed from common shareholders' equity in the calculation to provide a more accurate measure of the Company's return on common equity. Accordingly, amounts for periods prior to January 1, 2016 have been updated for consistent presentation.
4 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 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.
5 Efficiency ratio is computed by dividing noninterest expense by total revenue. Efficiency ratio-FTE is computed by dividing noninterest expense by total revenue-FTE.
6 The Company presents a tangible efficiency ratio, 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 the Company’s efficiency to other companies in the industry. This measure is utilized by management to assess the efficiency of the Company and its lines of business.
7 Current period Basel III capital ratios are estimated as of the earnings release date. Fully phased-in ratios consider a 250% risk-weighting for MSRs and deduction from capital of certain carryforward DTAs, the overfunded pension asset, and other intangible assets. The Company believes these measures may be useful to investors who wish to understand the Company's current compliance with future regulatory requirements.

23

	
																				
SunTrust Banks, Inc. and Subsidiaries
APPENDIX A TO THE EARNINGS RELEASE - RECONCILEMENT OF NON-U.S. GAAP MEASURES, continued  1	
 	 	
 	December 31	 	September 30	 	June 30	 	March 31	 	December 31	
(Dollars in millions, except per share data) (Unaudited)	2016	 	2016	 	2016	 	2016	 	2015	
Total shareholders' equity		$23,618		 		$24,449		 		$24,464		 		$24,053		 		$23,437		
Goodwill, net of deferred taxes of $251 million, $248 million, $246 million, $243 million, and $240 million, respectively	(6,086	)	 	(6,089	)	 	(6,091	)	 	(6,094	)	 	(6,097	)	
Other intangible assets (including MSRs and other servicing rights), net of deferred taxes of $1 million, $2 million, $2 million, $3 million, and $3 million, respectively	(1,656	)	 	(1,129	)	 	(1,073	)	 	(1,195	)	 	(1,322	)	
MSRs and other servicing rights	1,638		 	1,124		 	1,067		 	1,189		 	1,316		
Tangible equity 2	17,514		 	18,355		 	18,367		 	17,953		 	17,334		
Noncontrolling interest	(103	)	 	(101	)	 	(103	)	 	(101	)	 	(108	)	
Preferred stock	(1,225	)	 	(1,225	)	 	(1,225	)	 	(1,225	)	 	(1,225	)	
Tangible common equity 2		$16,186		 		$17,029		 		$17,039		 		$16,627		 		$16,001		
 	 	 	 	 	 	 	 	 	 	
Total assets		$204,875		 		$205,091		 		$198,892		 		$194,158		 		$190,817		
Goodwill	(6,337	)	 	(6,337	)	 	(6,337	)	 	(6,337	)	 	(6,337	)	
Other intangible assets (including MSRs and other servicing rights)	(1,657	)	 	(1,131	)	 	(1,075	)	 	(1,198	)	 	(1,325	)	
MSRs and other servicing rights	1,638		 	1,124		 	1,067		 	1,189		 	1,316		
Tangible assets		$198,519		 		$198,747		 		$192,547		 		$187,812		 		$184,471		
Tangible equity to tangible assets 2	8.82	%	 	9.24	%	 	9.53	%	 	9.56	%	 	9.40	%	
Tangible common equity to tangible assets 2	8.15			8.57			8.85			8.85			8.67		
Tangible book value per common share 3		$32.95		 		$34.34		 		$33.98		 		$32.90		 		$31.45		
 	 	 	 	 	 	 	 	 	 	
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.
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.

24

	
																						
SunTrust Banks, Inc. and Subsidiaries
CONSUMER BANKING AND PRIVATE WEALTH MANAGEMENT	
 	Three Months Ended December 31	 	 	 	Twelve Months Ended December 3 1	 	 	
(Dollars in millions) (Unaudited)	2016	 	2015	 	% Change 5	 	2016	 	2015	 	% Change	
Statements of Income:	 	 	 	 	 	 	 	 	 	 	 	
Net interest income		$734		 		$701		 	5	 %	 		$2,857		 		$2,728		 	5	 %	
FTE adjustment	—		 	—		 	—		 	—		 	1		 	(100	)	
Net interest income-FTE 1	734		 	701		 	5		 	2,857		 	2,729		 	5		
Provision for credit losses  2	78		 	36		 	NM		 	185		 	137		 	35		
Net interest income-FTE - after provision for credit losses 1	656		 	665		 	(1	)	 	2,672		 	2,592		 	3		
Noninterest income before net securities gains	364		 	372		 	(2	)	 	1,472		 	1,507		 	(2	)	
Net securities gains	—		 	—		 	—		 	—		 	—		 	—		
Total noninterest income	364		 	372		 	(2	)	 	1,472		 	1,507		 	(2	)	
Noninterest expense before amortization	763		 	742		 	3		 	3,054		 	2,934		 	4		
Amortization	1		 	1		 	—		 	2		 	5		 	(60	)	
Total noninterest expense	764		 	743		 	3		 	3,056		 	2,939		 	4		
Income-FTE - before provision for income taxes 1	256		 	294		 	(13	)	 	1,088		 	1,160		 	(6	)	
Provision for income taxes	94		 	108		 	(13	)	 	404		 	430		 	(6	)	
FTE adjustment	—		 	—		 	—		 	—		 	1		 	(100	)	
Net income including income attributable to noncontrolling interest	162		 	186		 	(13	)	 	684		 	729		 	(6	)	
Less: net income attributable to noncontrolling interest	—		 	—		 	—		 	—		 	—		 	—		
Net income		$162		 		$186		 	(13	)	 		$684		 		$729		 	(6	)	
 	 	 	 	 	 	 	 	 	 	 	 	
Total revenue		$1,098		 		$1,073		 	2		 		$4,329		 		$4,235		 	2		
Total revenue-FTE 1	1,098		 	1,073		 	2		 	4,329		 	4,236		 	2		
Selected Average Balances:	 	 	 	 	 	 	 	 	 	 	 	
Total loans		$43,379		 		$40,834		 	6	 %	 		$42,723		 		$40,614		 	5	 %	
Goodwill	4,262		 	4,262		 	—		 	4,262		 	4,262		 	—		
Other intangible assets excluding MSRs	11		 	18		 	(39	)	 	13		 	16		 	(19	)	
Total assets	49,079		 	46,515		 	6		 	48,415		 	46,513		 	4		
Consumer and commercial deposits	97,340		 	91,643		 	6		 	95,875		 	91,104		 	5		
Performance Ratios:	 	 	 	 	 	 	 	 	 	 	 	
Efficiency ratio	69.49	 %	 	69.24	 %	 	 	 	70.59	 %	 	69.40	 %	 	 	
Impact of FTE adjustment	—		 	—		 	 	 	—		 	—		 	 	
Efficiency ratio-FTE 1	69.49		 	69.24		 	 	 	70.59		 	69.40		 	 	
Impact of excluding amortization and associated funding cost of intangible assets	(1.41	)	 	(1.53	)	 	 	 	(1.46	)	 	(1.58	)	 	 	
Tangible efficiency ratio-FTE 1, 3	68.08	 %	 	67.71	 %	 	 	 	69.13	 %	 	67.82	 %	 	 	
Other Information (End of Period) 4 :	 	 	 	 	 	 	 	 	 	 	 	
Trust and institutional managed assets	 	 	 	 	 	 		$40,370		 		$42,205		 	(4	)%	
Retail brokerage managed assets	 	 	 	 	 	 	12,872		 	10,545		 	22		
Total managed assets	 	 	 	 	 	 	53,242		 	52,750		 	1		
Non-managed assets	 	 	 	 	 	 	91,980		 	91,046		 	1		
Total assets under advisement	 	 	 	 	 	 		$145,222		 		$143,796		 	1		

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. 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.	
		
2  	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.	
		
3  	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.	
		
4  	Beginning in the first quarter of 2016, the Company implemented a new policy for the classification and disclosure of assets under advisement. The primary change was related to the reclassification of brokerage assets into managed and non-managed assets. Prior period amounts were restated for comparative purposes.	
5 “NM” - Not meaningful. Those changes over 100 percent were not considered to be meaningful.

25

	
																						
SunTrust Banks, Inc. and Subsidiaries
WHOLESALE BANKING	
 	Three Months Ended December 31	 	 	 	Twelve Months Ended December 3 1	 	 	
(Dollars in millions) (Unaudited)	2016		2015	 	% Change 4	 	2016	 	2015	 	% Change	
Statements of Income:				 	 	 		 		 	 	
Net interest income		$487				$453		 	8	 %	 		$1,849		 		$1,781		 	4	 %	
FTE adjustment	33			34		 	(3	)	 	136		 	138		 	(1	)	
Net interest income-FTE 1	520			487		 	7		 	1,985		 	1,919		 	3		
Provision for credit losses 2	19			64		 	(70	)	 	272		 	137		 	99		
Net interest income-FTE - after provision for credit losses 1	501			423		 	18		 	1,713		 	1,782		 	(4	)	
Noninterest income before net securities gains	327			265		 	23		 	1,234		 	1,180		 	5		
Net securities gains	—			—		 	—		 	—		 	—		 	—		
Total noninterest income	327			265		 	23		 	1,234		 	1,180		 	5		
Noninterest expense before amortization	425			368		 	15		 	1,646		 	1,516		 	9		
Amortization	14			17		 	(18	)	 	47		 	35		 	34		
Total noninterest expense	439			385		 	14		 	1,693		 	1,551		 	9		
Income-FTE - before provision for income taxes 1	389			303		 	28		 	1,254		 	1,411		 	(11	)	
Provision for income taxes	90			54		 	67		 	251		 	321		 	(22	)	
FTE adjustment	33			34		 	(3	)	 	136		 	138		 	(1	)	
Net income including income attributable to noncontrolling interest	266			215		 	24		 	867		 	952		 	(9	)	
Less: net income attributable to noncontrolling interest	—			—		 	—		 	—		 	—		 	—		
Net income		$266				$215		 	24		 		$867		 		$952		 	(9	)	
 	 	 	 	 	 	 	 	 	 	 	 	
Total revenue		$814		 		$718		 	13		 		$3,083		 		$2,961		 	4		
Total revenue-FTE 1	847			752		 	13		 	3,219		 	3,099		 	4		
Selected Average Balances:	 	 	 	 	 	 	 	 	 	 	 	
Total loans		$71,924				$68,785		 	5	 %	 		$71,605		 		$67,872		 	6	 %	
Goodwill	2,075			2,075		 	—		 	2,075		 	2,075		 	—		
Other intangible assets excluding MSRs	15			1		 	NM		 	5		 	—		 	NM		
Total assets	85,848			81,454		 	5		 	85,513		 	80,915		 	6		
Consumer and commercial deposits	57,445			54,059		 	6		 	55,293		 	50,379		 	10		
Performance Ratios:	 	 	 	 	 	 	 	 	 	 	 	
Efficiency ratio	53.93	 %	 	53.62	 %	 	 	 	54.91	 %	 	52.38	 %	 	 	
Impact of FTE adjustment	(1.99	)	 	(2.42	)	 	 	 	(2.28	)	 	(2.36	)	 	 	
Efficiency ratio-FTE 1	51.94		 	51.20		 	 	 	52.63		 	50.02		 	 	
Impact of excluding amortization and associated funding cost of intangible assets	(2.25	)	 	(2.92	)	 	 	 	(2.13	)	 	(1.82	)	 	 	
Tangible efficiency ratio-FTE 1, 3	49.69	 %	 	48.28	 %	 	 	 	50.50	 %	 	48.20	 %	 	 	

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. 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.	
		
2  	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.	
		
3  	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.	
4 “NM” - Not meaningful. Those changes over 100 percent were not considered to be meaningful.

26

	
																						
SunTrust Banks, Inc. and Subsidiaries
MORTGAGE BANKING	
 	Three Months Ended December 31	 	 	 	Twelve Months Ended December 3 1	 	 	
(Dollars in millions) (Unaudited)	2016		2015	 	% Change 4	 	2016	 	2015	 	% Change	
Statements of Income:				 	 	 	 	 	 	 	 	
Net interest income		$113				$116		 	(3	)%	 		$448		 		$483		 	(7	)%	
FTE adjustment	—			—		 	—		 	—		 	—		 	—		
Net interest income-FTE 1	113			116		 	(3	)	 	448		 	483		 	(7	)	
Provision/(benefit) for credit losses 2	4			(49	)	 	NM		 	(13	)	 	(110	)	 	(88	)	
Net interest income-FTE - after provision/(benefit) for credit losses 1	109			165		 	(34	)	 	461		 	593		 	(22	)	
Noninterest income before net securities gains	102			114		 	(11	)	 	559		 	460		 	22		
Net securities gains	—			—		 	—		 	—		 	—		 	—		
Total noninterest income	102			114		 	(11	)	 	559		 	460		 	22		
Noninterest expense before amortization	185			171		 	8		 	732		 	681		 	7		
Amortization	—			—		 	—		 	—		 	—		 	—		
Total noninterest expense	185			171		 	8		 	732		 	681		 	7		
Income-FTE - before provision for income taxes 1	26			108		 	(76	)	 	288		 	372		 	(23	)	
Provision for income taxes	6			40		 	(85	)	 	105		 	85		 	24		
FTE adjustment	—			—		 	—		 	—		 	—		 	—		
Net income including income attributable to noncontrolling interest	20			68		 	(71	)	 	183		 	287		 	(36	)	
Less: net income attributable to noncontrolling interest	—			—		 	—		 	—		 	—		 	—		
Net income		$20				$68		 	(71	)	 		$183		 		$287		 	(36	)	
 	 	 	 	 	 	 	 	 	 	 	 	
Total revenue		$215		 		$230		 	(7	)	 		$1,007		 		$943		 	7		
Total revenue-FTE 1	215			230		 	(7	)	 	1,007		 	943		 	7		
Selected Average Balances:	 	 	 	 	 	 	 	 	 	 	 	
Total loans		$27,211				$25,549		 	7	 %	 		$26,726		 		$25,024		 	7	 %	
Goodwill	—			—		 	—		 	—		 	—		 	—		
Other intangible assets excluding MSRs	—			—		 	—		 	—		 	—		 	—		
Total assets	32,245			28,979		 	11		 	30,697		 	28,692		 	7		
Consumer and commercial deposits	3,186			2,457		 	30		 	2,969		 	2,679		 	11		
Performance Ratios:	 	 	 	 	 	 	 	 	 	 	 	
Efficiency ratio	85.98	%	 	74.40	%	 	 	 	72.71	%	 	72.20	%	 	 	
Impact of FTE adjustment	—		 	—		 	 	 	—		 	—		 	 	
Efficiency ratio-FTE 1	85.98		 	74.40		 	 	 	72.71		 	72.20		 	 	
Impact of excluding amortization and associated funding cost of intangible assets	—		 	—		 	 	 	—		 	—		 	 	
Tangible efficiency ratio-FTE 1, 3	85.98	%	 	74.40	%	 	 	 	72.71	%	 	72.20	%	 	 	
Production Data:	 	 	 	 	 	 	 	 	 	 	 	
Channel mix	 	 	 	 	 	 	 	 	 	 	 	
Retail		$3,368		 		$2,324		 	45	 %	 		$12,409		 		$10,414		 	19	 %	
Correspondent	5,297		 	2,632		 	NM		 	16,950		 	12,318		 	38		
Total production		$8,665		 		$4,956		 	75		 		$29,359		 		$22,732		 	29		
Channel mix - percent	 	 	 	 	 	 	 	 	 	 	 	
Retail	39	%	 	47	%	 	 	 	42	%	 	46	%	 	 	
Correspondent	61		 	53		 	 	 	58		 	54		 	 	
Total production	100	%	 	100	%	 	 	 	100	%	 	100	%	 	 	
Purchase and refinance mix	 	 	 	 	 	 	 	 	 	 	 	
Refinance		$4,985		 		$2,364		 	NM		 		$15,147		 		$10,827		 	40		
Purchase	3,680		 	2,592		 	42		 	14,212		 	11,905		 	19		
Total production		$8,665		 		$4,956		 	75		 		$29,359		 		$22,732		 	29		
Purchase and refinance mix - percent	 	 	 	 	 	 	 	 	 	 	 	
Refinance	58	%	 	48	%	 	 	 	52	%	 	48	%	 	 	
Purchase	42		 	52		 	 	 	48		 	52		 	 	
Total production	100	%	 	100	%	 	 	 	100	%	 	100	%	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	
Applications		$8,264		 		$6,704		 	23		 		$40,559		 		$33,006		 	23		
Mortgage Servicing Data (End of Period):	 	 	 	 	 	 	 	 	 	 	 	
Total loans serviced	 	 	 	 	 	 		$160,175				$148,232		 	8	 %	
Total loans serviced for others	 	 	 	 	 	 	129,626			120,963		 	7		
Net carrying value of MSRs	 	 	 	 	 	 	1,572		 	1,307		 	20		
Ratio of net carrying value of MSRs to total loans serviced for others	 	 	 	 	 	1.213	%	 	1.080	%	 	 	
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. 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.
2 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.
3 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.
4 “NM” - Not meaningful. Those changes over 100 percent were not considered to be meaningful.

27

	
																						
SunTrust Banks, Inc. and Subsidiaries
CORPORATE OTHER	
 	Three Months Ended December 31	 	 	 	Twelve Months Ended December 3 1	 	 	
(Dollars in millions) (Unaudited)	2016		2015	 	% Change 4	 	2016	 	2015	 	% Change 4	
Statements of Income:				 	 	 	 	 	 	 	 	
Net interest income/(expense) 1		$9				($24	)	 	NM		 		$67		 		($228	)	 	NM		
FTE adjustment	1			1		 	—		 	2		 	3		 	(33	)	
Net interest income/(expense)-FTE 2	10			(23	)	 	NM		 	69		 	(225	)	 	NM		
Provision for credit losses 3	—			—		 	—		 	—		 	1		 	(100	)	
Net interest income/(expense)-FTE - after provision for credit losses 2	10			(23	)	 	NM		 	69		 	(226	)	 	NM		
Noninterest income before net securities gains	22			14		 	57		 	114		 	100		 	14		
Net securities gains	—			—		 	—		 	4		 	21		 	(81	)	
Total noninterest income	22			14		 	57		 	118		 	121		 	(2	)	
Noninterest expense before amortization	10			(10	)	 	NM		 	(13	)	 	(11	)	 	18		
Amortization	(1	)		(1	)	 	—		 	—		 	—		 	—		
Total noninterest expense	9			(11	)	 	NM		 	(13	)	 	(11	)	 	18		
Income/(loss)-FTE - before provision/(benefit) for income taxes 2	23			2		 	NM		 	200		 	(94	)	 	NM		
Provision/(benefit) for income taxes	3			(17	)	 	NM		 	45		 	(72	)	 	NM		
FTE adjustment	1			1		 	—		 	2		 	3		 	(33	)	
Net income/(loss) including income attributable to noncontrolling interest	19			18		 	6		 	153		 	(25	)	 	NM		
Less: net income attributable to noncontrolling interest	2			3		 	(33	)	 	9		 	10		 	(10	)	
Net income/(loss)		$17				$15		 	13		 		$144		 		($35	)	 	NM		
 	 	 	 	 	 	 	 	 	 	 	 	
Total revenue		$31		 		($10	)	 	NM		 		$185		 		($107	)	 	NM		
Total revenue-FTE 2	32			(9	)	 	NM		 	187		 	(104	)	 	NM		
 	 	 	 	 	 	 	 	 	 	 	 	
Selected Average Balances:	 	 	 	 	 	 	 	 	 	 	 	
Total loans		$64				$46		 	39	 %	 		$64		 		$48		 	33	 %	
Securities available for sale	29,549			26,942		 	10		 	28,365		 	26,456		 	7		
Goodwill	—			—		 	—		 	—		 	—		 	—		
Other intangible assets excluding MSRs	—			—		 	—		 	—		 	1		 	(100	)	
Total assets	35,974			32,708		 	10		 	34,379		 	32,772		 	5		
Consumer and commercial deposits	25			4		 	NM		 	52		 	40		 	30		
 	 	 	 	 	 	 	 	 	 	 	 	
Other Information (End of Period):	 	 	 	 	 	 	 	 	 	 	 	
Duration of investment portfolio (in years)	 	 	 	 	 	 	4.6		 	4.5		 	 	
Net interest income interest rate sensitivity:	 	 	 	 	 	 	 	 	 	 	 	
% Change in net interest income under:	 	 	 	 	 	 	 	 	 	 	 	
Instantaneous 200 basis point increase in rates over next 12 months	 	 	 	 	 	3.3	 %	 	5.7	 %	 	 	
Instantaneous 100 basis point increase in rates over next 12 months	 	 	 	 	 	1.9	 %	 	3.0	 %	 	 	
Instantaneous 25 basis point decrease in rates over next 12 months	 	 	 	 	 	(0.6	)%	 	(1.2	)%	 	 	

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-FTE, income-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 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 commitments reserve balances.	
4 “NM” - Not meaningful. Those changes over 100 percent were not considered to be meaningful.

28

SunTrust Banks, Inc. and Subsidiaries
CONSOLIDATED SEGMENT TOTALS

																						
 	Three Months Ended December 31	 	 	 	Twelve Months Ended December 3 1	 	 	
(Dollars in millions) (Unaudited)	2016	 	2015	 	% Change	 	2016	 	2015	 	% Change 2	
Statements of Income:	 	 	 	 	 	 	 	 	 	 	 	
Net interest income		$1,343		 		$1,246		 	8	 %	 		$5,221		 		$4,764		 	10	 %	
FTE adjustment	34		 	35		 	(3	)	 	138		 	142		 	(3	)	
Net interest income-FTE 1	1,377		 	1,281		 	7		 	5,359		 	4,906		 	9		
Provision for credit losses	101		 	51		 	98		 	444		 	165		 	NM		
Net interest income-FTE - after provision for credit losses 1	1,276		 	1,230		 	4		 	4,915		 	4,741		 	4		
Noninterest income before net securities gains	815		 	765		 	7		 	3,379		 	3,247		 	4		
Net securities gains	—		 	—		 	—		 	4		 	21		 	(81	)	
Total noninterest income	815		 	765		 	7		 	3,383		 	3,268		 	4		
Noninterest expense before amortization	1,383		 	1,271		 	9		 	5,419		 	5,120		 	6		
Amortization	14		 	17		 	(18	)	 	49		 	40		 	23		
Total noninterest expense	1,397		 	1,288		 	8		 	5,468		 	5,160		 	6		
Income-FTE - before provision for income taxes 1	694		 	707		 	(2	)	 	2,830		 	2,849		 	(1	)	
Provision for income taxes	193		 	185		 	4		 	805		 	764		 	5		
FTE adjustment	34		 	35		 	(3	)	 	138		 	142		 	(3	)	
Net income including income attributable to noncontrolling interest	467		 	487		 	(4	)	 	1,887		 	1,943		 	(3	)	
Less: net income attributable to noncontrolling interest	2		 	3		 	(33	)	 	9		 	10		 	(10	)	
Net income		$465		 		$484		 	(4	)	 		$1,878		 		$1,933		 	(3	)	
 	 	 	 	 	 	 	 	 	 	 	 	
Total revenue		$2,158		 		$2,011		 	7		 		$8,604		 		$8,032		 	7		
Total revenue-FTE 1	2,192		 	2,046		 	7		 	8,742		 	8,174		 	7		
 	 	 	 	 	 	 	 	 	 	 	 	
Selected Average Balances:	 	 	 	 	 	 	 	 	 	 	 	
Total loans		$142,578		 		$135,214		 	5	 %	 		$141,118		 		$133,558		 	6	 %	
Goodwill	6,337		 	6,337		 	—		 	6,337		 	6,337		 	—		
Other intangible assets excluding MSRs	26		 	19		 	37		 	18		 	17		 	6		
Total assets	203,146		 	189,656		 	7		 	199,004		 	188,892		 	5		
Consumer and commercial deposits	157,996		 	148,163		 	7		 	154,189		 	144,202		 	7		
 	 	 	 	 	 	 	 	 	 	 	 	
Performance Ratios:	 	 	 	 	 	 	 	 	 	 	 	
Efficiency ratio	64.74	 %	 	64.05	 %	 	 	 	63.55	 %	 	64.24	 %	 	 	
Impact of FTE adjustment	(1.01	)	 	(1.09	)	 	 	 	(1.00	)	 	(1.11	)	 	 	
Efficiency ratio-FTE 1	63.73		 	62.96		 	 	 	62.55		 	63.13		 	 	
Impact of excluding amortization and associated funding cost of intangible assets	(0.65	)	 	(0.85	)	 	 	 	(0.56	)	 	(0.49	)	 	 	
Tangible efficiency ratio-FTE 1	63.08	 %	 	62.11	 %	 	 	 	61.99	 %	 	62.64	 %	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	
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.

29

© 2016 SunTrust Banks, Inc. SunTrust is a federally registered trademark of SunTrust Banks, Inc. 4Q 16 EARNINGS PRESENTATION January 20, 2017 

 

2 This presentation should be read in conjunction with the financial statements, notes and other information contained in the Company’s forthcoming 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 24. 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 a federal tax rate of 35% and 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 common equity, the ratio of tangible common equity to tangible assets, and tangible book value per share. 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 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 of the Company. • Similarly, the Company presents an efficiency ratio-FTE and a 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. The 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. This measure is also 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. The fully phased-in ratio consider a 250% risk-weighting for MSRs and deduction from capital of certain carryforward DTAs, the overfunded pension asset, and other intangible assets. The Company believes this measure may be useful to investors who wish to understand the Company's current compliance with future regulatory requirements. This measure is used by management to analyze capital adequacy of the Company. Important Cautionary Statement about Forward-Looking Statements This presentation contains forward-looking statements. Statements regarding future levels of the net interest margin, personnel expense, efficiency ratio, occupancy costs, branches, net charge-offs, loan loss provision expense, ALLL ratio, mortgage production income, mortgage servicing income, the size of the securities portfolio, capital return, and Pillar Financial’s future contribution to revenue, ROA, ROE, and net income 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,” “targets,” “initiatives,” “opportunity,” “potentially,” “probably,” “projects,” “outlook” or similar expressions or future conditional verbs such as “may,” “will,” “should,” “would,” and “could"; such statements are based upon the current beliefs and expectations of management and on information currently available to management. Such statements speak as of the date hereof, and we do not assume any obligation to update the statements made herein 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, 2015 and in other periodic reports that we file with the SEC. Those factors include: current and future legislation and 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 increased capital adequacy and liquidity requirements and our failure to meet these would adversely affect our financial condition; the fiscal and monetary 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 and other businesses and our financial results and condition; changes in market interest rates or capital markets could adversely affect our revenue and expenses, the value of assets and obligations, and the availability and cost of capital and liquidity; our earnings may be affected by volatility in mortgage production and servicing revenues, and by changes in carrying values of our MSRs and mortgages held for sale due to changes in interest rates; disruptions in our ability to access global capital markets 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; 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 certain risks as a servicer of loans; we are subject to risks related to delays in the foreclosure process; clients could pursue alternatives to bank deposits, causing us to lose a relatively inexpensive source of funding; consumers and small businesses may decide not to use banks to complete their financial transactions, which could affect net income; 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 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; maintaining or increasing market share depends on market acceptance and regulatory approval of new products and services; our ability to receive dividends from our subsidiaries or other investments could affect our liquidity and ability to pay dividends; any reduction in our credit rating could increase the cost of our funding from the capital markets; 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 turnover, 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; a failure in or breach of our operational or security systems or infrastructure, or those of our third party vendors and other service providers, including as a result of cyber-attacks, could disrupt our businesses, result in the disclosure or misuse of confidential or proprietary information, damage our reputation, increase our costs and cause losses; 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 some portion of our goodwill; our financial instruments measured at fair value expose us to certain market risks; our stock price can be volatile; we might not pay dividends on our stock; and certain banking laws and certain provisions of our articles of incorporation may have an anti-takeover effect. IMPORTANT CAUTIONARY STATEMENT 

 

3 1. 2015 included $0.17 related to discrete benefits, excluding these benefits, adjusted EPS was $3.41. 2016 included $0.05 related to discrete benefits, excluding these benefits, adjusted EPS was $3.55 2. FY 2016 GAAP efficiency ratio is 62.6%. Please refer to slide 24 of the appendix for the GAAP reconciliations 3. Basel III CET1 ratio (transitional) is 9.6%. Please refer to slide 25 of the appendix for Basel III CET1 (transitional) to Basel III CET1 (fully phased-In) reconciliation 4Q 16 EARNINGS OVERVIEW Prior Quarter Variance • EPS decreased $0.01 → Higher net interest income offset by lower noninterest income (primarily mortgage-related) Prior Year Variance • EPS decreased $0.01 → Prior year quarter (4Q 15) included $0.03 of discrete tax benefits → Strategic investments resulted in 7% revenue growth, partially offset by increased provision expense Full Year Variance • EPS increased $0.02 → When adjusting for non-core benefits in each year ($0.17 in 2015 and $0.05 in 2016), EPS increased $0.14, or 4%1 → Driven by strong revenue growth and higher capital return, partially offset by a higher provision expense and higher noninterest expense EPS Trends Profitability • $35 million increase in net interest income driven by 4 bp increase in NIM and 1% earning asset growth → Offset by $64 million decline in mortgage-related income • FY 2016 tangible efficiency ratio2 improved 65 bps relative to FY 2015 → Making further progress towards medium-term goal of <60% Balance Sheet • Strong deposit and earning asset growth → Average client deposits increased $2.7 billion → Average earning assets increased $2.0 billion Credit & Capital • Asset quality remains strong and within guidance → NCO ratio increased 3 bps to 0.38% o FY 2016 NCO ratio of 34 bps → NPL ratio decreased 8 bps to 0.59% → Provision expense stable • 9.5% Basel III CET1 ratio (fully phased- in)3 Key Highlights All changes reflect sequential (3Q 16 to 4Q 16) trends, unless otherwise noted $0.91 $0.84 $0.94 $0.91 $0.90 4Q 15 1Q 16 2Q 16 3Q 16 4Q 16 2015 2016 $3.58 $3.60 

 

4 $1,246 $1,282 $1,288 $1,308 $1,343 $1,281 $1,318 $1,323 $1,342 $1,377 2.98% 3.04% 2.99% 2.96% 3.00% 4Q 15 1Q 16 2Q 16 3Q 16 4Q 16 Net Interest Income Net Interest Income (FTE) NIM (FTE) NET INTEREST INCOME1 Net interest income bolstered by NIM expansion and continued balance sheet growth ($ in millions) Prior Quarter Variance • Net interest margin (FTE) increased 4 bps → Driven by higher loan yields resulting from the increase in short-term rates → Steeper yield curve also benefitted securities portfolio • Net interest income (FTE) increased $35 million, or 3%, as a result of NIM improvement and continued balance sheet growth Prior Year Variance • Net interest margin (FTE) increased 2 bps, driven by: → Higher loan yields resulting from the increases in short-term rates → Continued positive mix shift in the portfolio; average loan yields up 13 bps → Partially offset by higher funding costs and spread compression • Net interest income (FTE) increased $96 million, or 7%, driven by the same factors impacting the sequential increase 1. On this slide, net interest income is reported 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 is calculated as net interest income (FTE) divided by average earning assets (on an annualized basis) 2. Please refer to slide 24 for a reconciliation of net interest income to net interest income (FTE) 2 

 

5 Ongoing, strategic investments and continued focus on deepening client relationships drives 7% YoY increase in noninterest income NONINTEREST INCOME ($ in millions) Prior Quarter Variance • Noninterest income decreased $74 million, or 8%, as a result of: → $64 million decrease in mortgage-related income due to higher, and more volatile, interest rates, which negatively impacted both production and servicing o Servicing income should normalize in 1Q 17 → $32 million decrease in capital markets-related income, given the record quarter in 3Q 16 → Partially offset by $41 million increase in other income as a result of discrete client-driven transactions in 4Q 16 and certain impairments in 3Q 16 Prior Year Variance • Noninterest income increased $50 million, or 7% → Driven primarily by growth in capital markets and mortgage production o 2016 marks the 9th consecutive year of record investment banking income, up 7% compared to 2015 o Market share gains in mortgage origination continue, up 10 bps compared to 20151 $765 $781 $898 $889 $815 4Q 15 1Q 16 2Q 16 3Q 16 4Q 16 1. Source: Inside Mortgage Finance. Represents change from FY 2015 relative to the 9 months ended September 30, 2016 

 

6 NONINTEREST EXPENSE Prior Quarter Variance • Noninterest expense down 1% → Lower compensation costs, outside processing, and operating losses partially offset by higher marketing costs and other noninterest expense Prior Year Variance • Noninterest expense increased 8% → Driven by growth related to ongoing, strategic investments, improved business performance, investments in technology, and increased regulatory and compliance costs ($ in millions) $1,288 $1,318 $1,345 $1,409 $1,397 4Q 15 1Q 16 2Q 16 3Q 16 4Q 16 

 

7 71.7% 68.9% 65.3% 62.9% 62.6% 62.0% 61%- 62% <60% 72.3% 69.4% 65.5% 63.2% 63.1% 62.6% 2011 2012 2013 2014 2015 2016 2017 Achieved 2016 goal by delivering 65 bps YoY improvement; committed to further progress 1. The efficiency ratio and tangible efficiency ratios 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 2. 2011, 2012, 2013, and 2014 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 24 of the appendix for reconciliations related to the efficiency ratio. Note: Publicly stated goal refers to tangible efficiency ratio 62.1% 62.3% 60.1% 62.5% 63.1% 63.0% 62.8% 60.6% 63.1% 63.7% 4Q 15 1Q 16 2Q 16 3Q 16 4Q 16 Medium -Term Target (2019) EFFICIENCY RATIO & TANGIBLE EFFICIENCY RATIO1 Efficiency Ratio Tangible Efficiency Ratio 2 2 2 2 

 

8 $1,752 $1,770 $1,774 $1,743 $1,709 1.29% 1.27% 1.25% 1.23% 1.19% 4Q 15 1Q 16 2Q 16 3Q 16 4Q 16 ALLL ALLL Ratio $51 $101 $146 $97 $101 4Q 15 1Q 16 2Q 16 3Q 16 4Q 16 CREDIT QUALITY  ALLL declined due to resolution of problem energy credits Overall asset quality remains stable and strong; NPLs improve ($ in millions)  NPLs decline, driven by the resolution of problem energy credits  Full year NCO ratio of 34 bps Nonperforming Loans Net Charge-offs Provision for Credit Losses Allowance for Loan and Lease Losses $79 $71 $67 $93 $96 $4 $14 $70 $33 $40 0.24% 0.25% 0.39% 0.35% 0.38% 4Q 15 1Q 16 2Q 16 3Q 16 4Q 16 NCOs (ex-energy) Energy NCOs Total NCO Ratio (annualized) $498 $555 $590 $612 $615 $174 $420 $354 $337 $230 0.49% 0.70% 0.67% 0.67% 0.59% 4Q 15 1Q 16 2Q 16 3Q 16 4Q 16 NPLs (ex-energy) Energy NPLs Total NPL Ratio $83 $85 $137 $136 $126 $672 $975 $944 $845 $949 

 

9 LOANS Average performing loans stable sequentially, up 5% YoY ($ in billions, average balances) 1. Includes consumer other direct, consumer student-guaranteed, and consumer credit cards Note: Totals may not foot due to rounding Prior Quarter Variance • Average performing loans up slightly (muted by $1 billion auto loan sale in September) • Period-end loans up $1.8 billion, or 1% → Growth concentrated in consumer lending (+5%) and C&I (+1%) Prior Year Variance • Average performing loans increased $7.0 billion, or 5% • Targeted investments drive $3.7 billion increase in consumer lending → Consumer direct1 up $3.2 billion (+27%) • Commercial loans up $3.0 billion, or 4%, driven by growth of C&I and commercial construction $74.4 $76.4 $77.6 $77.1 $77.4 $38.5 $38.6 $38.8 $39.0 $38.8 $21.8 $22.7 $23.9 $25.2 $25.5 $134.7 $137.6 $140.3 $141.3 $141.7 4Q 15 1Q 16 2Q 16 3Q 16 4Q 16 Commercial Residential Consumer 

 

10 DEPOSITS Deposit growth momentum continues in 4Q; average client deposits up 2% QoQ and 7% YoY ($ in billions, average balances) Prior Quarter Variance • Average client deposits increased $2.7 billion, or 2%, as a result of growth in NOW and DDA accounts • Period-end balances up 1% Prior Year Variance • Average client deposit balances up 7% • Deposit growth driven by continued success in expanding and deepening client relationships → CPWM average deposits up $5.7 billion, or 6% → Wholesale Banking average deposits up $3.4 billion, or 6% $52.3 $53.1 $53.2 $54.5 $54.4 $42.6 $42.1 $43.0 $43.6 $44.8 $37.3 $38.0 $41.7 $41.2 $42.9 $9.9 $9.9 $9.9 $9.7 $9.6 $6.1 $6.2 $6.4 $6.3 $6.3 $148.2 $149.2 $154.2 $155.3 $158.0 4Q 15 1Q 16 2Q 16 3Q 16 4Q 16 Money Market DDA (Nonint bearing) NOW Time Savings 

 

11 $43.45 $44.97 $46.14 $46.63 $45.38 $31.45 $32.90 $33.98 $34.34 $32.95 4Q 15 1Q 16 2Q 16 3Q 16 4Q 16 Book Value Per Share Tangible Book Value Per Share CAPITAL POSITION Book value and tangible book value per share3 up 4% and 5% YoY, respectively ($ in billions, except per-share data) Total Equity & Tangible Common Equity Ratios2 Basel III Common Equity Tier 1 (fully phased-in)1 Book Value / Tangible Book Value Per Share3 1. Current quarter amounts are estimated at the time of the earnings release and subject to revision. Please refer to slide 25 of the appendix for additional details on the current quarter’s calculation 2. Please refer to slide 26 of the appendix for a reconcilement of total equity to tangible common equity and total assets to tangible assets 3. Please refer to slide 26 of the appendix for a reconcilement of book value per share to tangible book value per share 12.4% 12.3% 12.1% 12.1% 11.8% 8.7% 8.9% 8.8% 8.6% 8.2% 4Q 15 1Q 16 2Q 16 3Q 16 4Q 16 Avg. Equity/Avg. Assets Tangible Common Equity/Tangible Assets $16.4 $16.5 $16.7 $16.8 $16.9 10.0% 9.9% 9.8% 9.8% 9.6% 9.8% 9.8% 9.7% 9.7% 9.5% 0 0 0 0 0 0 0 4Q 15 1Q 16 2Q 16 3Q 16 4Q 16 Basel III CET1 ratio Basel III fully phased-in CET1 ratio 

 

12 ($ in millions) 4Q 15 3Q 16 4Q 16 FY 15 FY 16 % Chg Prior Yr Net Interest Income (FTE) $701 $721 $734 $2,729 $2,857 5 % Noninterest Income 372 387 364 1,507 1,472 (2)% Total Revenue (FTE) 1,073 1,108 1,098 4,236 4,329 2 % Provision for Credit Losses 36 30 78 137 185 35 % Noninterest Expense 743 790 764 2,939 3,056 4 % Net Income $186 $180 $162 $729 $684 (6)% Key Statistics ($ in billions) Total Loans (average) $40.8 $43.4 $43.4 $40.6 $42.7 5 % Client Deposits (average) $91.6 $95.9 $97.3 $91.1 $95.9 5 % Managed Assets (EOP) $52.8 $53.4 $53.2 $52.8 $53.2 1 % Efficiency Ratio 69.2% 71.4% 69.5% 69.4% 70.6% Tangible Efficiency Ratio1 67.7% 69.9% 68.1% 67.8% 69.1% CONSUMER BANKING & PWM HIGHLIGHTS 1. Please refer to page 25 of the earnings press release for a reconciliation of efficiency ratio to tangible efficiency ratio Prior Quarter Variance Prior Year Variance Full Year Variance • Net interest income (FTE) up 2% driven by growth in deposits and improved loan spreads • Noninterest income decreased 6% driven by discrete benefits in 3Q 16 and the impact of posting order changes • Noninterest expense decreased 3% primarily driven by a renegotiated vendor agreement and lower operating losses • Net income decreased 10% largely due to a higher provision expense, as a result of lower reserve releases related to home equity • Total revenue (FTE) up 2% → Net interest income (FTE) increased $128 million, or 5%, as a result of strong loan and deposit growth and higher-return loan mix → Managed Assets up 1% due to strategic growth of retail asset management product • Increase in noninterest expense driven by investments in branch network optimization, increased investments related to revenue growth opportunities and technology, and higher operating losses • Net income decreased $45 million as a result of higher noninterest expense and provision expense • Net interest income (FTE) increased 5% due to strong loan and deposit growth • Noninterest income decreased slightly, primarily due to lower wealth management- related income and posting order changes • Net income decreased $24 million due to a higher provision expense, as a result of lower reserve releases related to home equity Solid loan, deposit, and revenue momentum 

 

13 ($ in millions) 4Q 15 3Q 16 4Q 16 FY 15 FY 16 % Chg Prior Yr Net Interest Income (FTE) $487 $494 $520 $1,919 $1,985 3 % Noninterest Income 265 320 327 1,180 1,234 5 % Total Revenue (FTE) 752 815 847 3,099 3,219 4 % Provision for Credit Losses 64 68 19 137 272 NM Noninterest Expense 385 427 439 1,551 1,693 9 % Net Income $215 $224 $266 $952 $867 (9)% Key Statistics ($ in billions) Total Loans (average) $68.9 $71.6 $71.9 $67.9 $71.6 5 % Client Deposits (average) $54.1 $55.9 $57.4 $50.4 $55.3 10 % Efficiency Ratio 51.2% 52.4% 51.9% 50.0% 52.6% Tangible Efficiency Ratio1 48.3% 50.2% 49.7% 48.2% 50.5% WHOLESALE BANKING HIGHLIGHTS 1. Please refer to page 26 of the earnings press release for a reconciliation of efficiency ratio to tangible efficiency ratio Prior Quarter Variance Prior Year Variance Full Year Variance • Net interest income (FTE) up 5% as a result of slightly higher loan spreads and strong deposit growth • Noninterest income increased 2% despite decline in capital markets-related income from record 3Q 16 level → Driven by increased client-transaction activity in Structured Real Estate and SunTrust Community Capital • Net income increased $42 million, due to a lower provision expense (energy-related) and strong revenue growth • Net interest income (FTE) increased 3% due to strong loan and deposit growth • Noninterest income increased 5%, driven largely by 7% growth in investment banking income → Broad-based growth across majority of products; amplified by success of One-Team approach • Noninterest expense increased 9%, driven by increased compensation expenses (improved business performance), investments in technology, and increased operating losses • Net income decreased $85 million as solid revenue trends (+4%) were offset by a higher provision expense (energy-related) • Noninterest income increased 23% due to growth in capital markets-related income → Investment banking income increased 17% → Trading income increased 38% • Net income increased $51 million due to strong revenue trends (+13%) and a lower provision expense (energy-related) Continued momentum drives record revenue year 

 

14 ($ in millions) 4Q 15 3Q 16 4Q 16 FY 15 FY 16 % Chg Prior Yr Net Interest Income (FTE) $116 $111 $113 $483 $448 (7)% Noninterest Income 114 167 102 460 559 22 % Total Revenue (FTE) 230 278 215 943 1,007 7 % Provision/(Benefit) for Credit Losses (49) (1) 4 (110) (13) NM Noninterest Expense 171 196 185 681 732 7 % Net Income $68 $52 $20 $287 $183 (36)% Key Statistics ($ in billions) Servicing Portfolio for Others (EOP) $121.0 $123.9 $129.6 $121.0 $129.6 7 % Production Volume $5.0 $8.5 $8.7 $22.7 $29.4 29 % Application Volume $6.7 $11.9 $8.3 $33.0 $40.6 23 % Efficiency Ratio 74.4% 70.2% 86.0% 72.2% 72.7% MORTGAGE BANKING HIGHLIGHTS 1. Source: Inside Mortgage Finance. Represents change from FY 2015 relative to the 9 months ended September 30, 2016 Prior Quarter Variance Prior Year Variance • Noninterest income declined 39% driven by lower production and servicing income as a result of increased rates → Decrease in production income due to lower refinancing activity and lower gain-on-sale margins → Servicing income decreased $24 million primarily due to lower hedge performance and increased decay expense o Servicing income should normalize in 1Q17 • Noninterest expense declined 6% due to lower operating losses Full Year Variance • Noninterest income increased 22% due to improved production and servicing income → Production income increased $96 million due to higher volumes and gain-on-sale margins o SunTrust market share increased 10 bps1 → Servicing income increased $20 million driven by improved hedge performance and portfolio acquisitions (servicing UPB up 7%) o ~$9bn UPB purchased in 4Q 16 (~$3bn transferred in 4Q, ~$6bn will transfer in 1Q) • Net income decreased $104 million due to lower reserve release and ~$50 million in after-tax discrete recoveries recognized in 2015 • Noninterest income declined as higher production income was offset by lower servicing income (increased decay expense and lower net hedge performance) • Noninterest expense increased $14 million due to staffing and volume-related expenses • Net income down $48 million due to lower servicing income, higher provision expense, and higher noninterest expense Solid market share gains in both production and servicing 

 

15 EXECUTING AGAINST OUR STRATEGIES: WELL POSITIONED FOR FUTURE SUCCESS • <60% Medium-Term (2019) Efficiency Ratio Goal – Will be achieved via revenue growth (see above) and disciplined expense management – Various strategies and initiatives underway to mitigate expense growth and improve operating leverage in 2017 and beyond – 7% net branch reduction (91 branches) to be completed by end of 2Q 17  5th consecutive year of efficiency improvements • Met 2016 goal: 65 bp reduction in tangible efficiency ratio relative to FY 2015 • Maintained focus on returns – $1 billion auto loan sale – Increased capital return Improving Efficiency & Returns • Continued opportunity to increase dividends and share buybacks • Continue to adhere to strong underwriting standards in order to drive strong CCAR performance and through-the-cycle returns • Evaluate targeted growth and acquisition opportunities  5th consecutive year of increased capital return • 15% increase in 2016 capital return – 9% increase in dividends per share – 22% increase in share repurchases • Completed acquisition of Pillar Financial Strong Capital Position Investment Thesis Medium-Term Focus & Potential Strong & Diverse Franchise; Investing in Growth • Execute Wholesale Banking strategy (add expertise, acquire and deepen client relationships via capital markets and T&PS) • Continue to grow and invest in LightStream and other consumer lending initiatives • Increase advisory-oriented bankers and deepen relationships with mass affluent households • Servicing portfolio growth will partially buffer decline in mortgage production  5th consecutive year of EPS growth • 7% revenue growth driven by: – Broad-based loan and deposit growth – Continued momentum in capital markets (9th consecutive record year for investment banking income) – Market share gains in mortgage 2016 Accomplishments1 1. Figures refer to the YoY change of FY 2015 vs. FY 2016 unless otherwise noted 

 

APPENDIX 

 

17 5-QUARTER FINANCIAL HIGHLIGHTS 1. Please refer to slide 24 of the appendix for the GAAP reconciliations 2. Please refer to slide 25 of the appendix for Common Equity Tier 1 (Basel III Transitional) to Common Equity Tier 1 (Basel III Fully Phased-In) reconciliation 3. Please refer to slide 26 of the appendix for a reconcilement to book value per share 4Q 15 1Q 16 2Q 16 3Q 16 4Q 16 2015 2016 EPS $0.91 $0.84 $0.94 $0.91 $0.90 $3.58 $3.60 Efficiency Ratio (FTE) 63.0% 62.8% 60.6% 63.1% 63.7% 63.1% 62.6% Tangible Efficiency Ratio (FTE)1 62.1% 62.3% 60.1% 62.5% 63.1% 62.6% 62.0% Net Interest Margin (FTE) 2.98% 3.04% 2.99% 2.96% 3.00% 2.91% 3.00% Return on Average Assets 1.01% 0.93% 1.00% 0.94% 0.91% 1.02% 0.94% Average Performing Loans ($ in billions) $134.7 $137.6 $140.3 $141.3 $141.7 $133.0 $140.2 Average Client Deposits ($ in billions) $148.2 $149.2 $154.2 $155.3 $158.0 $144.2 $154.2 NPL Ratio 0.49% 0.70% 0.67% 0.67% 0.59% 0.49% 0.59% NCO Ratio 0.24% 0.25% 0.39% 0.35% 0.38% 0.26% 0.34% ALLL Ratio 1.29% 1.27% 1.25% 1.23% 1.19% 1.29% 1.19% Basel III Common Equity Tier 1 Ratio (fully phased-in)2 9.8% 9.8% 9.7% 9.7% 9.5% 9.8% 9.5% Book Value Per Share $43.45 $44.97 $46.14 $46.63 $45.38 $43.45 $45.38 Tangible Book Value Per Share3 $31.45 $32.90 $33.98 $34.34 $32.95 $31.45 $32.95 Balance Sheet Credit & Capital Profitability 

 

18 Sector Exposure1 Outstandings Nonaccruals Criticized Accruing Total Criticized Downstream $1.7 $0.2 0% 28% 28% Midstream $4.0 $1.5 0% 1% 1% Upstream (E&P) $1.6 $0.4 38% 54% 92% Drilling / Oilfield Services (OFS) $1.0 $0.4 19% 35% 54% Other $0.1 $0.0 0% 77% 77% Total $8.4 $2.6 9% 18% 27% Criticized Loans ENERGY PORTFOLIO DETAILS Note: All data as of December 31, 2016. Totals may not foot due to rounding 1. Exposure includes loans outstanding and unfunded commitments Portfolio Overview ($ in billions)  Key portfolio statistics: □ E&P and OFS represent 31% of portfolio □ Energy reserves / energy loans: 5% □ Energy reserves / E&P and OFS loans: 16% □ $161 million of net charge-offs recognized since October 1, 2015 □ 79% of nonaccrual loans were current as of December 31, 2016  Strong overall collateral coverage  Immaterial second lien exposure  Robust and experienced team with more than 60 energy specialists, including on-staff petroleum reserve engineers □ Average tenure of 14+ years with SunTrust and 30+ years in risk management Commentary 1.8% of Total Loans Outstanding Total Loans: $143 billion Energy: 1.8% Other: 98.2% 

 

19 MORTGAGE SERVICING INCOME: SUPPLEMENTAL INFORMATION 1. Includes contractually specified servicing fees, late charges, interest curtailment expense, and other ancillary revenues 2. Due primarily to the receipt of monthly servicing fees and from prepayments 3. Includes both the fair value mark-to-market of the MSR asset from changes in market rates and other assumption updates, exclusive of the decay, and the impact of using derivatives to hedge the risk of changes in the fair value of the MSR asset Note: Totals may not foot due to rounding 4Q 15 1Q 16 2Q 16 3Q 16 4Q 16 Servicing Fees1 $93 $87 $92 $94 $93 ($49) ($40) ($55) ($60) ($69) Net MSR Fair Value and Hedge Activity3 $12 $16 $15 $16 $1 Mortgage Servicing Income $56 $62 $52 $49 $25 Memo: Total Loans Serviced for Others (average balance) $121,670 $120,814 $123,629 $124,729 $126,765 Annualized Servicing Fees / Average Loans Serviced for Others (bps) 30 29 30 30 29 Changes in MSR Value from Collection/Realization of Cash Flow (Decay)2 ($ in millions) 

 

20 30-89 DAY DELINQUENCIES BY LOAN CLASS 1. Excludes delinquencies on all federally guaranteed mortgages 2. Excludes delinquencies on federally guaranteed student loans 3. Excludes delinquencies on federally guaranteed mortgages and student loans from the calculation 4. 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 Memo: 30-89 Accruing Delinquencies 4Q 15 1Q 16 2Q 16 3Q 16 4Q 16 4Q 16 Loan Balance Commercial & industrial 0.09% 0.16% 0.05% 0.05% 0.05% $69,213 Commercial real estate 0.05% 0.06% 0.03% 0.04% 0.02% 4,996 Commercial construction 0.01% - - - - 4,015 Total Commercial Loans 0.08% 0.15% 0.04% 0.05% 0.05% $78,224 Residential mortgages – guaranteed - - - - - $537 Residential mortgages – nonguaranteed 0.42% 0.35% 0.31% 0.29% 0.32% 26,137 Home equity products 0.66% 0.59% 0.64% 0.63% 0.68% 11,912 Residential construction 0.70% 0.46% 0.11% 0.29% 0.64% 404 Total Residential Loans¹ 0.51% 0.43% 0.41% 0.40% 0.44% $38,990 Guaranteed student loans - - - - - $6,167 Other direct 0.39% 0.41% 0.33% 0.38% 0.43% 7,771 Indirect 1.01% 0.73% 0.79% 0.99% 1.18% 10,736 Credit cards 0.81% 0.71% 0.70% 0.77% 0.83% 1,410 Total Consumer Loans² 0.78% 0.62% 0.62% 0.74% 0.86% $26,084 Total SunTrust - excl. gov.-guaranteed delinquencies³ 0.30% 0.29% 0.23% 0.25% 0.27% $136,594 Impact of excluding gov.-guaranteed delinquencies 0.40% 0.38% 0.35% 0.39% 0.45% 6,704 Total SunTrust - incl. gov.-guaranteed delinquencies4 0.70% 0.67% 0.58% 0.64% 0.72% $143,298 

 

21 Memo: Nonperforming Loans 4Q 15 1Q 16 2Q 16 3Q 16 4Q 16 4Q 16 Loan Balance Commercial & industrial $308 $565 $491 $501 $390 $69,213 Commercial real estate 10 10 10 10 7 4,996 Commercial construction 1 2 2 2 17 4,015 Total Commercial Loans $319 $577 $503 $513 $414 $78,224 Residential mortgages – guaranteed - - - - - $537 Residential mortgages – nonguaranteed 184 198 194 183 177 26,137 Home equity products 145 180 226 235 235 11,912 Residential construction 16 12 13 11 12 404 Total Residential Loans $345 $390 $433 $429 $424 $38,990 Guaranteed student loans - - - - - $6,167 Other direct 6 5 5 5 6 7,771 Indirect 3 3 4 2 1 10,736 Credit cards - - - - - 1,410 Total Consumer Loans $9 $8 $8 $7 $7 $26,084 Total SunTrust $672 $975 $944 $949 $845 $143,298 NPLs / Total Loans 0.49% 0.70% 0.67% 0.67% 0.59% NONPERFORMING LOANS BY LOAN CLASS Note: Totals may not foot due to rounding 

 

22 NET CHARGE-OFF RATIOS BY LOAN CLASS Note: Totals may not foot due to rounding Memo: Net Charge-off Ratio (annualized) 4Q 15 1Q 16 2Q 16 3Q 16 4Q 16 4Q 16 Loan Balance Commercial & industrial 0.15 % 0.14 % 0.52 % 0.41 % 0.35 % $69,213 Commercial real estate 0.02 % (0.10)% (0.01)% 0.01 % (0.01)% 4,996 Commercial construction (0.02)% (0.04)% (0.00)% (0.01)% 0.88 % 4,015 Total Commercial Loans 0.13 % 0.12 % 0.46 % 0.37 % 0.35 % $78,224 Residential mortgages – guaranteed - - - - - $537 Residential mortgages – nonguaranteed 0.21 % 0.27 % 0.20 % 0.17 % 0.23 % 26,137 Home equity products 0.49 % 0.55 % 0.36 % 0.31 % 0.37 % 11,912 Residential construction 0.49 % 0.24 % 0.07 % 0.11 % (0.50)% 404 Total Residential Loans 0.30 % 0.36 % 0.24 % 0.21 % 0.26 % $38,990 Guaranteed student loans - - - - - $6,167 Other direct 0.53 % 0.46 % 0.45 % 0.51 % 0.61 % 7,771 Indirect 0.57 % 0.56 % 0.34 % 0.62 % 0.81 % 10,736 Credit cards 2.19 % 2.30 % 2.48 % 2.20 % 2.32 % 1,410 Total Consumer Loans 0.51 % 0.49 % 0.39 % 0.52 % 0.64 % $26,084 Total SunTrust 0.24 % 0.25 % 0.39 % 0.35 % 0.38 % $143,298 

 

23 NET CHARGE-OFFS BY LOAN CLASS Note: Totals may not foot due to rounding Memo: Net Charge-offs 4Q 15 1Q 16 2Q 16 3Q 16 4Q 16 4Q 16 Loan Balance Commercial & industrial $24 $24 $90 $71 $60 $69,213 Commercial real estate 1 (2) - - - 4,996 Commercial construction - - - - 9 4,015 Total Commercial Loans $25 $22 $90 $71 $69 $78,224 Residential mortgages – guaranteed - - - - - $537 Residential mortgages – nonguaranteed 12 16 12 11 15 26,137 Home equity products 17 18 11 10 11 11,912 Residential construction 1 - - - - 404 Total Residential Loans $30 $35 $24 $21 $26 $38,990 Guaranteed student loans - - - - - $6,167 Other direct 8 7 7 9 12 7,772 Indirect 15 14 9 17 21 10,736 Credit cards 6 6 7 7 8 1,410 Total Consumer Loans $29 $28 $23 $34 $41 $26,084 Total SunTrust $83 $85 $137 $126 $136 $143,298 

 

24 RECONCILIATION: ADJUSTED EFFICIENCY RATIO (FTE) & ADJUSTED TANGIBLE EFFICIENCY RATIO (FTE) 1. In accordance with updated GAAP, amortization of affordable housing investments of $40 million, $39 million, and $49 million were reclassified and are now presented in provision for income taxes for the 2011, 2012, and 2013, respectively. Previously, the amortization was presented in other noninterest expense 2. Adjusted revenue and expenses are provided as they remove certain items that are material and/or 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 3. Represents adjusted noninterest expense / adjusted revenue – FTE. Adjusted tangible efficiency ratio excludes amortization expense, the impact of which is (0.85%), (0.48%), (0.51%), (0.60%), (0.65%), (0.51%), (0.53%), (0.22%), (0.31%), (0.49%), and (0.56%) for 4Q 15, 1Q 16, 2Q 16, 3Q 16, 4Q 16, 2011, 2012, 2013, 2014, 2015, and 2016, respectively Note: 2011, 2012, 2013, and 2014 values represent the adjusted efficiency ratio and adjusted tangible efficiency ratio, 4Q 15, 1Q 16, 2Q 16, 3Q 16, 4Q 16, 2015 and 2016 represent reported efficiency ratio and reported tangible efficiency ratio 4Q 15 1Q 16 2Q 16 3Q 16 4Q 16 2011 2012 2013 2014 2015 2016 Reported (GAAP) Basis Net Interest Income 1,246 1,282 1,288 1,308 1,343 5,065 5,102 4,853 4,840 4,764 5,221 Noninterest Income 765 781 898 889 815 3,421 5,373 3,214 3,323 3,268 3,383 Revenue 2,011 2,063 2,186 2,197 2,158 8,486 10,475 8,067 8,163 8,032 8,604 Noninterest Expense 1,288 1,318 1,345 1,409 1,397 6,194 6,284 5,831 5,543 5,160 5,468 Efficiency Ratio 64.1% 63.9% 61.5% 64.1% 64.7% 73.0% 60.0% 72.3% 67.9% 64.2% 63.6% Reconciliation: Net Interest Income 1,246 1,282 1,288 1,308 1,343 5,065 5,102 4,853 4,840 4,764 5,221 FTE Adjustment 35 36 35 34 34 114 123 127 142 142 138 Net Interest Income-FTE 1,281 1,318 1,323 1,342 1,377 5,179 5,225 4,980 4,982 4,906 5,359 Noninterest Income 765 781 898 889 815 3,421 5,373 3,214 3,323 3,268 3,383 Revenue-FTE 2,046 2,099 2,221 2,231 2,192 8,600 10,598 8,194 8,305 8,174 8,742 Adjustment Items (Noninterest Income): 3Q-4Q 12 student / Ginnie Mae loan sale (losses) (92) Securities gains/(losses) 197 1,934 (2) (15) HARP 2.0 MSR valuation adjustment (38) GSE mortgage repurchase settlements (63) RidgeWorth sale 105 Adjusted Noninterest Income 765 781 898 889 815 3,262 3,531 3,279 3,233 3,268 3,383 Adjusted Revenue-FTE 2,046 2,099 2,221 2,231 2,192 8,441 8,756 8,259 8,215 8,174 8,742 Noninterest Expense 1,288 1,318 1,345 1,409 1,397 6,194 6,284 5,831 5,543 5,160 5,468 Adjustment Items (Noninterest Expense): Legacy affordable housing impairment 10 96 28 Charitable contribution of KO shares 38 Real estate charge 17 Goodwill impairment Loss on debt extinguishment (3) 16 Pension curtailment, net of 401(k) contribution (60) Severance 27 40 Impact of certain legacy mortgage legal matters 323 324 Mortgage servicing advances allowance increase 96 Potential mortgage servicing settlement & claims expense 120 Adjusted Noninterest Expense 1,288 1,318 1,345 1,409 1,397 6,099 6,077 5,412 5,190 5,160 5,468 Amortization Expense 17 10 11 14 14 43 46 23 25 40 49 Adjusted Tangible Expenses 1,271 1,308 1,334 1,395 1,383 6,056 6,031 5,389 5,165 5,120 5,419 Adjusted Efficiency Ratio-FTE 63.0% 62.8% 60.6% 63.1% 63.7% 72.3% 69.4% 65.5% 63.2% 63.1% 62.6% Adjusted Tangible Efficiency Ratio-FTE 62.1% 62.3% 60.1% 62.5% 63.1% 71.7% 68.9% 65.3% 62.9% 62.6% 62.0% 1 2 3 2 3 3 

 

25 RECONCILIATION: COMMON EQUITY TIER 1 RATIO1 1. The Common Equity Tier 1 ratio is subject to certain phase-in requirements under Basel III beginning in 2015, and as such we have presented a reconciliation of the Common Equity Tier 1 ratio as calculated considering the phase-in requirements (Common Equity Tier 1 – Transitional) to the fully phased-in ratio. All figures are estimated at the time of the earnings release and subject to revision 2. Primarily includes the phase-out from capital of certain DTAs, the overfunded pension asset, and other intangible assets 3. Primarily relates to the increased risk weight to be applied to mortgage servicing assets on a fully phased-in basis Note: Totals may not foot due to rounding 4Q 16 Common Equity Tier 1 – Transitional $17.0 Adjustments2 (0.0) Common Equity Tier 1 – Fully phased-in $16.9 Risk-weighted Assets: Common Equity Tier 1 – Transitional $176.0 Adjustments3 2.4 Risk-weighted Assets: Common Equity Tier 1 – Fully phased-in $178.5 Common Equity Tier 1 – Transitional 9.6% Common Equity Tier 1 – Fully phased-in 9.5% 

 

26 RECONCILIATION: NON-GAAP MEASURES Note: Totals may not foot due to rounding 4Q 15 1Q 16 2Q 16 3Q 16 4Q 16 Total Shareholders' Equity $23.4 $24.1 $24.5 $24.4 $23.6 Goodwill, Net of Deferred Taxes (6.1) (6.1) (6.1) (6.1) (6.1) Other Intangible Assets Including MSRs, Net of Deferred Taxes (1.3) (1.2) (1.1) (1.1) (1.7) MSRs 1.3 1.2 1.1 1.1 1.6 Tangible Equity $17.3 $18.0 $18.4 $18.4 $17.5 Noncontrolling Interest (0.1) (0.1) (0.1) (0.1) (0.1) Preferred Stock (1.2) (1.2) (1.2) (1.2) (1.2) Tangible Common Equity $16.0 $16.6 $17.0 $17.0 $16.2 Total Assets 190.8 194.2 198.9 205.1 204.9 Goodwill (6.3) (6.3) (6.3) (6.3) (6.3) Other Intangible Assets Including MSRs, Net of Deferred Taxes (1.3) (1.2) (1.1) (1.1) (1.7) MSRs 1.3 1.2 1.1 1.1 1.6 Tangible Assets $184.5 $187.8 $192.5 $198.7 $198.5 Average Equity / Average Assets 12.4% 12.3% 12.1% 12.1% 11.8% Total Equity / Total Assets 12.3% 12.4% 12.3% 11.9% 11.5% Tangible Equity / Tangible Assets 9.4% 9.6% 9.5% 9.2% 8.8% Tangible Common Equity / Tangible Assets 8.7% 8.9% 8.8% 8.6% 8.2% Book Value Per Common Share $43.45 $44.97 $46.14 $46.63 $45.38 Tangible Book Value Per Common Share $31.45 $32.90 $33.98 $34.34 $32.95