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 17, 2014	

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	 	(404) 558-7711	

	
					
 	 	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 17, 2014 , SunTrust Banks, Inc. (the “Registrant”) announced financial results for the period ended December 31, 2013 . 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 17, 2014 , 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 17, 2014 (furnished with the Commission as a part of this Form 8-K).

99.2    Presentation materials dated January 17, 2014 (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 17, 2014	 	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 17, 2014

SunTrust Reports Fourth Quarter 2013 Results
Quarter Marked by Increased Earnings, Broad-Based Loan Growth, and Improved Revenue                    
         
ATLANTA -- SunTrust Banks, Inc. (NYSE: STI) today reported net income available to common shareholders of $413 million , or $0.77 per average common diluted share, for the fourth quarter of 2013 . This compares to reported earnings per average common diluted share of $0.33 in the prior quarter, which was negatively impacted by $0.33 per share due to the impact of certain legacy mortgage matters. Earnings per share increased 18% from $0.65 for the fourth quarter of last year.

For 2013, SunTrust earned $2.41 per common diluted share, compared to $3.59 per common diluted share in 2012. However, 2012 earnings were positively impacted by $1.40 per share related to actions undertaken by the Company to improve its risk profile and further strengthen its balance sheet. Excluding the $1.40 per share in 2012 and the aforementioned $0.33 per share in 2013, earnings per average common diluted share increased from $2.19 in 2012 to $2.74 in 2013, or 25%.

"Broad-based loan growth, increased revenue, and further credit quality improvement led to core earnings expansion over the prior quarter," said William H. Rogers, Jr., chairman and chief executive officer of SunTrust Banks, Inc. "We closed the year with 25% core annual earnings growth and substantial efficiency ratio improvement. Our focus in 2014 will remain on meeting more of our clients' needs, driving profitable growth, and further improving the efficiency of the Company."

Fourth Quarter 2013 Financial Highlights
Income Statement
		
•	Net income available to common shareholders was $413 million , or $0.77 per average common diluted share compared to $0.66 in the prior quarter, excluding the aforementioned $0.33 per share impact. Current quarter earnings benefited from a 22% effective tax rate.	
		
•	Total revenue increase d $141 million , or 7% , compared to the prior quarter.	
		
◦	Net interest income increased 1% relative to the previous quarter as average performing loans grew 3% and net interest margin increased one basis point to 3.20% .	
		
◦	Noninterest income increase d compared to the prior quarter driven, in part, by higher mortgage servicing and trading income.	
		
•	Noninterest expense decrease d $366 million sequentially due to the expenses associated with certain legacy mortgage matters in the prior quarter. Excluding the impact of the $323 million in operating losses related to	

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the legacy mortgage and other legal related matters and the $96 million increase in the mortgage servicing advance reserve incurred in the third quarter, noninterest expense increased $53 million sequentially, primarily due to higher employee compensation and benefits expense as a result of reduced incentive compensation in the third quarter, and increased operating losses.
Balance Sheet
		
•	Average performing loans increase d $3.1 billion sequentially with growth across nearly all loan portfolios. Average performing loans increase d $4.7 billion compared to the fourth quarter of 2012 due to growth in C&I and commercial real estate loans.	
		
•	Average client deposits increase d $0.8 billion sequentially and decrease d $0.4 billion from the fourth quarter of 2012, with the favorable mix shift toward lower-cost deposits continuing.	
Capital
		
•	Estimated capital ratios continued to be well above regulatory requirements. The Tier 1 common equity ratio was an estimated 9.80% .	
		
•	In conjunction with its capital plans announced in the first quarter of 2013, the Company repurchased an additional $50 million of its common shares during the fourth quarter and paid a quarterly common stock dividend of $0.10 per share.	

Asset Quality
		
•	The risk profile of the balance sheet continued to improve. Nonperforming loans decrease d 6 % during the quarter and were 0.76% of total loans at December 31, 2013 , compared to 0.83% at September 30, 2013 and 1.27% at December 31, 2012.	
		
•	Annualized net charge-offs decrease d to 0.40% of average loans compared to 0.47% and 1.30% in the prior quarter and the fourth quarter of 2012, respectively.	
		
•	Current quarter nonperforming loans and net charge-offs were at their lowest levels in more than six years.	
		
•	Due to loan growth in the current quarter, the provision for credit losses increase d 6% compared to the prior quarter, but declined 69% compared to the fourth quarter of 2012 due in part to overall improvement in asset quality.	

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Income Statement (presented on a fully taxable-equivalent basis)	4Q 2012	 	3Q 2013	 	4Q 2013	
(Dollars in millions, except per share data)	 	 	 	 	 	
Net income available to common shareholders	$350	 	$179	 	$413	
Earnings per average common diluted share	0.65		 	0.33		 	0.77		
Total revenue	2,291		 	1,920		 	2,061		
Total revenue, excluding net securities gains/losses	2,290		 	1,920		 	2,060		
Net interest income	1,276		 	1,240		 	1,247		
Provision for credit losses	328		 	95		 	101		
Noninterest income	1,015		 	680		 	814		
Noninterest expense	1,510		 	1,743		 	1,377		
Net interest margin	3.36	%	 	3.19	%	 	3.20	%	
 	 	 	 	 	 	
Balance Sheet	 	 	 	 	 	
(Dollars in billions)	 	 	 	 	 	
Average loans		$121.6		 		$122.7		 		$125.6		
Average consumer and commercial deposits	127.9		 	126.6		 	127.5		
 	 	 	 	 	 	
Capital	 	 	 	 	 	
Tier 1 capital ratio (1)	11.13	%	 	10.97	%	 	10.80	%	
Tier 1 common equity ratio (1)	10.04	%	 	9.94	%	 	9.80	%	
Total average shareholders’ equity to total average assets	11.82	%	 	12.24	%	 	12.23	%	
 	 	 	 	 	 	
Asset Quality	 	 	 	 	 	
Net charge-offs to average loans (annualized)	1.30	%	 	0.47	%	 	0.40	%	
Allowance for loan losses to period end loans	1.80	%	 	1.67	%	 	1.60	%	
Nonperforming loans to total loans	1.27	%	 	0.83	%	 	0.76	%	
 (1) Current period Tier 1 capital and Tier 1 common equity ratios are estimated as of the date of this news release.

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Consolidated Financial Performance Details
(Presented on a fully taxable-equivalent basis unless otherwise noted)
Revenue
Total revenue was $2.1 billion for the current quarter, an increase of $141 million , or 7% , compared to the prior quarter. The increase was primarily driven by higher mortgage servicing and trading income, a decline in the impairment of certain lease financing assets, and a decline in the mortgage repurchase provision given the third quarter agency mortgage repurchase settlements. The increases in revenue were partially offset by lower core mortgage production income. Excluding the third quarter impact of the $63 million of incremental mortgage repurchase provision related to the agency mortgage repurchase settlements, total revenue increased sequentially by $78 million, or 4%. Compared to the fourth quarter of 2012, total revenue declined $230 million , or 10% , primarily driven by lower net interest income and mortgage production income.

Total revenue was $8.2 billion for 2013 and $10.6 billion for 2012. Revenue in 2012 included $2.0 billion of net securities gains primarily related to the Company's disposition of its remaining shares in The Coca-Cola Company.  Excluding net securities gains, total revenue decreased $432 million driven by lower net interest income and core mortgage-related revenues, partially offset by a significantly lower mortgage repurchase provision and an increase in investment banking and wealth management revenues.
Net Interest Income
Net interest income was $1.2 billion for the current quarter, an increase of $7 million from the prior quarter due to loan growth that was partially offset by a decline in loan yields. Net interest income decrease d $29 million compared to the fourth quarter of 2012 primarily due to lower earning asset yields. The decline in earning asset yields was partially offset by higher average earning assets and lower interest expense driven by a favorable shift in deposit mix and an overall decline in deposit rates paid.
The net interest margin for the fourth quarter was 3.20% , an increase of one basis point from the prior quarter. The yield on earning assets was stable on a sequential quarter basis, as a four basis point decline in loan yields was offset by an 18 basis point increase in the yield on the securities available for sale portfolio. The yield on the securities portfolio increased primarily due to the rise in market interest rates impacting MBS prepayment speeds, resulting in slower premium amortization. Interest-bearing liability rates declined one basis point as a result of a modest decrease in deposit rates. The net interest margin in the fourth quarter of 2012 was 3.36%. The 16 basis point decrease in the net interest margin was primarily due to a 22 basis point decrease in earning asset yields, partially offset by a seven basis point reduction in interest-bearing liability rates, primarily related to a favorable shift in deposit mix.

For 2013 , net interest income was $5.0 billion , a decrease of $245 million , or 5% , compared to 2012, and the net interest margin was 3.24% in 2013 compared to 3.40% in 2012 . The primary drivers of the decrease in net interest income and net interest margin were the continued low interest rate environment, the foregone dividend income related to the third quarter of 2012 sale of the Company's remaining shares in The Coca-Cola Company, and a decline in commercial loan-related swap income, partially offset by earning asset growth and a favorable shift in the mix of funding sources.
Noninterest Income
Total noninterest income was $814 million for the current quarter compared to $680 million for the prior quarter and $1.0 billion for the fourth quarter of 2012. Compared to the prior quarter, the $134 million increase was primarily due to an increase in trading and mortgage servicing income, the $63 million provision associated with the third quarter agency mortgage repurchase settlements, and a reduction in lease financing asset impairments, partially offset by a decline in core mortgage production income. Compared to the fourth quarter of 2012, the $201 million decrease was

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primarily due to reductions in mortgage production income, partially offset by lower valuation losses on the Company's fair value debt and losses on the sale of Ginnie Mae loans in the fourth quarter of 2012.
Mortgage production income for the current quarter was $31 million compared to a loss of $10 million for the prior quarter and income of $241 million for the fourth quarter of 2012. The $41 million sequential quarter increase was driven by the $63 million provision associated with the third quarter agency mortgage repurchase settlements, partially offset by declines in applications and closed loan production volume. Compared to the fourth quarter of 2012, mortgage production income decrease d $210 million due to both a decline in production volume and gain on sale margins. Closed loan production volume declined 51% compared to both the prior quarter and fourth quarter of 2012. The mortgage repurchase provision was $12 million for the fourth quarter and the mortgage repurchase reserve was $78 million as of December 31, 2013.
Mortgage servicing income was $38 million in the current quarter compared to $11 million in the prior quarter and $45 million in the fourth quarter of 2012. The $27 million sequential quarter increase was largely due to a slower pace of loan prepayments. The $7 million decrease compared to the fourth quarter of 2012 was primarily due to lower net hedge performance partially offset by the slower pace of loan prepayments. At December 31, 2013 , the servicing portfolio was $137 billion compared to $145 billion at December 31 , 2012 .
Investment banking income was $96 million for the current quarter compared to $99 million in the prior quarter and $112 million in the fourth quarter of 2012. The decrease compared to both periods was driven by a decline in fixed income origination revenue, partially offset by growth in M&A advisory and equity offering fees.
Trading income was $57 million for the current quarter compared to $33 million for the prior quarter and $65 million for the fourth quarter of 2012. The $24 million sequential quarter increase was due to a $14 million mark-to-market improvement and an increase in client-related trading revenues. The $8 million decrease in trading income compared to the fourth quarter of 2012 was driven by a $25 million trading-related litigation reserve release that was recognized in the fourth quarter of 2012, partially offset by a $28 million mark-to-market improvement. Client-related trading revenues were generally stable compared to the fourth quarter of 2012.
Other noninterest income was $55 million for the current quarter compared to $10 million for the prior quarter and $18 million for the fourth quarter of 2012. The $45 million sequential quarter increase was primarily driven by the $37 million impairment of lease financing assets in the prior quarter. The $37 million increase from the fourth quarter of 2012 was primarily due to $25 million of net losses related to the sale of Ginnie Mae loans in the fourth quarter of 2012.

For 2013 , noninterest income was $3.2 billion compared to $5.4 billion in 2012, which included $2.0 billion of net securities gains.  Excluding the $2 million and $2.0 billion of net securities gains in 2013 and 2012, respectively, noninterest income decrease d $187 million compared to 2012. The decline was primarily due to lower core mortgage-related revenues, resulting from declines in production volume, gain on sale margins, and mortgage servicing income. The declines in core mortgage-related revenues were offset by a lower mortgage repurchase provision, higher investment banking and wealth management revenue, as well as a reduction in mark-to-market valuation losses on the Company's fair value debt and losses from the sale of government guaranteed loans in 2012.
Noninterest Expense
Noninterest expense was $1.4 billion for the current quarter compared to $1.7 billion for the prior quarter and $1.5 billion for the fourth quarter of 2012. The sequential quarter decrease of $366 million was due to the recognition of specific legacy mortgage and other legal related matters in the prior quarter, and was partially offset by higher employee compensation and benefits expenses and operating losses. The $133 million , or 9% , decrease compared to the fourth quarter of 2012 was a result of declines in almost all noninterest expense categories due to improved expense management and declines in cyclical costs.
Employee compensation and benefits expense was $723 million in the current quarter compared to $682 million in the prior quarter and $738 million in the fourth quarter of 2012. The sequential quarter increase of $41 million was

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primarily the result of the $37 million incentive compensation reduction that occurred in the third quarter. The $15 million decrease from the fourth quarter of 2012 was primarily due to lower incentive compensation and employee benefit costs.
Operating losses were $42 million in the current quarter compared to $350 million in the prior quarter and $77 million in the fourth quarter of 2012. The decrease compared to the prior quarter was due to $323 million in legacy mortgage and other legal related matters that were recognized in the prior quarter. Excluding these specific matters, operating losses increased $15 million as a result of certain regulatory and legal expenses incurred during the current quarter. The decrease from the fourth quarter of 2012 was primarily due to the Company’s recognition of its portion of the Consent Order related to the Independent Foreclosure Review, which was entered into in the fourth quarter of 2012.
Marketing and customer development expense was $40 million in the current quarter, $34 million in the prior quarter, and $50 million in the fourth quarter of 2012. The $6 million increase compared to the prior quarter was due to seasonally higher expenses during the current quarter, and the $10 million decrease compared to the fourth quarter of 2012 was due to reduced advertising in the current quarter. Compared to the prior quarter, FDIC insurance and regulatory expense was relatively flat, and compared to the fourth quarter of 2012, it decrease d $13 million due to a decrease in the Company's FDIC insurance assessment rate, reflecting the Company's reduced risk profile.
Other noninterest expense was $203 million in the current quarter compared to $305 million in the prior quarter and $261 million in the fourth quarter of 2012. The $102 million sequential decrease was primarily driven by higher collections expenses in the prior quarter related to the increase in the mortgage servicing advance reserve. The $58 million decrease from the fourth quarter of 2012 was primarily driven by declines in other real estate, consulting, and collections expenses due to declines in cyclical costs and the resolution of certain legacy mortgage items.
For 2013 , noninterest expense was $5.9 billion compared to $6.3 billion in 2012 . The $443 million , or 7% , decrease was driven by declines across most expense categories due to improved expense management, lower personnel expenses given the decline in full-time equivalent employees and reductions in certain cyclical costs and legal and consulting expenses. The decrease was partially offset by the $323 million in operating losses recognized in the third quarter of 2013 in connection with certain legacy mortgage and other legal related matters; operating losses increased compared to 2012 by $226 million , but excluding the $323 million, operating losses would have declined $97 million compared to 2012. Excluding the $323 million and $96 million related to the increase in the mortgage servicing advance reserve in 2013 and the $38 million related to the charitable contribution of The Coca-Cola Company shares and $96 million related to the impairment of Affordable Housing investments in 2012, noninterest expense declined 12% year-over-year.
Income Taxes
For the current quarter, the Company recorded an income tax provision of $122 million compared to an income tax benefit of $146 million for the prior quarter and an income tax provision of $62 million in the fourth quarter of 2012. The tax benefit in the prior quarter was due to the impacts of the October 10, 2013 8-K items. The effective tax rate was 22% in the fourth quarter of 2013 compared to 15% in the fourth quarter of 2012.   The fourth quarter 2012 and 2013 effective tax rates were favorably impacted by audit settlements, statute expirations and/or changes in tax rates. The increase in the effective tax rate from the fourth quarter of 2012 was primarily due to higher pre-tax earnings.
Balance Sheet
At December 31, 2013 , the Company had total assets of $175 billion and shareholders’ equity of $21 billion , representing 12% of total assets. Book value and tangible book value per common share increase d compared to September 30, 2013 , and were $38.61 and $27.01 , respectively. The increase was due to the decline in common shares as a result of the common share repurchases during the quarter and an increase in equity primarily due to net income.

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Loans
Average performing loans were $124.7 billion for the current quarter, an increase of $3.1 billion , or 3% , from the prior quarter driven by growth in almost all loan categories, most notably a $1.5 billion , or 3% , increase in C&I loans, a $634 million , or 3% , increase in nonguaranteed residential mortgage loans, and a $456 million , or 10% , increase in commercial real estate loans. Average performing loans increase d $4.7 billion , or 4% , compared to the fourth quarter of 2012. The increase was due to C&I, nonguaranteed residential mortgage, and commercial real estate loans, which increased 7% , 4% , and 20% , respectively. Partially offsetting the year-over-year increase was a decrease in guaranteed residential mortgage loans of $1.1 billion , or 25% , and guaranteed student loans of $261 million , or 5% , both primarily due to targeted loan sales in the fourth quarter of 2012 and the first quarter of 2013.
Deposits
Average client deposits for the current quarter were $127.5 billion compared to $126.6 billion in the prior quarter and $127.9 billion in the fourth quarter of 2012. Average deposits increase d $842 million during the current quarter due to a $1.1 billion , or 4% , increase in NOW balances and a $497 million , or 1% , increase in noninterest bearing deposits, which was partially offset by declines in time deposits. The $447 million decrease compared to the fourth quarter of 2012 was driven by a decrease of $2.0 billion , or 13% , in time deposits, partially offset by $1.5 billion , or 1% , of growth in lower-cost deposits.
Capital and Liquidity
The Company’s estimated capital ratios are well above current regulatory requirements with Tier 1 capital and Tier 1 common ratios at an estimated 10.80% and 9.80% , respectively, at December 31, 2013 . The capital ratios decreased slightly from the fourth quarter of 2012 and the prior quarter due to loan growth offsetting an increase in retained earnings. Changes in the capital ratios from the prior year were also impacted by the Company’s refinement to the risk weighting of certain unused lending commitments in the third quarter of 2013. The ratios of total average equity to total average assets and tangible equity to tangible assets were 12.23% and 9.00% , respectively, at December 31 , 2013 , both stable to the prior quarter and higher than the fourth quarter of 2012. The Company continues to have substantial available liquidity provided in the form of its client deposit base, cash, its portfolio of high-quality government-backed securities, and other available funding sources.
During the current quarter, the Company declared a common stock dividend of $0.10 per common share, consistent with the prior quarter and up $0.05 per share from the fourth quarter of 2012. Additionally, during the current quarter, the Company repurchased $50 million of common stock, bringing the total repurchased in 2013 to $150 million with plans to repurchase up to an additional $50 million of common stock during the first quarter of 2014, pursuant to the Company's 2013 capital plan.
Asset Quality
Asset quality continued to improve, including further decreases in nonperforming loans and nonperforming assets, both of which reached their lowest levels since the second quarter of 2007. Nonperforming loans totaled $971 million at December 31 , 2013 , a decrease of $66 million , or 6% , relative to the prior quarter, led by declines in C&I, residential mortgage, and construction loans. Compared to a year ago, nonperforming loans decrease d $576 million , or 37% , with reductions across all loan categories, most significantly in residential mortgage and home equity loans. At December 31 , 2013 , the percentage of nonperforming loans to total loans was 0.76% , a decrease f rom 0.83% and 1.27% at the end of the prior quarter and fourth quarter of 2012, respectively. Other real estate owned totaled $170 million at the end of the current quarter , a decrease of 13% from the prior quarter and a decrease of 36% from a year ago.     
Net charge-offs were $128 million during the current quarter compared to $146 million for the prior quarter and $398 million for the fourth quarter of 2012. The decrease in net charge-offs from the prior quarter and fourth quarter of 2012 was primarily driven by lower commercial and residential loan charge-offs. The decline from the prior year was further driven by $118 million in charge-offs recognized in the fourth quarter of 2012 related to sales of

7

nonperforming residential mortgage and commercial real estate loans, as well as the reclassification of certain loans that were discharged in Chapter 7 bankruptcy to nonperforming status.
The ratio of annualized net charge-offs to total average loans was 0.40% for the current quarter, 0.47% for the prior quarter, and 1.30% for the fourth quarter of 2012. The prior year ratio was affected by the aforementioned nonperforming loan sales and Chapter 7 bankruptcy loan reclassification. The net charge-off ratio in the current quarter was at the lowest level since the third quarter of 2007. The provision for credit losses was $101 million , which increase d $6 million from the prior quarter and decrease d $227 million from the fourth quarter of 2012. The current quarter increase was driven by growth in the loan portfolio partially offset by improvements in asset quality, while the decrease from the prior year period was due to continued improvement in asset quality. For 2013, the provision for credit losses was $553 million , a decline of $842 million compared to 2012.
At December 31 , 2013 , the allowance for loan losses was $2.0 billion and represented 1.60% of total loans, a seven basis point decrease from September 30 , 2013 . The $27 million decrease in the allowance for loan losses during the current quarter was reflective of the continued improvement in asset quality, partially offset by loan growth.
Early stage delinquencies increased nine basis points from the prior quarter to 0.74% at December 31 , 2013 . The increase was primarily due to government-guaranteed student and mortgage loans. Excluding government-guaranteed loans, early stage delinquencies were 0.36%, essentially stable to the prior quarter.
Accruing restructured loans totaled $2.7 billion , and nonaccruing restructured loans totaled $0.4 billion at December 31 , 2013 . $2.9 billion of restructured loans related to residential loans, $0.1 billion were commercial loans, and $0.1 billion related to consumer loans.

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BUSINESS SEGMENT FINANCIAL PERFORMANCE
Business Segment Results
The Company has included business segment financial tables as part of this release on the Investor Relations portion of its website at www.suntrust.com/investorrelations. The Company’s business segments include: Consumer Banking and Private Wealth Management, Wholesale Banking, and Mortgage Banking. 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 is represented by net charge-offs. 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 generally accepted accounting principles ("GAAP"), certain matched-maturity funds transfer pricing credits and charges, differences in provision for credit losses compared to net charge-offs, as well as equity and its related impact. 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 on the Investor Relations portion of the Company’s website at www.suntrust.com/investorrelations. 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 17, 2014 , 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: 4Q13). Individuals calling from outside the United States should dial 1-517-308-9091 (Passcode: 4Q13). A replay of the call will be available approximately one hour after the call ends on January 17, 2014, and will remain available until February 17, 2014, by dialing 1-888-566-0398 (domestic) or 1-402-998-0588 (international). Alternatively, individuals may listen to the live webcast of the presentation by visiting the SunTrust investor relations website at www.suntrust.com/investorrelations. Beginning the afternoon of January 17, 2014 , listeners may access an archived version of the webcast in the “Recent Earnings and Conference Presentations” subsection found on the investor relations webpage. This webcast will be archived and available for one year. A link to the Investor Relations page is also found in the footer of the SunTrust home page.
SunTrust Banks, Inc., headquartered in Atlanta, is one of the nation’s largest banking organizations, serving a broad range of consumer, commercial, corporate and institutional clients. The Company operates an extensive branch and ATM network throughout the Southeast and Mid-Atlantic States and a full array of technology-based, 24-hour delivery channels. The Company also serves clients in selected markets nationally. Its primary businesses include deposit, credit, and trust and investment management services. Through various subsidiaries, the Company provides mortgage banking, insurance, brokerage, equipment leasing, and capital markets services. SunTrust’s Internet address is www.suntrust.com.
Important Cautionary Statement About Forward-Looking Statements

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. In this news release, the Company presents net interest income and net interest margin on a fully taxable-equivalent (“FTE”) basis, and ratios on an annualized basis. The FTE basis adjusts for the tax-favored status of income from certain loans and investments. The Company believes this measure to be the preferred industry measurement of net interest income and provides relevant comparison between taxable and non-taxable amounts.

9

This news release contains forward-looking statements. Statements regarding estimates of the after-tax financial impact of various legal and regulatory matters, potential future share repurchases, and future expected dividends 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. The estimated financial impact of these legal and regulatory matters depends upon (1) the successful negotiation, execution, and delivery of definitive agreements in several matters, (2) the ultimate resolution of certain legal matters which are not yet complete, (3) management’s assumptions about the extent to which such amounts may be deducted for tax purposes, (4) the agreement of other necessary parties, and (5) our assumptions about the extent to which we can provide consumer relief to satisfy our financial obligations as contemplated by the agreements in principle with regulators. 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, 2012 and in other periodic reports that we file with the SEC.

10

SunTrust Banks, Inc. and Subsidiaries
FINANCIAL HIGHLIGHTS
(Dollars in millions, except per share data) (Unaudited)  

																						
 	Three Months Ended December 31	 	%	 	Twelve Months Ended December 31	 	%	
 	2013		2012	 	Change 4	 	2013		2012	 	Change 4	
EARNINGS & DIVIDENDS	 		 	 	 	 	 		 	 	 	
Net income		$426				$356		 	20	 %	 		$1,344				$1,958		 	(31	)%	
Net income available to common shareholders	413			350		 	18		 	1,297			1,931		 	(33	)	
Net income available to common shareholders excluding the
impact of Form 8-K items from the third quarters of 2013 and 2012 1	413			350		 	18		 	1,476			1,178		 	25		
Total revenue - FTE  1, 2	2,061			2,291		 	(10	)	 	8,194			10,598		 	(23	)	
Total revenue - FTE excluding securities gains, net  1, 2	2,060			2,290		 	(10	)	 	8,192			8,624		 	(5	)	
Net income per average common share	 	 	 	 	 	 	 	 	 	 	 	
Diluted	0.77			0.65		 	18		 	2.41			3.59		 	(33	)	
Diluted, excluding the impact of Form 8-K
items from the third quarters of 2013 and 2012 1	0.77			0.65		 	18		 	2.74			2.19		 	25		
Basic	0.78			0.66		 	18		 	2.43			3.62		 	(33	)	
Dividends paid per common share	0.10			0.05		 	100		 	0.35			0.20		 	75		
CONDENSED BALANCE SHEETS	 	 	 	 	 	 	 	 	 	 	 	
Selected Average Balances	 	 	 	 	 	 	 	 	 	 	 	
Total assets		$173,791				$174,510		 	—	 %	 		$172,497				$176,134		 	(2	)%	
Earning assets	154,664			151,225		 	2		 	153,728			153,479		 	—		
Loans	125,649			121,587		 	3		 	122,657			122,893		 	—		
Intangible assets including MSRs	7,658			7,278		 	5		 	7,535			7,322		 	3		
MSRs	1,253			848		 	48		 	1,121			887		 	26		
Consumer and commercial deposits	127,460			127,907		 	—		 	127,076			126,249		 	1		
Brokered time and foreign deposits	2,010			2,266		 	(11	)	 	2,065			2,255		 	(8	)	
Total shareholders’ equity	21,251			20,630		 	3		 	21,167			20,495		 	3		
Preferred stock	725			334		 	NM		 	725			290		 	NM		
As of	 	 	 	 	 	 	 	 	 	 	 	
Total assets	175,335			173,442		 	1		 	 	 	 	 	 	
Earning assets	156,978			151,223		 	4		 	 	 	 	 	 	
Loans	127,877			121,470		 	5		 	 	 	 	 	 	
Allowance for loan and lease losses	2,044			2,174		 	(6	)	 	 	 	 	 	 	
Consumer and commercial deposits	127,735			130,180		 	(2	)	 	 	 	 	 	 	
Brokered time deposits	2,024			2,136		 	(5	)	 	 	 	 	 	 	
Total shareholders’ equity	21,422			20,985		 	2		 	 	 	 	 	 	
FINANCIAL RATIOS & OTHER DATA	 	 	 	 	 	 	 	 	 	 	 	
Return on average total assets	0.97	%		0.81	%	 	20	 %	 	0.78	%		1.11	%	 	(30	)%	
Return on average common shareholders’ equity	7.99			6.86		 	16		 	6.34			9.56		 	(34	)	
Return on average tangible common shareholders' equity 1	11.61			10.04		 	16		 	9.25			14.02		 	(34	)	
Net interest margin  2	3.20			3.36		 	(5	)	 	3.24			3.40		 	(5	)	
Efficiency ratio  2	66.82			65.93		 	1		 	71.75			59.67		 	20		
Tangible efficiency ratio  1, 2	66.61			65.63		 	1		 	71.48			59.24		 	21		
Effective tax rate	22.30			14.86		 	50		 	16.89			28.29		 	(40	)	
Tier 1 common equity 3	9.80			10.04		 	(2	)	 	 	 	 	 	 	
Tier 1 capital 3	10.80			11.13		 	(3	)	 	 	 	 	 	 	
Total capital 3	12.80			13.48		 	(5	)	 	 	 	 	 	 	
Tier 1 leverage 3	9.55			8.91		 	7		 	 	 	 	 	 	
Total average shareholders’ equity to total average assets	12.23			11.82		 	3		 	12.27			11.64		 	5		
Tangible equity to tangible assets  1	9.00			8.82		 	2		 	 	 	 	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	
Book value per common share		$38.61				$37.59		 	3		 	 	 	 	 	 	
Tangible book value per common share  1	27.01			25.98		 	4		 	 	 	 	 	 	
Market price:	 	 	 	 	 	 	 	 	 	 	 	
High	36.99			30.64		 	21		 	36.99			30.79		 	20		
Low	31.97			25.30		 	26		 	26.93			18.07		 	49		
Close	36.81			28.35		 	30		 	 	 	 	 	 	
Market capitalization	19,734			15,279		 	29		 	 	 	 	 	 	
Average common shares outstanding (000s)	 	 	 	 	 	 	 	 	 	 	 	
Diluted	537,921			539,618		 	—		 	539,093			538,061		 	—		
Basic	532,492			535,012		 	—		 	534,283			534,149		 	—		
Full-time equivalent employees	26,281			26,778		 	(2	)	 	 	 	 	 	 	
Number of ATMs	2,243			2,923		 	(23	)	 	 	 	 	 	 	
Full service banking offices	1,497			1,616		 	(7	)	 	 	 	 	 	 	

1  	See Appendix A for reconcilements of non-GAAP performance measures.	
		
2  	Total revenue, net interest margin, and efficiency ratios 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 a FTE basis plus noninterest income.	
		
3  	Current period tier 1 common equity, tier 1 capital, total capital, and tier 1 leverage ratios are estimated as of the earnings release date.	
4 "NM" - Not meaningful. Those changes over 100 percent were not considered to be meaningful.

11

SunTrust Banks, Inc. and Subsidiaries
FIVE QUARTER FINANCIAL HIGHLIGHTS
(Dollars in millions, except per share data) (Unaudited)

																				
 	Three Months Ended	
 	December 31	 	September 30	 	June 30	 	March 31	 	December 31	
 	2013	 	2013	 	2013	 	2013	 	2012	
EARNINGS & DIVIDENDS	 	 	 	 	 	 	 	 	 	
Net income		$426		 		$189		 		$377		 		$352		 		$356		
Net income available to common shareholders	413		 	179		 	365		 	340		 	350		
Net income available to common shareholders excluding
the impact of Form 8-K items from the third quarter of 2013 1	413		 	358		 	365		 	340		 	350		
Total revenue - FTE 1, 2	2,061		 	1,920		 	2,100		 	2,114		 	2,291		
Total revenue - FTE excluding securities gains, net 1, 2	2,060		 	1,920		 	2,100		 	2,112		 	2,290		
Net income per average common share	 	 	 	 	 	 	 	 	 	
Diluted	0.77		 	0.33		 	0.68		 	0.63		 	0.65		
Diluted, excluding the impact of Form 8-K items from the third quarter of 2013 1	0.77		 	0.66		 	0.68		 	0.63		 	0.65		
Basic	0.78		 	0.33		 	0.68		 	0.64		 	0.66		
Dividends paid per common share	0.10		 	0.10		 	0.10		 	0.05		 	0.05		
CONDENSED BALANCE SHEETS	 	 	 	 	 	 	 	 	 	
Selected Average Balances	 	 	 	 	 	 	 	 	 	
Total assets		$173,791		 		$171,838		 		$172,537		 		$171,808		 		$174,510		
Earning assets	154,664		 	154,250		 	153,495		 	152,471		 	151,225		
Loans	125,649		 	122,672		 	121,372		 	120,882		 	121,587		
Intangible assets including MSRs	7,658		 	7,643		 	7,455		 	7,379		 	7,278		
MSRs	1,253		 	1,232		 	1,039		 	957		 	848		
Consumer and commercial deposits	127,460		 	126,618		 	126,579		 	127,655		 	127,907		
Brokered time and foreign deposits	2,010		 	2,007		 	2,075		 	2,170		 	2,266		
Total shareholders’ equity	21,251		 	21,027		 	21,272		 	21,117		 	20,630		
Preferred stock	725		 	725		 	725		 	725		 	334		
As of	 	 	 	 	 	 	 	 	 	
Total assets	175,335		 	171,777		 	171,546		 	172,435		 	173,442		
Earning assets	156,978		 	154,849		 	154,430		 	152,783		 	151,223		
Loans	127,877		 	124,340		 	122,031		 	120,804		 	121,470		
Allowance for loan and lease losses	2,044		 	2,071		 	2,125		 	2,152		 	2,174		
Consumer and commercial deposits	127,735		 	126,861		 	125,588		 	127,735		 	130,180		
Brokered time and foreign deposits	2,024		 	2,022		 	2,031		 	2,180		 	2,136		
Total shareholders’ equity	21,422		 	21,070		 	21,007		 	21,194		 	20,985		
FINANCIAL RATIOS & OTHER DATA	 	 	 	 	 	 	 	 	 	
Return on average total assets	0.97	%	 	0.44	%	 	0.88	%	 	0.83	%	 	0.81	%	
Return on average common shareholders’ equity	7.99		 	3.49		 	7.12		 	6.77		 	6.86		
Return on average tangible common shareholders' equity 1	11.61		 	5.10		 	10.35		 	9.88		 	10.04		
Net interest margin  2	3.20		 	3.19		 	3.25		 	3.33		 	3.36		
Efficiency ratio 2	66.82		 	90.77		 	66.56		 	64.46		 	65.93		
Tangible efficiency ratio 1, 2	66.61		 	90.46		 	66.27		 	64.17		 	65.63		
Effective tax rate 4	22.30		 	NM		 	27.89		 	30.04		 	14.86		
Tier 1 common equity 3	9.80		 	9.94		 	10.19		 	10.13		 	10.04		
Tier 1 capital 3	10.80		 	10.97		 	11.24		 	11.20		 	11.13		
Total capital 3	12.80		 	13.04		 	13.43		 	13.45		 	13.48		
Tier 1 leverage 3	9.55		 	9.46		 	9.40		 	9.26		 	8.91		
Total average shareholders’ equity to total average assets	12.23		 	12.24		 	12.33		 	12.29		 	11.82		
Tangible equity to tangible assets  1	9.00		 	8.98		 	8.95		 	9.00		 	8.82		
 	 	 	 	 	 	 	 	 	 	
Book value per common share		$38.61		 		$37.85		 		$37.65		 		$37.89		 		$37.59		
Tangible book value per common share  1	27.01		 	26.27		 	26.08		 	26.33		 	25.98		
Market price:	 	 	 	 	 	 	 	 	 	
High	36.99		 	36.29		 	32.84		 	29.98		 	30.64		
Low	31.97		 	31.59		 	26.97		 	26.93		 	25.30		
Close	36.81		 	32.42		 	31.57		 	28.81		 	28.35		
Market capitalization	19,734		 	17,427		 	17,005		 	15,563		 	15,279		
Average common shares outstanding (000s)		 		 		 		 		
Diluted	537,921		 	538,850		 	539,763		 	539,862		 	539,618		
Basic	532,492		 	533,829		 	535,172		 	535,680		 	535,012		
Full-time equivalent employees	26,281		 	26,409		 	26,199		 	26,238		 	26,778		
Number of ATMs	2,243		 	2,846		 	2,874		 	2,882		 	2,923		
Full service banking offices	1,497		 	1,508		 	1,539		 	1,574		 	1,616		

1  	See Appendix A for reconcilements of non-GAAP performance measures.	
		
2  	Total revenue, net interest margin, and efficiency ratios 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 a FTE basis plus noninterest income.	
		
3  	Current period tier 1 common equity, tier 1 capital, total capital, and tier 1 leverage ratios are estimated as of the earnings release date.	
4 "NM" - Not meaningful. Calculated rate was not considered to be meaningful.

12

SunTrust Banks, Inc. and Subsidiaries
CONSOLIDATED STATEMENTS OF INCOME
(Dollars in millions, except per share data) (Unaudited)

																														
 	Three Months Ended	 	Increase/(Decrease)	 	Twelve Months Ended	 	Increase/(Decrease)	
 	December 31	 			December 31	 		
 	2013		2012	 	Amount	 	  % 3	 	2013		2012	 	Amount	 	  %	
Interest income		$1,343				$1,396		 		($53	)	 	(4	)%	 		$5,388				$5,867		 		($479	)	 	(8	)%	
Interest expense	130			150		 	(20	)	 	(13	)	 	535			765		 	(230	)	 	(30	)	
NET INTEREST INCOME	1,213			1,246		 	(33	)	 	(3	)	 	4,853			5,102		 	(249	)	 	(5	)	
Provision for credit losses	101			328		 	(227	)	 	(69	)	 	553			1,395		 	(842	)	 	(60	)	
NET INTEREST INCOME AFTER PROVISION FOR CREDIT LOSSES	1,112			918		 	194		 	21		 	4,300			3,707		 	593		 	16		
NONINTEREST INCOME	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Service charges on deposit accounts	165			173		 	(8	)	 	(5	)	 	657			676		 	(19	)	 	(3	)	
Trust and investment management income	131			125		 	6		 	5		 	518			512		 	6		 	1		
Retail investment services	69			60		 	9		 	15		 	267			241		 	26		 	11		
Other charges and fees	92			97		 	(5	)	 	(5	)	 	369			402		 	(33	)	 	(8	)	
Investment banking income	96			112		 	(16	)	 	(14	)	 	356			342		 	14		 	4		
Trading income	57			65		 	(8	)	 	(12	)	 	182			211		 	(29	)	 	(14	)	
Card fees  1	79			78		 	1		 	1		 	310			316		 	(6	)	 	(2	)	
Mortgage production related income	31			241		 	(210	)	 	(87	)	 	314			343		 	(29	)	 	(8	)	
Mortgage servicing related income	38			45		 	(7	)	 	(16	)	 	87			260		 	(173	)	 	(67	)	
Other noninterest income	55			18		 	37		 	NM		 	152			96		 	56		 	58		
Net securities gains	1			1		 	—		 	—		 	2			1,974		 	(1,972	)	 	(100	)	
     Total noninterest income	814			1,015		 	(201	)	 	(20	)	 	3,214			5,373		 	(2,159	)	 	(40	)	
NONINTEREST EXPENSE	 	 	 	 	 	 	 	 	 		 	 	 	 	 	
Employee compensation and benefits	723			738		 	(15	)	 	(2	)	 	2,901			3,077		 	(176	)	 	(6	)	
Net occupancy expense	87			91		 	(4	)	 	(4	)	 	348			359		 	(11	)	 	(3	)	
Outside processing and software	191			183		 	8		 	4		 	746			710		 	36		 	5		
Equipment expense	45			48		 	(3	)	 	(6	)	 	181			188		 	(7	)	 	(4	)	
Marketing and customer development	40			50		 	(10	)	 	(20	)	 	135			184		 	(49	)	 	(27	)	
Amortization/impairment of intangible assets/goodwill	5			7		 	(2	)	 	(29	)	 	23			46		 	(23	)	 	(50	)	
Net loss on extinguishment of debt	—			1		 	(1	)	 	(100	)	 	—			16		 	(16	)	 	(100	)	
Operating losses	42			77		 	(35	)	 	(45	)	 	503			277		 	226		 	82		
FDIC premium/regulatory exams	41			54		 	(13	)	 	(24	)	 	181			233		 	(52	)	 	(22	)	
Other noninterest expense	203			261		 	(58	)	 	(22	)	 	862			1,233		 	(371	)	 	(30	)	
     Total noninterest expense	1,377			1,510		 	(133	)	 	(9	)	 	5,880			6,323		 	(443	)	 	(7	)	
INCOME BEFORE PROVISION FOR
INCOME TAXES	549			423		 	126		 	30		 	1,634			2,757		 	(1,123	)	 	(41	)	
Provision for income taxes	122			62		 	60		 	97		 	273			773		 	(500	)	 	(65	)	
INCOME INCLUDING INCOME ATTRIBUTABLE
TO NONCONTROLLING INTEREST	427			361		 	66		 	18		 	1,361			1,984		 	(623	)	 	(31	)	
Net income attributable to noncontrolling interest	1			5		 	(4	)	 	(80	)	 	17			26		 	(9	)	 	(35	)	
     NET INCOME		$426				$356		 		$70		 	20	 %	 		$1,344				$1,958		 		($614	)	 	(31	)%	
NET INCOME AVAILABLE TO COMMON SHAREHOLDERS		$413				$350		 		$63		 	18	 %	 		$1,297				$1,931		 		($634	)	 	(33	)%	
Net interest income - FTE  2	1,247			1,276		 	(29	)	 	(2	)	 	4,980			5,225		 	(245	)	 	(5	)	
Net income per average common share	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
   Diluted	0.77			0.65		 	0.12		 	18		 	2.41			3.59		 	(1.18	)	 	(33	)	
Basic	0.78			0.66		 	0.12		 	18		 	2.43			3.62		 	(1.19	)	 	(33	)	
Cash dividends paid per common share	0.10			0.05		 	0.05		 	100		 	0.35			0.20		 	0.15		 	75		
Average common shares outstanding (000s)	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Diluted	537,921			539,618		 	(1,697	)	 	—		 	539,093			538,061		 	1,032		 	—		
Basic	532,492			535,012		 	(2,520	)	 	—		 	534,283			534,149		 	134		 	—		
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
1 PIN interchange fees are presented in card fees along with other interchange fee income for the three and twelve months ended December 31 , 2013 . Previously, these PIN interchange fees were presented in other charges and fees and therefore, for comparative purposes, $20 million and $76 million of PIN interchange fees have been reclassified to card fees for the three and twelve months ended December 31 , 2012 , respectively.
2 Net interest income includes the effects of FTE adjustments using a federal tax rate of 35% and state income taxes where applicable to increase tax-exempt interest income to a taxable-equivalent basis. See Appendix A for a reconcilement of this non-GAAP measure to the related GAAP measure.
3 “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
(Dollars in millions, except per share data) (Unaudited)

																											
 	Three Months Ended	 	 	 	Three Months Ended    	
 	December 31	 	September 30	 	Increase/(Decrease)	 	June 30	 	March 31	 	December 31	
 	2013	 	2013	 	Amount    	 	  % 3	 	2013	 	2013	 	2012	
Interest income		$1,343		 		$1,339		 		$4		 	—	 %	 		$1,347		 		$1,359		 		$1,396		
Interest expense	130		 	131		 	(1	)	 	(1	)	 	136		 	138		 	150		
NET INTEREST INCOME	1,213		 	1,208		 	5		 	—		 	1,211		 	1,221		 	1,246		
Provision for credit losses	101		 	95		 	6		 	6		 	146		 	212		 	328		
NET INTEREST INCOME AFTER PROVISION FOR CREDIT LOSSES	1,112		 	1,113		 	(1	)	 	—		 	1,065		 	1,009		 	918		
NONINTEREST INCOME	 	 	 	 	 	 	 	 	 	 	 	 	 	
Service charges on deposit accounts	165		 	168		 	(3	)	 	(2	)	 	164		 	160		 	173		
Trust and investment management income	131		 	133		 	(2	)	 	(2	)	 	130		 	124		 	125		
Retail investment services	69		 	68		 	1		 	1		 	69		 	61		 	60		
Other charges and fees	92		 	91		 	1		 	1		 	97		 	89		 	97		
Investment banking income	96		 	99		 	(3	)	 	(3	)	 	93		 	68		 	112		
Trading income	57		 	33		 	24		 	73		 	49		 	42		 	65		
Card fees 1	79		 	77		 	2		 	3		 	78		 	76		 	78		
Mortgage production related income/(loss)	31		 	(10	)	 	41		 	NM		 	133		 	159		 	241		
Mortgage servicing related income	38		 	11		 	27		 	NM		 	1		 	38		 	45		
Other noninterest income	55		 	10		 	45		 	NM		 	44		 	44		 	18		
Net securities gains	1		 	—		 	1		 	NM		 	—		 	2		 	1		
     Total noninterest income	814		 	680		 	134		 	20		 	858		 	863		 	1,015		
NONINTEREST EXPENSE	 	 	 	 	 	 	 	 	 	 	 	 	 	
Employee compensation and benefits	723		 	682		 	41		 	6		 	737		 	759		 	738		
Net occupancy expense	87		 	86		 	1		 	1		 	86		 	89		 	91		
Outside processing and software	191		 	190		 	1		 	1		 	187		 	178		 	183		
Equipment expense	45		 	45		 	—		 	—		 	46		 	45		 	48		
Marketing and customer development	40		 	34		 	6		 	18		 	31		 	30		 	50		
Amortization of intangible assets	5		 	6		 	(1	)	 	(17	)	 	6		 	6		 	7		
Net loss on extinguishment of debt	—		 	—		 	—		 	—		 	—		 	—		 	1		
Operating losses	42		 	350		 	(308	)	 	(88	)	 	72		 	39		 	77		
FDIC premium/regulatory exams	41		 	45		 	(4	)	 	(9	)	 	41		 	54		 	54		
Other noninterest expense	203		 	305		 	(102	)	 	(33	)	 	191		 	163		 	261		
     Total noninterest expense	1,377		 	1,743		 	(366	)	 	(21	)	 	1,397		 	1,363		 	1,510		
INCOME BEFORE PROVISION/(BENEFIT) FOR INCOME TAXES	549		 	50		 	499		 	NM		 	526		 	509		 	423		
Provision/(benefit) for income taxes	122		 	(146	)	 	268		 	NM		 	146		 	151		 	62		
INCOME INCLUDING INCOME ATTRIBUTABLE
TO NONCONTROLLING INTEREST	427		 	196		 	231		 	NM		 	380		 	358		 	361		
Net income attributable to noncontrolling interest	1		 	7		 	(6	)	 	(86	)	 	3		 	6		 	5		
     NET INCOME		$426		 		$189		 		$237		 	NM		 		$377		 		$352		 		$356		
NET INCOME AVAILABLE TO COMMON SHAREHOLDERS		$413		 		$179		 		$234		 	NM		 		$365		 		$340		 		$350		
Net interest income - FTE  2	1,247		 	1,240		 	7		 	1		 	1,242		 	1,251		 	1,276		
Net income per average common share	 	 	 	 	 	 	 	 	 	 	 	 	 	
Diluted	0.77		 	0.33		 	0.44		 	NM		 	0.68		 	0.63		 	0.65		
Basic	0.78		 	0.33		 	0.45		 	NM		 	0.68		 	0.64		 	0.66		
Cash dividends paid per common share	0.10		 	0.10		 	—		 	—		 	0.10		 	0.05		 	0.05		
Average common shares outstanding (000s)	 	 	 	 	 	 	 	 	 	 	 	 	 	
Diluted	537,921		 	538,850		 	(929	)	 	—		 	539,763		 	539,862		 	539,618		
Basic	532,492		 	533,829		 	(1,337	)	 	—		 	535,172		 	535,680		 	535,012		

1 PIN interchange fees are presented along with other interchange fee income in card fees for the four quarters in 2013. Previously, these PIN interchange fees were presented in other charges and fees and therefore, for comparative purposes, $20 million of PIN interchange fees have been reclassified to card fees for the three months ended December 31, 2012.
2 Net interest income includes the effects of FTE adjustments using a federal tax rate of 35% and state income taxes where applicable to increase tax-exempt interest income to a taxable-equivalent basis. See Appendix A for a reconcilement of this non-GAAP measure to the related GAAP measure.
3 “NM” - Not meaningful. Those changes over 100 percent were not considered to be meaningful.

14

SunTrust Banks, Inc. and Subsidiaries
CONSOLIDATED BALANCE SHEETS
(Dollars in millions and shares in thousands) (Unaudited)

															
 	December 31	 	Increase/(Decrease)	
 	2013	 	2012	 	Amount	 	  % 3	
ASSETS	 	 	 	 	 	 	 	
Cash and due from banks		$4,258		 		$7,134		 		($2,876	)	 	(40	)%	
Federal funds sold and securities borrowed or purchased under agreements to resell	983		 	1,101		 	(118	)	 	(11	)	
Interest-bearing deposits in other banks	22		 	22		 	—		 	—		
Trading assets and derivatives 1	5,040		 	6,227		 	(1,187	)	 	(19	)	
Securities available for sale	22,542		 	21,953		 	589		 	3		
Loans held for sale	1,699		 	3,399		 	(1,700	)	 	(50	)	
Loans held for investment:	 	 	 	 	 	 	 	
Commercial and industrial	57,974		 	54,048		 	3,926		 	7		
Commercial real estate	5,481		 	4,127		 	1,354		 	33		
Commercial construction	855		 	713		 	142		 	20		
Residential mortgages - guaranteed	3,416		 	4,252		 	(836	)	 	(20	)	
Residential mortgages - nonguaranteed	24,412		 	23,389		 	1,023		 	4		
Residential home equity products	14,809		 	14,805		 	4		 	—		
Residential construction	553		 	753		 	(200	)	 	(27	)	
Consumer student loans - guaranteed	5,545		 	5,357		 	188		 	4		
Consumer other direct	2,829		 	2,396		 	433		 	18		
Consumer indirect	11,272		 	10,998		 	274		 	2		
Consumer credit cards	731		 	632		 	99		 	16		
Total loans held for investment	127,877		 	121,470		 	6,407		 	5		
Allowance for loan and lease losses	(2,044	)	 	(2,174	)	 	(130	)	 	(6	)	
Net loans held for investment	125,833		 	119,296		 	6,537		 	5		
Goodwill	6,369		 	6,369		 	—		 	—		
Other intangible assets	1,334		 	956		 	378		 	40		
Other real estate owned	170		 	264		 	(94	)	 	(36	)	
Other assets	7,085		 	6,721		 	364		 	5		
Total assets 2		$175,335		 		$173,442		 		$1,893		 	1	 %	
LIABILITIES	 	 	 	 	 	 	 	
Deposits:	 	 	 	 	 	 	 	
Noninterest-bearing consumer and commercial deposits		$38,800		 		$39,481		 		($681	)	 	(2	)%	
Interest-bearing consumer and commercial deposits:	 	 	 	 	 	 	 	
NOW accounts	28,164		 	27,617		 	547		 	2		
Money market accounts	41,873		 	42,846		 	(973	)	 	(2	)	
Savings	5,842		 	5,314		 	528		 	10		
Consumer time	8,475		 	9,569		 	(1,094	)	 	(11	)	
Other time	4,581		 	5,353		 	(772	)	 	(14	)	
Total consumer and commercial deposits	127,735		 	130,180		 	(2,445	)	 	(2	)	
Brokered time deposits	2,024		 	2,136		 	(112	)	 	(5	)	
Total deposits	129,759		 	132,316		 	(2,557	)	 	(2	)	
Funds purchased	1,192		 	617		 	575		 	93		
Securities sold under agreements to repurchase	1,759		 	1,574		 	185		 	12		
Other short-term borrowings	5,788		 	3,303		 	2,485		 	75		
Long-term debt	10,700		 	9,357		 	1,343		 	14		
Trading liabilities and derivatives 1	1,181		 	1,176		 	5		 	—		
Other liabilities	3,534		 	4,114		 	(580	)	 	(14	)	
Total liabilities	153,913		 	152,457		 	1,456		 	1		
SHAREHOLDERS' EQUITY	 	 	 	 	 	 	 	
Preferred stock, no par value	725		 	725		 	—		 	—		
Common stock, $1.00 par value	550		 	550		 	—		 	—		
Additional paid in capital	9,115		 	9,174		 	(59	)	 	(1	)	
Retained earnings	11,936		 	10,817		 	1,119		 	10		
Treasury stock, at cost, and other	(615	)	 	(590	)	 	25		 	4		
Accumulated other comprehensive (loss)/income	(289	)	 	309		 	(598	)	 	NM		
Total shareholders' equity	21,422		 	20,985		 	437		 	2		
Total liabilities and shareholders' equity		$175,335		 		$173,442		 		$1,893		 	1	 %	
 	 	 	 	 	 	 	 	
Common shares outstanding	536,097		 	538,959		 	(2,862	)	 	(1	)%	
Common shares authorized	750,000		 	750,000		 	—		 	—		
Preferred shares outstanding	7		 	7		 	—		 	—		
Preferred shares authorized	50,000		 	50,000		 	—		 	—		
Treasury shares of common stock	13,824		 	10,962		 	2,862		 	26		
1 Certain derivative assets of $37 million and derivative liabilities of $49 million are presented in trading assets and derivatives and trading liabilities and derivatives, respectively, at December 31, 2013 . Previously, these derivative assets and liabilities were presented in other assets and other liabilities, respectively. For comparative purposes, $178 million of derivative assets and $15 million of derivative liabilities have been reclassified to trading assets and derivatives and trading liabilities and derivatives, respectively, at December 31, 2012 .
2 Includes earning assets of $156,978 and $151,223 at December 31 , 2013 and 2012 , respectively.
3 “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) (Unaudited)

																											
 	December 31	 	September 30	 	Increase/(Decrease)	 	June 30	 	March 31	 	December 31	
 	2013	 	2013	 	Amount    	 	  %	 	2013	 	2013	 	2012	
ASSETS	 	 	 	 	 	 	 	 	 	 	 	 	 	
Cash and due from banks		$4,258		 		$3,041		 		$1,217		 	40	 %	 		$3,027		 		$4,787		 		$7,134		
Federal funds sold and securities borrowed or purchased under agreements to resell	983		 	1,222		 	(239	)	 	(20	)	 	1,111		 	1,154		 	1,101		
Interest-bearing deposits in other banks	22		 	23		 	(1	)	 	(4	)	 	21		 	21		 	22		
Trading assets and derivatives 1	5,040		 	5,794		 	(754	)	 	(13	)	 	6,076		 	6,371		 	6,227		
Securities available for sale	22,542		 	22,626		 	(84	)	 	—		 	23,389		 	23,823		 	21,953		
Loans held for sale	1,699		 	2,462		 	(763	)	 	(31	)	 	3,647		 	3,193		 	3,399		
Loans held for investment:	 	 	 	 	 	 	 	 	 	 	 	 	 	
Commercial and industrial	57,974		 	55,943		 	2,031		 	4		 	55,070		 	54,343		 	54,048		
Commercial real estate	5,481		 	4,755		 	726		 	15		 	4,308		 	4,261		 	4,127		
Commercial construction	855		 	737		 	118		 	16		 	667		 	634		 	713		
Residential mortgages - guaranteed	3,416		 	3,527		 	(111	)	 	(3	)	 	3,622		 	3,930		 	4,252		
Residential mortgages - nonguaranteed	24,412		 	24,106		 	306		 	1		 	23,341		 	23,051		 	23,389		
Residential home equity products	14,809		 	14,826		 	(17	)	 	—		 	14,682		 	14,617		 	14,805		
Residential construction	553		 	582		 	(29	)	 	(5	)	 	635		 	683		 	753		
Consumer student loans - guaranteed	5,545		 	5,489		 	56		 	1		 	5,431		 	5,275		 	5,357		
Consumer other direct	2,829		 	2,670		 	159		 	6		 	2,483		 	2,387		 	2,396		
Consumer indirect	11,272		 	11,035		 	237		 	2		 	11,151		 	11,009		 	10,998		
Consumer credit cards	731		 	670		 	61		 	9		 	641		 	614		 	632		
Total loans held for investment	127,877		 	124,340		 	3,537		 	3		 	122,031		 	120,804		 	121,470		
Allowance for loan and lease losses	(2,044	)	 	(2,071	)	 	(27	)	 	(1	)	 	(2,125	)	 	(2,152	)	 	(2,174	)	
Net loans held for investment	125,833		 	122,269		 	3,564		 	3		 	119,906		 	118,652		 	119,296		
Goodwill	6,369		 	6,369		 	—		 	—		 	6,369		 	6,369		 	6,369		
Other intangible assets	1,334		 	1,287		 	47		 	4		 	1,244		 	1,076		 	956		
Other real estate owned	170		 	196		 	(26	)	 	(13	)	 	198		 	224		 	264		
Other assets	7,085		 	6,488		 	597		 	9		 	6,558		 	6,765		 	6,721		
Total assets 2		$175,335		 		$171,777		 		$3,558		 	2	 %	 		$171,546		 		$172,435		 		$173,442		
LIABILITIES	 	 	 	 	 	 	 	 	 	 	 	 	 	
Deposits:	 	 	 	 	 	 	 	 	 	 	 	 	 	
Noninterest-bearing consumer and commercial deposits		$38,800		 		$39,006		 		($206	)	 	(1	)%	 		$37,999		 		$38,593		 		$39,481		
Interest-bearing consumer and commercial deposits:	 	 	 	 	 	 	 	 	 	 	 	 		
NOW accounts	28,164		 	25,495		 	2,669		 	10		 	26,106		 	26,736		 	27,617		
Money market accounts	41,873		 	43,106		 	(1,233	)	 	(3	)	 	41,684		 	42,231		 	42,846		
Savings	5,842		 	5,778		 	64		 	1		 	5,819		 	5,769		 	5,314		
Consumer time	8,475		 	8,742		 	(267	)	 	(3	)	 	9,050		 	9,281		 	9,569		
Other time	4,581		 	4,734		 	(153	)	 	(3	)	 	4,930		 	5,125		 	5,353		
Total consumer and commercial deposits	127,735		 	126,861		 	874		 	1		 	125,588		 	127,735		 	130,180		
Brokered time deposits	2,024		 	2,022		 	2		 	—		 	2,006		 	2,080		 	2,136		
Foreign deposits	—		 	—		 	—		 	—		 	25		 	100		 	—		
Total deposits	129,759		 	128,883		 	876		 	1		 	127,619		 	129,915		 	132,316		
Funds purchased	1,192		 	934		 	258		 	28		 	420		 	605		 	617		
Securities sold under agreements to repurchase	1,759		 	1,574		 	185		 	12		 	1,869		 	1,854		 	1,574		
Other short-term borrowings	5,788		 	4,479		 	1,309		 	29		 	5,825		 	4,169		 	3,303		
Long-term debt	10,700		 	9,985		 	715		 	7		 	9,818		 	9,331		 	9,357		
Trading liabilities and derivatives 1	1,181		 	1,346		 	(165	)	 	(12	)	 	1,310		 	1,376		 	1,176		
Other liabilities	3,534		 	3,506		 	28		 	1		 	3,678		 	3,991		 	4,114		
Total liabilities	153,913		 	150,707		 	3,206		 	2		 	150,539		 	151,241		 	152,457		
SHAREHOLDERS’ EQUITY	 	 	 	 	 	 	 	 	 	 	 	 	 	
Preferred stock, no par value	725		 	725		 	—		 	—		 	725		 	725		 	725		
Common stock, $1.00 par value	550		 	550		 	—		 	—		 	550		 	550		 	550		
Additional paid in capital	9,115		 	9,117		 	(2	)	 	—		 	9,126		 	9,132		 	9,174		
Retained earnings	11,936		 	11,573		 	363		 	3		 	11,447		 	11,133		 	10,817		
Treasury stock, at cost, and other	(615	)	 	(579	)	 	36		 	6		 	(558	)	 	(531	)	 	(590	)	
Accumulated other comprehensive (loss)/income	(289	)	 	(316	)	 	27		 	9		 	(283	)	 	185		 	309		
Total shareholders’ equity	21,422		 	21,070		 	352		 	2		 	21,007		 	21,194		 	20,985		
Total liabilities and shareholders’ equity		$175,335		 		$171,777		 		$3,558		 	2	 %	 		$171,546		 		$172,435		 		$173,442		
 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Common shares outstanding	536,097		 	537,549		 	(1,452	)	 	—	%	 	538,653		 	540,187		 	538,959		
Common shares authorized	750,000		 	750,000		 	—		 	—		 	750,000		 	750,000		 	750,000		
Preferred shares outstanding	7		 	7		 	—		 	—		 	7		 	7		 	7		
Preferred shares authorized	50,000		 	50,000		 	—		 	—		 	50,000		 	50,000		 	50,000		
Treasury shares of common stock	13,824		 	12,372		 	1,452		 	12		 	11,268		 	9,734		 	10,962		
1 Certain derivative assets of $37 million and derivative liabilities of $49 million are presented in trading assets and derivatives and trading liabilities and derivatives, respectively, at December 31, 2013 . Previously, these derivative assets and liabilities were presented in other assets and other liabilities, respectively. For comparative purposes, $63 million, $252 million, $121 million, and $178 million of derivative assets and $82 million, $134 million, $28 million, and $15 million of derivative liabilities have been reclassified to trading assets and derivatives and trading liabilities and derivatives at September 30 , 2013 , June 30 , 2013 , March 31 , 2013 , and December 31 , 2012 , respectively.
2 Includes earning assets of $156,978 , $154,849 , $154,430 , $152,783 , and $151,223 at December 31 , 2013 , September 30 , 2013 , June 30 , 2013 , March 31 , 2013 , and December 31 , 2012 , respectively.

16

	
																																				
SunTrust Banks, Inc. and Subsidiaries
CONSOLIDATED DAILY AVERAGE BALANCES,
AVERAGE YIELDS EARNED AND RATES PAID
(Dollars in millions; yields on taxable-equivalent basis) (Unaudited)	 	 	 	 	
 	Three Months Ended	 	Increase/(Decrease) From	
 	December 31, 2013	 	September 30, 2013	 	Sequential Quarter	 	Prior Year Quarter	
 	Average
Balances  		Interest
Income/
Expense  		Yields/
Rates	 	Average
Balances	 	Interest
Income/
Expense  	 	Yields/
Rates	 	Average
Balances	 	Yields/
Rates	 	Average
Balances  	 	Yields/
Rates	
ASSETS	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Loans:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Commercial and industrial - FTE  1		$56,208				$545			3.85	%	 		$54,666		 		$535		 	3.88	%	 		$1,542		 	(0.03	)	 	$3,580	 	(0.49	)	
Commercial real estate	5,071			39			3.07		 	4,615		 	37		 	3.18		 	456		 	(0.11	)	 	843		 	(0.59	)	
Commercial construction	809			7			3.29		 	704		 	6		 	3.38		 	105		 	(0.09	)	 	108		 	(0.34	)	
Residential mortgages - guaranteed	3,470			24			2.81		 	3,526		 	28		 	3.14		 	(56	)	 	(0.33	)	 	(1,136	)	 	0.32		
Residential mortgages - nonguaranteed	23,892			241			4.04		 	23,258		 	238		 	4.09		 	634		 	(0.05	)	 	975		 	(0.28	)	
Home equity products	14,623			133			3.60		 	14,549		 	133		 	3.63		 	74		 	(0.03	)	 	(16	)	 	(0.06	)	
Residential construction	494			6			4.69		 	529		 	7		 	4.88		 	(35	)	 	(0.19	)	 	(165	)	 	(0.32	)	
Guaranteed student loans	5,512			52			3.76		 	5,453		 	52		 	3.81		 	59		 	(0.05	)	 	(261	)	 	(0.02	)	
Other direct	2,740			30			4.31		 	2,563		 	28		 	4.33		 	177		 	(0.02	)	 	392		 	0.09		
Indirect	11,149			93			3.32		 	11,069		 	94		 	3.36		 	80		 	(0.04	)	 	266		 	(0.38	)	
Credit cards	693			17			9.60		 	656		 	16		 	9.73		 	37		 	(0.13	)	 	88		 	0.10		
Nonaccrual	988			6			2.30		 	1,084		 	6		 	2.37		 	(96	)	 	(0.07	)	 	(612	)	 	0.04		
Total loans	125,649			1,193			3.77		 	122,672		 	1,180		 	3.81		 	2,977		 	(0.04	)	 	4,062		 	(0.30	)	
Securities available for sale:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Taxable	21,995			147			2.67		 	22,494		 	140		 	2.49		 	(499	)	 	0.18		 	1,705		 	0.03		
Tax-exempt - FTE  1	233			3			5.12		 	243		 	3		 	5.16		 	(10	)	 	(0.04	)	 	(95	)	 	(0.15	)	
    Total securities available for sale	22,228			150			2.70		 	22,737		 	143		 	2.52		 	(509	)	 	0.18		 	1,610		 	0.02		
Federal funds sold and securities borrowed or purchased under agreements to resell	871			—			0.02		 	1,029		 	—		 	0.01		 	(158	)	 	0.01		 	(109	)	 	(0.06	)	
Loans held for sale	1,767			17			3.80		 	3,344		 	30		 	3.58		 	(1,577	)	 	0.22		 	(2,002	)	 	0.86		
Interest-bearing deposits	19			—			0.06		 	22		 	—		 	0.11		 	(3	)	 	(0.05	)	 	(4	)	 	(0.08	)	
Interest earning trading assets	4,130			17			1.66		 	4,446		 	18		 	1.64		 	(316	)	 	0.02		 	(118	)	 	0.11		
Total earning assets	154,664			1,377			3.53		 	154,250		 	1,371		 	3.53		 	414		 	—		 	3,439		 	(0.22	)	
Allowance for loan and lease losses	(2,051	)		 	 	 	 	(2,112	)	 	 	 	 	 	61		 	 	 	187		 	 	
Cash and due from banks	5,335			 	 	 	 	3,867		 	 	 	 	 	1,468		 	 	 	(2,713	)	 	 	
Other assets	14,321			 	 	 	 	14,396		 	 	 	 	 	(75	)	 	 	 	(133	)	 	 	
Noninterest earning trading assets	1,385			 	 	 	 	1,389		 	 	 	 	 	(4	)	 	 	 	(689	)	 	 	
Unrealized gains on securities available for sale, net	137			 	 	 	 	48		 	 	 	 	 	89		 	 	 	(810	)	 	 	
Total assets		$173,791			 	 	 	 		$171,838		 	 	 	 	 		$1,953		 	 	 		($719	)	 	 	
LIABILITIES AND SHAREHOLDERS’ EQUITY	 		 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Interest-bearing deposits:	 		 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
NOW accounts	$26,504			$4			0.06	%	 		$25,435		 		$4		 	0.06	%	 		$1,069		 	—		 		$914		 	(0.02	)	
Money market accounts	42,756			13			0.12		 	43,019		 	13		 	0.12		 	(263	)	 	—		 	304		 	(0.05	)	
Savings	5,816			—			0.04		 	5,802		 	1		 	0.04		 	14		 	—		 	585		 	(0.04	)	
Consumer time	8,605			24			1.09		 	8,895		 	25		 	1.12		 	(290	)	 	(0.03	)	 	(1,126	)	 	(0.08	)	
Other time	4,645			14			1.19		 	4,830		 	15		 	1.26		 	(185	)	 	(0.07	)	 	(844	)	 	(0.12	)	
Total interest-bearing consumer and commercial deposits	88,326			55			0.25		 	87,981		 	58		 	0.26		 	345		 	(0.01	)	 	(167	)	 	(0.07	)	
Brokered time deposits	2,008			12			2.37		 	1,989		 	12		 	2.44		 	19		 	(0.07	)	 	(144	)	 	(0.34	)	
Foreign deposits	2			—			—		 	18		 	—		 	0.11		 	(16	)	 	(0.11	)	 	(112	)	 	(0.17	)	
Total interest-bearing deposits	90,336			67			0.30		 	89,988		 	70		 	0.31		 	348		 	(0.01	)	 	(423	)	 	(0.08	)	
Funds purchased	681			—			0.09		 	505		 	—		 	0.09		 	176		 	—		 	(130	)	 	(0.02	)	
Securities sold under agreements to repurchase	1,957			1			0.11		 	1,885		 	1		 	0.13		 	72		 	(0.02	)	 	289		 	(0.10	)	
Interest-bearing trading liabilities	627			4			2.75		 	720		 	5		 	2.58		 	(93	)	 	0.17		 	(92	)	 	0.63		
Other short-term borrowings	5,424			4			0.27		 	5,222		 	3		 	0.27		 	202		 	—		 	367		 	(0.05	)	
Long-term debt	10,525			54			2.04		 	9,891		 	52		 	2.06		 	634		 	(0.02	)	 	34		 	(0.03	)	
Total interest-bearing liabilities	109,550			130			0.47		 	108,211		 	131		 	0.48		 	1,339		 	(0.01	)	 	45		 	(0.07	)	
Noninterest-bearing deposits	39,134			 	 	 	 	38,637		 	 	 	 	 	497		 	 	 	(280	)	 	 	
Other liabilities	3,336			 	 	 	 	3,486		 	 	 	 	 	(150	)	 	 	 	(986	)	 	 	
Noninterest-bearing trading liabilities	520			 	 	 	 	477		 	 	 	 	 	43		 	 	 	(119	)	 	 	
Shareholders’ equity	21,251			 	 	 	 	21,027		 	 	 	 	 	224		 	 	 	621		 	 	
Total liabilities and shareholders’ equity		$173,791			 	 	 	 		$171,838		 	 	 	 	 		$1,953		 	 	 		($719	)	 	 	
Interest Rate Spread	 		 		3.06	%	 	 	 	 	 	3.05	%	 	 	 	0.01		 	 	 	(0.15	)	
Net Interest Income - FTE  1	 			$1,247			 	 	 	 		$1,240		 	 	 	 	 	 	 	 	 	 	
Net Interest Margin  2	 		 		3.20	%	 	 	 	 	 	3.19	%	 	 	 	0.01		 	 	 	(0.16	)	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
1 The fully taxable-equivalent(“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.
2 The net interest margin is calculated by dividing annualized net interest income - FTE by average total earning assets.

17

 

																																	
SunTrust Banks, Inc. and Subsidiaries
CONSOLIDATED DAILY AVERAGE BALANCES,
AVERAGE YIELDS EARNED AND RATES PAID, continued
(Dollars in millions; yields on taxable-equivalent basis) (Unaudited)	
  	Three Months Ended	
 	June 30, 2013	 	March 31, 2013	 	December 31, 2012	
 	Average
Balances  	 	Interest
Income/
Expense  	 	Yields/
Rates	 	Average
Balances  	 	Interest
Income/
Expense  	 	Yields/
Rates	 	Average
Balances  		Interest
Income/
Expense  		Yields/
Rates	
ASSETS	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Loans:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Commercial and industrial - FTE  1		$54,490		 		$544		 	4.01	%	 		$53,763		 		$556		 	4.20	%	 		$52,628				$575			4.34	%	
Commercial real estate	4,262		 	35		 	3.27		 	4,092		 	35		 	3.50		 	4,228			39			3.66		
Commercial construction	628		 	5		 	3.47		 	663		 	6		 	3.75		 	701			6			3.63		
Residential mortgages - guaranteed	3,768		 	27		 	2.86		 	4,079		 	27		 	2.62		 	4,606			29			2.49		
Residential mortgages -nonguaranteed	22,470		 	242		 	4.30		 	22,386		 	238		 	4.25		 	22,917			248			4.32		
Home equity products	14,358		 	131		 	3.65		 	14,363		 	129		 	3.64		 	14,639			135			3.66		
Residential construction	559		 	8		 	5.46		 	615		 	7		 	4.61		 	659			8			5.01		
Guaranteed student loans	5,339		 	50		 	3.78		 	5,397		 	52		 	3.92		 	5,773			55			3.78		
Other direct	2,434		 	27		 	4.41		 	2,398		 	26		 	4.43		 	2,348			25			4.22		
Indirect	11,073		 	94		 	3.41		 	10,996		 	96		 	3.53		 	10,883			101			3.70		
Credit cards	617		 	15		 	9.80		 	617		 	15		 	9.52		 	605			14			9.50		
Nonaccrual	1,374		 	9		 	2.76		 	1,513		 	11		 	2.91		 	1,600			9			2.26		
Total loans	121,372		 	1,187		 	3.92		 	120,882		 	1,198		 	4.02		 	121,587			1,244			4.07		
Securities available for sale:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Taxable	22,834		 	141		 	2.46		 	22,209		 	140		 	2.53		 	20,290			134			2.64		
Tax-exempt - FTE 1	263		 	3		 	5.18		 	294		 	4		 	5.22		 	328			4			5.27		
    Total securities available for sale	23,097		 	144		 	2.49		 	22,503		 	144		 	2.57		 	20,618			138			2.68		
Federal funds sold and securities borrowed or purchased
under agreements to resell	1,107		 	—		 	—		 	1,092		 	—		 	0.04		 	980			—			0.08		
Loans held for sale	3,540		 	29		 	3.26		 	3,752		 	31		 	3.29		 	3,769			28			2.94		
Interest-bearing deposits	21		 	—		 	0.06		 	21		 	—		 	0.13		 	23			—			0.14		
Interest earning trading assets	4,358		 	18		 	1.60		 	4,221		 	16		 	1.53		 	4,248			16			1.55		
Total earning assets	153,495		 	1,378		 	3.60		 	152,471		 	1,389		 	3.69		 	151,225			1,426			3.75		
Allowance for loan and lease losses	(2,143	)	 	 	 	 	 	(2,178	)	 	 	 	 	 	(2,238	)		 	 	 	
Cash and due from banks	4,453		 	 	 	 	 	4,462		 	 	 	 	 	8,048			 	 	 	
Other assets	14,346		 	 	 	 	 	14,342		 	 	 	 	 	14,454			 	 	 	
Noninterest earning trading assets	1,699		 	 	 	 	 	1,917		 	 	 	 	 	2,074			 	 	 	
Unrealized gains on securities available for sale, net	687		 	 	 	 	 	794		 	 	 	 	 	947			 	 	 	
Total assets		$172,537		 	 	 	 	 		$171,808		 	 	 	 	 		$174,510			 	 	 	
LIABILITIES AND SHAREHOLDERS’ EQUITY	 	 	 	 	 	 	 	 	 	 	 	 	 		 	 	 	
Interest-bearing deposits:	 	 	 	 	 	 	 	 	 	 	 	 	 		 	 	 	
NOW accounts		$26,015		 		$4		 	0.06	%	 		$26,383		 		$5		 	0.08	%	 		$25,590				$5			0.08	%	
Money market accounts	41,850		 	13		 	0.13		 	42,995		 	15		 	0.15		 	42,452			18			0.17		
Savings	5,808		 	1		 	0.05		 	5,527		 	1		 	0.06		 	5,231			1			0.08		
Consumer time	9,163		 	26		 	1.15		 	9,421		 	27		 	1.16		 	9,731			29			1.17		
Other time	5,036		 	17		 	1.34		 	5,245		 	18		 	1.37		 	5,489			18			1.31		
Total interest-bearing consumer and commercial deposits	87,872		 	61		 	0.28		 	89,571		 	66		 	0.30		 	88,493			71			0.32		
Brokered time deposits	2,038		 	14		 	2.54		 	2,087		 	13		 	2.61		 	2,152			15			2.71		
Foreign deposits	37		 	—		 	0.13		 	83		 	—		 	0.15		 	114			—			0.17		
Total interest-bearing deposits	89,947		 	75		 	0.33		 	91,741		 	79		 	0.35		 	90,759			86			0.38		
Funds purchased	657		 	—		 	0.10		 	716		 	—		 	0.11		 	811			—			0.11		
Securities sold under agreements to repurchase	1,879		 	1		 	0.13		 	1,705		 	1		 	0.19		 	1,668			1			0.21		
Interest-bearing trading liabilities	751		 	4		 	2.29		 	723		 	4		 	2.21		 	719			4			2.12		
Other short-term borrowings	5,422		 	3		 	0.24		 	3,721		 	3		 	0.29		 	5,057			4			0.32		
Long-term debt	9,700		 	53		 	2.19		 	9,357		 	51		 	2.22		 	10,491			55			2.07		
Total interest-bearing liabilities	108,356		 	136		 	0.50		 	107,963		 	138		 	0.52		 	109,505			150			0.54		
Noninterest-bearing deposits	38,707		 	 	 	 	 	38,084		 	 	 	 	 	39,414			 	 	 	
Other liabilities	3,702		 	 	 	 	 	4,048		 	 	 	 	 	4,322			 	 	 	
Noninterest-bearing trading liabilities	500		 	 	 	 	 	596		 	 	 	 	 	639			 	 	 	
Shareholders’ equity	21,272		 	 	 	 	 	21,117		 	 	 	 	 	20,630			 	 	 	
Total liabilities and shareholders’ equity		$172,537		 	 	 	 	 		$171,808		 	 	 	 	 		$174,510			 	 	 	
Interest Rate Spread	 	 	 	 	3.10	%	 	 	 	 	 	3.17	%	 	 	 	 		3.21	%	
Net Interest Income - FTE 1	 	 		$1,242		 	 	 	 	 		$1,251		 	 	 	 			$1,276			 	
Net Interest Margin 2	 	 	 	 	3.25	%	 	 	 	 	 	3.33	%	 	 	 	 		3.36	%	

1  	The fully taxable-equivalent (“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.	
		
2  	The net interest margin is calculated by dividing annualized net interest income - FTE by average total earning assets.	

18

	
																													
SunTrust Banks, Inc. and Subsidiaries
CONSOLIDATED DAILY AVERAGE BALANCES,
AVERAGE YIELDS EARNED AND RATES PAID, continued
(Dollars in millions; yields on taxable-equivalent basis) (Unaudited)	
 	Twelve Months Ended	 	 	 	 	
 	December 31, 2013		December 31, 2012	Increase/(Decrease)	
 	Average
Balances  		Interest
Income/
Expense  		Yields/
Rates		Average
Balances		Interest
Income/
Expense  		Yields/
Rates	 	Average
Balances	 	Yields/
Rates	
ASSETS	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Loans:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
   Commercial and industrial - FTE  1		$54,788				$2,181			3.98	%			$51,228				$2,329			4.55	%	 		$3,560		 	(0.57	)	
   Commercial real estate	4,513			146			3.24			4,517			165			3.65		 	(4	)	 	(0.41	)	
   Commercial construction	701			24			3.46			816			31			3.79		 	(115	)	 	(0.33	)	
   Residential mortgages - guaranteed	3,708			106			2.85			5,589			165			2.96		 	(1,881	)	 	(0.11	)	
   Residential mortgages - nonguaranteed	23,007			958			4.17			22,621			1,023			4.52		 	386		 	(0.35	)	
   Home equity products	14,474			525			3.63			14,962			551			3.68		 	(488	)	 	(0.05	)	
   Residential construction	549			27			4.91			692			36			5.17		 	(143	)	 	(0.26	)	
   Guaranteed student loans	5,426			207			3.82			6,863			265			3.87		 	(1,437	)	 	(0.05	)	
   Other direct	2,535			111			4.37			2,226			97			4.34		 	309		 	0.03		
   Indirect	11,072			377			3.41			10,468			403			3.85		 	604		 	(0.44	)	
   Credit cards	646			62			9.66			567			57			10.06		 	79		 	(0.40	)	
   Nonaccrual	1,238			33			2.63			2,344			31			1.32		 	(1,106	)	 	1.31		
      Total loans	122,657			4,757			3.88			122,893			5,153			4.19		 	(236	)	 	(0.31	)	
Securities available for sale:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
   Taxable	22,383			569			2.54			21,875			640			2.93		 	508		 	(0.39	)	
   Tax-exempt - FTE  1	258			13			5.18			368			20			5.33		 	(110	)	 	(0.15	)	
     Total securities available for sale	22,641			582			2.57			22,243			660			2.97		 	398		 	(0.40	)	
Federal funds sold and securities borrowed or purchased
under agreements to resell	1,024			—			0.02			897			—			0.04		 	127		 	(0.02	)	
Loans held for sale	3,096			107			3.44			3,267			112			3.41		 	(171	)	 	0.03		
Interest-bearing deposits	21			—			0.09			22			—			0.21		 	(1	)	 	(0.12	)	
Interest earning trading assets	4,289			69			1.61			4,157			65			1.55		 	132		 	0.06		
      Total earning assets	153,728			5,515			3.59			153,479			5,990			3.90		 	249		 	(0.31	)	
Allowance for loan and lease losses	(2,121	)		 	 	 		(2,295	)		 	 	 	 	174		 	 	
Cash and due from banks	4,530			 	 	 		5,482			 	 	 	 	(952	)	 	 	
Other assets	14,287			 	 	 		14,854			 	 	 	 	(567	)	 	 	
Noninterest earning trading assets	1,660			 	 	 		2,184			 	 	 	 	(524	)	 	 	
Unrealized gains on securities available for sale, net	413			 	 	 		2,430			 	 	 	 	(2,017	)	 	 	
Total assets		$172,497			 	 	 			$176,134			 	 	 	 		($3,637	)	 	 	
LIABILITIES AND SHAREHOLDERS’ EQUITY	 		 	 	 		 	 	 	 	 	 	 	 	 	
Interest-bearing deposits:	 		 	 	 		 	 	 	 	 	 	 	 	 	
   NOW accounts		$26,083				$17			0.07	%			$25,155				$23			0.09	%	 		$928		 	(0.02	)	
   Money market accounts	42,655			54			0.13			42,101			88			0.21		 	554		 	(0.08	)	
   Savings	5,740			3			0.05			5,113			5			0.10		 	627		 	(0.05	)	
   Consumer time	9,018			102			1.13			10,597			145			1.37		 	(1,579	)	 	(0.24	)	
   Other time	4,937			64			1.29			5,954			91			1.52		 	(1,017	)	 	(0.23	)	
   Total interest-bearing consumer and commercial deposits	88,433			240			0.27			88,920			352			0.40		 	(487	)	 	(0.13	)	
   Brokered time deposits	2,030			51			2.49			2,204			77			3.42		 	(174	)	 	(0.93	)	
   Foreign deposits	35			—			0.13			51			—			0.17		 	(16	)	 	(0.04	)	
      Total interest-bearing deposits	90,498			291			0.32			91,175			429			0.47		 	(677	)	 	(0.15	)	
Funds purchased	639			1			0.10			798			1			0.11		 	(159	)	 	(0.01	)	
Securities sold under agreements to repurchase	1,857			3			0.14			1,602			3			0.18		 	255		 	(0.04	)	
Interest-bearing trading liabilities	705			17			2.45			676			15			2.24		 	29		 	0.21		
Other short-term borrowings	4,953			13			0.26			6,952			18			0.27		 	(1,999	)	 	(0.01	)	
Long-term debt	9,872			210			2.12			11,806			299			2.53		 	(1,934	)	 	(0.41	)	
      Total interest-bearing liabilities	108,524			535			0.49			113,009			765			0.68		 	(4,485	)	 	(0.19	)	
Noninterest-bearing deposits	38,643			 		 		37,329			 	 	 	 	1,314		 	 	
Other liabilities	3,602			 		 		4,348			 	 	 	 	(746	)	 	 	
Noninterest-bearing trading liabilities	561			 		 		953			 	 	 	 	(392	)	 	 	
Shareholders’ equity	21,167			 		 		20,495			 	 	 	 	672		 	 	
      Total liabilities and shareholders’ equity		$172,497			 		 			$176,134			 	 	 	 		($3,637	)	 	 	
Interest Rate Spread	 		 		3.10	%		 		 		3.22	%	 	 	 	(0.12	)	
Net Interest Income - FTE  1	 			$4,980			 		 			$5,225			 	 	 	 	 	
Net Interest Margin  2	 		 		3.24	%		 		 		3.40	%	 	 	 	(0.16	)	

1  	The fully taxable-equivalent (“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.	
		
2  	The net interest margin is calculated by dividing net interest income - FTE by average total earning assets.	

19

	
																														
SunTrust Banks, Inc. and Subsidiaries
OTHER FINANCIAL DATA
(Dollars in millions) (Unaudited)	
 	Three Months Ended December 31	 	Twelve Months Ended December 31	
 	 	 	 	 	Increase/(Decrease)	 	 	 	 	 	Increase/(Decrease)	
 	2013		2012	 	Amount	 	% 4	 	2013		2012	 	Amount	 	% 4	
CREDIT DATA	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Allowance for credit losses - beginning		$2,121				$2,289		 		($168	)	 	(7	)%	 		$2,219				$2,505		 		($286	)	 	(11	)%	
Provision/(benefit) for unfunded commitments	—			(5	)	 	5		 	100	 %	 	5			(3	)	 	8		 	NM		
Provision for loan losses:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Commercial	14			27		 	(13	)	 	(48	)	 	197			241		 	(44	)	 	(18	)	
Residential	60			274		 	(214	)	 	(78	)%	 	243			1,062		 	(819	)	 	(77	)	
Consumer	27			32		 	(5	)	 	(16	)	 	108			95		 	13		 	14		
Total provision for loan losses	101			333		 	(232	)	 	(70	)	 	548			1,398		 	(850	)	 	(61	)	
Charge-offs:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Commercial	(43	)		(111	)	 	(68	)	 	(61	)	 	(219	)		(457	)	 	(238	)	 	(52	)	
Residential	(102	)		(315	)	 	(213	)	 	(68	)	 	(531	)		(1,316	)	 	(785	)	 	(60	)	
Consumer	(30	)		(36	)	 	(6	)	 	(17	)	 	(119	)		(134	)	 	(15	)	 	(11	)	
Total charge-offs	(175	)		(462	)	 	(287	)	 	(62	)	 	(869	)		(1,907	)	 	(1,038	)	 	(54	)	
Recoveries:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Commercial	18			43		 	(25	)	 	(58	)	 	66			154		 	(88	)	 	(57	)	
Residential	20			10		 	10		 	100	 %	 	87			31		 	56		 	NM		
Consumer	9			11		 	(2	)	 	(18	)	 	38			41		 	(3	)	 	(7	)	
Total recoveries	47			64		 	(17	)	 	(27	)	 	191			226		 	(35	)	 	(15	)	
Net charge-offs	(128	)		(398	)	 	(270	)	 	(68	)	 	(678	)		(1,681	)	 	(1,003	)	 	(60	)	
Allowance for credit losses - ending		$2,094				$2,219		 		($125	)	 	(6	)%	 		$2,094				$2,219		 		($125	)	 	(6	)%	
Components:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Allowance for loan and lease losses		$2,044				$2,174		 		($130	)	 	(6	)%	 	 	 	 	 			 			
Unfunded commitments reserve	50			45		 	5		 	11		 	 	 	 	 			 			
Allowance for credit losses		$2,094				$2,219		 		($125	)	 	(6	)%	 	 	 	 	 			 			
Net charge-offs to average loans (annualized):	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Commercial	0.16	%		0.46	%	 	(0.30	)	 	(65	)%	 	0.25	%		0.53	%	 	(0.28	)	 	(53	)%	
Residential	0.75			2.75		 	(2.00	)	 	(73	)	 	1.04			2.82		 	(1.78	)	 	(63	)	
Consumer	0.42			0.53		 	(0.11	)	 	(21	)	 	0.41			0.46		 	(0.05	)	 	(11	)	
Total net charge-offs to total average loans	0.40	%		1.30	%	 	(0.90	)	 	(69	)%	 	0.55	%		1.37	%	 	(0.82	)	 	(60	)%	
Period Ended	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Nonaccrual/nonperforming loans:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Commercial		$247		 		$294		 		($47	)	 	(16	)%	 	 	 	 	 	 	 	 	
Residential	712		 	1,228		 	(516	)	 	(42	)	 	 	 	 	 	 	 	 	
Consumer	12		 	25		 	(13	)	 	(52	)	 	 	 	 	 	 	 	 	
Total nonaccrual/nonperforming loans	971		 	1,547		 	(576	)	 	(37	)	 	 	 	 	 	 	 	 	
Other real estate owned (“OREO”)	170		 	264		 	(94	)	 	(36	)	 	 	 	 	 	 	 	 	
Other repossessed assets	7		 	9		 	(2	)	 	(22	)	 	 	 	 	 	 	 	 	
Nonperforming loans held for sale ("LHFS")	17		 	37		 	(20	)	 	(54	)	 	 	 	 	 	 	 	 	
Total nonperforming assets		$1,165		 		$1,857		 		($692	)	 	(37	)%	 	 	 	 	 	 	 	 	
Accruing restructured loans		$2,749		 		$2,501		 		$248		 	10	%	 	 	 	 	 	 	 	 	
Nonaccruing restructured loans	391		 	639		 	(248	)	 	(39	)	 	 	 	 	 	 	 	 	
Accruing loans past due > 90 days (guaranteed)	1,180		 	722		 	458		 	63		 	 	 	 	 	 	 	 	
Accruing loans past due > 90 days (non-guaranteed)	48		 	60		 	(12	)	 	(20	)	 	 	 	 	 	 	 	 	
Accruing LHFS past due > 90 days	—		 	1		 	(1	)	 	(100	)	 	 	 	 	 	 	 	 	
Nonperforming loans to total loans	0.76	%	 	1.27	%	 	(0.51	)	 	(40	)%	 	 	 	 	 	 	 	 	
Nonperforming assets to total loans plus OREO,
other repossessed assets, and nonperforming LHFS	0.91		 	1.52		 	(0.61	)	 	(40	)	 	 	 	 	 	 	 	 	
Allowance to period-end loans 1,2	1.60		 	1.80		 	(0.20	)	 	(11	)	 	 	 	 	 	 	 	 	
Allowance to period-end loans,
excluding government guaranteed loans 1,2,3	1.72		 	1.95		 	(0.23	)	 	(12	)	 	 	 	 	 	 	 	 	
Allowance to nonperforming loans 1,2	212		 	142		 	70		 	49		 	 	 	 	 	 	 	 	
Allowance to annualized net charge-offs 1	4.03x		 	1.37x		 	2.66x		 	NM		 	 	 	 	 	 	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
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 See Appendix A for reconciliation of non-GAAP performance measures.
4 "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
(Dollars in millions) (Unaudited)	
 	Three Months Ended	
 	December 31	 	September 30	 	Increase/(Decrease)	 	June 30	 	March 31	 	December 31	
 	2013	 	2013	 	Amount	 	% 4	 	2013	 	2013	 	2012	
CREDIT DATA	 	 	 	 	 	 	 	 	 	 	 	 	 	
Allowance for credit losses - beginning		$2,121		 		$2,172		 		($51	)	 	(2	)%	 		$2,205		 		$2,219		 		$2,289		
Provision/(benefit) for unfunded commitments	—		 	3		 	(3	)	 	(100	)%	 	(6	)	 	8		 	(5	)	
Provision for loan losses:	 	 	 	 	 	 	 	 	 	 	 	 	 	
Commercial	14		 	77		 	(63	)	 	(82	)	 	42		 	64		 	27		
Residential	60		 	(6	)	 	66		 	NM		 	78		 	112		 	274		
Consumer	27		 	21		 	6		 	29		 	32		 	28		 	32		
Total provision for loan losses	101		 	92		 	9		 	10		 	152		 	204		 	333		
Charge-offs:	 	 	 	 	 	 	 	 	 	 	 	 	 	
Commercial	(43	)	 	(52	)	 	(9	)	 	(17	)	 	(64	)	 	(60	)	 	(111	)	
Residential	(102	)	 	(109	)	 	(7	)	 	(6	)	 	(143	)	 	(178	)	 	(315	)	
Consumer	(30	)	 	(28	)	 	2		 	7		 	(26	)	 	(35	)	 	(36	)	
Total charge-offs	(175	)	 	(189	)	 	(14	)	 	(7	)	 	(233	)	 	(273	)	 	(462	)	
Recoveries:	 	 	 	 	 	 	 	 	 	 	 	 	 	
Commercial	18		 	13		 	5		 	38		 	20		 	15		 	43		
Residential	20		 	21		 	(1	)	 	(5	)	 	24		 	22		 	10		
Consumer	9		 	9		 	—		 	—		 	10		 	10		 	11		
Total recoveries	47		 	43		 	4		 	9		 	54		 	47		 	64		
Net charge-offs	(128	)	 	(146	)	 	(18	)	 	(12	)	 	(179	)	 	(226	)	 	(398	)	
Allowance for credit losses - ending		$2,094		 		$2,121		 		($27	)	 	(1	)%	 		$2,172		 		$2,205		 		$2,219		
Components:	 	 	 	 	 	 	 	 	 	 	 	 	 	
Allowance for loan and lease losses		$2,044		 		$2,071		 		($27	)	 	(1	)%	 		$2,125		 		$2,152		 		$2,174		
Unfunded commitments reserve	50		 	50		 	—		 	—		 	47		 	53		 	45		
Allowance for credit losses		$2,094		 		$2,121		 		($27	)	 	(1	)%	 		$2,172		 		$2,205		 		$2,219		
Net charge-offs to average loans (annualized):	 	 	 	 	 	 	 	 	 	 	 	 	 	
Commercial	0.16	%	 	0.26	%	 	(0.10	)	 	(38	)%	 	0.29	%	 	0.32	%	 	0.46	%	
Residential	0.75		 	0.82		 	(0.07	)	 	(9	)	 	1.13		 	1.48		 	2.75		
Consumer	0.42		 	0.39		 	0.03		 	8		 	0.34		 	0.52		 	0.53		
Total net charge-offs to total average loans	0.40	%	 	0.47	%	 	(0.07	)	 	(15	)%	 	0.59	%	 	0.76	%	 	1.30	%	
Period Ended	 	 	 	 	 	 	 	 	 	 	 	 	 	
Nonaccrual/nonperforming loans:	 	 	 	 	 	 	 	 	 	 	 	 	 	
Commercial		$247		 		$275		 		($28	)	 	(10	)%	 		$304		 		$289		 		$294		
Residential	712		 	752		 	(40	)	 	(5	)	 	825		 	1,157		 	1,228		
Consumer	12		 	10		 	2		 	20		 	12		 	21		 	25		
Total nonaccrual/nonperforming loans	971		 	1,037		 	(66	)	 	(6	)	 	1,141		 	1,467		 	1,547		
OREO	170		 	196		 	(26	)	 	(13	)	 	198		 	223		 	264		
Other repossessed assets	7		 	9		 	(2	)	 	(22	)	 	8		 	9		 	9		
Nonperforming LHFS	17		 	59		 	(42	)	 	(71	)	 	48		 	41		 	37		
Total nonperforming assets		$1,165		 		$1,301		 		($136	)	 	(10	)%	 		$1,395		 		$1,740		 		$1,857		
Accruing restructured loans		$2,749		 		$2,744		 		$5		 	—	 %	 		$2,781		 		$2,499		 		$2,501		
Nonaccruing restructured loans	391		 	406		 	(15	)	 	(4	)	 	415		 	655		 	639		
Accruing loans past due > 90 days (guaranteed)	1,180		 	1,108		 	72		 	6		 	958		 	767		 	722		
Accruing loans past due > 90 days (non-guaranteed)	48		 	55		 	(7	)	 	(13	)	 	47		 	56		 	60		
Accruing LHFS past due > 90 days	—		 	—		 	—		 	—		 	1		 	2		 	1		
Nonperforming loans to total loans	0.76	%	 	0.83	%	 	(0.07	)	 	(8	)%	 	0.94	%	 	1.21	%	 	1.27	%	
Nonperforming assets to total loans plus OREO,
other repossessed assets, and nonperforming LHFS	0.91		 	1.04		 	(0.13	)	 	(13	)	 	1.14		 	1.44		 	1.52		
Allowance to period-end loans 1,2	1.60		 	1.67		 	(0.07	)	 	(4	)	 	1.75		 	1.79		 	1.80		
Allowance to period-end loans,
excluding government guaranteed loans 1,2,3	1.72		 	1.80		 	(0.08	)	 	(4	)	 	1.89		 	1.93		 	1.95		
Allowance to nonperforming loans 1,2	212		 	201		 	11		 	5		 	188		 	148		 	142		
Allowance to annualized net charge-offs 1	4.03x		 	3.58x		 	0.45x		 	13		 	2.97x		 	2.34x		 	1.37x		
 	 	 	 	 	 	 	 	 	 	 	 	 	 	
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 See Appendix A for reconciliation of non-GAAP performance measures.
4 "NM" - Not meaningful. Those changes over 100 percent were not considered to be meaningful.

21

	
																																
SunTrust Banks, Inc. and Subsidiaries
OTHER FINANCIAL DATA, continued
(Dollars in millions) (Unaudited)	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
 	Three Months Ended December 31		Twelve Months Ended December 31	
 	Core Deposit  
Intangibles		 MSRs -
Fair Value		Other		Total		Core Deposit  
Intangibles		 MSRs -
Fair Value		Other		Total	
OTHER INTANGIBLE ASSET ROLLFORWARD	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Balance, beginning of period		$21				$831				$44				$896				$38				$921				$58				$1,017		
Amortization	(4	)		—			(4	)		(8	)		(21	)		—			(18	)		(39	)	
Mortgage servicing rights (“MSRs”) originated	—			92			—			92			—			336			—			336		
Fair value changes due to inputs and assumptions	—			45			—			45			—			(112	)		—			(112	)	
Other changes in fair value	—			(68	)		—			(68	)		—			(241	)		—			(241	)	
Sale of MSRs	—			(1	)		—			(1	)		—			(5	)		—			(5	)	
Balance, December 31, 2012		$17				$899				$40				$956				$17				$899				$40				$956		
Balance, beginning of period		$7				$1,248				$32				$1,287				$17				$899				$40				$956		
Amortization	(3	)		—			(2	)		(5	)		(13	)		—			(10	)		(23	)	
MSRs originated	—			50			—			50			—			352			—			352		
Fair value changes due to inputs and assumptions	—			42			—			42			—			302			—			302		
Other changes in fair value	—			(40	)		—			(40	)		—			(252	)		—			(252	)	
Sale of MSRs	—			—			—			—			—			(1	)		—			(1	)	
Balance, December 31, 2013		$4				$1,300				$30				$1,334				$4				$1,300				$30				$1,334		

	
															
 	Three Months Ended	
 	December 31	 	September 30	 	June 30	 	March 31	 	December 31	
 	2013	 	2013	 	2013	 	2013	 	2012	
COMMON SHARE ROLLFORWARD (000’s)	 	 	 	 	 	 	 	 	 	
Balance, beginning of period	537,549		 	538,653		 	540,187		 	538,959		 	538,821		
Common shares issued/(exchanged) for employee benefit
plans, stock option, and restricted stock activity	11		 	325		 	130		 	1,228		 	138		
Repurchase of common stock	(1,463	)	 	(1,429	)	 	(1,664	)	 	—		 	—		
Balance, end of period	536,097		 	537,549		 	538,653		 	540,187		 	538,959		

22

	
																												
SunTrust Banks, Inc. and Subsidiaries
RECONCILEMENT OF NON-GAAP MEASURES
APPENDIX A TO THE EARNINGS RELEASE
(Dollars in millions, except per share data) (Unaudited)	 	 	
 	Three Months Ended	 	Twelve Months Ended	
 	December 31	 	September 30	 	June 30	 	March 31	 	December 31	 	December 31	
 	2013	 	2013	 	2013	 	2013	 	2012	 	2013		2012	
NON-GAAP MEASURES PRESENTED IN THE EARNINGS RELEASE   1	 	 	 	 	
Net interest income		$1,213		 		$1,208		 		$1,211		 		$1,221		 		$1,246		 		$4,853		 		$5,102		
Taxable-equivalent adjustment	34		 	32		 	31		 	30		 	30		 	127		 	123		
Net interest income - FTE	1,247		 	1,240		 	1,242		 	1,251		 	1,276		 	4,980		 	5,225		
Noninterest income	814		 	680		 	858		 	863		 	1,015		 	3,214		 	5,373		
Total revenue - FTE	2,061		 	1,920		 	2,100		 	2,114		 	2,291		 	8,194		 	10,598		
Securities gains, net	(1	)	 	—		 	—		 	(2	)	 	(1	)	 	(2	)	 	(1,974	)	
Total revenue - FTE excluding net securities gains 2		$2,060		 		$1,920		 		$2,100		 		$2,112		 		$2,290		 		$8,192		 		$8,624		
Noninterest income		$814		 		$680		 		$858		 		$863		 		$1,015		 		$3,214				$5,373		
Securities gains, net	(1	)	 	—		 	—		 	(2	)	 	(1	)	 	(2	)		(1,974	)	
Noninterest income excluding net securities gains 2		$813		 		$680		 		$858		 		$861		 		$1,014		 		$3,212				$3,399		
Return on average common shareholders’ equity	7.99	 %	 	3.49	 %	 	7.12	 %	 	6.77	 %	 	6.86	 %	 	6.34	 %		9.56	 %	
Effect of removing average intangible assets, excluding MSRs	3.62		 	1.61		 	3.23		 	3.11		 	3.18		 	2.91			4.46		
Return on average tangible common shareholders' equity 3	11.61	%	 	5.10	%	 	10.35	%	 	9.88	%	 	10.04	%	 	9.25	%		14.02	%	
Efficiency ratio 4	66.82	%	 	90.77	%	 	66.56	%	 	64.46	%	 	65.93	%	 	71.75	%		59.67	%	
Impact of excluding amortization/impairment of
intangible assets/goodwill	(0.21	)	 	(0.31	)	 	(0.29	)	 	(0.29	)	 	(0.30	)	 	(0.27	)		(0.43	)	
Tangible efficiency ratio 5	66.61	%	 	90.46	%	 	66.27	%	 	64.17	%	 	65.63	%	 	71.48	%		59.24	%	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	
 	December 31	 	September 30	 	June 30	 	March 31	 	December 31	 	 	 	 	
 	2013	 	2013	 	2013	 	2013	 	2012	 	 	 	 	
Total shareholders' equity		$21,422		 		$21,070		 		$21,007		 		$21,194		 		$20,985		 	 	 	 	
Goodwill, net of deferred taxes of $186 million, $180 million,
$174 million, $169 million, and $163 million, respectively	(6,183	)	 	(6,189	)	 	(6,195	)	 	(6,200	)	 	(6,206	)	 	 	 	 	
Other intangible assets, net of deferred taxes of $2 million,
$2 million, $4 million, $5 million, and $7 million, respectively,
and MSRs	(1,332	)	 	(1,285	)	 	(1,240	)	 	(1,071	)	 	(949	)	 	 	 	 	
MSRs	1,300		 	1,248		 	1,199		 	1,025		 	899		 	 	 	 	
Tangible equity	15,207		 	14,844		 	14,771		 	14,948		 	14,729		 	 	 	 	
Preferred stock	(725	)	 	(725	)	 	(725	)	 	(725	)	 	(725	)	 	 	 	 	
Tangible common equity		$14,482		 		$14,119		 		$14,046		 		$14,223		 		$14,004		 	 	 	 	
Total assets		$175,335		 		$171,777		 		$171,546		 		$172,435		 		$173,442		 	 	 	 	
Goodwill	(6,369	)	 	(6,369	)	 	(6,369	)	 	(6,369	)	 	(6,369	)	 	 	 	 	
Other intangible assets including MSRs	(1,334	)	 	(1,287	)	 	(1,244	)	 	(1,076	)	 	(956	)	 	 	 	 	
MSRs	1,300		 	1,248		 	1,199		 	1,025		 	899		 	 	 	 	
Tangible assets		$168,932		 		$165,369		 		$165,132		 		$166,015		 		$167,016		 	 	 	 	
Tangible equity to tangible assets 6	9.00	%	 	8.98	%	 	8.95	%	 	9.00	%	 	8.82	%	 	 	 	 	
Tangible book value per common share 7		$27.01		 		$26.27		 		$26.08		 		$26.33		 		$25.98		 	 	 	 	
 		 	 	 	 	 	 	 		 	 	 	 	
Total loans		$127,877		 		$124,340		 		$122,031		 		$120,804		 		$121,470		 	 	 	 	
Government guaranteed loans	(8,961	)	 	(9,016	)	 	(9,053	)	 	(9,205	)	 	(9,609	)	 	 	 	 	
Loans held at fair value	(302	)	 	(316	)	 	(339	)	 	(360	)	 	(379	)	 	 	 	 	
Total loans, excluding government guaranteed
and fair value loans		$118,614		 		$115,008		 		$112,639		 		$111,239		 		$111,482		 	 	 	 	
Allowance to total loans, excluding
government guaranteed and fair value loans 8	1.72	%	 	1.80	%	 	1.89	%	 	1.93	%	 	1.95	%	 	 	 	 	

23

	
																												
SunTrust Banks, Inc. and Subsidiaries
RECONCILEMENT OF NON-GAAP MEASURES
APPENDIX A TO THE EARNINGS RELEASE, continued
(Dollars in millions, except per share data) (Unaudited)	 	 	 	 	 	 	 	 	 	 	 	 	
 	Three Months Ended	 	Twelve Months Ended	
 	December 31	 	September 30	 	June 30	 	March 31	 	December 31	 	December 31	
 	2013	 	2013	 	2013	 	2013	 	2012	 	2013		2012	
NON-GAAP MEASURES PRESENTED IN THE EARNINGS RELEASE   1	
Net income available to common shareholders		$413		 		$179		 		$365		 		$340		 		$350				$1,297				$1,931		
Form 8-K items from the third quarters of 2013 and 2012:		 	 	 		 	 	 						
Operating losses related to settlement of certain legal matters	—		 	323		 	—		 	—		 	—			323			—		
Mortgage repurchase provision related to repurchase settlements	—		 	63		 	—		 	—		 	—			63			—		
Provision for unrecoverable servicing advances	—		 	96		 	—		 	—		 	—			96			—		
Securities gains related to sale of The Coca-Cola Company stock	—		 	—		 	—		 	—		 	—			—			(1,938	)	
Mortgage repurchase provision	—		 	—		 	—		 	—		 	—			—			371		
Charitable expense related to The Coca-Cola Company stock contribution	—		 	—		 	—		 	—		 	—			—			38		
Provision for credit losses related to nonperforming loan sales	—		 	—		 	—		 	—		 	—			—			172		
Losses on sale of guaranteed loans	—		 	—		 	—		 	—		 	—			—			92		
Valuation losses related to planned sale of Affordable Housing investments	—		 	—		 	—		 	—		 	—			—			96		
Tax (benefit)/expense related to above items	—		 	(190	)	 	—		 	—		 	—			(190	)		416		
Net tax benefit related to subsidiary reorganization and other	—		 	(113	)	 	—		 	—		 	—			(113	)		—		
Net income available to common shareholders, excluding the
impact of Form 8-K items from the third quarters of 2013 and 2012 9		$413		 		$358		 		$365		 		$340		 		$350				$1,476				$1,178		
 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Net income per average common share, diluted		$0.77		 		$0.33		 		$0.68		 		$0.63		 		$0.65				$2.41				$3.59		
Impact of Form 8-K items from the third quarters of 2013 and 2012	—		 	0.33		 	—		 	—		 	—			0.33			(1.40	)	
Net income per average common diluted share, excluding the
impact of Form 8-K items from the third quarters of 2013 and 2012 9		$0.77		 		$0.66		 		$0.68		 		$0.63		 		$0.65				$2.74				$2.19		
 	 	 	 	 	 	 	 	 	 	 	 	 	 	
1 Certain amounts in this schedule are presented net of applicable income taxes, which are calculated based on each subsidiary’s federal and state tax rates and laws. In general, the federal marginal tax rate is 35%, but the state marginal tax rates range from 1% to 8% in accordance with the subsidiary’s income tax filing requirements with various tax authorities. In addition, the effective tax rate may differ from the federal and state marginal tax rates in certain cases where a permanent difference exists.
2 SunTrust presents total revenue - FTE excluding net securities gains and noninterest income excluding net securities gains. The Company believes noninterest income without net securities gains is more indicative of the Company’s performance because it isolates income that is primarily client relationship and client transaction driven and is more indicative of normalized operations.
3 SunTrust presents return on average tangible common shareholders' equity to exclude intangible assets, except for MSRs. The Company believes this measure is useful to investors because, by removing the effect of intangible assets, except for MSRs, (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 who present a similar measure. The Company also believes that removing intangible assets, except for MSRs, is a more relevant measure of the return on the Company's common shareholders' equity.
4 Computed by dividing noninterest expense by total revenue - FTE. 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.
5 SunTrust presents a tangible efficiency ratio which excludes the amortization of intangible assets. The Company believes this measure is useful to investors because, by removing the effect of these intangible asset costs (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.
6 SunTrust presents a tangible equity to tangible assets ratio that excludes the after-tax impact of purchase accounting intangible assets. The Company believes this measure is 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. This measure is used by management to analyze capital adequacy.
7 SunTrust presents a tangible book value per common share that excludes the after-tax impact of purchase accounting intangible assets and also excludes preferred stock from tangible equity. The Company believes this measure is useful to investors because, by removing the effect of intangible assets that result from merger and acquisition activity as well as preferred stock (the level of which may vary from company to company), it allows investors to more easily compare the Company’s book value on common stock to other companies in the industry.
8 SunTrust presents a ratio of allowance to total loans, excluding government guaranteed 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 that are covered by it.
9 SunTrust presents net income available to common shareholders and net income per average common diluted share excluding items previously announced on Form 8-Ks filed with the SEC on October 10, 2013 and September 6, 2012. The Company believes this measure is useful to investors because it removes the effect of material items impacting current and prior years' results, allowing a more useful view of normalized operations. Removing these items also allows investors to compare the Company's results to other companies in the industry that may not have had similar items impacting their results.

24

	
																						
SunTrust Banks, Inc. and Subsidiaries
CONSUMER BANKING AND PRIVATE WEALTH MANAGEMENT
(Dollars in millions) (Unaudited)	
 	Three Months Ended December 31 1	 	 	 	Twelve Months Ended December 31 1	 	 	
 	2013	 	2012	 	% Change  2	 	2013	 	2012	 	% Change	
Statements of Income:	 	 	 	 	 	 	 	 	 	 	 	
     Net interest income  3		$656		 		$674		 	(3	)%	 		$2,601		 		$2,723		 	(4	)%	
FTE adjustment	—		 	—		 	—		 	1		 	—		 	—		
Net interest income - FTE	656		 	674		 	(3	)	 	2,602		 	2,723		 	(4	)	
     Provision for credit losses  4	75		 	181		 	(59	)	 	362		 	645		 	(44	)	
Net interest income - FTE - after provision for credit losses	581		 	493		 	18		 	2,240		 	2,078		 	8		
Noninterest income before securities gains/(losses)	373		 	385		 	(3	)	 	1,480		 	1,500		 	(1	)	
Securities gains/(losses), net	—		 	—		 	—		 	—		 	—		 	—		
Total noninterest income	373		 	385		 	(3	)	 	1,480		 	1,500		 	(1	)	
Noninterest expense before amortization/impairment of intangible assets/goodwill	709		 	772		 	(8	)	 	2,777		 	3,048		 	(9	)	
Amortization/impairment of intangible assets/goodwill	4		 	6		 	(33	)	 	20		 	40		 	(50	)	
Total noninterest expense	713		 	778		 	(8	)	 	2,797		 	3,088		 	(9	)	
Income - FTE - before provision for income taxes	241		 	100		 	NM		 	923		 	490		 	88		
Provision for income taxes	89		 	37		 	NM		 	339		 	180		 	88		
FTE adjustment	—		 	—		 	—		 	1		 	—		 	—		
Net income including income attributable to noncontrolling interest	152		 	63		 	NM		 	583		 	310		 	88		
Less: net income attributable to noncontrolling interest	—		 	—		 	—		 	—		 	—		 	—		
Net income		$152		 		$63		 	NM		 		$583		 		$310		 	88		
 	 	 	 	 	 	 	 	 	 	 	 	
Total revenue - FTE		$1,029		 		$1,059		 	(3	)	 		$4,082		 		$4,223		 	(3	)	
Selected Average Balances:	 	 	 	 	 	 	 	 	 	 	 	
Total loans		$40,886		 		$40,781		 	—	 %	 		$40,457		 		$41,823		 	(3	)%	
Goodwill	4,262		 	3,962		 	8		 	4,188		 	3,947		 	6		
Other intangible assets excluding MSRs	26		 	48		 	(46	)	 	33		 	60		 	(45	)	
Total assets	45,890		 	46,135		 	(1	)	 	45,487		 	47,024		 	(3	)	
Consumer and commercial deposits	84,025		 	83,689		 	—		 	84,107		 	83,917		 	—		
Performance Ratios:	 	 	 	 	 	 	 	 	 	 	 	
Efficiency ratio	69.29	 %	 	73.46	 %	 	 	 	68.55	 %	 	73.13	 %	 	 	
Impact of excluding amortization of intangible assets	(2.15	)	 	(2.85	)	 	 	 	(2.41	)	 	(3.37	)	 	 	
Tangible efficiency ratio	67.14	 %	 	70.61	 %	 	 	 	66.14	 %	 	69.76	 %	 	 	
Other Information (End of Period): 5	 	 	 	 	 	 	 	 	 	 	 	
Managed (discretionary) assets		$49,661		 		$53,327		 	(7	)%	 	 	 	 	 	 	
Non-managed assets	54,762		 	51,603		 	6		 	 	 	 	 	 	
Total assets under administration	104,423		 	104,930		 	—		 	 	 	 	 	 	
Brokerage assets	43,932		 	39,396		 	12		 	 	 	 	 	 	
Total assets under advisement		$148,355		 		$144,326		 	3		 	 	 	 	 	 	

1  	Prior year results have been restated to include the effect of moving small business banking from Wholesale Banking to Consumer Banking and Private Wealth Management during the second quarter of 2013.	
		
2  	"NM" - Not meaningful. Those changes over 100 percent were not considered to be meaningful.	
		
3  	Net interest income does not include the funding benefit that would result from holding shareholders’ equity at the line of business level due to the fact that shareholders' equity is not allocated to the lines of business at this time.	
		
4  	Provision for credit losses represents net charge-offs for the lines of business.	
		
5  	Reflects the assets under administration/advisement for GenSpring and Private Wealth Management clients and includes a reclassification of $8.7 billion from Managed to Non-managed assets in the prior year related to a change in investment management responsibilities for certain clients, as well as a reclassification of certain assets based on a revised methodology for classifying assets under administration.	

25

	
																						
SunTrust Banks, Inc. and Subsidiaries
WHOLESALE BANKING
(Dollars in millions) (Unaudited)	
 	Three Months Ended December 31 1	 	 	 	Twelve Months Ended December 31 1	 	 	
 	2013		2012	 	% Change	 	2013		2012	 	% Change	
Statements of Income:				 	 	 				 	 	
     Net interest income 2		$409				$397		 	3	 %	 		$1,605				$1,538		 	4	 %	
FTE adjustment	33			29		 	14		 	124			119		 	4		
Net interest income - FTE	442			426		 	4		 	1,729			1,657		 	4		
     Provision for credit losses 3	11			49		 	(78	)	 	79			266		 	(70	)	
Net interest income - FTE - after provision for credit losses	431			377		 	14		 	1,650			1,391		 	19		
Noninterest income before securities gains/(losses)	355			393		 	(10	)	 	1,290			1,413		 	(9	)	
Securities gains/(losses), net	—			—		 	—		 	—			—		 	—		
Total noninterest income	355			393		 	(10	)	 	1,290			1,413		 	(9	)	
Noninterest expense before amortization/impairment of intangible assets/goodwill	416			404		 	3		 	1,635			1,807		 	(10	)	
Amortization/impairment of intangible assets/goodwill	1			1		 	—		 	3			3		 	—		
Total noninterest expense	417			405		 	3		 	1,638			1,810		 	(10	)	
Income - FTE - before provision for income taxes	369			365		 	1		 	1,302			994		 	31		
Provision for income taxes	77			80		 	(4	)	 	271			161		 	68		
FTE adjustment	33			29		 	14		 	124			119		 	4		
Net income including income attributable to noncontrolling interest	259			256		 	1		 	907			714		 	27		
Less: net income attributable to noncontrolling interest	—			2		 	(100	)	 	7			16		 	(56	)	
Net income		$259				$254		 	2		 		$900				$698		 	29		
 	 	 	 	 	 	 	 	 	 	 	 	
Total revenue - FTE		$797				$819		 	(3	)	 		$3,019				$3,070		 	(2	)	
Selected Average Balances:	 	 	 	 	 	 	 	 	 	 	 	
Total loans		$56,375				$51,666		 	9	 %	 		$54,195				$50,741		 	7	 %	
Goodwill	2,107			2,407		 	(12	)	 	2,181			2,412		 	(10	)	
Other intangible assets excluding MSRs	10			13		 	(23	)	 	11			14		 	(21	)	
Total assets	68,117			64,508		 	6		 	66,618			63,782		 	4		
Consumer and commercial deposits	41,270			40,358		 	2		 	39,827			38,697		 	3		
Performance Ratios:	 	 	 	 	 	 	 	 	 	 	 	
Efficiency ratio	52.24	 %	 	49.36	 %	 	 	 	54.27	 %	 	58.93	 %	 	 	
Impact of excluding amortization of intangible assets	(0.95	)	 	(1.08	)	 	 	 	(1.13	)	 	(1.47	)	 	 	
Tangible efficiency ratio	51.29	 %	 	48.28	 %	 	 	 	53.14	 %	 	57.46	 %	 	 	
Other Information (End of Period): 4	 	 	 	 	 	 	 	 	 	 	 	
Managed (discretionary) assets		$45,526				$42,399		 	7	 %	 	 	 	 	 	 	
Non-managed assets	—			—		 	—		 	 	 	 	 	 	
Total assets under administration	45,526			42,399		 	7		 	 	 	 	 	 	
Total assets under advisement		$45,526				$42,399		 	7		 	 	 	 	 	 	

1  	Prior year results have been restated to include the effect of moving small business banking from Wholesale Banking to Consumer Banking and Private Wealth Management during the second quarter of 2013.	
		
2  	Net interest income does not include the funding benefit that would result from holding shareholders’ equity at the line of business level due to the fact that shareholders' equity is not allocated to the lines of business at this time.	
		
3  	Provision for credit losses represents net charge-offs for the lines of business.	
		
4  	Reflects the assets under administration for Ridgeworth clients.	

26

	
																						
SunTrust Banks, Inc. and Subsidiaries
MORTGAGE BANKING
(Dollars in millions) (Unaudited)	
 	Three Months Ended December 31	 	 	 	Twelve Months Ended December 31	 	 	
 	2013		2012	 	% Change  1	 	2013		2012	 	% Change  1	
Statements of Income:				 	 	 				 	 	
Net interest income 2		$130				$125		 	4	 %	 		$539				$512		 	5	 %	
FTE adjustment	—			—		 	—		 	—			—		 	—		
Net interest income - FTE	130			125		 	4		 	539			512		 	5		
Provision for credit losses 3	41			168		 	(76	)	 	238			770		 	(69	)	
Net interest income/(loss) - FTE - after provision for credit losses	89			(43	)	 	NM		 	301			(258	)	 	NM		
Noninterest income before securities gains/(losses)	74			240		 	(69	)	 	402			502		 	(20	)	
Securities gains/(losses), net	—			—		 	—		 	—			—		 	—		
Total noninterest income	74			240		 	(69	)	 	402			502		 	(20	)	
Noninterest expense before amortization of intangible assets	256			323		 	(21	)	 	1,503			1,369		 	10		
Amortization of intangible assets	—			—		 	—		 	—			—		 	—		
Total noninterest expense	256			323		 	(21	)	 	1,503			1,369		 	10		
Loss - FTE - before benefit for income taxes	(93	)		(126	)	 	(26	)	 	(800	)		(1,125	)	 	(29	)	
Benefit for income taxes	(26	)		(60	)	 	(57	)	 	(232	)		(429	)	 	(46	)	
FTE adjustment	—			—		 	—		 	—			—		 	—		
Net loss including income attributable to noncontrolling interest	(67	)		(66	)	 	2		 	(568	)		(696	)	 	(18	)	
Less: net income attributable to noncontrolling interest	—			—		 	—		 	—			—		 	—		
Net loss		($67	)			($66	)	 	2		 		($568	)			($696	)	 	(18	)	
 	 	 	 	 	 	 	 	 	 	 	 	
Total revenue - FTE		$204				$365		 	(44	)	 		$941				$1,014		 	(7	)	
Selected Average Balances:	 	 	 	 	 	 	 	 	 	 	 	
Total loans		$28,401				$29,093		 	(2	)%	 		$27,974				$30,288		 	(8	)%	
Goodwill	—			—		 	—		 	—			—		 	—		
Other intangible assets excluding MSRs	—			—		 	—		 	—			—		 	—		
Total assets	31,922			34,227		 	(7	)	 	32,708			35,153		 	(7	)	
Consumer and commercial deposits	2,330			3,838		 	(39	)	 	3,206			3,638		 	(12	)	
Performance Ratios:	 	 	 	 	 	 	 	 	 	 	 	
Efficiency ratio	125.66	%	 	88.46	%	 	 	 	159.81	%	 	135.02	%	 	 	
Impact of excluding amortization of intangible assets	—		 	—		 	 	 	—		 	—		 	 	
Tangible efficiency ratio	125.66	%	 	88.46	%	 	 	 	159.81	%	 	135.02	%	 	 	
Other Information:	 	 	 	 	 	 	 	 	 	 	 	
Production Data	 	 	 	 	 	 	 	 	 	 	 	
Channel mix	 	 	 	 	 	 	 	 	 	 	 	
Retail		$2,364		 		$4,301		 	(45	)%	 		$16,433		 		$17,182		 	(4	)%	
Wholesale	344		 	1,317		 	(74	)	 	3,375		 	5,450		 	(38	)	
Correspondent	1,227		 	2,377		 	(48	)	 	10,053		 	9,418		 	7		
Total production		$3,935		 		$7,995		 	(51	)	 		$29,861		 		$32,050		 	(7	)	
Channel mix - percent	 	 	 	 	 	 	 	 	 	 	 	
Retail	60	%	 	54	%	 	 	 	55	%	 	54	%	 	 	
Wholesale	9		 	16		 	 	 	11		 	17		 	 	
Correspondent	31		 	30		 	 	 	34		 	29		 	 	
Total production	100	%	 	100	%	 	 	 	100	%	 	100	%	 	 	
Purchase and refinance mix	 	 	 	 	 	 	 	 	 	 	 	
Refinance		$1,823		 		$6,151		 	(70	)	 		$19,244		 		$22,880		 	(16	)	
Purchase	2,112		 	1,844		 	15		 	10,617		 	9,170		 	16		
Total production		$3,935		 		$7,995		 	(51	)	 		$29,861		 		$32,050		 	(7	)	
Purchase and refinance mix - percent	 	 	 	 	 	 	 	 	 	 	 	
Refinance	46	%	 	77	%	 	 	 	64	%	 	71	%	 	 	
Purchase	54		 	23		 	 	 	36		 	29		 	 	
Total production	100	%	 	100	%	 	 	 	100	%	 	100	%	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	
Applications		$5,304		 		$11,521		 	(54	)	 		$37,532		 		$58,015		 	(35	)	
Mortgage Servicing Data (End of Period):	 	 	 	 	 	 	 	 	 	 	 	
Total loans serviced		$136,704				$144,878		 	(6	)%	 	 	 	 	 	 	
Total loans serviced for others	106,832			113,243		 	(6	)	 	 	 	 	 	 	
Net carrying value of MSRs	1,300		 	899		 	45		 	 	 	 	 	 	
Ratio of net carrying value of MSRs to total loans serviced for others	1.217	%	 	0.797	%	 			 	 	 	 	 	 	
		
1  	“NM” - Not meaningful. Those changes over 100 percent were not considered to be meaningful.	
		
2  	Net interest income does not include the funding benefit that would result from holding shareholders’ equity at the line of business level due to the fact that shareholders' equity is not allocated to the lines of business at this time.	
3 Provision for credit losses represents net charge-offs for the lines of business.

27

	
																						
SunTrust Banks, Inc. and Subsidiaries
CORPORATE OTHER
(Dollars in millions) (Unaudited)	
 	Three Months Ended December 31	 	 	 	Twelve Months Ended December 31	 	 	
 	2013		2012	 	% Change 1	 	2013		2012	 	% Change 1	
Statements of Income:				 	 	 				 	 	
Net interest income		$18				$50		 	(64	)%	 		$108				$329		 	(67	)%	
FTE adjustment	1			1		 	—		 	2			4		 	(50	)	
Net interest income - FTE	19			51		 	(63	)	 	110			333		 	(67	)	
Provision for credit losses 2	(26	)		(70	)	 	(63	)	 	(126	)		(286	)	 	(56	)	
Net interest income - FTE - after provision for credit losses	45			121		 	(63	)	 	236			619		 	(62	)	
Noninterest income before securities gains	11			(4	)	 	NM		 	40			(16	)	 	NM		
Securities gains, net	1			1		 	—		 	2			1,974		 	(100	)	
   Total noninterest income	12			(3	)	 	NM		 	42			1,958		 	(98	)	
Noninterest expense before amortization of intangible assets	(9	)		4		 	NM		 	(58	)		53		 	NM		
Amortization of intangible assets	—			—		 	—		 	—			3		 	(100	)	
   Total noninterest expense	(9	)		4		 	NM		 	(58	)		56		 	NM		
Income - FTE - before (benefit)/provision for income taxes	66			114		 	(42	)	 	336			2,521		 	(87	)	
(Benefit)/provision for income taxes	(18	)		5		 	NM		 	(105	)		861		 	NM		
FTE adjustment	1			1		 	—		 	2			4		 	(50	)	
Net income including income attributable to noncontrolling interest	83			108		 	(23	)	 	439			1,656		 	(73	)	
Less: net income attributable to noncontrolling interest	1			3		 	(67	)	 	10			10		 	—		
Net income		$82				$105		 	(22	)	 		$429				$1,646		 	(74	)	
 	 	 	 	 	 	 	 	 	 	 	 	
Total revenue - FTE		$31				$48		 	(35	)	 		$152				$2,291		 	(93	)	
Selected Average Balances:
 	 	 	 	 	 	 	 	 	 	 	 	
Total loans		($13	)			$47		 	NM		 		$31				$41		 	(24	)%	
Securities available for sale	22,107			20,427		 	8		 	22,480			22,044		 	2		
Other intangible assets excluding MSRs	—			—		 	—		 	—			1		 	(100	)	
Total assets	27,862			29,640		 	(6	)	 	27,684			30,175		 	(8	)	
Consumer and commercial deposits	(165	)		22		 	NM		 	(64	)		(3	)	 	NM		
Other Information:	 	 	 	 	 	 	 	 	 	 	 	
Duration of investment portfolio (in years)	4.7		 	2.2		 	 	 	 	 	 	 	 	
Net interest income interest rate sensitivity:	 	 	 	 	 	 	 	 	 	 	 	
% Change in net interest income under:	 	 	 	 	 	 	 	 	 	 	 	
           Instantaneous 100 bp increase in rates over next 12 months	1.0	 %	 	2.5	 %	 	 	 	 	 	 	 	 	
           Instantaneous 200 bp increase in rates over next 12 months	1.8	 %	 	4.8	 %	 	 	 	 	 	 	 	 	
           Instantaneous 25 bp decrease in rates over next 12 months	(0.8	)%	 	(0.8	)%	 	 	 	 	 	 	 	 	

1  	“NM” - Not meaningful. Those changes over 100 percent were not considered to be meaningful.	
		
2  	Provision for credit losses is the difference between net charge-offs recorded by the lines of business and consolidated provision for credit losses.	

28

SunTrust Banks, Inc. and Subsidiaries
CONSOLIDATED - SEGMENT TOTALS
(Dollars in millions) (Unaudited)

																						
 	Three Months Ended December 31	 	 	 	Twelve Months Ended December 31	 	 	
 	2013	 	2012	 	% Change	 	2013	 	2012	 	% Change	
Statements of Income:	 	 	 	 	 	 	 	 	 	 	 	
Net interest income		$1,213		 		$1,246		 	(3	)%	 		$4,853		 		$5,102		 	(5	)%	
FTE adjustment	34		 	30		 	13		 	127		 	123		 	3		
Net interest income - FTE	1,247		 	1,276		 	(2	)	 	4,980		 	5,225		 	(5	)	
Provision for credit losses	101		 	328		 	(69	)	 	553		 	1,395		 	(60	)	
Net interest income - FTE - after provision for credit losses	1,146		 	948		 	21		 	4,427		 	3,830		 	16		
Noninterest income before securities gains	813		 	1,014		 	(20	)	 	3,212		 	3,399		 	(6	)	
Securities gains, net	1		 	1		 	—		 	2		 	1,974		 	(100	)	
Total noninterest income	814		 	1,015		 	(20	)	 	3,214		 	5,373		 	(40	)	
Noninterest expense before amortization/impairment of intangible assets/goodwill	1,372		 	1,503		 	(9	)	 	5,857		 	6,277		 	(7	)	
Amortization/impairment of intangible assets/goodwill	5		 	7		 	(29	)	 	23		 	46		 	(50	)	
Total noninterest expense	1,377		 	1,510		 	(9	)	 	5,880		 	6,323		 	(7	)	
Income - FTE - before provision for income taxes	583		 	453		 	29		 	1,761		 	2,880		 	(39	)	
Provision for income taxes	122		 	62		 	97		 	273		 	773		 	(65	)	
FTE adjustment	34		 	30		 	13		 	127		 	123		 	3		
Net income including income attributable to noncontrolling interest	427		 	361		 	18		 	1,361		 	1,984		 	(31	)	
Less: net income attributable to noncontrolling interest	1		 	5		 	(80	)	 	17		 	26		 	(35	)	
Net income		$426		 		$356		 	20		 		$1,344		 		$1,958		 	(31	)	
 	 	 	 	 	 	 	 	 	 	 	 	
Total revenue - FTE		$2,061		 		$2,291		 	(10	)	 		$8,194		 		$10,598		 	(23	)	
Selected Average Balances:	 	 	 	 	 	 	 	 	 	 	 	
Total loans		$125,649		 		$121,587		 	3	 %	 		$122,657		 		$122,893		 	—	 %	
Goodwill	6,369		 	6,369		 	—		 	6,369		 	6,359		 	—		
Other intangible assets excluding MSRs	36		 	61		 	(41	)	 	44		 	75		 	(41	)	
Total assets	173,791		 	174,510		 	—		 	172,497		 	176,134		 	(2	)	
Consumer and commercial deposits	127,460		 	127,907		 	—		 	127,076		 	126,249		 	1		
Performance Ratios:	 	 	 	 	 	 	 	 	 	 	 	
Efficiency ratio	66.82	 %	 	65.93	 %	 	 	 	71.75	 %	 	59.67	 %	 	 	
Impact of excluding amortization of intangible assets	(0.21	)	 	(0.30	)	 	 	 	(0.27	)	 	(0.43	)	 	 	
Tangible efficiency ratio	66.61	 %	 	65.63	 %	 	 	 	71.48	 %	 	59.24	 %	 	 	
Other Information (End of Period):	 	 	 	 	 	 	 	 	 	 	 	
     Assets under administration	 	 	 	 	 	 	 	 	 	 	 	
Managed (discretionary) assets		$95,187		 		$95,726		 	(1	)%	 	 	 	 	 	 	
Non-managed assets	54,762		 	51,603		 	6		 	 	 	 	 	 	
Total assets under administration	149,949		 	147,329		 	2		 	 	 	 	 	 	
Brokerage assets	43,932		 	39,396		 	12		 	 	 	 	 	 	
Total assets under advisement		$193,881		 		$186,725		 	4		 	 	 	 	 	 	

 

29

4Q 2013 Earnings Release January 17, 2014

 

2 Important Cautionary Statement The following should be read in conjunction with the financial statements, notes and other information contained in the Company’s 2012 Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, and Current Reports on Form 8-K. 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. In this presentation, the Company presents net interest income and net interest margin on a fully taxable-equivalent (“FTE”) basis, and ratios on an annualized basis. The FTE basis adjusts for the tax-favored status of income from certain loans and investments. The Company believes this measure to be the preferred industry measurement of net interest income and provides relevant comparison between taxable and non-taxable amounts. This presentation may contain forward-looking statements. Statements regarding forecasted swap income and normalized noninterest expense are forward-looking statements. Statements regarding efficiency ratio goals and expected normalized levels of credit-related expenses and operating losses 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,” “focus,” “plans,” “goals,” “forecast,” “targets,” “initiatives,” “potentially,” “probably,” “projects,” “outlook” or similar expressions or future conditional verbs such as “may,” “will,” “should,” “would,” and “could.” Forward-looking statements are based upon the current beliefs and expectations of management and on information currently available to management. Our statements speak as of the date hereof, and we do not assume any obligation to update these statements or to update the reasons why actual results could differ from those contained in such statements in light of new information or future events. Forward-looking statements are subject to significant risks and uncertainties. Investors are cautioned against placing undue reliance on such statements. Actual results may differ materially from those set forth in the forward- looking statements. Additional factors that could cause actual results to differ materially from those described in the forward-looking statements can be found in Part I, “Item 1A. Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2012 and in other periodic reports that we file with the SEC. Those factors include: our framework for managing risks may not be effective in mitigating risk and loss to us; as one of the largest lenders in the Southeast and Mid-Atlantic U.S. and a provider of financial products and services to consumers and businesses across the U.S., our financial results have been, and may continue to be, materially affected by general economic conditions, particularly unemployment levels and home prices in the U.S., 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; legislation and regulation, including the Dodd-Frank Act, as well as future legislation and/or regulation, could require us to change certain of our business practices, reduce our revenue, impose additional costs on us, or otherwise adversely affect our business operations and/or competitive position; we are subject to capital adequacy and liquidity guidelines and, if we fail to meet these guidelines, our financial condition would be adversely affected; loss of customer deposits and market illiquidity could increase our funding costs; we rely on the mortgage secondary market and GSEs for some of our liquidity; we are subject to credit risk; our ALLL may not be adequate to cover our eventual losses; we may have more credit risk and higher credit losses to the extent our loans are concentrated by loan type, industry segment, borrower type, or location of the borrower or collateral; we will realize future losses if the proceeds we receive upon liquidation of nonperforming assets are less than the carrying value of such assets; a downgrade in the U.S. government's sovereign credit rating, or in the credit ratings of instruments issued, insured or guaranteed by related institutions, agencies or instrumentalities, could result in risks to us and general economic conditions that we are not able to predict; the failure of the European Union to stabilize the fiscal condition and creditworthiness of its weaker member economies could have international implications potentially impacting global financial institutions, the financial markets, and the economic recovery underway in the U.S.; weakness in the real estate market, including the secondary residential mortgage loan markets, has adversely affected us and may continue to adversely affect us; 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, borrower fraud, or as a result of certain breaches of our servicing agreements, and this could harm our liquidity, results of operations, and financial condition; financial difficulties or credit downgrades of mortgage and bond insurers may adversely affect our servicing and investment portfolios; we may face certain risks as a servicer of loans, or also may be terminated as a servicer or master servicer, be required to repurchase a mortgage loan or reimburse investors for credit losses on a mortgage loan, or incur costs, liabilities, fines and other sanctions if we fail to satisfy our servicing obligations, including our obligations with respect to mortgage loan foreclosure actions; we are subject to risks related to delays in the foreclosure process; we may continue to suffer increased losses in our loan portfolio despite enhancement of our underwriting policies and practices; our mortgage production and servicing revenue can be volatile; as a financial services company, changes in general business or economic conditions could have a material adverse effect on our financial condition and results of operations; changes in market interest rates or capital markets could adversely affect our revenue and expense, the value of assets and obligations, and the availability and cost of capital and liquidity; changes in interest rates could also reduce the value of our MSRs and mortgages held for sale, reducing our earnings; changes which are being considered in the method for determining LIBOR may affect the value of debt securities and other financial obligations held or issued by SunTrust that are linked to LIBOR, or may affect the Company's financial condition or results of operations; the fiscal and monetary policies of the federal government and its agencies could have a material adverse effect on our earnings; depressed market values for our stock may require us to write down goodwill; clients could pursue alternatives to bank deposits, causing us to lose a relatively inexpensive source of funding; consumers 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; hurricanes and other disasters may adversely affect loan portfolios and operations and increase the cost of doing business; 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; 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; regulation by federal and state agencies could adversely affect the business, revenue, and profit margins; competition in the financial services industry is intense and could result in losing business or margin declines; maintaining or increasing market share depends on market acceptance and regulatory approval of new products and services; we might not pay dividends on your common stock; our ability to receive dividends from our subsidiaries could affect our liquidity and ability to pay dividends; disruptions in our ability to access global capital markets may adversely affect our capital resources and liquidity; 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 are subject to certain 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 from inadvertent or unintentional violations; 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 accounting policies and processes are critical to how we report our financial condition and results of operations, and they require management to make estimates about matters that are uncertain; changes in our accounting policies or in accounting standards could materially affect how we report our financial results and condition; our stock price can be volatile; our disclosure controls and procedures may not prevent or detect all errors or acts of fraud; our financial instruments carried at fair value expose us to certain market risks; our revenues derived from our investment securities may be volatile and subject to a variety of risks; and we may enter into transactions with off-balance sheet affiliates or our subsidiaries.

 

3 4Q 13 Summary Earnings • Net income available to common shareholders of $413 million • Earnings per diluted share of $0.77 compared to $0.65 in the previous year and adjusted earnings per diluted share of $0.66 in the previous quarter, which excludes the ($0.33) per share impact of significant items1 Revenue • Net interest income stable to prior quarter, as loan growth offset a decline in loan yields • Adjusted noninterest income2 improved from prior quarter due to higher mortgage servicing and trading income, and the impact of the 3Q 13 lease financing asset write-down Expenses • Adjusted expenses2 were higher sequentially due to the 3Q 13 incentive compensation reduction and an increase in operating losses • Expenses declined 9% from prior year due to solid expense management and reductions in cyclical costs3 Balance Sheet • Average performing loans increased 3% sequentially, with growth across most loan portfolios • Average client deposits up 1% sequentially; favorable mix shift continued Credit and Capital • Nonperforming loans declined 6% from prior quarter and 37% from prior year • Net charge-off ratio declined 7 basis points sequentially to 0.40% • Tier 1 common ratio estimated to be 9.8% on Basel I basis and 9.6% on Basel III basis4 1. 3Q 13 reported EPS was $0.33. Please refer to page 26 of the appendix for a reconciliation to adjusted EPS 2. Please refer to pages 29 and 30 of the appendix for noninterest income and expense adjustment detail 3. Please refer to page 20 of the appendix for additional detail on cyclical costs 4. Please refer to page 32 of the appendix for a Basel I to Basel III reconciliation

 

4 $350 $340 $365 $358 $413 $1,178 $1,476 ($179) $0.65 $0.63 $0.68 $0.66 $0.77 $2.19 $2.74 4Q 12 1Q 13 2Q 13 4Q 13 2012 2013 Net Income Available to Common (excl 3Q 12 and 3Q 13 significant items) Significant 3Q 13 items EPS (excl 3Q 12 and 3Q 13 significant items) Net Income Available To Common & Diluted EPS Prior Quarter Variance • Excluding the significant 3Q 13 items1, EPS increased by $0.11, or 16% → 4Q 13 benefitted from higher mortgage servicing income, trading income, and a lower effective tax rate; partially offset by an increase in adjusted noninterest expense4 Prior Year Variance • EPS increased by $0.12, or 18% → Improvement driven by declines in noninterest expense and provision for credit losses → Partially offset by a reduction in mortgage production income and net interest income Full Year Variance • Excluding the significant 3Q 12 and 3Q 13 items2,3, full year EPS increased by $0.55, or 25% → Lower provision and noninterest expense were partially offset by a decline in net interest income and mortgage revenues ($ in millions, except EPS) 1. 3Q 13 reported EPS was $0.33 and reported net income available to common was $179 million. Please refer to page 26 of the appendix for reconciliation to adjusted figures 2. 2012 reported EPS was $3.59 and reported net income available to common was $1,931 million. Please refer to page 27 of the appendix for reconciliation to adjusted figures 3. 2013 reported EPS was $2.41 and reported net income available to common was $1,297 million. Please refer to page 28 of the appendix for reconciliation to adjusted figures 4. Noninterest expense on a GAAP basis was $1,743 million for 3Q 13, while adjusted noninterest expense was $1,324. Please refer to page 30 of the appendix for expense adjustment detail Solid Earnings Growth from Prior Quarter and Year 3Q 13 1 $179 3 2

 

5 Net Interest Income - FTE ($ in millions) Prior Quarter Variance • Net interest income increased $7 million as loan growth offset lower loan yields • Net interest margin stable as higher securities yields and slightly lower deposit rates offset lower loan yields Prior Year Variance • Net interest income declined $29 million → Interest income declined $49 million, primarily attributable to lower loan yields and reduced income from commercial loan swaps, partially offset by higher average earning assets → Interest expense declined $20 million, driven by a more favorable deposit mix and lower deposit rates • Net interest margin declined 16 basis points as lower loan yields were partially offset by lower deposit rates Net Interest Income Stable $1,276 $1,251 $1,242 $1,240 $1,247 3.36% 3.33% 3.25% 3.19% 3.20% 1.70% 1.90% 2.10% 2.30% 2.50% 2.70% 2.90% 3.10% 3.30% 3.50% 3.70% 3.90% 4.10% 4.30% $500 $1,000 $1,500 4Q 12 1Q 13 2Q 13 3Q 13 4Q 13 Net Interest Income Net Interest Margin

 

6 $1,000 $875 $855 $743 $807 $15 ($11) $3 ($63) $7 4Q 12 1Q 13 2Q 13 4Q 13 Adjusted Noninterest Income¹ Adjustment Items¹ Noninterest Income 1. Noninterest income on a GAAP basis was $1,015 million, $680 million and $814 million for 4Q 12, 3Q 13, and 4Q 13, respectively. Please refer to the page 29 of the appendix for noninterest income adjustment detail Note: Totals may not foot due to rounding Prior Quarter Variance • Adjusted noninterest income1 increased $64 million → Other income higher primarily due to the 3Q 13 $37 million lease financing asset impairment → Mortgage servicing income increased $27 million, primarily due to a reduction in MSR decay → Trading income higher due in part to increased client trading revenues → Partially offset by a reduction in core mortgage production income due to declines in applications and closed loan production volume Prior Year Variance • Adjusted noninterest income1 declined $193 million → Primarily due to a reduction in mortgage production income ($ in millions) Adjusted Noninterest Income1 Up from Prior Quarter $814 $1,015 $858 $863 $680 3Q 13

 

7 $1,510 $1,363 $1,397 $1,324 $1,377 $419 4Q 12 1Q 13 2Q 13 3Q 13 4Q 13 Adjusted Noninterest Expense¹ Adjustment Items¹ Noninterest Expense 1. Noninterest expense on a GAAP basis was $1,743 million for 3Q 13. Please refer to page 30 of the appendix for expense adjustment detail Note: Totals may not foot due to rounding Prior Quarter Variance • Adjusted noninterest expense1 increased $53 million → Employee compensation and benefits increased, primarily due to the 3Q 13 $37 million incentive compensation reduction → Operating losses increased $15 million Prior Year Variance • Noninterest expense declined $133 million, or 9%, due to reductions across most expense categories ($ in millions) Adjusted Expenses1 Up from Prior Quarter, Down from Prior Year $1,743

 

8 Tangible Efficiency Ratio – Adjusted Basis1 1. Calculated on a tangible basis and excluding certain items that are material and/or potentially nonrecurring. The GAAP efficiency ratios for 4Q 12, 1Q 13, 2Q 13, 3Q 13, 4Q 13, 2011, 2012, and 2013 were 65.9%, 64.5%, 66.6%, 90.8%, 66.8%, 72.5%, 59.7%, and 71.8%, respectively. Please refer to page 31 of the appendix for the GAAP reconciliations FY 2014 Target is < 64%; Long-term Target is < 60% 66.0 63.8% 66.4% 66.4% 66.8% 72.2% 69.3% 65.8% < 64% 4Q 12 1Q 13 2Q 13 3Q 13 4Q 13 2011 2012 2013 2014 Target

 

9 $1,547 $1,467 $1,141 $1,037 $971 $310 $273 $254 $264 $194 4Q 12 1Q 13 2Q 13 3Q 13 4Q 13 Nonperforming Loans Other Assets$210 $212 $146 $95 $101 $118 4Q 12 1Q 13 2Q 13 3Q 13 4Q 13 Core Provision Impact of Selected Items ($ in millions) 1. In 4Q 12, $162 million of nonperforming residential mortgage and CRE loans were sold, and a $39 million charge-off and provision for credit loss were recognized. Also in 4Q 12, $232 million of loans that were discharged from Chapter 7 bankruptcy were reclassified as nonperforming, and a $79 million charge-off and provision for credit loss were recognized 2. In 2Q 13, $220 million of loans previously discharged from Chapter 7 bankruptcy were returned to performing status, due to their being current for six consecutive months from the time they were categorized as nonperforming Credit Quality Asset Quality Improvements Continued $398 $328 $1,857 $1,740 $1,395 $1,301 $1,165 Net Charge-offs1 Provision Expense1 Allowance for Loan and Lease Losses Nonperforming Assets1,2 $2,174 $2,152 $2,125 $2,071 $2,044 1.80% 1.79% 1.75% 1.67% 1.60% 4Q 12 1Q 13 2Q 13 3Q 13 4Q 13 ALLL ($) ALLL Ratio $280 $226 $179 $146 $128 $118 1.30% 0.76% 0.59% 0.47% 0.40% 4Q 12 1Q 13 2Q 3 3Q 13 4Q 13 Core Net Charge-offs Impact of Selected Items NCOs to Average Loans (annualized)

 

10 $57.6 $58.5 $59.4 $60.0 $62.1 $42.8 $41.4 $41.2 $41.9 $42.5 $19.6 $19.4 $19.5 $19.7 $20.1 4Q 12 1Q 13 2Q 13 3Q 13 4Q 13 Commercial Residential Consumer Loans Prior Quarter Variance • Performing loans up $3.1 billion, or 3%, driven by growth across most loan portfolios • Highest sequential quarter performing loan growth since 1Q 12 Prior Year Variance • Performing loans up $4.7 billion, driven primarily by growth of $3.6 billion in C&I and $0.8 billion in commercial real estate Note: Totals may not foot due to rounding ($ in billions) Average Performing Loans Increased 3% Sequentially $124.7 $120.0 $119.4 $120.0 $121.6

 

11 $39.4 $38.1 $38.7 $38.6 $39.1 $25.6 $26.4 $26.0 $25.4 $26.5 $42.5 $43.0 $41.8 $43.0 $42.8 $5.2 $5.5 $5.8 $5.8 $5.8 $15.2 $14.7 $14.2 $13.7 $13.3 4Q 12 1Q 13 2Q 13 3Q 13 4Q 13 DDA NOW Money Market Savings Time Deposits Prior Quarter Variance • Client deposits increased 1% → Lower-cost deposits1 increased $1.3 billion, or 1% → Higher-cost time deposits down $0.5 billion, or 3% Prior Year Variance • Client deposits down slightly → Lower-cost deposits1 up $1.5 billion, or 1% → Higher-cost time deposits declined $2.0 billion, or 13% ($ in billions) 1. Lower-cost deposits include DDA, NOW, Money Market, and Savings Note: Totals may not foot due to rounding Average Client Deposits Increased 1% Sequentially with Continued Favorable Mix Shift $127.9 $127.7 $126.6 $127.5 $126.6

 

12 1. 4Q 13 estimated. Please refer to page 32 of the appendix for additional detail on the calculation. 2. The total shareholders’ equity to total assets ratio was 12.10%, 12.29%, 12.25%, 12.27%, and 12.22% for periods ending 4Q 12, 1Q 13, 2Q 13, 3Q 13, and 4Q 13, respectively. See the appendix for a reconcilement of tangible common equity to shareholders’ equity and tangible assets to total assets 3. Book value per share was $37.59, $37.89, $37.65, $37.85, and $38.61 for the periods ending 4Q 12, 1Q 13, 2Q 13, 3Q 13, and 4Q 13, respectively. See Appendix A within the earnings release for a reconcilement to book value per share ($ in billions) Capital Position Tangible Common Equity Ratio2 Tangible Book Value Per Share3 1 8.38% 8.57% 8.51% 8.54% 8.57% 4Q 12 1Q 13 2Q 13 3Q 13 4Q 13 $25.98 $26.33 $26.08 $26.27 $27.01 4Q 12 1Q 13 2Q 13 Q 13 4Q 13 Capital Ratios Stable Sequentially Given Loan Growth; Estimated Basel III Tier 1 Common Ratio of 9.6%¹ $13.5 $13.9 $14.2 $14.3 $14.6 10.0% 10.1% 10.2% 9.9% 9.8% 4Q 12 1Q 13 2Q 13 3Q 13 4Q 13 Basel I Tier 1 Common $ Basel I Tier 1 Common %

 

13 Consumer Banking and PWM Highlights 4Q 12 4Q 13 % Change Net Interest Income (FTE) $674 $656 (3%) Noninterest Income 385 373 (3%) Total Revenue (FTE) 1,059 1,029 (3%) Provision for Credit Losses 181 75 (59%) Noninterest Expense 778 713 (8%) Net Income $63 $152 141% Key Statistics ($ in billions) Tangible Efficiency Ratio1 70.6% 67.1% Total Loans (average) $40.8 $40.9 - Consumer and Commercial Deposits (average) $83.7 $84.0 - 1. Reported efficiency ratios were 73.5% and 69.3% for 4Q 12 and 4Q 13, respectively. The impact from excluding the amortization of intangible assets was (2.9%) and (2.2%) for 4Q 12 and 4Q 13, respectively 2. Comparisons are 4Q 12 versus 4Q 13 unless otherwise noted 3. In 4Q 12, $69 million of home equity loans were reclassified as NPLs in compliance with the updated regulatory guidance related to post Chapter 7 bankruptcy. The associated charge- offs totaled $31 million Note: Totals may not foot due to rounding. Prior year results have been restated to include the effect of moving small business banking from Wholesale Banking to Consumer Banking and Private Wealth Management during 2Q 13 Highlights2 • Notable increase in net income given lower provision for credit losses and efficiency improvements • Noninterest income declined 3%, due in part to the 4Q 12 gain associated with the sale of student loans → Wealth management related noninterest income increased 8% • Expenses down 8% due to solid expense management, partially driven by more efficient branch network and staffing models • Provision for credit losses significantly lower due to an improvement in credit quality and 4Q 12 charge-offs associated with the Chapter 7 bankruptcy loan reclassification to NPL status3 • Tangible efficiency ratio improved by 350 basis points • Consumer loan production up 8% ($ in millions) Significant Improvements in Overall Profitability and Efficiency

 

14 Wholesale Banking Highlights 4Q 12 4Q 13 % Change Net Interest Income (FTE) $426 $442 4% Noninterest Income 393 355 (10%) Total Revenue (FTE) 819 797 (3%) Provision for Credit Losses 49 11 (78%) Noninterest Expense 405 417 3% Net Income $254 $259 2% Key Statistics ($ in billions) Tangible Efficiency Ratio1 48.3% 51.3% Total Loans (average) $51.7 $56.4 9% Consumer and Commercial Deposits (average) $40.4 $41.3 2% 1. Reported efficiency ratios were 49.4% and 52.2% for 4Q 12 and 4Q 13, respectively. The impact from excluding the amortization of intangible assets was (1.1%) and (1.0%) for 4Q 12 and 4Q 13, respectively 2. Comparisons are 4Q 12 versus 4Q 13 Note: Totals may not foot due to rounding. Prior year results have been restated to include the effect of moving small business banking from Wholesale Banking to Consumer Banking and Private Wealth Management during 2Q 13 ($ in millions) Highlights2 • Record net income of $259 million • Net interest income higher by 4%, primarily due to loan and deposit growth • Noninterest income declined due to a one-time trading- related benefit and record investment banking income in 4Q 12 → 2013 marked a record year for investment banking income • Broad-based loan growth drove a 9% increase in total loans → Fourth consecutive quarter of CRE loan growth Record Quarterly Net Income in 4Q 13

 

15 Mortgage Banking Highlights 4Q 12 4Q 13 % Change Net Interest Income (FTE) $125 $130 4% Noninterest Income 240 74 (69%) Total Revenue (FTE) 365 204 (44%) Provision for Credit Losses 168 41 (76%) Noninterest Expense 323 256 (21%) Net Income / (Loss) ($66) ($67) - Key Statistics ($ in billions) Total Loans (average) $29.1 $28.4 (2%) Consumer and Commercial Deposits (average) $3.8 $2.3 (39%) Production Volume $8.0 $3.9 (51%) 1. Comparisons are 4Q 12 versus 4Q 13 unless otherwise noted 2. In 4Q 12, $138 million of nonperforming residential mortgage loans were sold, and $163 million of residential mortgage loans were reclassified as NPLs associated with the updated regulatory guidance related to post Chapter 7 bankruptcy. Net charge-offs of $32 million and $48 million, respectively, were recognized Note: Totals may not foot due to rounding ($ in millions) Highlights1 • Noninterest income negatively impacted due to the decline in production volume and gain-on-sale margins • Noninterest expense declined by 21% as cyclical costs and staff expenses were lower • Provision for credit losses significantly lower due to an improvement in credit quality and 4Q 12 charge-offs associated with NPL sales and the Chapter 7 bankruptcy loan reclassification to NPL status2 • Purchase market production, as a percentage of total originations, increased from 23% to 54% Despite Significant Revenue Decline, Net Loss Flat

 

16 $1,391 $678 $290 1.37% 0.55% 2012 2013 Core NCO's Impact of Items NCO Ratio $1,547 $971 1.27% 0.76% YE 2012 YE 2013 NPLs NPL Ratio $108 $415 2Q 12 - 1Q 13 2Q 13 - 1Q 14 69.3% 65.8% 2012 2013 $2.19 2.74 2012 2013 2013 Perspectives Adjusted Earnings Per Share1 1. 2012 reported EPS was $3.59. 2013 reported EPS was $2.41. Please refer to pages 27/28 of the appendix for reconciliation to adjusted EPS 2. In 2012, $290 million of charge-offs were recognized as a result of sales of certain nonperforming loans and due to the reclassification of certain loans that were discharged from Chapter 7 bankruptcy to nonperforming status 3. In 2Q 13, $220 million of loans previously discharged from Chapter 7 bankruptcy were returned to performing status 4. Calculated on a tangible basis and excluding certain items that are material and/or potentially nonrecurring. The GAAP efficiency ratios for 2012 and 2013 were 59.7%, and 71.8%, respectively. Please refer to page 31 of the appendix for the GAAP reconciliations 5. Includes 1Q 14 estimate $1,681 ($ in millions, except EPS) Net Charge-offs2 Nonperforming Loans3 Adjusted Tangible Efficiency Ratio4 Capital Return 5 Includes common share dividends and share repurchases

 

Appendix

 

18 $118 $114 $100 $101 $101 $101 $97 $91 $77 4Q 12 1Q 13 2Q 13 3Q 13 4Q 13 1Q 14 2Q 14 3Q 14 4Q 14 Commercial Loan Swap Interest Income Key Points • Swap income is expected to remain stable in 1Q 14, then decline gradually over the remainder of 2014 • As swaps mature, asset sensitivity increases • SunTrust receives a fixed rate and pays a floating rate (forecasted at 25bps) on the notional value of the swaps ($ in millions) A c tu a l A ctua l A c tu a l A c tu a l A c tu a l F ore c a s t F o rec a s t F o rec a s t F o rec a s t Swap Income Actual and Forecast

 

19 Mortgage Servicing Income Supplemental Information ($ in millions) 1. Includes contractually specified servicing fees, late charges, 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 Mortgage Servicing Rights 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 Note: Totals may not foot due to rounding 4Q 12 1Q 13 2Q 13 3Q 13 4Q 13 Servicing Fees 1 $83 $77 $77 $85 $81 (68) (73) (78) (66) (43) Net MSR FV and Hedge Activity3 31 34 2 (8) 0 Mortgage Servicing Income $45 $38 $1 $11 $38 Memo: Total Loans Serviced for Others (end of period) $113,243 $111,973 $109,307 $109,224 $106,832 Annualized Servicing Fees / Total Loans Serviced for Others (bps) 29 28 28 31 30 Changes in MSR Value from Collection / Realization of Cash Flow ("Decay") 2

 

20 $77 $39 $72 $350 $27 $42 $277 $180$8 $1 $4 $4 $140 $4 $41 $20 $38 $126 $30 $27 $173 $115 $16 $12 $14 $13 $13 $13 $66 $53 4Q 12 1Q 13 2Q 13 3Q 13 Reported 3Q 13 Adjusted 4Q 13 2012 2013 Adjusted Operating Losses Other Real Estate (Other Exp.) Collection Services (Other Exp.) Credit Services (Other Exp.) Additional Noninterest Expense Disclosure Credit-Related Expenses and Operating Losses (Cyclical Costs) Normalized Annual Cyclical Costs Expected to be < $325 Million ($ in millions) $81 $142 $71 $125 $75 $494 1. Adjusted to exclude certain October 10, 2013 8-K items. Adjusted figures provided as they remove certain items that are material and/or potentially non-recurring. Operating losses adjusted from $350 million to $27 million due to $323 million of operating losses associated with specific legacy mortgage and other related legal matters. Collection services adjusted from $126 million to $30 million due to the impact of the $96 million servicing advances allowance increase Note: Totals may not foot due to rounding 1 1 $655 $352 Cyclical Costs Consist of:

 

21 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 30 – 89 Day Delinquencies by Loan Class Excluding Government-Guaranteed Loans Memo: 4Q 12 1Q 13 2Q 13 3Q 13 4Q 13 4Q 13 Loan Balance 30-89 Accruing Delinquencies Commercial & industrial 0.15% 0.17% 0.14% 0.08% 0.08% $57,974 Commercial real estate 0.26 0.18 0.34 0.10 0.09 5,481 Commercial construction 0.07 0.03 0.01 0.01 0.14 855 Total Commercial Loans 0.16 0.17 0.16 0.08 0.08 $64,310 Residential mortgage – guaranteed - - - - - $3,416 Residential mortgage – non-guaranteed 0.82 0.76 0.70 0.65 0.61 24,412 Home equity products 1.00 0.79 0.78 0.82 0.80 14,809 Residential construction 2.03 1.04 1.07 0.72 0.67 553 Total Residential Loans¹ 0.91 0.78 0.74 0.71 0.69 $43,190 Guaranteed student loans - - - - - $5,545 Other direct 0.61 0.52 0.64 0.56 0.64 2,829 Indirect 0.62 0.38 0.44 0.49 0.66 11,272 Credit card 1.08 1.03 0.89 0.91 0.93 731 Total Consumer Loans² 0.64 0.44 0.50 0.52 0.67 $20,377 Total SunTrust - excluding government-guaranteed delinquencies³ 0.48% 0.41% 0.40% 0.35% 0.36% $118,916 Impact of excluding government-guaranteed delinquencies 0.45% 0.37% 0.31% 0.30% 0.38% 8,961 Total SunTrust - including government-guaranteed delinquencies4 0.93% 0.78% 0.71% 0.65% 0.74% $127,877 ($ in millions)

 

22 Nonperforming Loans by Loan Class 1. In 4Q 12, $162 million of nonperforming residential mortgage and CRE loans were sold, and $232 million of residential mortgage and home equity loans were reclassified as NPLs associated with the updated regulatory guidance related to post Chapter 7 bankruptcy. In 2Q 13, $220 million of residential mortgage and home equity loans previously discharged from Chapter 7 bankruptcy were returned to performing status, due to their being current for six consecutive months from the time they were categorized as nonperforming Note: Totals may not foot due to rounding Memo: 4Q 12 1Q 13 2Q 13 3Q 13 4Q 13 4Q 13 Loan Balance Nonperforming Loans Commercial & industrial $195 $205 $227 $216 $196 $57,974 Commercial real estate1 66 59 54 42 39 5,481 Commercial construction 34 25 23 17 12 855 Total Commercial Loans $294 $289 $304 $275 $247 $64,310 Residential mortgages – guaranteed - - - - - $3,416 Residential mortgages – nonguaranteed1 $775 $721 $516 $464 $441 24,412 Home equity products1 341 334 225 209 210 14,809 Residential construction 112 102 84 79 61 553 Total Residential Loans $1,228 $1,157 $825 $752 $712 $43,190 Guaranteed student loans - - - - - $5,545 Other direct $6 $6 $4 $4 $5 2,829 Indirect 18 15 8 6 7 11,272 Credit cards - - - - - 731 Total Consumer Loans $25 $21 $12 $10 $12 $20,377 Total $1,547 $1,467 $1,141 $1,037 $971 $127,877 ($ in millions) 6% Sequential Quarter and 37% YOY Decline

 

23 Net Charge-off Ratios by Loan Class 1. In 4Q 12, $162 million of nonperforming residential mortgage and CRE loans were sold, and $232 million of residential mortgage and home equity loans were reclassified as NPLs associated with the updated regulatory guidance related to post Chapter 7 bankruptcy. Net charge-offs of $39 million and $79 million, respectively, were recognized Note: Totals may not foot due to rounding Memo: 4Q 12 1Q 13 2Q 13 3Q 13 4Q 13 4Q 13 Loan Balance Net Charge-off %'s to Avg. Loans (annualized) Commercial Loans Commercial & industrial 0.44% 0.33% 0.30% 0.27% 0.16% $57,974 Commercial real estate1 0.94 0.24 0.24 0.04 0.43 5,481 Commercial construction (0.33) (0.13) (0.34) 0.71 (1.40) 855 Total Commercial Loans 0.46 0.32 0.29 0.26 0.16 $64,310 Residential Loans Residential mortgages – guaranteed - - - - - $3,416 Residential mortgages – nonguaranteed1 2.71 1.25 0.94 0.66 0.54 24,412 Home equity products1 3.60 1.79 1.55 1.15 1.06 14,809 Residential construction 4.31 10.90 4.80 3.28 5.94 553 Total Residential Loans 2.75 1.48 1.13 0.82 0.75 $43,190 Consumer Loans Guaranteed student loans - - - - - $5,545 Other direct 1.92 1.19 1.11 0.91 0.84 2,829 Indirect 0.37 0.46 0.17 0.31 0.37 11,272 Credit cards 3.18 3.40 3.13 2.81 2.86 731 Total Consumer Loans 0.53 0.52 0.34 0.39 0.42 $20,377 Total 1.30% 0.76% 0.59% 0.47% 0.40% $127,877 ($ in millions)

 

24 Net Charge-offs by Loan Class 1. In 4Q 12, $162 million of nonperforming residential mortgage and CRE loans were sold, and $232 million of residential mortgage and home equity loans were reclassified as NPLs associated with the updated regulatory guidance related to post Chapter 7 bankruptcy. Net charge-offs of $39 million and $79 million, respectively, were recognized Note: Totals may not foot due to rounding Memo: 4Q 12 1Q 13 2Q 13 3Q 13 4Q 13 4Q 13 Loan Balance Net Charge-off $'s Commercial Loans Commercial & industrial $58 $44 $42 $38 $22 $57,974 Commercial real estate1 10 2 3 - 6 5,481 Commercial construction (1) (0) (1) 1 (3) 855 Total Commercial Loans $68 $45 $44 $39 $25 $64,310 Residential Loans Residential mortgages – guaranteed - - - - - $3,416 Residential mortgages – nonguaranteed1 $161 $71 $54 $39 $33 24,412 Home equity products1 135 65 57 44 40 14,809 Residential construction 8 20 8 5 9 553 Total Residential Loans $304 $156 $119 $88 $82 $43,190 Consumer Loans Guaranteed student loans - - - - - $5,545 Other direct $11 $7 $6 $6 $6 2,829 Indirect 10 13 5 9 10 11,272 Credit cards 5 5 5 4 5 731 Total Consumer Loans $25 $25 $16 $19 $21 $20,377 Total $398 $226 $179 $146 $128 $127,877 ($ in millions)

 

25 Securities Portfolio Available for Sale 3Q 13 4Q 13 $ Change U.S. Treasury and Agencies $3.0 $2.3 ($0.7) MBS – Agency 18.3 18.9 0.6 U.S. States and Subdivisions 0.2 0.2 - Other 1.1 1.1 - Total Available for Sale $22.6 $22.5 ($0.1) ($ in billions, period end balances) High Quality and Liquid Portfolio

 

26 Income Statement ($ in millions) 3Q 13 Reported Impact from 8-K Items 3Q 13 ex 8-K Items NET INTEREST INCOME $1,208 $1,208 Provision for Credit Losses 95 95 NET INTEREST INCOME AFTER PROVISION FOR CREDIT LOSSES 1,113 1,113 NONINTEREST INCOME Service charges on deposit accounts 168 168 Trust and investment management income 133 133 Retail investment services 68 68 Other charges and fees 91 91 Investment banking income 99 99 Trading Income 33 33 Card fees 77 77 Mortgage production related income / (loss) (10) (63) 53 Mortgage servicing related income 11 11 Other noninterest income / (loss) 10 10 Net securities gains - - Total noninterest income 680 743 NONINTEREST EXPENSE Employee compensation and benefits 682 682 Net occupancy expense 86 86 Outside processing and software 190 190 Equipment expense 45 45 Marketing and customer development 34 34 Amortization/impairment of intangible assets/goodwill 6 6 Net loss on extnguishment of debt - - Operating losses 350 323 27 FDIC premium/regulatory exams 45 45 Other noninterest expense 305 96 209 Total noninterest expense 1,743 1,324 INCOME BEFORE PROVISION FOR INCOME TAXES 50 533 Provision for income taxes (146) (304) 157 INCOME INCLUDING INCOME ATTRIBUTABLE TO NONCONTROLLING INTEREST 196 375 Net income attributable to noncontrolling interest 7 7 NET INCOME 189 368 NET INCOME AVAILABLE TO COMMON SHAREHOLDERS 179 358 EPS - DILUTED $0.33 $0.33 $0.66 3Q 13 Income Statement Reconciliation Reported and Excluding Impact of October 10, 2013 8-K Items 1 2 3 4 1. Reflects the pre-tax impact of mortgage repurchase settlements with Fannie Mae and Freddie Mac 2. Reflects the pre-tax impact from the settlement of certain legal matters 3. Reflects the pre-tax impact from the mortgage servicing advances allowance increase 4. Reflects the provision for income taxes impact related to footnotes 1 – 3 ($191) and the other tax items ($113) referred to in the October 10, 2013 8-K Note: Totals may not foot due to rounding

 

27 Income Statement ($ in millions) 2012 Reported Earnings Impact from Significant 3Q 12 Items 2012 excl Significant Items NET INTEREST INCOME $5,102 $5,102 Provision for Credit Losses 1,395 172 1,223 NET INTEREST INCOME AFTER PROVISION FOR CREDIT LOSSES 3,707 3,879 NONINTEREST INCOME Service charges on deposit accounts 676 676 Trust and investment management income 512 512 Retail investment services 241 241 Other charges and fees 402 402 Investment banking income 342 342 Trading Income 211 211 Card fees 316 316 Mortgage production related income / (loss) 343 (371) 714 Mortgage servicing related income 260 260 Other noninterest income / (loss) 96 (92) 188 Net securities gains 1,974 1,938 36 Total noninterest income 5,373 3,898 NONINTEREST EXPENSE Employee compensation and benefits 3,077 3,077 Net occupancy expense 359 359 Outside processing and software 710 710 Equipment expense 188 188 Marketing and customer development 184 38 146 Amortization/impairment of intangible assets/goodwill 46 46 Net loss on extnguishment of debt 16 16 Operating losses 277 277 FDIC premium/regulatory exams 233 233 Other noninterest expense 1,233 96 1,137 Total noninterest expense 6,323 6,189 INCOME BEFORE PROVISION FOR INCOME TAXES 2,757 1,588 Provision for income taxes 773 417 356 INCOME INCLUDING INCOME ATTRIBUTABLE TO NONCONTROLLING INTEREST 1,984 1,232 Net income attributable to noncontrolling interest 26 26 NET INCOME 1,958 1,206 NET INCOME AVAILABLE TO COMMON SHAREHOLDERS 1,931 1,178 EPS - DILUTED $3.59 $1.40 $2.19 2012 Income Statement Reconciliation Reported and Excluding Impact of Significant Items Pre-announced in September 2012 1 2 3 4 1. Reflects the pre-tax provision expense associated with the planned sale of $0.5B nonperforming mortgage and CRE loans 2. Reflects the pre-tax mortgage repurchase provision in the third quarter of 2012 3. Reflects the pre-tax loss from moving $1.4B student loans and $0.5B Ginnie Mae loans to LHFS 4. Reflects the pre-tax gain associated with the early termination of agreements involving The Coca-Cola Company shares 5. Reflects the pre-tax impact from the charitable contribution of one million shares of The Coca-Cola Company 6. Reflects the pre-tax write-down associated with moving $0.2B affordable housing investments to HFS 7. Reflects the provision for income tax impact related to footnotes 1 – 6 Note: Totals may not foot due to rounding 5 6 7

 

28 Income Statement ($ in millions) 2013 Reported Earnings Impact from Significant 3Q 13 Items 2013 excl Significant Items NET INTEREST INCOME $4,853 $4,853 Provision for Credit Losses 553 553 NET INTEREST INCOME AFTER PROVISION FOR CREDIT LOSSES 4,300 4,300 NONINTEREST INCOME Service charges on deposit accounts 657 657 Trust and investment management income 518 518 Retail investment services 267 267 Other charges and fees 369 369 Investment banking income 356 356 Trading Income 182 182 Card fees 310 310 Mortgage production related income / (loss) 314 (63) 377 Mortgage servicing related income 87 87 Other noninterest income / (loss) 152 152 Net securities gains 2 2 Total noninterest income 3,214 3,277 NONINTEREST EXPENSE Employee compensation and benefits 2,901 2,901 Net occupancy expense 348 348 Outside processing and software 746 746 Equipment expense 181 181 Marketing and customer development 135 135 Amortization/impairment of intangible assets/goodwill 23 23 Net loss on extnguishment of debt - - Operating losses 503 323 180 FDIC premium/regulatory exams 181 181 Other noninterest expense 862 96 766 Total noninterest expense 5,880 5,461 INCOME BEFORE PROVISION FOR INCOME TAXES 1,634 2,116 Provision for income taxes 273 (304) 577 INCOME INCLUDING INCOME ATTRIBUTABLE TO NONCONTROLLING INTEREST 1,361 1,539 Net income attributable to noncontrolling interest 17 17 NET INCOME 1,344 1,522 NET INCOME AVAILABLE TO COMMON SHAREHOLDERS 1,297 1,476 EPS - DILUTED $2.41 ($0.33) $2.74 2013 Income Statement Reconciliation Reported and Excluding Impact of October 10, 2013 8-K Items 1 2 3 4 1. Reflects the pre-tax impact of mortgage repurchase settlements with Fannie Mae and Freddie Mac 2. Reflects the pre-tax impact from the settlement of certain legal matters 3. Reflects the pre-tax impact from the mortgage servicing advances allowance increase 4. Reflects the provision for income taxes impact from footnotes 1 – 3 ($191) and the other tax items ($113) referred to in the October 10, 2013 8-K Note: Totals may not foot due to rounding

 

29 ($ in millions) Noninterest Income Reconciliation 1. 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 Note: Totals may not foot due to rounding 4Q 12 1Q 13 2Q 13 3Q 13 4Q 13 Total Noninterest Income $1,015 $863 $858 $680 $814 Adjustment Items: Securities Gains 1 2 0 (0) 1 FMV and ARS (Trading Income) 31 14 3 2 14 Debt and SILC Valuation (Trading Income) (23) (24) 8 (6) (3) Fair Value Adjustments (Mortgage Production) 5 (3) (7) 4 (4) GSE Mortgage Repurchase Settlements (Mortgage Production Related Income) - - - (63) - Total Adjustments 1 15 (11) 3 (63) 7 Adjusted Noninterest Income $1,000 $875 $855 $743 $807

 

30 Noninterest Expense Reconciliation ($ in millions) 1. 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 Note: Totals may not foot due to rounding 4Q 12 1Q 13 2Q 13 3Q 13 4Q 13 Total Noninterest Expense $1,510 $1,363 $1,397 $1,743 $1,377 Settlement of Certain Legal Matters (Op rating Losses) - - - 323 - Mortgage Servicing Advances Allowance Increase (Other Noninterest Expense) - - - 96 - Total Adjustments 1 - - - 419 - Adjusted Noninterest Expense $1,510 $1,363 $1,397 $1,324 $1,377

 

31 Reconciliation of Efficiency Ratio 1. 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 Note: Totals may not foot due to rounding ($ in millions) 4Q 12 1Q 13 2Q 13 3Q 13 4Q 13 2011 2012 2013 Reported (GAAP) Basis Total Revenue - FTE $2,291 $2,114 $2,100 $1,920 $2,061 $8,600 $10,598 $8,194 Total Noninterest Expense 1,510 1,363 1,397 1,743 1,377 6,234 6,323 5,880 Amortization of Intangibles / Impairment of Goodwill 7 6 6 6 5 43 46 23 Efficiency Ratio 65.9% 64.5% 66.6% 90.8% 66.8% 72.5% 59.7% 71.8% Tangible Efficiency Ratio 65.6% 64.2% 66.3% 90.5% 66.6% 72.0% 59.2% 71.5% Adjusted Basis Reported Revenue $2,291 $2,114 $2,100 $1,920 $2,061 $8,600 $10,598 $8,194 Adjustment Items: Securities Gains 1 2 0 (0) 1 117 1,974 2 3Q-4Q 12 Student / Ginnie Mae Loan Sale (Losses) - - - - - - (92) - FMV and ARS 31 14 3 2 14 0 39 33 Debt and SILC Valuation (23) (24) 8 (6) (3) 89 (94) (25) Fair Value Adjustments 5 (3) (7) 4 (4) (10) 15 (12) HARP 2.0 MSR Valuation Adjustment - - - - - (38) - - GSE Mortgage Repurchase Settlements - - - (63) - - - (63) Adjusted Revenue $2,276 $2,125 $2,097 $1,984 $2,054 $8,441 $8,756 $8,260 Reported Noninterest Expense $1,510 $1,363 $1,397 $1,743 $1,377 $6,234 $6,323 $5,880 Adjustment Items: Affordable Housing Writedown - - - - - 10 96 - Charitable Contribution of KO Shares - - - - - - 38 - Real Estate Charge - - - - - - 17 - Goodwill Impairment - - - - - - 7 - Loss on Debt Extinguishment - - - - - (3) 15 - Pension Curtailment, Net of 401(k) Contribution - - - - - (60) - - Severance - - - - - 27 40 - Settlement of Certain Legal Matters - - - 323 - - - 323 Mortgage Servicing Advances Allowance Increase - - - 96 - - - 96 Potential Mortgage Servicing Settlement & Claims Expense - - - - - 120 - - Adjusted Expense $1,510 $1,363 $1,397 $1,324 $1,377 $6,140 $6,110 $5,461 Efficiency Ratio - Adjusted Basis 66.3% 64.1% 66.6% 66.7% 67.0% 72.7% 69.8% 66.1% Tangible Efficiency Ratio - Adjusted Basis 66.0% 63.8% 66.4% 66.4% 66.8% 72.2% 69.3% 65.8%

 

32 Reconciliation of Tier 1 Common Equity Ratio1 ($ in billions) 4Q 13 Tier 1 Common Equity - Basel I $14.6 Adjustments from Basel I to Basel III 2 0.0 Tier 1 Common Equity - Basel III 3 $14.6 Risk-weighted Assets - Basel I $148.7 Adjustments from Basel I to Basel III 4 3.9 Risk-weighted Assets - Basel III 3 $152.6 Tier 1 Common Equity Ratio Basel I 9.8% Basel III 3 9.6% 1. The Tier 1 common equity ratio is a financial measure that is used by regulators, bank management, and investors to assess the capital position of financial services companies. The Tier 1 common equity ratio as calculated for Basel III is considered non-GAAP, and as such we have presented a reconciliation to the Tier 1 common equity ratio under Basel I that is currently used by regulators. All figures are estimated at the time of the earnings release and subject to revision 2. Improved treatment of mortgage servicing assets essentially offset by disallowed deferred tax assets 3. The Basel III calculations of Tier 1 common equity, risk-weighted assets, and the Tier 1 common equity ratio are based upon the Company's interpretation of the final Basel III rules issued by the Federal Reserve on July 2, 2013, on a fully-phased-in basis. The Company's interpretation of the rules is subject to change, and as such, so are its estimated Basel III calculations 4. The largest differences between the risk-weighted assets as calculated under Basel I versus Basel III for SunTrust relate to the risk-weightings for certain commercial loans, unfunded commitments and mortgage servicing assets Note: Totals may not foot due to rounding

 

33 Reconciliation of Non-GAAP Measures Dec 31 Mar 31 Jun 30 Sep 30 Dec 31 2012 2013 2013 2013 2013 Total shareholders' equity $21.0 $21.2 $21.0 $21.1 $21.4 Goodwill, net of deferred taxes (6.2) (6.2) (6.2) (6.2) (6.2) Other intangible assets including MSRs, net of deferred taxes (0.9) (1.1) (1.2) (1.3) (1.3) MSRs 0.9 1.0 1.2 1.2 1.3 Tangible equity 14.7 14.9 14.8 14.8 15.2 Preferred stock (0.7) (0.7) (0.7) (0.7) (0.7) Tangible common equity $14.0 $14.2 $14.0 $14.1 $14.5 Total assets $173.4 $172.4 $171.5 $171.8 $175.3 Goodwill (6.4) (6.4) (6.4) (6.4) (6.4) Other intangible assets including MSRs (1.0) (1.1) (1.2) (1.3) (1.3) MSRs 0.9 1.0 1.2 1.2 1.3 Tangible assets $167.0 $166.0 $165.1 $165.4 $168.9 Tangible equity to tangible assets 8.82% 9.00% 8.95% 8.98% 9.00% Tangible common equity to tangible assets 8.38% 8.57% 8.51% 8.54% 8.57% Tangible book value per common share $25.98 $26.33 $26.08 $26.27 $27.01 Note: Totals may not foot due to rounding ($ in billions, except per share data)