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BB&T Corp – ‘8-K’ for 3/31/09 – EX-99.1On: Friday, 4/17/09, at 9:03am ET · For: 3/31/09 · Accession #: 92230-9-30 · File #: 1-10853 Text Wildcards: ?(any letter/digit) , * (many) . Search Logic: & (and ) , | (or) ; for Text: | (anywhere ) , "(&)" (near) . Details... Document/Exhibit Description Pages Size 8-K Current Report HTML 14K
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Exhibit 99.2
BB&T Corporation
BB&T Corporation
( Dollars in millions, except per share data, shares in thousands)
Year-to-Date
March 31 %
2009 2008 Change
Summary Income Statement
Interest income $ 1,709 $ 1,918 (10.9 ) %
Interest expense 535 884 (39.5 )
Net interest income - taxable equivalent 1,174 1,034 13.5
Less: Taxable-equivalent adjustment 28 17 64.7
Net interest income 1,146 1,017 12.7
Provision for credit losses 676 223 203.1
Net interest income after provision for credit losses 470 794 (40.8 )
Noninterest income 1,031 771 33.7
Noninterest expense 1,069 935 14.3
Income before income taxes 432 630 (31.4 )
Provision for income taxes 114 201 (43.3 )
Net income 318 429 (25.9 )
Minority interest 6 1 NM
Dividends and accretion on preferred stock 41 - NM
Net income available to common shareholders 271 428 (36.7 )
Per Common Share Data
Earnings
Basic $ .48 $ .78 (38.5 ) %
Diluted .48 .78 (38.5 )
Cash dividends paid .47 .46 2.2
Book value 23.29 23.49 (.9 )
Tangible book value (1) 14.00 13.47 3.9
End of period shares outstanding (in thousands) 560,563 546,799 2.5
Weighted average shares (in thousands)
Basic 559,801 546,214 2.5
Diluted 563,566 548,946 2.7
Performance Ratios
Return on average assets .86 % 1.29 %
Return on average common shareholders' equity 8.29 13.30
Net interest margin - taxable equivalent 3.57 3.54
Noninterest income as a percentage of total income (2) 42.1 41.4
Efficiency ratio (2) 50.9 52.3
Cash Basis Performance Ratios (3)
Diluted earnings per common share $ .51 $ .81 (37.0 ) %
Return on average tangible assets .93 % 1.40 %
Return on average tangible common shareholders' equity 15.62 24.27
Efficiency ratio (2) 49.8 50.8
Credit Quality
Nonperforming assets $ 2,750 $ 989
Nonperforming assets as a percentage of:
Total assets 1.92 % .73 %
Loans and leases plus foreclosed property 2.72 1.05
Net charge-offs as a percentage of average
loans and leases 1.58 .54
Allowance for loan and lease losses as a percentage
of loans and leases held for investment 1.94 1.19
Ratio of allowance for loan and lease losses to
nonperforming loans and leases 1.08 X 1.44 X
Average Balances
Total assets $ 149,876 $ 133,425 12.3 %
Investment securities 31,427 23,414 34.2
Loans and leases 99,724 92,718 7.6
Deposits 93,934 86,583 8.5
Client deposits 84,133 76,889 9.4
Shareholders' equity 16,406 12,961 26.6
Period-End Balances
Total assets $ 143,425 $ 136,417 5.1 %
Investment securities 19,489 24,096 (19.1 )
Loans and leases 100,239 93,951 6.7
Deposits 90,617 87,481 3.6
Client deposits 84,292 76,542 10.1
Shareholders' equity 16,182 12,875 25.7
Capital Ratios (4)
Risk-based
Tier 1 12.1 % 9.0 %
Total 17.1 14.1
Leverage 9.4 7.3
Tangible common equity (1) 5.7 5.7
Tangible common equity to risk-weighted assets (1) 7.1 7.1
Note: Applicable ratios are annualized.
(1 ) Tangible common equity and assets are based on regulatory Tier 1 capital definition.
(2 ) Excludes securities gains (losses), foreclosed property expense, increases or decreases in the valuation of mortgage servicing rights, and gains or losses on mortgage servicing rights-related derivatives.
(3 ) Cash basis performance information excludes the amortization of intangible assets and purchase accounting mark-to-market adjustments. In addition, cash basis performance excludes the unamortized balances of intangibles from assets and equity, net of deferred taxes.
(4 ) Current quarter regulatory capital information is preliminary.
NM - not meaningful.
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3
BB&T Corporation
(Dollars in millions, except per share data, shares in thousands)
Quarter Ended
March 31 Dec. 31 Sept. 30 June 30 March 31
2009 2008 2008 2008 2008
Summary Income Statement
Interest income $ 1,709 $ 1,757 $ 1,821 $ 1,817 $ 1,918
Interest expense 535 669 712 727 884
Net interest income - taxable equivalent 1,174 1,088 1,109 1,090 1,034
Less: Taxable-equivalent adjustment 28 23 21 22 17
Net interest income 1,146 1,065 1,088 1,068 1,017
Provision for credit losses 676 528 364 330 223
Net interest income after provision for credit losses 470 537 724 738 794
Noninterest income 1,031 807 792 827 771
Noninterest expense 1,069 1,012 1,005 959 935
Income before income taxes 432 332 511 606 630
Provision for income taxes 114 25 149 175 201
Net income 318 307 362 431 429
Minority interest 6 2 4 3 1
Dividends and accretion on preferred stock 41 21 - - -
Net income available to common shareholders 271 284 358 428 428
Per Common Share Data
Earnings
Basic $ .48 $ .51 $ .65 $ .78 $ .78
Diluted .48 .51 .65 .78 .78
Cash dividends paid .47 .47 .47 .46 .46
Book value 23.29 23.16 23.42 23.40 23.49
Tangible book value (1) 14.00 13.93 13.91 13.60 13.47
End of period shares outstanding (in thousands) 560,563 559,248 552,259 546,928 546,799
Weighted average shares (in thousands)
Basic 559,801 552,732 549,761 546,628 546,214
Diluted 563,566 556,746 553,544 549,758 548,946
Performance Ratios
Return on average assets .86 % .86 % 1.05 % 1.28 % 1.29 %
Return on average common shareholders' equity 8.29 8.47 10.86 13.27 13.30
Net interest margin - taxable equivalent (2) 3.57 3.47 3.66 3.65 3.54
Noninterest income as a percentage of total income (3) 42.1 40.5 40.5 43.0 41.4
Efficiency ratio (3) 50.9 53.9 52.7 49.2 52.3
Cash Basis Performance Ratios (4)
Diluted earnings per share $ .51 $ .54 $ .68 $ .81 $ .81
Return on average tangible assets .93 % .94 % 1.15 % 1.38 % 1.40 %
Return on average tangible common shareholders' equity 15.62 15.57 19.97 24.22 24.27
Efficiency ratio (3) 49.8 52.6 51.3 47.9 50.8
Credit Quality
Nonperforming assets $ 2,750 $ 2,030 $ 1,638 $ 1,301 $ 989
Nonperforming assets as a percentage of:
Total assets 1.92 % 1.34 % 1.20 % .95 % .73 %
Loans and leases plus foreclosed property 2.72 2.04 1.69 1.36 1.05
Net charge-offs as a percentage of average
loans and leases 1.58 1.29 1.00 .72 .54
Allowance for loan and lease losses as a percentage
of loans and leases held for investment 1.94 1.62 1.45 1.33 1.19
Ratio of allowance for loan and lease losses to
nonperforming loans and leases 1.08 X 1.11 X 1.15 X 1.24 X 1.44 X
Average Balances
Total assets $ 149,876 $ 141,555 $ 136,933 $ 135,557 $ 133,425
Investment securities 31,427 26,573 24,083 23,898 23,414
Loans and leases 99,724 97,224 95,943 94,866 92,718
Deposits 93,934 91,986 90,021 86,685 86,583
Client deposits 84,133 81,868 80,236 77,044 76,889
Shareholders' equity 16,406 14,967 13,176 13,017 12,961
Period-End Balances
Total assets $ 143,425 $ 152,015 $ 137,041 $ 136,465 $ 136,417
Investment securities 19,489 33,219 21,082 23,171 24,096
Loans and leases 100,239 98,669 96,682 95,715 93,951
Deposits 90,617 98,613 88,387 88,214 87,481
Client deposits 84,292 83,575 80,028 79,781 76,542
Shareholders' equity 16,182 16,081 12,980 12,838 12,875
Capital Ratios (5)
Risk-based
Tier 1 12.1 % 12.3 % 9.4 % 8.9 % 9.0 %
Total 17.1 17.4 14.4 14.0 14.1
Leverage 9.4 9.9 7.6 7.2 7.3
Tangible common equity (1) 5.7 5.3 5.9 5.7 5.7
Tangible common equity to risk-weighted assets (1) 7.1 7.1 7.3 7.2 7.1
Note: Applicable ratios are annualized.
(1) Tangible common equity and assets are based on regulatory Tier 1 capital definition.
(2) The net interest margin for the fourth quarter of 2008 was 3.68% excluding the $67 million charge related to the leveraged lease settlement.
(3) Excludes securities gains (losses), foreclosed property expense, increases or decreases in the valuation of mortgage servicing rights, and gains or losses on mortgage servicing rights-related derivatives.
(4) Cash basis performance information excludes the amortization of intangible assets and purchase accounting mark-to-market adjustments. In addition, cash basis performance excludes the unamortized b alances of intangibles from assets and equity, net of deferred taxes.
(5) Current quarter regulatory capital information is preliminary.
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4
BB&T Corporation
(Dollars in millions, except per share data, shares in thousands)
Year-to-Date
March 31 Change
2009 2008 $ %
Interest Income
Interest and fees on loans and leases $ 1,322 $ 1,595 $ (273 ) (17.1 ) %
Interest and dividends on securities 355 289 66 22.8
Interest on short-term investments 2 11 (9 ) (81.8 )
Total interest income 1,679 1,895 (216 ) (11.4 )
Interest Expense
Interest on deposits 346 564 (218 ) (38.7 )
Interest on federal funds purchased, securities sold under
repurchase agreements and short-term borrowed funds 23 88 (65 ) (73.9 )
Interest on long-term debt 164 226 (62 ) (27.4 )
Total interest expense 533 878 (345 ) (39.3 )
Net interest income 1,146 1,017 129 12.7
Provision for credit losses 676 223 453 203.1
Net interest income after provision for credit losses 470 794 (324 ) (40.8 )
Noninterest income
Insurance income 252 212 40 18.9
Service charges on deposits 156 154 2 1.3
Investment banking brokerage fees and commissions 82 86 (4 ) (4.7 )
Mortgage banking income 188 59 129 218.6
Checkcard fees 49 46 3 6.5
Other nondeposit fees and commissions 53 46 7 15.2
Trust and investment advisory revenues 32 40 (8 ) (20.0 )
Bankcard fees and merchant discounts 35 36 (1 ) (2.8 )
Income from bank-owned life insurance 23 13 10 76.9
Securities gains, net 150 43 107 NM
Other income 11 36 (25 ) (69.4 )
Total noninterest income 1,031 771 260 33.7
Noninterest Expense
Personnel expense 600 547 53 9.7
Occupancy and equipment expense 129 123 6 4.9
Professional services 53 37 16 43.2
Foreclosed property expense 36 13 23 176.9
Regulatory charges 33 5 28 NM
Loan processing expense 29 31 (2 ) (6.5 )
Amortization of intangibles 25 27 (2 ) (7.4 )
Merger-related and restructuring charges, net 12 5 7 140.0
Other expenses 152 147 5 3.4
Total noninterest expense 1,069 935 134 14.3
Earnings
Income before income taxes 432 630 (198 ) (31.4 )
Provision for income taxes 114 201 (87 ) (43.3 )
Net Income 318 429 (111 ) (25.9 )
Minority interest 6 1 5 NM
Dividends and accretion on preferred stock 41 - 41 NM
Net income available to common shareholders $ 271 $ 428 $ (157 ) (36.7 ) %
Earnings Per Common Share
Basic $ .48 $ .78 $ (.30 ) (38.5 ) %
Diluted .48 .78 (.30 ) (38.5 )
Weighted Average Shares Outstanding
Basic 559,801 546,214 13,587 2.5
Diluted 563,566 548,946 14,620 2.7
NM - not meaningful.
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5
BB&T Corporation
(Dollars in millions, except per share data, shares in thousands)
Quarter Ended
March 31 Dec. 31 Sept. 30 June 30 March 31
2009 2008 2008 2008 2008
Interest Income
Interest and fees on loans and leases $ 1,322 $ 1,408 $ 1,499 $ 1,501 $ 1,595
Interest and dividends on securities 355 317 287 283 289
Interest on short-term investments 2 4 7 6 11
Total interest income 1,679 1,729 1,793 1,790 1,895
Interest Expense
Interest on deposits 346 423 449 455 564
Interest on federal funds purchased, securities sold under
repurchase agreements and short-term borrowed funds 23 40 48 59 88
Interest on long-term debt 164 201 208 208 226
Total interest expense 533 664 705 722 878
Net interest income 1,146 1,065 1,088 1,068 1,017
Provision for credit losses 676 528 364 330 223
Net interest income after provision for credit losses 470 537 724 738 794
Noninterest income
Insurance income 252 247 232 237 212
Service charges on deposits 156 171 176 172 154
Investment banking brokerage fees and commissions 82 96 84 88 86
Mortgage banking income 188 76 83 57 59
Checkcard fees 49 50 52 53 46
Other nondeposit fees and commissions 53 49 47 47 46
Trust and investment advisory revenues 32 32 37 38 40
Bankcard fees and merchant discounts 35 38 38 39 36
Income from bank-owned life insurance 23 22 24 25 13
Securities gains net 150 41 13 10 43
Other income (loss) 11 (15 ) 6 61 36
Total noninterest income 1,031 807 792 827 771
Noninterest Expense
Personnel expense 600 537 552 565 547
Occupancy and equipment expense 129 135 127 124 123
Professional services 53 64 55 48 37
Foreclosed property expense 36 27 22 17 13
Regulatory charges 33 13 8 4 5
Loan processing expense 29 29 32 33 31
Amortization of intangibles 25 23 25 25 27
Merger-related and restructuring charges, net 12 4 5 1 5
Other expenses 152 180 179 142 147
Total noninterest expense 1,069 1,012 1,005 959 935
Earnings
Income before income taxes 432 332 511 606 630
Provision for income taxes 114 25 149 175 201
Net Income 318 307 362 431 429
Minority interest 6 2 4 3 1
Dividends and accretion on preferred stock 41 21 - - -
Net income available to common shareholders $ 271 $ 284 $ 358 $ 428 $ 428
Earnings Per Common Share
Basic $ .48 $ .51 $ .65 $ .78 $ .78
Diluted .48 .51 .65 .78 .78
Weighted Average Shares Outstanding
Basic 559,801 552,732 549,761 546,628 546,214
Diluted 563,566 556,746 553,544 549,758 548,946
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6
BB&T Corporation
(Dollars in millions)
As of March 31, Change
2009 2008 $ %
Assets
Cash and due from banks $ 1,188 $ 1,844 $ (656 ) (35.6 ) %
Interest-bearing deposits with banks 511 395 116 29.4
Federal funds sold and securities purchased under
resale agreements or similar arrangements 301 342 (41 ) (12.0 )
Segregated cash due from banks 283 325 (42 ) (12.9 )
Trading securities at fair value 481 609 (128 ) (21.0 )
Securities available for sale at fair value 19,008 23,487 (4,479 ) (19.1 )
Loans and leases:
Commercial loans and leases 50,392 46,277 4,115 8.9
Direct retail loans 15,000 15,570 (570 ) (3.7 )
Sales finance loans 6,275 6,052 223 3.7
Revolving credit loans 1,760 1,598 162 10.1
Mortgage loans 16,336 17,446 (1,110 ) (6.4 )
Specialized lending 6,678 5,186 1,492 28.8
Total loans and leases held for investment 96,441 92,129 4,312 4.7
Loans held for sale 3,798 1,822 1,976 108.5
Total loans and leases 100,239 93,951 6,288 6.7
Allowance for loan and lease losses (1,869 ) (1,097 ) (772 ) 70.4
Premises and equipment 1,583 1,544 39 2.5
Goodwill 5,492 5,226 266 5.1
Core deposit and other intangible assets 521 474 47 9.9
Residential mortgage servicing rights at fair value 365 406 (41 ) (10.1 )
Other assets 15,322 8,911 6,411 71.9
Total assets $ 143,425 $ 136,417 $ 7,008 5.1 %
Liabilities and Shareholders' Equity
Deposits:
Noninterest-bearing deposits $ 14,766 $ 13,377 $ 1,389 10.4 %
Interest checking 2,401 1,150 1,251 108.8
Other client deposits 40,604 35,196 5,408 15.4
Client certificates of deposit 26,521 26,819 (298 ) (1.1 )
Total client deposits 84,292 76,542 7,750 10.1
Other interest-bearing deposits 6,325 10,939 (4,614 ) (42.2 )
Total deposits 90,617 87,481 3,136 3.6
Fed funds purchased, repos and other borrowings 13,721 9,610 4,111 42.8
Long-term debt 17,955 21,544 (3,589 ) (16.7 )
Other liabilities 4,950 4,907 43 0.9
Total liabilities 127,243 123,542 3,701 3.0
Shareholders' equity:
Preferred stock 3,085 - 3,085 NM
Common stock 2,803 2,734 69 2.5
Additional paid-in capital 3,547 3,124 423 13.5
Retained earnings 7,385 7,087 298 4.2
Minority interest 45 33 12 36.4
Accumulated other comprehensive loss (683 ) (103 ) (580 ) 563.1
Total shareholders' equity 16,182 12,875 3,307 25.7
Total liabilities and shareholders' equity $ 143,425 $ 136,417 $ 7,008 5.1
NM - not meaningful.
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7
BB&T Corporation
(Dollars in millions)
As of
March 31 Dec. 31 Sept. 30 June 30 March 31
2009 2008 2008 2008 2008
Assets
Cash and due from banks $ 1,188 $ 1,639 $ 1,675 $ 1,888 $ 1,844
Interest-bearing deposits with banks 511 751 420 577 395
Federal funds sold and securities purchased under
resale agreements or similar arrangements 301 350 297 178 342
Segregated cash due from banks 283 379 307 196 325
Trading securities at fair value 481 376 548 514 609
Securities available for sale at fair value 19,008 32,843 20,534 22,657 23,487
Loans and leases:
Commercial loans and leases 50,392 50,480 48,694 47,790 46,277
Direct retail loans 15,000 15,454 15,569 15,623 15,570
Sales finance loans 6,275 6,354 6,314 6,266 6,052
Revolving credit loans 1,760 1,777 1,718 1,667 1,598
Mortgage loans 16,336 17,091 17,259 17,304 17,446
Specialized lending 6,678 6,089 5,709 5,550 5,186
Total loans and leases held for investment 96,441 97,245 95,263 94,200 92,129
Loans held for sale 3,798 1,424 1,419 1,515 1,822
Total loans and leases 100,239 98,669 96,682 95,715 93,951
Allowance for loan and lease losses (1,869 ) (1,574 ) (1,377 ) (1,257 ) (1,097 )
Premises and equipment 1,583 1,580 1,557 1,557 1,544
Goodwill 5,492 5,483 5,340 5,306 5,226
Core deposit and other intangible assets 521 542 507 505 474
Residential mortgage servicing rights at fair value 365 370 601 611 406
Other assets 15,322 10,607 9,950 8,018 8,911
Total assets $ 143,425 $ 152,015 $ 137,041 $ 136,465 $ 136,417
Liabilities and Shareholders' Equity
Deposits:
Noninterest-bearing deposits $ 14,766 $ 13,649 $ 13,534 $ 13,567 $ 13,377
Interest checking 2,401 2,576 2,189 2,542 1,150
Other client deposits 40,604 39,413 37,786 36,871 35,196
Client certificates of deposit 26,521 27,937 26,519 26,801 26,819
Total client deposits 84,292 83,575 80,028 79,781 76,542
Other interest-bearing deposits 6,325 15,038 8,359 8,433 10,939
Total deposits 90,617 98,613 88,387 88,214 87,481
Fed funds purchased, repos and other borrowings 13,721 10,788 10,075 10,804 9,610
Long-term debt 17,955 18,032 21,337 20,556 21,544
Other liabilities 4,950 8,501 4,262 4,053 4,907
Total liabilities 127,243 135,934 124,061 123,627 123,542
Shareholders' equity:
Preferred stock 3,085 3,082 - - -
Common stock 2,803 2,796 2,761 2,735 2,734
Additional paid-in capital 3,547 3,510 3,278 3,146 3,124
Retained earnings 7,385 7,381 7,357 7,258 7,087
Minority interest 45 44 45 38 33
Accumulated other comprehensive loss (683 ) (732 ) (461 ) (339 ) (103 )
Total shareholders' equity 16,182 16,081 12,980 12,838 12,875
Total liabilities and shareholders' equity $ 143,425 $ 152,015 $ 137,041 $ 136,465 $ 136,417
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8
BB&T Corporation
(Dollars in millions)
Year-to-Date
March 31 Change
2009 2008 $ %
Assets
Securities, at amortized cost
U.S. government-sponsored entities (GSE) $ 1,080 $ 8,354 $ (7,274 ) (87.1 ) %
Mortgage-backed securities issued by GSE 25,137 9,777 15,360 157.1
States and political subdivisions 2,282 1,413 869 61.5
Non-agency mortgage-backed securities 1,543 1,711 (168 ) (9.8 )
Other securities 937 1,275 (338 ) (26.5 )
Trading securities 448 884 (436 ) (49.3 )
Total securities 31,427 23,414 8,013 34.2
Other earning assets 1,180 1,282 (102 ) (8.0 )
Loans and leases
Commercial loans and leases 50,630 45,549 5,081 11.2
Direct retail loans 15,263 15,639 (376 ) (2.4 )
Sales finance loans 6,342 6,031 311 5.2
Revolving credit loans 1,767 1,602 165 10.3
Mortgage loans 16,759 17,462 (703 ) (4.0 )
Specialized lending 6,490 5,212 1,278 24.5
Total loans and leases held for investment 97,251 91,495 5,756 6.3
Loans held for sale 2,473 1,223 1,250 102.2
Total loans and leases 99,724 92,718 7,006 7.6
Total earning assets 132,331 117,414 14,917 12.7
Non-earning assets 17,545 16,011 1,534 9.6
Total assets $ 149,876 $ 133,425 $ 16,451 12.3 %
Liabilities and Shareholders' Equity
Deposits
Noninterest-bearing deposits $ 13,828 $ 12,676 $ 1,152 9.1 %
Interest checking 2,461 2,301 160 7.0
Other client deposits 40,701 34,851 5,850 16.8
Client certificates of deposit 27,143 27,061 82 0.3
Total client deposits 84,133 76,889 7,244 9.4
Other interest-bearing deposits 9,801 9,694 107 1.1
Total deposits 93,934 86,583 7,351 8.5
Fed funds purchased, repos and other borrowings 16,804 10,760 6,044 56.2
Long-term debt 17,436 19,201 (1,765 ) (9.2 )
Other liabilities 5,296 3,920 1,376 35.1
Total liabilities 133,470 120,464 13,006 10.8
Shareholders' equity 16,406 12,961 3,445 26.6
Total liabilities and shareholders' equity $ 149,876 $ 133,425 $ 16,451 12.3 %
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9
BB&T Corporation
(Dollars in millions)
Quarter Ended
March 31 Dec. 31 Sept. 30 June 30 March 31
2009 2008 2008 2008 2008
Assets
Securities, at amortized cost
U.S. government-sponsored entities (GSE) $ 1,080 $ 1,497 $ 3,619 $ 4,730 $ 8,354
Mortgage-backed securities issued by GSE 25,137 19,826 15,186 13,982 9,777
States and political subdivisions 2,282 2,146 2,070 1,729 1,413
Non-agency mortgage-backed securities 1,543 1,583 1,615 1,658 1,711
Other securities 937 982 1,068 1,228 1,275
Trading securities 448 539 525 571 884
Total securities 31,427 26,573 24,083 23,898 23,414
Other earning assets 1,180 1,347 975 1,035 1,282
Loans and leases
Commercial loans and leases 50,630 49,428 48,125 47,097 45,549
Direct retail loans 15,263 15,501 15,595 15,584 15,639
Sales finance loans 6,342 6,352 6,292 6,188 6,031
Revolving credit loans 1,767 1,737 1,688 1,628 1,602
Mortgage loans 16,759 17,198 17,279 17,373 17,462
Specialized lending 6,490 5,781 5,648 5,389 5,212
Total loans and leases held for investment 97,251 95,997 94,627 93,259 91,495
Loans held for sale 2,473 1,227 1,316 1,607 1,223
Total loans and leases 99,724 97,224 95,943 94,866 92,718
Total earning assets 132,331 125,144 121,001 119,799 117,414
Non-earning assets 17,545 16,411 15,932 15,758 16,011
Total assets $ 149,876 $ 141,555 $ 136,933 $ 135,557 $ 133,425
Liabilities and Shareholders' Equity
Deposits
Noninterest-bearing deposits $ 13,828 $ 13,298 $ 13,181 $ 13,086 $ 12,676
Interest checking 2,461 2,270 2,369 2,566 2,301
Other client deposits 40,701 38,791 38,369 34,650 34,851
Client certificates of deposit 27,143 27,509 26,317 26,742 27,061
Total client deposits 84,133 81,868 80,236 77,044 76,889
Other interest-bearing deposits 9,801 10,118 9,785 9,641 9,694
Total deposits 93,934 91,986 90,021 86,685 86,583
Fed funds purchased, repos and other borrowings 16,804 12,296 8,915 10,350 10,760
Long-term debt 17,436 17,700 20,770 21,697 19,201
Other liabilities 5,296 4,606 4,051 3,808 3,920
Total liabilities 133,470 126,588 123,757 122,540 120,464
Shareholders' equity 16,406 14,967 13,176 13,017 12,961
Total liabilities and shareholders' equity $ 149,876 $ 141,555 $ 136,933 $ 135,557 $ 133,425
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10
BB&T Corporation
(Dollars in millions)
Quarter Ended
March 31, 2009 December 31, 2008
Interest Interest
Average Income/ Yields/ Average Income/ Yields/
Balances (1) Expense Rates (2)
Balances (1) Expense Rates (2)
Assets
Securities, at amortized cost
U.S. government-sponsored entities (GSE) $ 1,080 $ 12 4.31 % $ 1,497 $ 17 4.34 %
Mortgage-backed securities issued by GSE 25,137 295 4.69 19,826 248 5.01
States and political subdivisions 2,282 34 5.94 2,146 34 6.48
Non-agency mortgage-backed securities 1,543 22 5.83 1,583 23 5.81
Other securities 937 5 2.30 982 7 2.94
Trading securities 448 3 2.51 539 3 2.19
Total securities 31,427 371 4.73 26,573 332 5.00
Other earning assets 1,180 2 .74 1,347 4 1.33
Loans and leases
Commercial loans and leases 50,630 511 4.09 49,428 574 4.61
Direct retail loans 15,263 212 5.62 15,501 239 6.11
Sales finance loans 6,342 101 6.48 6,352 106 6.61
Revolving credit loans 1,767 43 9.89 1,737 46 10.49
Mortgage loans 16,759 246 5.88 17,198 255 5.95
Specialized lending 6,490 193 12.01 5,781 182 12.53
Total loans and leases held for investment 97,251 1,306 5.43 95,997 1,402 5.81
Loans held for sale 2,473 30 4.77 1,227 19 6.16
Total loans and leases 99,724 1,336 5.42 97,224 1,421 5.82
Total earning assets 132,331 1,709 5.21 125,144 1,757 5.59
Non-earning assets 17,545 16,411
Total assets $ 149,876 $ 141,555
Liabilities and Shareholders' Equity
Interest-bearing liabilities
Interest checking $ 2,461 2 .35 $ 2,270 4 .74
Other client deposits 40,701 97 .97 38,791 137 1.41
Client certificates of deposit 27,143 209 3.13 27,509 227 3.28
Other interest-bearing deposits 9,801 38 1.55 10,118 55 2.13
Total interest-bearing deposits 80,106 346 1.75 78,688 423 2.14
Fed funds purchased, repos and other borrowings 16,804 24 .59 12,296 45 1.47
Long-term debt 17,436 165 3.81 17,700 201 4.52
Total interest-bearing liabilities 114,346 535 1.90 108,684 669 2.45
Noninterest-bearing deposits 13,828 13,298
Other liabilities 5,296 4,606
Shareholders' equity 16,406 14,967
Total liabilities and shareholders' equity $ 149,876 $ 141,555
Average interest-rate spread 3.31 3.14
Net interest income/ net interest margin (3) $ 1,174 3.57 % $ 1,088 3.47 %
Taxable-equivalent adjustment $ 28 $ 23
(1 ) Excludes basis adjustments for fair value hedges.
(2 ) Yields are on a fully taxable-equivalent basis.
(3 ) The net interest margin for the fourth quarter of 2008 was 3.68% excluding the $67 million charge related to the leveraged lease settlement.
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11
BB&T Corporation
Average Balances and Rates - Quarters
(Dollars in millions)
Quarter Ended
September 30, 2008 June 30, 2008 March 31, 2008
Interest Interest Interest
Average Income/ Yields/
Average Income/ Yields/ Average Income/ Yields/
Balances (1) Expense Rates (2) Balances (1) Expense Rates (2) Balances (1) Expense Rates (2)
Assets
Securities, at amortized cost
U.S. government-sponsored entities (GSE) $ 3,619 $ 46 5.08 % $ 4,730 $ 60 5.12 % $ 8,354 $ 98 4.69 %
Mortgage-backed securities issued by GSE 15,186 186 4.89 13,982 167 4.79 9,777 126 5.14
States and political subdivisions 2,070 33 6.40 1,729 27 6.07 1,413 22 6.32
Non-agency mortgage-backed securities 1,615 23 5.82 1,658 24 5.81 1,711 25 5.81
Other securities 1,068 11 3.88 1,228 17 5.44 1,275 19 6.12
Trading securities 525 4 2.99 571 4 2.81 884 13 5.89
Total securities 24,083 303 5.03 23,898 299 5.01 23,414 303 5.18
Other earning assets 975 7 2.61 1,035 6 2.48 1,282 11 3.41
Loans and leases
Commercial loans and leases 48,125 656 5.42 47,097 655 5.59 45,549 732 6.47
Direct retail loans 15,595 248 6.35 15,584 251 6.47 15,639 270 6.94
Sales finance loans 6,292 104 6.57 6,188 102 6.60 6,031 100 6.72
Revolving credit loans 1,688 45 10.72 1,628 44 10.86 1,602 47 11.78
Mortgage loans 17,279 259 6.00 17,373 261 6.01 17,462 264 6.04
Specialized lending 5,648 179 12.61 5,389 176 13.07 5,212 173 13.37
Total loans and leases held for investment 94,627 1,491 6.28 93,259 1,489 6.41 91,495 1,586 6.97
Loans held for sale 1,316 20 6.18 1,607 23 5.83 1,223 18 5.81
Total loans and leases 95,943 1,511 6.28 94,866 1,512 6.40 92,718 1,604 6.95
Total earning assets 121,001 1,821 6.00 119,799 1,817 6.09 117,414 1,918 6.56
Non-earning assets 15,932 15,758 16,011
Total assets $ 136,933 $ 135,557 $ 133,425
Liabilities and Shareholders' Equity
Interest-bearing liabilities
Interest checking $ 2,369 8 1.32 $ 2,566 6 .97 $ 2,301 10 1.76
Other client deposits 38,369 157 1.62 34,650 135 1.57 34,851 183 2.11
Client certificates of deposit 26,317 220 3.33 26,742 248 3.73 27,061 289 4.30
Other interest-bearing deposits 9,785 64 2.61 9,641 66 2.74 9,694 82 3.38
Total interest-bearing deposits 76,840 449 2.32 73,599 455 2.49 73,907 564 3.07
Fed funds purchased, repos and other borrowings 8,915 55 2.44 10,350 64 2.51 10,760 94 3.50
Long-term debt 20,770 208 4.00 21,697 208 3.83 19,201 226 4.73
Total interest-bearing liabilities 106,525 712 2.66 105,646 727 2.77 103,868 884 3.42
Noninterest-bearing deposits 13,181 13,086 12,676
Other liabilities 4,051 3,808 3,920
Shareholders' equity 13,176 13,017 12,961
Total liabilities and shareholders' equity $ 136,933 $ 135,557 $ 133,425
Average interest-rate spread 3.34 3.32 3.14
Net interest income/ net interest margin $ 1,109 3.66 % $ 1,090 3.65 % $ 1,034 3.54 %
Taxable-equivalent adjustment $ 21 $ 22 $ 17
(1) Excludes basis adjustments for fair value hedges.
(2) Yields are on a fully taxable-equivalent basis.
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12
BB&T Corporation
(Dollars in millions)
As of/For the Quarter Ended
March 31 Dec. 31 Sept. 30 June 30 March 31
2009 2008 2008 2008 2008
Nonperforming assets
Nonaccrual loans and leases
Commercial loans and leases $ 1,028 $ 845 $ 722 $ 621 $ 443
Direct retail loans 119 89 76 65 60
Sales finance loans 7 7 6 4 5
Mortgage loans 479 375 298 250 185
Specialized lending 91 97 94 76 67
Total nonaccrual loans and leases 1,724 1,413 1,196 1,016 760
Foreclosed real estate 958 538 382 232 178
Other foreclosed property 65 79 60 53 51
Nonperforming restructured loans 3 - - - -
Total nonperforming assets $ 2,750 $ 2,030 $ 1,638 $ 1,301 $ 989
Loans 90 days or more past due and still accruing (1)
Commercial loans and leases $ 7 $ 86 $ 39 $ 42 $ 52
Direct retail loans 127 117 88 72 59
Sales finance loans 28 26 19 17 15
Revolving credit loans 25 23 17 15 16
Mortgage loans 180 165 123 126 106
Specialized lending 14 14 11 10 10
Total loans 90 days past due and still accruing $ 381 $ 431 $ 297 $ 282 $ 258
Loans 30-89 days past due (1)
Commercial loans and leases $ 507 $ 594 $ 355 $ 492 $ 364
Direct retail loans 256 270 200 175 185
Sales finance loans 111 146 119 93 86
Revolving credit loans 32 34 29 25 24
Mortgage loans 706 690 582 519 510
Specialized lending 221 313 294 258 216
Total loans 30 - 89 days past due $ 1,833 $ 2,047 $ 1,579 $ 1,562 $ 1,385
Allowance for credit losses
Beginning balance $ 1,607 $ 1,393 $ 1,273 $ 1,113 $ 1,015
Allowance for acquired (sold) loans, net - - (2 ) - -
Provision for credit losses 676 528 364 330 223
Charge-offs
Commercial loans and leases (144 ) (123 ) (87 ) (48 ) (18 )
Direct retail loans (68 ) (49 ) (41 ) (38 ) (28 )
Sales finance loans (22 ) (18 ) (15 ) (13 ) (13 )
Revolving credit loans (30 ) (23 ) (20 ) (18 ) (18 )
Mortgage loans (49 ) (45 ) (33 ) (13 ) (5 )
Specialized lending (92 ) (76 ) (61 ) (55 ) (59 )
Total charge-offs (405 ) (334 ) (257 ) (185 ) (141 )
Recoveries
Commercial loans and leases 3 7 3 2 4
Direct retail loans 4 3 3 3 3
Sales finance loans 2 1 2 2 2
Revolving credit loans 3 3 2 3 3
Mortgage loans - 1 - - -
Specialized lending 5 5 5 5 4
Total recoveries 17 20 15 15 16
Net charge-offs (388 ) (314 ) (242 ) (170 ) (125 )
Ending balance $ 1,895 $ 1,607 $ 1,393 $ 1,273 $ 1,113
Allowance for credit losses
Allowance for loan and lease losses 1,869 1,574 1,377 1,257 1,097
Reserve for unfunded lending commitments 26 33 16 16 16
Total $ 1,895 $ 1,607 $ 1,393 $ 1,273 $ 1,113
( 1)
Excludes mortgage loans guaranteed by GNMA that BB&T does not have the obligation to repurchase.
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13
BB&T Corporation
Credit Quality
As of/For the Quarter Ended
March 31 Dec. 31 Sept. 30 June 30 March 31
2009 2008 2008 2008 2008
Asset Quality Ratios
Loans 30-89 days past due and still accruing as a
percentage of total loans and leases (1) 1.83 % 2.07 % 1.63 % 1.63 % 1.47 %
Loans 90 days or more past due and still accruing
as a percentage of total loans and leases (1) .38 .44 .31 .29 .27
Nonaccrual and restructured loans and leases as a
percentage of total loans and leases 1.72 1.43 1.24 1.06 .81
Nonperforming assets as a percentage of:
Total assets 1.92 1.34 1.20 .95 .73
Loans and leases plus foreclosed property 2.72 2.04 1.69 1.36 1.05
Net charge-offs as a percentage of average loans and leases 1.58 1.29 1.00 .72 .54
Net charge-offs excluding specialized lending as a
percentage of average loans and leases (2) 1.31 1.06 .82 .53 .32
Allowance for loan and lease losses as a percentage of
loans and leases held for investment 1.94 1.62 1.45 1.33 1.19
Ratio of allowance for loan and lease losses to:
Net charge-offs 1.19 X 1.26 X 1.43 X 1.84 X 2.18 X
Nonperforming loans and leases 1.08 1.11 1.15 1.24 1.44
(1) Excludes mortgage loans guaranteed by GNMA that BB&T does not have the obligation to repurchase.
( 2) Excludes net charge-offs and average loans from BB&T's specialized lending subsidiaries .
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14
BB&T Corporation
(Dollars in millions, except average loan and average client size)
SUPPLEMENTAL COMMERCIAL REAL ESTATE LOAN PORTFOLIO INFORMATION (1)
RESIDENTIAL ACQUISITION, DEVELOPMENT, AND CONSTRUCTION LOANS (ADC)
As of / For the Period Ended March 31, 2009
Builder / Land / Land Condos /
Construction Development Townhomes Total ADC
Total loans outstanding $ 2,618 $ 4,341 $ 515 $ 7,474
Average loan size (in thousands) 287 591 1,308 444
Average client size (in thousands) 818 1,313 3,267 1,118
Percentage of total loans 2.6 % 4.3 % .5 % 7.5 %
Nonaccrual loans and leases as a percentage of category 8.56 6.68 5.96 7.29
Gross charge-offs as a percentage of category 3.43 6.60 3.80 5.30
As of / For the Period Ended March 31, 2009
Gross Charge-
RESIDENTIAL ACQUISITION, DEVELOPMENT, AND Nonaccrual Nonaccrual as Offs as a
CONSTRUCTION LOANS (ADC) BY STATE OF Total Percentage of Loans and a Percentage of Percentage of
ORIGINATION Outstandings Total Leases Outstandings Outstandings
North Carolina $ 2,789 37.3 % $ 84 3.03 % 2.93 %
Georgia 1,190 15.9 168 14.16 11.27
Virginia 1,125 15.1 41 3.60 7.18
Florida 755 10.1 132 17.44 9.86
South Carolina 667 8.9 32 4.80 1.63
Tennessee 242 3.2 19 7.67 1.96
Washington, D.C. 229 3.1 7 3.06 -
Kentucky 218 2.9 36 16.74 2.46
West Virginia 136 1.8 14 9.93 2.84
Maryland 123 1.7 12 9.87 -
Total $ 7,474 100.0 % $ 545 7.29 % 5.30 %
OTHER COMMERCIAL REAL ESTATE LOANS (2)
As of / For the Period Ended March 31, 2009
Permanent
Commercial Income Total Other
Commercial Land/ Producing Commercial
Construction Development Properties Real Estate
Total loans outstanding $ 2,943 $ 2,501 $ 6,444 $ 11,888
Average loan size (in thousands) 1,441 784 369 523
Average client size (in thousands) 1,913 955 555 752
Percentage of total loans 2.9 % 2.5 % 6.4 % 11.9 %
Nonaccrual loans and leases as a percentage of category .54 2.72 .93 1.21
Gross charge-offs as a percentage of category .15 .66 .26 .32
As of / For the Period Ended March 31, 2009
Gross Charge-
Nonaccrual Nonaccrual as Offs as a
OTHER COMMERCIAL REAL ESTATE LOANS BY STATE OF Total Percentage of
Loans and a Percentage of Percentage of
ORIGINATION Outstandings Total Leases Outstandings Outstandings
North Carolina $ 3,608 30.3 % $ 14 .38 % .13 %
Georgia 2,119 17.8 39 1.85 1.18
Virginia 1,856 15.6 11 .62 -
South Carolina 952 8.0 11 1.16 .06
Florida 830 7.0 40 4.79 .74
Washington, D.C. 706 5.9 1 .10 -
Maryland 494 4.2 5 1.05 -
West Virginia 446 3.8 2 .39 .09
Kentucky 441 3.7 14 3.14 -
Tennessee 347 2.9 7 1.97 .14
Other 89 .8 - - -
Total $ 11,888 100.0 % $ 144 1.21 % .32 %
NOTES: (1) Commercial real estate loans (CRE) are defined as loans to finance non-owner occupied real property where the primary repayment source is the sale or rental/lease of the real property. Definition is based on internal classification.
(2) C&I loans secured by real property are excluded.
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15
BB&T Corporation
Credit Quality - Supplemental Schedules
(Dollars in millions, except average loan size)
SUPPLEMENTAL RESIDENTIAL MORTGAGE PORTFOLIO INFORMATION
As of / For the Period Ended March 31, 2009
Construction/
MORTGAGE LOANS Prime ALT -A Permanent Subprime (1)
Total loans outstanding $ 11,665 $ 3,060 $ 1,363 $ 626
Average loan size (in thousands) 194 330 348 69
Average credit score 720 734 736 588
Percentage of total loans 11.6 % 3.1 % 1.4 % .6 %
Percentage that are first mortgages 99.7 99.7 99.0 83.3
Average loan to value 75.0 68.1 79.1 75.5
Nonaccrual loans and leases as a percentage of category 2.00 4.53 5.78 6.88
Gross charge-offs as a percentage of category .79 1.79 2.41 3.32
As of / For the Period Ended March 31, 2009
Gross Charge-
Nonaccrual as Offs as a
Total Mortgages
Percentage of a Percentage of Percentage of
RESIDENTIAL MORTGAGE LOANS BY STATE Outstanding (1) Total Outstandings Outstandings
North Carolina $ 4,066 24.3 % 1.52 % .32 %
Virginia 3,368 20.1 2.33 .97
Florida 2,534 15.2 7.36 3.70
Maryland 1,741 10.4 1.69 .37
Georgia 1,539 9.2 3.55 1.92
South Carolina 1,530 9.2 2.54 .63
West Virginia 365 2.2 1.02 .58
Kentucky 349 2.1 .84 .15
Tennessee 254 1.5 2.23 .41
Washington, D.C. 184 1.1 1.89 .13
Other 784 4.7 3.61 1.69
Total $ 16,714 100.0 % 2.96 % 1.20 %
SUPPLEMENTAL HOME EQUITY PORTFOLIO INFORMATION (2)
As of / For the Period Ended
March 31, 2009
Home Equity Home Equity
HOME EQUITY LOANS & LINES Loans Lines
Total loans outstanding $ 8,391 $ 5,574
Average loan size (in thousands) (3) 48 36
Average credit score 722 759
Percentage of total loans 8.4 % 5.6 %
Percentage that are first mortgages 77.8 25.3
Average loan to value 67.5 66.1
Nonaccrual loans and leases as a percentage of category 1.19 .29
Gross charge-offs as a percentage of category 1.09 1.29
As of / For the Period Ended March 31, 2009
Total Home Gross Charge-
Equity Loans and Nonaccrual as Offs as a
Lines
Percentage of a Percentage of Percentage of
HOME EQUITY LOANS AND LINES BY STATE Outstanding Total Outstandings Outstandings
North Carolina $ 4,843 34.7 % .88 % .53 %
Virginia 3,132 22.4 .33 1.19
South Carolina 1,367 9.8 1.35 .85
Georgia 1,135 8.1 1.01 2.69
Maryland 843 6.0 .32 1.29
West Virginia 830 6.0 .42 .63
Florida 710 5.1 1.92 4.96
Kentucky 586 4.2 .74 .33
Tennessee 410 2.9 1.71 .66
Washington, D.C. 89 .6 1.42 3.15
Other 20 .2 .17 -
Total $ 13,965 100.0 % .83 % 1.17 %
NOTES: (1) Includes $378 million in loans originated by Lendmark Financial Services, which are disclosed as a part of the specialized lending category, and excludes mortgage loans guaranteed by GNMA that BB&T does not have the obligation to repurchase.
(2) Home equity portfolio is a component of direct retail loans and originated through the BB&T branching network.
(3) Home equity lines without an outstanding balance are excluded from this calculation.
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16
BB&T Corporation
(Dollars in millions, except per share data)
As of / Quarter Ended
March 31 Dec. 31 Sept. 30 June 30 March 31
2009 2008 2008 2008 2008
Selected Capital Information (1)
Risk-based capital
Tier 1 $ 13,494 $ 13,446 $ 10,008 $ 9,317 $ 9,287
Total 19,045 19,109 15,318 14,673 14,644
Risk-weighted assets 111,386 109,757 106,097 104,455 103,546
Average quarterly tangible assets 144,280 136,325 131,469 129,915 127,653
Risk-based capital ratios
Tier 1 12.1 % 12.3 % 9.4 % 8.9 % 9.0 %
Total 17.1 17.4 14.4 14.0 14.1
Leverage capital ratio 9.4 9.9 7.6 7.2 7.3
Equity as a percentage of total assets 11.3 10.6 9.5 9.4 9.4
Tangible equity as a percentage of tangible assets (2) 7.9 7.4 5.9 5.7 5.7
Tangible common equity as a percentage of tangible assets (2) 5.7 5.3 5.9 5.7 5.7
Tangible common equity as a percentage of risk-weighted assets (2) 7.1 7.1 7.3 7.2 7.1
Book value per common share $ 23.29 $ 23.16 $ 23.42 $ 23.40 $ 23.49
Tangible book value per common share (2) 14.00 13.93 13.91 13.60 13.47
Selected Mortgage Banking Information
Income statement impact of mortgage servicing rights valuation
MSRs fair value (decrease) increase $ (46 ) $ (247 ) $ (41 ) $ 152 $ (84 )
MSRs hedge gains (losses) 74 273 65 (158 ) 82
Net $ 28 $ 26 $ 24 $ (6 ) $ (2 )
Residential mortgage loan originations $ 7,414 $ 3,581 $ 3,743 $ 4,721 $ 4,393
Residential mortgage servicing portfolio
Loans serviced for others 42,923 41,250 39,292 36,810 33,977
Bank-owned loans serviced 19,990 18,434 18,411 18,755 19,155
Total servicing portfolio 62,913 59,684 57,703 55,565 53,132
Weighted-average coupon rate 5.92 % 6.03 % 6.01 % 5.98 % 6.00 %
Weighted-average servicing fee .376 .370 .366 .365 .363
Selected Miscellaneous Information
Derivatives notional amount $ 75,581 $ 74,177 $ 67,287 $ 59,795 $ 57,925
Fair value of derivatives 486 626 219 156 380
Unrealized depreciation on securities
available for sale, net of tax (289 ) (324 ) (398 ) (274 ) (18 )
Common stock prices
High 27.72 40.00 45.31 37.85 36.96
Low 12.90 21.47 18.71 21.40 25.92
End of period 16.92 27.46 37.80 22.77 32.06
Banking offices 1,504 1,511 1,501 1,489 1,494
ATMs 2,193 2,195 2,178 2,173 2,165
FTEs 29,496 29,633 29,818 30,089 29,726
(1 ) Current quarter regulatory capital information is preliminary.
(2 ) Tangible common equity and assets are based on regulatory Tier 1 capital definition.
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17
BB&T Corporation
Percentage Increase (Decrease)
QTD Link QTD
PERCENTAGE CHANGES IN SELECTED BALANCE SHEET ITEMS (1) 1Q09 vs. 1Q08 1Q09 vs. 4Q08
Average Balances
Commercial loans and leases (2) 12.3 % 10.6 %
Direct retail loans (2.4 ) (6.2 )
Sales finance loans 5.2 (0.6 )
Revolving credit loans 10.3 7.0
Mortgage loans (4.0 ) (10.4 )
Specialized lending 6.7 2.1
Total loans and leases held for investment (2) 5.8 2.8
Loans held for sale 102.2 NM
Total loans and leases (2) 7.1 7.9
Noninterest-bearing deposits 8.9 15.7
Interest checking 6.8 33.7
Other client deposits 16.7 19.6
Client certificates of deposit (0.4 ) (7.0 )
Total client deposits 9.1 10.4
Other interest-bearing deposits 1.1 (12.7 )
Total deposits 8.2 7.9
Percentage Increase (Decrease)
QTD Link QTD
PERCENTAGE CHANGES IN SELECTED INCOME STATEMENT ITEMS (1)(3) 1Q09 vs. 1Q08 1Q09 vs. 4Q08
Net interest income - taxable equivalent 11.9 % 1.7 %
Noninterest income
Insurance income (2.7 ) (18.4 )
Service charges on deposits 1.3 (35.6 )
Investment banking and brokerage fees (4.7 ) (59.1 )
Mortgage banking income NM NM
Checkcard fees 4.3 (15.9 )
Other nondeposit fees and commissions 17.8 33.1
Trust and investment advisory revenues (20.0 ) -
Bankcard fees and merchant discounts (2.8 ) (32.0 )
Other income 3.0 NM
Total noninterest income 15.1 49.6
Noninterest expense
Personnel expense 4.7 35.1
Occupancy and equipment expense 3.2 (20.9 )
Other noninterest expense 14.0 (17.4 )
Total noninterest expense 7.3 10.1
NOTES: Applicable ratios are annualized.
(1 ) Adjusted to exclude estimated growth that resulted from the timing of acquisitions during 2009 and 2008.
(2 ) Adjusted for the sale of leveraged lease investments.
(3 ) Excludes securities gains or losses, merger-related and restructuring charges, the net impact of valuation adjustments for mortgage servicing rights, gains or losses on mortgage servicing rights-related derivatives and other selected items as noted on the accompanying schedule.
NM - not meaningful.
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18
BB&T Corporation
(Dollars in millions, except per share data)
Favorable (Unfavorable)
Selected Items Pre-Tax After-Tax
First Quarter 2009
Other-than-temporary impairment charges Securities gains (losses), net $ (36 ) $ (22 )
Severance expense Merger-related and restructuring charges, net (11 ) (7 )
Fourth Quarter 2008
Other-than-temporary impairment charges Securities gains (losses), net (63 ) (39 )
Leveraged lease settlement Net interest income (67 ) (43 )
Leveraged lease settlement Provision for income tax 60 60
Third Quarter 2008
Other-than-temporary impairment charges Securities gains (losses), net (41 ) (26 )
Second Quarter 2008
Gain from sale of Visa stock Other noninterest income 47 30
Gain from extinguishment of debt Other noninterest expense 36 22
First Quarter 2008
Gain from Visa IPO Other noninterest income 33 21
Reversal of Accrual for Visa settlement Other noninterest expense 14 9
Valuation charge for bank-owned life insurance Income from bank-owned life insurance (12 ) (12 )
Implementation of fair value accounting standards Other noninterest income (6 ) (4 )
Implementation of fair value accounting standards Mortgage banking income 23 14
Quarter Ended
March 31 Dec. 31 Sept. 30 June 30 March 31
NON-GAAP Reconciliation Table 2009 2008 2008 2008 2008
Diluted earnings per common share $ .48 $ .51 $ .65 $ .78 $ .78
Effect of amortization of intangibles, net of tax .03 .03 .03 .03 .03
Cash basis diluted earnings per common share .51 .54 .68 .81 .81
Return on average assets .86 % .86 % 1.05 % 1.28 % 1.29 %
Effect of amortization of intangibles, net of tax .08 .08 .09 .10 .11
Effect of amortization of mark-to-market adjustments, net of tax (.01 ) - .01 - -
Cash basis return on average tangible assets .93 .94 1.15 1.38 1.40
Return on average common shareholders' equity 8.29 % 8.47 % 10.86 % 13.27 % 13.30 %
Effect of amortization of intangibles, net of tax 7.39 7.09 9.10 10.94 10.96
Effect of amortization of mark-to-market adjustments, net of tax (.06 ) .01 .01 .01 .01
Cash basis return on average tangible common shareholders' equity 15.62 15.57 19.97 24.22 24.27
Efficiency ratio 50.9 % 53.9 % 52.7 % 49.2 % 52.3 %
Effect of amortization of intangibles (1.2 ) (1.3 ) (1.4 ) (1.3 ) (1.5 )
Effect of amortization of mark-to-market adjustments .1 - - - -
Cash basis efficiency ratio 49.8 52.6 51.3 47.9 50.8
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19
and Documents Incorporated by ReferenceThis ‘8-K’ Filing Date Other Filings Filed on: 4/17/09 8-K/A For Period End: 3/31/09 10-Q, 13F-HR 12/31/08 10-K, 11-K, 13F-HR, 4, 5, 8-K 9/30/08 10-Q, 13F-HR, S-4 6/30/08 10-Q, 13F-HR, 8-K 3/31/08 10-Q, 13F-HR, 8-K List all Filings
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