GlobeNewswire Inc | Oct 22, 2020 07:30AM EDT

October 22, 2020

RICHMOND, Va., Oct. 22, 2020 (GLOBE NEWSWIRE) -- Atlantic Union Bankshares Corporation (the Company or Atlantic Union) (Nasdaq: AUB) today reported net income available to common shareholders of $58.3 million and diluted earnings per common share of $0.74 for its third quarter ended September 30,2020. Pre-tax pre-provision operating earnings(1) were $78.6 million for the third quarter ended September 30, 2020.

Net income available to common shareholders was $96.1 million and diluted earnings per common share were $1.22 for the nine months ended September 30, 2020. Pre-tax pre-provision operating earnings (1) were $217.3 million for the nine months ended September 30, 2020.

During the third quarter, Atlantic Union delivered strong financial results and continued to demonstrate the resilience, agility and innovation required to successfully navigate through the challenging economic, credit and interest rate headwinds of COVID-19, said John C. Asbury, president and chief executive officer of Atlantic Union.

Operating under the mantra of soundness, profitability and growth in that order of priority - Atlantic Union continues to be in a strong financial position with ample liquidity and a well-fortified capital base. Our financial performance has and will continue to benefit from the decisive actions the Company has taken to reduce its expense run rate to more closely align with revenue growth pressures driven by the lower for longer interest rate environment. These expense reduction actions include the consolidation of 14 branches in September, or nearly 10% of our branch network.

Looking forward, we believe that Atlantic Union will emerge from the challenges of COVID-19 as a stronger company that is well positioned to generate sustainable, profitable growth and is committed to leveraging the Atlantic Union franchise to build long term value for our shareholders.

Small Business Administration (SBA) Paycheck Protection Program (PPP)

During 2020, the Company participated in the SBA PPP under the Coronavirus Aid, Relief, and Economic Security (CARES) Act, which was intended to provide economic relief to small businesses that have been adversely impacted by the COVID-19 global pandemic (COVID-19). The Company processed over 11,000 PPP loans, which totaled $1.7 billion with a recorded investment of $1.6 billion as of September 30, 2020, which included unamortized deferred fees of $32.6 million. The loans carry a 1% interest rate.

Expense Reduction Measures

During 2020, the Company undertook several actions, including the consolidation of 14 branches, which was completed in September 2020, to reduce expenses in light of the current and expected operating environment. These actions resulted in expenses during the third quarter of 2020 of approximately $2.6 million, primarily related to lease termination costs and real estate write-downs.

(1)These are financial measures not calculated in accordance with generally accepted accounting principles (GAAP). For a reconciliation of these non-GAAP financial measures, see Alternative Performance Measures (non-GAAP) section of the Key Financial Results

NET INTEREST INCOME

For the third quarter of 2020, net interest income was $137.4 million, an increase from $137.3 million reported in the second quarter of 2020. Net interest income (FTE)(1)was $140.3 million in the third quarter of 2020, an increase of $172,000 from the second quarter of 2020. The third quarter net interest margin decreased 15 basis points to 3.08% from 3.23% in the previous quarter, while the net interest margin (FTE)(1)decreased 15 basis points to 3.14% from 3.29% during the same period. The decreases in the net interest margin and net interest margin (FTE) were principally due to a 31 basis point decrease in the yield on earning assets (FTE)(1) offset by a 16 basis point decrease in cost of funds. The decline in the Companys earning asset yields was driven by lower loan accretion income, an increase in the earning asset mix of lower yielding investment securities and the impact of lower market interest rates. The cost of funds decline was driven by lower deposit costs and wholesale borrowing costs driven by lower interest rate environment and a favorable funding mix.

The Companys net interest margin (FTE) includes the impact of acquisition accounting fair value adjustments. Net accretion related to acquisition accounting decreased $2.7 million from the prior quarter to $3.7 million for the quarter ended September 30,2020. The second and third quarters of 2020, and the remaining estimated net accretion impact are reflected in the following table (dollars in thousands):

Deposit Loan Accretion Borrowings Accretion (Amortization) Amortization TotalFor the quarterended $ 9,528 50 (138 ) $ 9,440March31,2020For the quarterended 6,443 34 (140 ) 6,337June30,2020For the quarterended 3,814 26 (167 ) 3,673September30,2020For the remainingthree months of 2,530 23 (187 ) 2,3662020 (estimated)For the yearsending (estimated):2021 9,242 14 (807 ) 8,4492022 7,449 (43 ) (829 ) 6,5772023 5,346 (32 ) (852 ) 4,4622024 4,334 (4 ) (877 ) 3,4532025 3,248 (1 ) (900 ) 2,347Thereafter 14,485 ? (9,873 ) 4,612Total remainingacquisitionaccounting fair 46,634 (43 ) (14,325 ) 32,266value adjustmentsat September 30,2020

ASSET QUALITY

OverviewDuring the third quarter of 2020, the Company experienced a slight decrease in nonperforming assets (NPAs). Past due loan levels as a percentage of total loans held for investment at September 30,2020 were higher than past due loan levels at June 30, 2020 and lower than past due loan levels at September 30,2019. The increase in past due loan levels from June 30, 2020 was primarily within the 30-59 days past due category. Net charge-off levels and the provision for loan losses for the third quarter of 2020 decreased from the second quarter of 2020.

Loan Modifications for Borrowers Affected by COVID-19On March 22, 2020, the five federal bank regulatory agencies and the Conference of State Bank Supervisors issued joint guidance (subsequently revised on April 7, 2020) with respect to loan modifications for borrowers affected by COVID-19 (the March 22 Joint Guidance). The March 22 Joint Guidance encourages banks, savings associations, and credit unions to make loan modifications for borrowers affected by COVID-19 and, importantly, assures those financial institutions that they will not (i) receive supervisory criticism for such prudent loan modifications and (ii) be required by examiners to automatically categorize COVID-19-related loan modifications as TDRs. The federal banking regulators have confirmed with the Financial Accounting Standards Board (or FASB) that short-term loan modifications made on a good faith basis in response to COVID-19 to borrowers who were current (i.e., less than 30 days past due on contractual payments) when the modification program was implemented are not considered TDRs.

(1)These are financial measures not calculated in accordance with GAAP. For a reconciliation of these non-GAAP financial measures, see Alternative Performance Measures (non-GAAP) section of the Key Financial Results

In addition, Section 4013 of the CARES Act provides banks, savings associations, and credit unions with the ability to make loan modifications related to COVID-19 without categorizing the loan as a TDR or conducting the analysis to make the determination, which is intended to streamline the loan modification process. Any such suspension is effective for the term of the loan modification; however, the suspension is only permitted for loan modifications made during the effective period of Section 4013 and only for those loans that were not more than thirty days past due as of December 31, 2019.

The Company has made certain loan modifications pursuant to the March 22 Joint Guidance or Section 4013 of the CARES Act and as of September 30, 2020 approximately $769.6 million remain under their modified terms, a decline of $831.3 million as compared to June 30, 2020. The majority of the Companys modifications as of September 30, 2020 were in the commercial real estate portfolios.

Nonperforming AssetsAt September 30,2020, NPAs totaled $43.2 million, a decrease of $839,000 from June 30, 2020. NPAs as apercentage of total outstanding loans at September 30,2020 were 0.30%, a decrease of 1 basis point from 0.31% at June 30,2020. Excluding the impact of the PPP loans(1), NPAs as a percentage of total outstanding loans were 0.34%, a decrease of 1 basis point from June 30, 2020.

The Companys adoption of current expected credit loss (CECL) on January 1, 2020 resulted in a change in the accounting and reporting related to purchased credit impaired (PCI) loans, which are now defined as purchased credit deteriorated (PCD) and evaluated at the loan level instead of being evaluated in pools under PCI accounting. All prior period nonaccrual and past due loan metrics discussed herein have not been restated for CECL accounting and exclude PCI-related loan balances.

The following table shows a summary of nonperforming asset balances at the quarter ended (dollars in thousands):

September30, June30, March31, December31, September30, 2020 2020 2020 2019 2019Nonaccrual $ 39,023 $ 39,624 $ 44,022 $ 28,232 $ 30,032loansForeclosed 4,159 4,397 4,444 4,708 6,385propertiesTotalnonperforming $ 43,182 $ 44,021 $ 48,466 $ 32,940 $ 36,417assets

The following table shows the activity in nonaccrual loans for the quarter ended (dollars in thousands):

September30, June30, March31, December31, September30, 2020 2020 2020 2019 2019Beginning $ 39,624 $ 44,022 $ 28,232 $ 30,032 $ 27,462 BalanceNetcustomer (2,803 ) (6,524 ) (3,451 ) (5,741 ) (3,612 )paymentsAdditions 2,790 3,206 6,059 5,631 8,327 Impact ofCECL ? ? 14,381 ? ? adoptionCharge-offs (588 ) (1,088 ) (1,199 ) (1,690 ) (884 )Loansreturning ? 8 ? ? (1,103 )to accruingstatusTransfersto ? ? ? ? (158 )foreclosedpropertyEnding $ 39,023 $ 39,624 $ 44,022 $ 28,232 $ 30,032 Balance

The following table shows the activity in foreclosed properties for the quarter ended (dollars in thousands):

September30, June30, March31, December31, September30, 2020 2020 2020 2019 2019Beginning $ 4,397 $ 4,444 $ 4,708 $ 6,385 $ 6,506 BalanceAdditionsof ? ? 615 62 645 foreclosedpropertyValuation ? ? (44 ) (375 ) (62 )adjustmentsProceeds (254 ) (55 ) (854 ) (1,442 ) (737 )from salesGains(losses) 16 8 19 78 33 from salesEnding $ 4,159 $ 4,397 $ 4,444 $ 4,708 $ 6,385 Balance

(1)These are financial measures not calculated in accordance with GAAP. For a reconciliation of these non-GAAP financial measures, see Alternative Performance Measures (non-GAAP) section of the Key Financial Results

Past Due LoansPast due loans still accruing interest totaled $50.9 million or 0.35% of total loans held for investment at September 30,2020, compared to $40.5 million or 0.28% of total loans held for investment at June 30, 2020, and $55.1 million or 0.45% of total loans held for investment at September 30,2019. Excluding the impact of the PPP loans(1), past due loans still accruing interest were 0.40% of total loans held for investment at September 30, 2020, compared to 0.32% of total loans held for investment at June 30, 2020. The increase in past due loans in the third quarter of 2020 as compared to the second quarter was primarily within the 30-59 days past due category and due to increases in past due credit relationships within the owner occupied commercial real estate, commercial & industrial, and residential 1-4 family consumer portfolios.

Of the total past due loans still accruing interest, $15.6 million or 0.11% of total loans held for investment were loans past due 90days or more at September 30,2020, compared to $19.3 million or 0.13% of total loans held for investment at June 30,2020, and $12.0 million or 0.10% of total loans held for investment at September 30,2019.

Net Charge-offsFor the third quarter of 2020, net charge-offs were $1.4 million, or 0.04% of total average loans on an annualized basis, compared to $3.3 million, or 0.09%, for the second quarter of 2020, and $7.7 million, or 0.25%, for the third quarter last year. Excluding the impact of the PPP loans(1), net charge-offs were 0.04% of total average loans on an annualized basis, compared to 0.10% for the second quarter of 2020. The majority of net charge-offs in the third quarter of 2020 were related to the third-party consumer loan portfolio.

Provision for Credit LossesThe provision for credit losses for the third quarter of 2020 was $6.6 million, a decrease of $27.6 million compared to the previous quarter and a decrease of $2.5 million compared to the same quarter in 2019. The provision for credit losses for the third quarter of 2020 consisted of $5.6 million in provision for loan losses and $1.0 million in provision for unfunded commitment.

Allowance for Credit Losses (ACL)At September 30, 2020, the ACL was $186.1 million and included an allowance for loan and lease losses (ALLL) of $174.1 million and a reserve for unfunded commitments (RUC) of $12.0 million. The ACL increased $5.1 million from June 30,2020, primarily due to the continued economic uncertainty related to COVID-19.

The ALLL increased $4.1 million and the RUC increased $1.0 million from June 30, 2020. The ALLL as apercentage of the total loan portfolio was 1.21% at September 30,2020 and 1.19% at June 30,2020. The ACL as percentage of total loans was 1.29% at September 30, 2020 and 1.26% at June 30, 2020. When excluding PPP loans(1), which are 100% guaranteed by the SBA, the ALLL as a percentage of adjusted loans increased 2 basis points to 1.36% from the prior quarter and the ACL as a percentage of adjusted loans increased 4 basis points to 1.46% from the prior quarter. The ratio of the ALLL to nonaccrual loans was 446.2% at September 30,2020, compared to 429.0% at June 30, 2020.

(1) These are financial measures not calculated in accordance withGAAP. For a reconciliation of these non-GAAP financial measures, see Alternative Performance Measures (non-GAAP) section of the Key Financial Results.

NONINTEREST INCOME

Noninterest income decreased $1.5 million to $34.4 million for the quarter ended September 30,2020 from $35.9 million in the prior quarter primarily driven by a $10.3 million gain on sale of investment securities recorded during the second quarter and a decline of $2.3 million in loan-related interest rate swap income due to lower transaction volumes during the third quarter, which were significantly offset by increases in several other non-interest income categories. These positive offsets include an increase in mortgage banking income of $3.1 million primarily due to increased mortgage loan origination volumes due to the current low interest rate environment. In addition, in the third quarter of 2020, $1.7 million in unrealized gains were recognized related to equity method investments that experienced unrealized losses during the second quarter, bank owned life insurance income increased $1.4 million primarily related to death benefit proceeds received during the quarter, and service charges on deposit accounts increased $1.1 million primarily due to higher NSF and overdraft fees.

NONINTEREST EXPENSE

Noninterest expense decreased $9.6 million to $93.2 million for the quarter ended September 30,2020 from $102.8 million in the prior quarter primarily driven by the recognition of approximately $10.3 million loss on debt extinguishment in the second quarter resulting from the prepayment of approximately $200.0 million in long-term FHLB advances. In addition, during the third quarter of 2020, there was a decline in the FDIC assessment of approximately $1.1 million due to the positive impact of PPP loans on the Companys assessment rate. Noninterest expense also included approximately $2.6 million in costs related to the Companys expense reduction plans, including the closure of 14 branches in September, approximately $639,000 in costs related to the Companys response to COVID-19, and an increase in marketing expenses related to donations made by the Company to support organizations that fight the injustices of inequality and contribute to change in our communities.

INCOME TAXES

The effective tax rate for the three months ended September30,2020 was 15.3% compared to 15.2% for the three months ended June30,2020.

BALANCE SHEET

At September30,2020, total assets were $19.9 billion, an increase of $178.3 million, or approximately 3.6% (annualized), from June 30, 2020, and an increase of $2.5 billion, or approximately 14.3% from September30,2019. The increase in assets from the prior quarter was driven by an increase in the Companys securities portfolio partially offset by a reduction in cash balances while growth from the prior year was primarily a result of both organic and PPP loan growth.

At September 30, 2020, loans held for investment (net of deferred fees and costs) were $14.4 billion, an increase of $74.6 million, or 2.1% (annualized), from June 30, 2020, while average loans increased $401.0 million, or 11.4% (annualized), from the prior quarter. Loans held for investment (net of deferred fees and costs) increased $2.1 billion, or 16.9% from September 30, 2019, while quarterly average loans increased $2.1 billion, or 17.3% from the prior year. Excluding the effects of the PPP(2), loans held for investment (net of deferred fees and costs) increased $475.6 million, or 3.9%, while quarterly average loans increased $480.2 million, or 3.9% from the prior year.

At September30,2020, total deposits were $15.6 billion, a slight decrease of $29.0 million, or approximately 0.7% (annualized), from June30,2020, while average deposits increased $620.1 million, or 16.5% (annualized), from the prior quarter. Deposits increased $2.5 billion, or 19.4% from September30,2019, while quarterly average deposits increased $2.8 billion, or 21.6% from the prior year. The increase in deposits from the prior year was primarily due to the impact of PPP loan related deposits and government stimulus.

The following table shows the Companys capital ratios at the quarters ended:

September30, June30, September30, 2020 2020 2019 CommonequityTier 1 10.04 % 9.88 % 10.48 %capitalratio ^(1)Tier 1capital 11.18 % 11.03 % 10.48 %ratio ^(1)Totalcapital 13.92 % 13.81 % 12.93 %ratio ^(1)Leverageratio(Tier 1capital 8.82 % 8.82 % 8.94 %toaverageassets)^(1)Commonequity 12.52 % 12.41 % 14.48 %to totalassetsTangiblecommonequityto 7.91 % 7.74 % 9.23 %tangibleassets ^(2)

(1)All ratios at September30,2020 are estimates and subject to change pending the Companys filing of its FR Y9-C. All other periods are presented as filed. (2)These are financial measures not calculated in accordance with GAAP. For a reconciliation of these non-GAAP financial measures, see Alternative Performance Measures (non-GAAP) section of the Key Financial Results.

On June 9, 2020, the Company issued and sold 6,900,000 depositary shares, each representing a 1/400th ownership interest in a share of the Companys 6.875% Perpetual Non-Cumulative Preferred Stock, Series A (Series A Preferred Stock), par value $10.00 per share of Series A Preferred Stock, with a liquidation preference of $10,000 per share of Series A Preferred Stock. The net proceeds received from the issuance of the Series A Preferred Stock was approximately $166.4 million, after deducting the underwriting discount and other offering expenses payable by the Company. The Series A Preferred Stock is included in Tier 1 capital.

During the third quarter of 2020, the Company declared and paid cash dividends of $0.25 per common share, consistent with the second quarter of 2020 and the third quarter of 2019. During the third quarter of 2020, the Board also declared and paid a quarterly dividend on the outstanding shares of Series A Preferred Stock of $156.60 per share (equivalent to $0.39 per outstanding depositary share). On July 10, 2019, the Company announced that its Board of Directors had authorized a share repurchase program (effective July 8, 2019) to purchase up to $150 million of the Companys common stock through June 30, 2021 in open market transactions or privately negotiated transactions. On March 20, 2020, the Company suspended its share repurchase program, which had $20 million remaining in the authorization when it was suspended. The Company repurchased an aggregate of approximately 3.7 million shares, at an average price of $35.48 per share, under the authorization prior to the suspension.

ABOUT ATLANTIC UNION BANKSHARES CORPORATION

Headquartered in Richmond, Virginia, Atlantic Union Bankshares Corporation (Nasdaq: AUB) is the holding company for Atlantic Union Bank. Atlantic Union Bank has 135 branches and approximately 155 ATMs located throughout Virginia, and in portions of Maryland and North Carolina. Middleburg Financial is a brand name used by Atlantic Union Bank and certain affiliates when providing trust, wealth management, private banking, and investment advisory products and services. Certain non-bank affiliates of Atlantic Union Bank include: Old Dominion Capital Management,Inc., and its subsidiary, Outfitter Advisors,Ltd., and Dixon, Hubard, Feinour,& Brown,Inc., which provide investment advisory services; Middleburg Investment Services, LLC, which provides brokerage services; and Union Insurance Group, LLC, which offers various lines of insurance products.

THIRD QUARTER 2020 EARNINGS RELEASE CONFERENCE CALL

The Company will hold a conference call on Thursday, October22, 2020 at 9:00a.m. Eastern Time during which management will review the third quarter 2020 financial results and provide an update on recent activities. Interested parties may participate in the call toll-free by dialing (866) 2204170; international callers wishing to participate may do so by dialing (864) 6635235. The conference ID number is 9936549. Management will conduct a listen-only webcast with accompanying slides, which can be found at: https://edge.media-server.com/mmc/p/s65vcnnd.

A replay of the webcast, and the accompanying slides, will be available on the Companys website for 90 days at: https://investors.atlanticunionbank.com/. NON-GAAP FINANCIAL MEASURES

In reporting the results of the quarter ended September 30,2020, the Company has provided supplemental performance measures on a tax-equivalent, tangible, operating, adjusted or pre-tax pre-provision basis. These non-GAAP financial measures are a supplement to GAAP, which is used to prepare the Companys financial statements, and should not be considered in isolation or as a substitute for comparable measures calculated in accordance with GAAP. In addition, the Companys non-GAAP financial measures may not be comparable to non-GAAP financial measures of other companies. The Company uses the non-GAAP financial measures discussed herein in its analysis of the Companys performance. The Companys management believes that these non-GAAP financial measures provide additional understanding of ongoing operations, enhance comparability of results of operations with prior periods and show the effects of significant gains and charges in the periods presented without the impact of items or events that may obscure trends in the Companys underlying performance. For a reconciliation of these measures to their most directly comparable GAAP measures and additional information about these non-GAAP financial measures, see Alternative Performance Measures (non-GAAP) section of the Key Financial Results.

FORWARD-LOOKING STATEMENTS

Certain statements in this press release may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements, including without limitation, statements made in Mr. Asburys quotes, are statements that include, projections, predictions, expectations, or beliefs about future events or results that are not statements of historical fact. Such forward-looking statements are based on various assumptions as of the time they are made, and are inherently subject to known and unknown risks, uncertainties, and other factors, some of which cannot be predicted or quantified, that may cause actual results, performance, or achievements to be materially different from those expressed or implied by such forward-looking statements. Forward-looking statements are often accompanied by words that convey projected future events or outcomes such as expect, believe, estimate, plan, project, anticipate, intend, will, may, view, opportunity, potential, or words of similar meaning or other statements concerning opinions or judgment of the Company and its management about future events. Although the Company believes that its expectations with respect to forward-looking statements are based upon reasonable assumptions within the bounds of its existing knowledge of its business and operations, there can be no assurance that actual results, performance, or achievements of, or trends affecting, the Company will not differ materially from any projected future results, performance, or achievements expressed or implied by such forward-looking statements. Actual future results, performance, achievements or trends may differ materially from historical results or those anticipated depending on a variety of factors, including, but not limited to:

-- changes in interest rates; -- general economic and financial market conditions, in the United States generally and particularly in the markets in which the Company operates and which its loans are concentrated, including the effects of declines in real estate values, an increase in unemployment levels and slowdowns in economic growth, including as a result of COVID-19; -- the quality or composition of the loan or investment portfolios and changes therein; -- demand for loan products and financial services in the Companys market area; -- the Companys ability to manage its growth or implement its growth strategy; -- the effectiveness of expense reduction plans; -- the introduction of new lines of business or new products and services; -- the Companys ability to recruit and retain key employees; -- the incremental cost and/or decreased revenues associated with exceeding $10 billion in assets; -- real estate values in the Banks lending area; -- an insufficient ACL; -- changes in accounting principles relating to loan loss recognition (CECL); -- the Companys liquidity and capital positions; -- concentrations of loans secured by real estate, particularly commercial real estate; -- the effectiveness of the Companys credit processes and management of the Companys credit risk; -- the Companys ability to compete in the market for financial services and increased competition relating to fintech; -- technological risks and developments, and cyber threats, attacks, or events; -- the potential adverse effects of unusual and infrequently occurring events, such as weather-related disasters, terrorist acts or public health events (such as COVID-19), and of governmental and societal responses thereto; these potential adverse effects may include, without limitation, adverse effects on the ability of the Company's borrowers to satisfy their obligations to the Company, on the value of collateral securing loans, on the demand for the Company's loans or its other products and services, on incidents of cyberattack and fraud, on the Companys liquidity or capital positions, on risks posed by reliance on third-party service providers, on other aspects of the Company's business operations and on financial markets and economic growth; -- the effect of steps the Company takes in response to COVID-19, the severity and duration of the pandemic, including whether there is a resurgence of COVID-19 infections in connection with the seasonal flu, the impact of loosening or tightening of government restrictions, the pace of recovery when the pandemic subsides and the heightened impact it has on many of the risks described herein; -- performance by the Companys counterparties or vendors; -- deposit flows; -- the availability of financing and the terms thereof; -- the level of prepayments on loans and mortgage-backed securities; -- legislative or regulatory changes and requirements, including the impact of the CARES Act and other legislative and regulatory reactions to COVID-19; -- potential claims, damages, and fines related to litigation or government actions, including litigation or actions arising from the Companys participation in and administration of programs related to COVID-19, including, among other things, the CARES Act; -- the effects of changes in federal, state or local tax laws and regulations; -- monetary and fiscal policies of the U.S. government, including policies of the U.S. Department of the Treasury and the Federal Reserve; -- changes to applicable accounting principles and guidelines; and -- other factors, many of which are beyond the control of the Company.

Please refer to the Risk Factors and Managements Discussion and Analysis of Financial Condition and Results of Operations sections of the Companys Annual Report on Form10K for theyear ended December31,2019 and comparable Risk Factors sections of the Companys Quarterly Reports on Form10Q and related disclosures in other filings, which have been filed with the SEC and are available on the SECs website at www.sec.gov. All of the forward-looking statements made in this press release are expressly qualified by the cautionary statements contained or referred to herein. The actual results or developments anticipated may not be realized or, even if substantially realized, they may not have the expected consequences to or effects on the Company or its businesses or operations. Readers are cautioned not to rely too heavily on the forward-looking statements contained in this press release. Forward-looking statements speak only as of the date they are made and the Company does not undertake any obligation to update, revise or clarify these forward-looking statements, whether as a result of new information, future events or otherwise.

ATLANTIC UNION BANKSHARES CORPORATION AND SUBSIDIARIESKEY FINANCIAL RESULTS(Dollars in thousands, except share data)

As of & For Three Months Ended As of & For Nine Months Ended 09/30/20 06/30/20 09/30/19 09/30/20 09/30/19Results of (unaudited) (unaudited) (unaudited) (unaudited) (unaudited)OperationsInterest and $ 157,414 $ 162,867 $ 178,345 $ 491,607 $ 525,122 dividend incomeInterest expense 20,033 25,562 41,744 81,913 122,379 Net interest 137,381 137,305 136,601 409,694 402,743 incomeProvision for 6,558 34,200 9,100 100,954 18,192 credit lossesNet interestincome after 130,823 103,105 127,501 308,740 384,551 provision forcredit lossesNoninterest 34,407 35,932 48,106 99,245 103,621 incomeNoninterest 93,222 102,814 111,687 291,681 324,022 expensesIncome before 72,008 36,223 63,920 116,304 164,150 income taxesIncome tax 11,008 5,514 10,724 17,506 26,330 expenseIncome fromcontinuing 61,000 30,709 53,196 98,798 137,820 operationsDiscontinuedoperations, net ? ? 42 ? (128 )of taxNet income 61,000 30,709 53,238 98,798 137,692 Dividends on 2,691 ? ? 2,691 ? preferred stockNet incomeavailable to $ 58,309 $ 30,709 $ 53,238 $ 96,107 $ 137,692 commonshareholders Interest earnedon earning $ 160,315 $ 165,672 $ 181,149 $ 500,069 $ 533,590 assets (FTE) ^(1)Net interestincome (FTE) ^ 140,282 140,110 139,405 418,156 411,211 (1)Total revenue 174,689 176,042 187,511 517,401 514,832 (FTE) ^(1)Pre-taxpre-provision 78,566 70,423 76,630 217,258 214,695 operatingearnings ^(8) Key Ratios Earnings percommon share, $ 0.74 $ 0.39 $ 0.65 $ 1.22 $ 1.72 dilutedReturn onaverage assets 1.23 % 0.64 % 1.23 % 0.70 % 1.11 %(ROA)Return onaverage equity 9.16 % 4.96 % 8.35 % 5.19 % 7.58 %(ROE)Efficiency ratio 54.27 % 59.35 % 60.47 % 57.31 % 63.99 %Net interest 3.08 % 3.23 % 3.57 % 3.26 % 3.66 %marginNet interestmargin (FTE) ^ 3.14 % 3.29 % 3.64 % 3.32 % 3.74 %(1)Yields onearning assets 3.59 % 3.90 % 4.73 % 3.97 % 4.85 %(FTE) ^(1)Cost ofinterest-bearing 0.64 % 0.84 % 1.45 % 0.90 % 1.47 %liabilitiesCost of deposits 0.39 % 0.53 % 0.95 % 0.58 % 0.92 %Cost of funds 0.45 % 0.61 % 1.09 % 0.65 % 1.11 % Operating Measures^ (4)Net operating $ 61,000 $ 30,709 $ 56,057 $ 98,798 $ 163,665 earningsNet operatingearningsavailable to 58,309 30,709 56,057 96,107 163,665 commonshareholdersOperatingearnings per $ 0.74 $ 0.39 $ 0.69 $ 1.22 $ 2.04 share, dilutedOperating ROA 1.23 % 0.64 % 1.29 % 0.70 % 1.32 %Operating ROE 9.16 % 4.96 % 8.80 % 5.19 % 9.01 %Operating ROTCE 16.49 % 9.46 % 15.64 % 9.64 % 16.18 %^(2) (3)Operatingefficiency ratio 51.04 % 56.00 % 55.12 % 53.92 % 53.92 %(FTE) ^(1)(7) Per Share Data Earnings percommon share, $ 0.74 $ 0.39 $ 0.65 $ 1.22 $ 1.72 basicEarnings percommon share, 0.74 0.39 0.65 1.22 1.72 dilutedCash dividendspaid per common 0.25 0.25 0.25 0.75 0.71 shareMarket value per 21.37 23.16 37.25 21.37 37.25 shareBook value per 31.86 31.32 31.29 31.86 31.29 common shareTangible bookvalue per common 19.13 18.54 18.80 19.13 18.80 share ^(2)Price toearnings ratio, 7.26 14.77 14.44 13.11 16.20 dilutedPrice to bookvalue per common 0.67 0.74 1.19 0.67 1.19 share ratioPrice totangible book 1.12 1.25 1.98 1.12 1.98 value per commonshare ratio ^(2)Weighted averagecommon shares 78,714,353 78,711,765 81,769,193 78,904,792 80,120,725 outstanding,basicWeighted averagecommon shares 78,725,346 78,722,690 81,832,868 78,921,108 80,183,113 outstanding,dilutedCommon sharesoutstanding at 78,718,850 78,713,056 81,147,896 78,718,850 81,147,896 end of period

As of & For Three Months Ended As of & For Nine Months Ended 09/30/20 06/30/20 09/30/19 09/30/20 09/30/19 Capital Ratios (unaudited) (unaudited) (unaudited) (unaudited) (unaudited) Common equityTier 1 capital 10.04 % 9.88 % 10.48 % 10.04 % 10.48 %ratio ^(5)Tier 1 capital 11.18 % 11.03 % 10.48 % 11.18 % 10.48 %ratio ^(5)Total capital 13.92 % 13.81 % 12.93 % 13.92 % 12.93 %ratio ^(5)Leverage ratio(Tier 1 capital 8.82 % 8.82 % 8.94 % 8.82 % 8.94 %to averageassets) ^(5)Common equity to 12.52 % 12.41 % 14.48 % 12.52 % 14.48 %total assetsTangible commonequity to 7.91 % 7.74 % 9.23 % 7.91 % 9.23 %tangible assets^(2) Financial ConditionAssets $ 19,930,650 $ 19,752,317 $ 17,441,035 $ 19,930,650 $ 17,441,035 Loans held for 14,383,215 14,308,646 12,306,997 14,383,215 12,306,997 investmentSecurities 3,102,217 2,672,557 2,607,748 3,102,217 2,607,748 Earning Assets 17,885,975 17,680,876 15,365,753 17,885,975 15,365,753 Goodwill 935,560 935,560 929,815 935,560 929,815 Amortizable 61,068 65,105 78,241 61,068 78,241 intangibles, netDeposits 15,576,098 15,605,139 13,044,712 15,576,098 13,044,712 Borrowings 1,314,322 1,125,030 1,549,181 1,314,322 1,549,181 Stockholders' 2,660,885 2,618,226 2,525,031 2,660,885 2,525,031 equityTangible common 1,497,900 1,451,197 1,516,975 1,497,900 1,516,975 equity ^(2) Loans held forinvestment, net of deferred feesand costsConstruction and $ 1,207,190 $ 1,247,939 $ 1,201,149 $ 1,207,190 $ 1,201,149 land developmentCommercial realestate - owner 2,107,333 2,067,087 1,979,052 2,107,333 1,979,052 occupiedCommercial realestate - 3,497,929 3,455,125 3,198,580 3,497,929 3,198,580 non-owneroccupiedMultifamily real 731,582 717,719 659,946 731,582 659,946 estateCommercial & 3,536,249 3,555,971 2,058,133 3,536,249 2,058,133 IndustrialResidential 1-4Family - 696,944 715,384 721,185 696,944 721,185 CommercialResidential 1-4Family - 830,144 841,051 913,245 830,144 913,245 ConsumerResidential 1-4Family - 618,320 627,765 660,963 618,320 660,963 RevolvingAuto 387,417 380,053 328,456 387,417 328,456 Consumer 276,023 311,362 386,848 276,023 386,848 Other Commercial 494,084 389,190 199,440 494,084 199,440 Total loans held $ 14,383,215 $ 14,308,646 $ 12,306,997 $ 14,383,215 $ 12,306,997 for investment Deposits NOW accounts $ 3,460,480 $ 3,618,523 $ 2,515,777 $ 3,460,480 $ 2,515,777 Money market 4,269,696 4,158,325 3,737,426 4,269,696 3,737,426 accountsSavings accounts 861,685 824,164 739,505 861,685 739,505 Time deposits of$250,000 and 633,252 689,693 717,090 633,252 717,090 overOther time 1,930,320 1,968,474 2,179,740 1,930,320 2,179,740 depositsTime deposits 2,563,572 2,658,167 2,896,830 2,563,572 2,896,830 Totalinterest-bearing $ 11,155,433 $ 11,259,179 $ 9,889,538 $ 11,155,433 $ 9,889,538 depositsDemand deposits 4,420,665 4,345,960 3,155,174 4,420,665 3,155,174 Total deposits $ 15,576,098 $ 15,605,139 $ 13,044,712 $ 15,576,098 $ 13,044,712 Averages Assets $ 19,785,167 $ 19,157,238 $ 17,203,328 $ 18,837,580 $ 16,639,041 Loans held for 14,358,666 13,957,711 12,240,254 13,639,401 11,821,612 investmentLoans held for 45,201 56,846 75,558 50,902 46,095 saleSecurities 2,891,210 2,648,967 2,660,270 2,721,161 2,681,463 Earning assets 17,748,152 17,106,132 15,191,792 16,809,423 14,700,019 Deposits 15,580,469 14,960,386 12,812,211 14,632,709 12,250,199 Time deposits 2,579,991 2,667,268 2,769,574 2,667,267 2,554,058 Interest-bearing 11,260,244 10,941,368 9,803,624 10,875,752 9,408,182 depositsBorrowings 1,183,839 1,344,994 1,623,681 1,324,457 1,753,276 Interest-bearing 12,444,083 12,286,362 11,427,305 12,200,209 11,161,458 liabilitiesStockholders' 2,648,777 2,489,969 2,528,435 2,541,856 2,429,912 equityTangible common 1,483,848 1,446,948 1,517,400 1,469,918 1,442,831 equity ^(2)

As of & For Three Months Ended As of & For Nine Months Ended 09/30/20 06/30/20 09/30/19 09/30/20 09/30/19Asset Quality (unaudited) (unaudited) (unaudited) (unaudited) (unaudited)Allowance forCredit Losses (ACL)Beginningbalance,Allowance for $ 169,977 $ 141,043 $ 42,463 $ 42,294 $ 41,045 loan andlease losses(ALLL)Add: Day 1impact from ? ? ? 47,484 ? adoption ofCECLAdd: 1,566 1,411 1,574 5,137 4,940 RecoveriesLess: 2,978 4,677 9,317 14,806 21,190 Charge-offsAdd:Provision for 5,557 32,200 9,100 94,013 19,025 loan lossesEnding $ 174,122 $ 169,977 $ 43,820 $ 174,122 $ 43,820 balance, ALLL Beginningbalance,Reserve for $ 11,000 $ 9,000 $ 1,100 900 900 unfundedcommitment(RUC)Add: Day 1impact from ? ? ? 4,160 ? adoption ofCECLAdd: Impactof ? ? ? ? 1,033 acquisitionaccountingAdd:Provision for 1,000 2,000 ? 6,940 (833 )unfundedcommitmentsEnding $ 12,000 $ 11,000 $ 1,100 12,000 1,100 balance, RUCTotal ACL $ 186,122 $ 180,977 $ 44,920 $ 186,122 $ 44,920 ACL / totaloutstanding 1.29 % 1.26 % 0.36 % 1.29 % 0.36 %loansACL / totaladjusted 1.46 % 1.42 % 0.36 % 1.46 % 0.36 %loans^(9)ALLL / totaloutstanding 1.21 % 1.19 % 0.36 % 1.21 % 0.36 %loansALLL / totaladjusted 1.36 % 1.34 % 0.36 % 1.36 % 0.36 %loans^(9)Netcharge-offs / 0.04 % 0.09 % 0.25 % 0.09 % 0.18 %total averageloansNetcharge-offs /total 0.04 % 0.10 % 0.25 % 0.11 % 0.18 %adjustedaverage loans^(9)Provision forloan losses/ 0.15 % 0.93 % 0.29 % 0.92 % 0.22 %total averageloansProvision forloan losses/total 0.17 % 1.02 % 0.29 % 1.03 % 0.22 %adjustedaverage loans^(9) ' Nonperforming Assets^(6)Constructionand land $ 3,520 $ 3,977 $ 7,785 $ 3,520 $ 7,785 developmentCommercialreal estate - 9,267 8,924 5,684 9,267 5,684 owneroccupiedCommercialreal estate - 1,992 1,877 381 1,992 381 non-owneroccupiedMultifamily 33 33 ? 33 ? real estateCommercial & 1,592 2,708 1,585 1,592 1,585 IndustrialResidential1-4 Family - 5,743 5,784 3,879 5,743 3,879 CommercialResidential1-4 Family - 12,620 12,029 8,292 12,620 8,292 ConsumerResidential1-4 Family - 3,664 3,626 1,641 3,664 1,641 RevolvingAuto 517 584 604 517 604 Consumer 75 81 84 75 84 Other ? 1 97 ? 97 CommercialNonaccrual $ 39,023 $ 39,624 $ 30,032 $ 39,023 $ 30,032 loansForeclosed 4,159 4,397 6,385 4,159 6,385 propertyTotalnonperforming $ 43,182 $ 44,021 $ 36,417 $ 43,182 $ 36,417 assets (NPAs)Constructionand land $ 93 $ 473 $ 171 $ 93 $ 171 developmentCommercialreal estate - 1,726 7,851 2,571 1,726 2,571 owneroccupiedCommercialreal estate - 168 878 36 168 36 non-owneroccupiedMultifamily 359 366 1,212 359 1,212 real estateCommercial & 604 178 265 604 265 IndustrialResidential1-4 Family - 5,298 578 916 5,298 916 CommercialResidential1-4 Family - 4,495 5,099 3,815 4,495 3,815 ConsumerResidential1-4 Family - 2,276 1,995 1,674 2,276 1,674 RevolvingAuto 315 181 183 315 183 Consumer 327 1,157 1,163 327 1,163 Other ? 499 30 ? 30 CommercialLoans ? 90days and $ 15,661 $ 19,255 $ 12,036 $ 15,661 $ 12,036 stillaccruingTotal NPAsand loans ? $ 58,843 $ 63,276 $ 48,453 $ 58,843 $ 48,453 90 daysNPAs / totaloutstanding 0.30 % 0.31 % 0.30 % 0.30 % 0.30 %loansNPAs / totaladjusted 0.34 % 0.35 % 0.30 % 0.34 % 0.30 %loans^(9)NPAs / total 0.22 % 0.22 % 0.21 % 0.22 % 0.21 %assetsALLL /nonaccrual 446.20 % 428.97 % 145.91 % 446.20 % 145.91 %loansALLL/nonperforming 403.23 % 386.13 % 120.33 % 403.23 % 120.33 %assets

As of & For Three Months Ended As of & For Nine Months Ended 09/30/20 06/30/20 09/30/19 09/30/20 09/30/19 Past Due (unaudited) (unaudited) (unaudited) (unaudited) (unaudited) Detail^(6)Constructionand land $ 2,625 $ 1,683 $ 1,062 $ 2,625 $ 1,062 developmentCommercialreal estate - 4,924 1,679 4,977 4,924 4,977 owner occupiedCommercialreal estate - 1,291 930 5,757 1,291 5,757 non-owneroccupiedMultifamily ? ? 107 ? 107 real estateCommercial & 4,322 1,602 2,079 4,322 2,079 IndustrialResidential1-4 Family - 1,236 480 1,842 1,236 1,842 CommercialResidential1-4 Family - 2,998 1,229 1,527 2,998 1,527 ConsumerResidential1-4 Family - 2,669 1,924 4,965 2,669 4,965 RevolvingAuto 1,513 1,176 1,787 1,513 1,787 Consumer 1,020 844 2,000 1,020 2,000 Other 613 456 579 613 579 CommercialLoans 30-59 $ 23,211 $ 12,003 $ 26,682 $ 23,211 $ 26,682 days past dueConstructionand land $ 223 $ 294 $ 351 $ 223 $ 351 developmentCommercialreal estate - 1,310 430 ? 1,310 ? owner occupiedCommercialreal estate - 1,371 369 1,878 1,371 1,878 non-owneroccupiedMultifamily ? ? 164 ? 164 real estateCommercial & 1,448 296 1,946 1,448 1,946 IndustrialResidential1-4 Family - 937 2,105 3,081 937 3,081 CommercialResidential1-4 Family - 3,976 3,817 5,182 3,976 5,182 ConsumerResidential1-4 Family - 1,141 1,048 1,747 1,141 1,747 RevolvingAuto 453 290 407 453 407 Consumer 772 561 1,666 772 1,666 Other 427 ? 9 427 9 CommercialLoans 60-89 $ 12,058 $ 9,210 $ 16,431 $ 12,058 $ 16,431 days past due Past Due and $ 50,930 $ 40,468 $ 55,149 $ 50,930 $ 55,149 still accruingPast Due andstill accruing/ total 0.40 % 0.32 % 0.45 % 0.40 % 0.45 %adjusted loans^(9) Troubled Debt RestructuringsPerforming $ 17,076 $ 15,303 $ 15,156 $ 17,076 $ 15,156 Nonperforming 7,045 5,042 3,582 7,045 3,582 Total troubleddebt $ 24,121 $ 20,345 $ 18,738 $ 24,121 $ 18,738 restructurings AlternativePerformance Measures(non-GAAP)Net interest income (FTE)Net interest $ 137,381 $ 137,305 $ 136,601 $ 409,694 $ 402,743 income (GAAP)FTE adjustment 2,901 2,805 2,804 8,462 8,468 Net interestincome (FTE) $ 140,282 $ 140,110 $ 139,405 $ 418,156 $ 411,211 (non-GAAP)^(1)Noninterest 34,407 35,932 48,106 99,245 103,621 income (GAAP)Total revenue(FTE) $ 174,689 $ 176,042 $ 187,511 $ 517,401 $ 514,832 (non-GAAP) ^(1) Average $ 17,748,152 $ 17,106,132 $ 15,191,792 $ 16,809,423 $ 14,700,019 earning assetsNet interest 3.08 % 3.23 % 3.57 % 3.26 % 3.66 %marginNet interestmargin (FTE) ^ 3.14 % 3.29 % 3.64 % 3.32 % 3.74 %(1) Tangible AssetsEnding assets $ 19,930,650 $ 19,752,317 $ 17,441,035 $ 19,930,650 $ 17,441,035 (GAAP)Less: Ending 935,560 935,560 929,815 935,560 929,815 goodwillLess: Endingamortizable 61,068 65,105 78,241 61,068 78,241 intangiblesEndingtangible $ 18,934,022 $ 18,751,652 $ 16,432,979 $ 18,934,022 $ 16,432,979 assets(non-GAAP) TangibleCommon Equity ^(2)Ending equity $ 2,660,885 $ 2,618,226 $ 2,525,031 $ 2,660,885 $ 2,525,031 (GAAP)Less: Ending 935,560 935,560 929,815 935,560 929,815 goodwillLess: Endingamortizable 61,068 65,105 78,241 61,068 78,241 intangiblesLess:Perpetual 166,357 166,364 ? 166,357 ? preferredstockEndingtangible $ 1,497,900 $ 1,451,197 $ 1,516,975 $ 1,497,900 $ 1,516,975 common equity(non-GAAP) Average equity $ 2,648,777 $ 2,489,969 $ 2,528,435 $ 2,541,856 $ 2,429,912 (GAAP)Less: Average 935,560 935,560 930,525 935,560 906,476 goodwillLess: Averageamortizable 63,016 67,136 80,510 67,130 80,605 intangiblesLess: Averageperpetual 166,353 40,325 - 69,248 - preferredstockAveragetangible $ 1,483,848 $ 1,446,948 $ 1,517,400 $ 1,469,918 $ 1,442,831 common equity(non-GAAP)

As of & For Three Months Ended As of & For Nine Months Ended 09/30/20 06/30/20 09/30/19 09/30/20 09/30/19 (unaudited) (unaudited) (unaudited) (unaudited) (unaudited) Operating Measures ^ (4)Net income (GAAP) $ 61,000 $ 30,709 $ 53,238 $ 98,798 $ 137,692 Plus: Merger andrebranding-related ? ? 2,819 ? 25,973 costs, net of taxNet operatingearnings 61,000 30,709 56,057 98,798 163,665 (non-GAAP)Less: Dividends on 2,691 ? ? 2,691 ? preferred stockNet operatingearnings availableto common $ 58,309 $ 30,709 $ 56,057 $ 96,107 $ 163,665 shareholders(non-GAAP) Noninterest $ 93,222 $ 102,814 $ 111,687 $ 291,681 $ 324,022 expense (GAAP)Less: Merger ? ? 2,435 ? 26,928 Related CostsLess: Rebranding ? ? 1,133 ? 5,553 CostsLess: Amortizationof intangible 4,053 4,223 4,764 12,676 13,919 assetsOperatingnoninterest $ 89,169 $ 98,591 $ 103,355 $ 279,005 $ 277,622 expense (non-GAAP) Net interestincome (FTE) $ 140,282 $ 140,110 $ 139,405 $ 418,156 $ 411,211 (non-GAAP)^ (1)Noninterest income 34,407 35,932 48,106 99,245 103,621 (GAAP)Total revenue(FTE) (non-GAAP) ^ $ 174,689 $ 176,042 $ 187,511 $ 517,401 $ 514,832 (1) Efficiency ratio 54.27 % 59.35 % 60.47 % 57.31 % 63.99 %Operatingefficiency ratio 51.04 % 56.00 % 55.12 % 53.92 % 53.92 %(FTE) ^(1)(7) Operating ROTCE ^ (2)(3)(4)Net operatingearnings availableto common $ 58,309 $ 30,709 $ 56,057 $ 96,107 $ 163,665 shareholders(non-GAAP)Plus: Amortizationof intangibles, 3,202 3,336 3,764 10,014 10,996 tax effectedNet operatingearnings availableto commonshareholders $ 61,511 $ 34,045 $ 59,821 $ 106,121 $ 174,661 beforeamortization ofintangibles(non-GAAP) Average tangiblecommon equity $ 1,483,848 $ 1,446,948 $ 1,517,400 $ 1,469,918 $ 1,442,831 (non-GAAP)Operating returnon average 16.49 % 9.46 % 15.64 % 9.64 % 16.18 %tangible commonequity (non-GAAP) Pre-taxpre-provision operating earnings^(8)Net income (GAAP) $ 61,000 $ 30,709 $ 53,238 $ 98,798 $ 137,692 Plus: Provision 6,558 34,200 9,100 100,954 18,192 for credit lossesPlus: Income tax 11,008 5,514 10,724 17,506 26,330 expensePlus: Merger andrebranding-related ? ? 3,568 ? 32,481 costsPre-taxpre-provision $ 78,566 $ 70,423 $ 76,630 $ 217,258 $ 214,695 operating earnings(non-GAAP) PaycheckProtection Program adjustment impact ^(9)Loans held forinvestment (net of $ 14,383,215 $ 14,308,646 $ 12,306,997 $ 14,383,215 $ 12,306,997 deferred fees andcosts)(GAAP)Less: PPP 1,600,577 1,598,718 ? 1,600,577 ? adjustmentsLoans held forinvestment (net ofdeferred fees andcosts),net $ 12,782,638 $ 12,709,928 $ 12,306,997 $ 12,782,638 $ 12,306,997 adjustments,excluding PPP(non-GAAP) Average loans heldfor investment $ 14,358,666 $ 13,957,711 $ 12,240,254 $ 13,639,401 $ 11,821,612 (GAAP)Less: Average PPP 1,638,204 1,273,883 ? 1,457,091 ? adjustmentsAverage loans heldfor investment,net adjustments, $ 12,720,462 $ 12,683,828 $ 12,240,254 $ 12,182,310 $ 11,821,612 excluding PPP(non-GAAP) Mortgage Origination VolumeRefinance Volume $ 145,718 $ 163,737 $ 62,230 $ 377,837 $ 102,069 Construction 6,448 12,966 3,915 27,251 4,275 VolumePurchase Volume 130,185 83,248 78,113 277,925 194,445 Total Mortgage $ 282,351 $ 259,951 $ 144,258 $ 683,013 $ 300,789 loan originations% of originationsthat are 51.6 % 63.0 % 43.1 % 55.3 % 33.9 %refinances Wealth Assets under $ 5,455,268 $ 5,271,288 $ 5,451,796 $ 5,455,268 $ 5,451,796 management ("AUM") Other Data End of periodfull-time 1,883 1,973 1,946 1,883 1,946 employeesNumber offull-service 135 149 149 135 149 branchesNumber of fullautomatic 157 169 169 157 169 transactionmachines ("ATMs")

(1) These are non-GAAP financial measures. Net interest income (FTE) and total revenue (FTE), which are used in computing net interest margin (FTE) and operating efficiency ratio (FTE), respectively, provide valuable additional insight into the net interest margin and the efficiency ratio by adjusting for differences in tax treatment of interest income sources. The entire FTE adjustment is attributable to interest income on earning assets, which is used in computing yield on earning assets. Interest expense and the related cost of interest-bearing liabilities and cost of funds ratios are not affected by the FTE components.(2) These are non-GAAP financial measures. Tangible common equity is used in the calculation of certain profitability, capital, and per share ratios. The Company believes tangible common equity and the related ratios are meaningful measures of capital adequacy because they provide a meaningful base for period-to-period and company-to-company comparisons, which the Company believes will assist investors in assessing the capital of the Company and its ability to absorb potential losses.(3) These are non-GAAP financial measures. The Company believes that ROTCE is a meaningful supplement to GAAP financial measures and useful to investors because it measures the performance of a business consistently across time without regard to whether components of the business were acquired or developed internally.(4) These are non-GAAP financial measures. Operating measures exclude merger and rebranding-related costs unrelated to the Companys normal operations. The Company believes these measures are useful to investors as they exclude certain costs resulting from acquisition activity and allow investors to more clearly see the combined economic results of the organizations operations.(5) All ratios at September 30, 2020 are estimates and subject to change pending the Companys filing of its FR Y9C. All other periods are presented as filed.(6) Amounts are not directly comparable due to the Companys adoption of CECL on January 1, 2020. Prior to January 1, 2020, nonaccrual and past due loan information excluded PCI-related loan balances. These balances also reflect the impact of the CARES Act and March 22 Joint Guidance, which provides relief for TDR designations and also provides guidance on past due reporting for modified loans. (7) The operating efficiency ratio (FTE) excludes the amortization of intangible assets and merger-related costs. This measure is similar to the measure utilized by the Company when analyzing corporate performance and is also similar to the measure utilized for incentive compensation. The Company believes this measure is useful to investors as it excludes certain costs resulting from acquisition activity allowing for greater comparability with others in the industry and allowing investors to more clearly see the combined economic results of the organizations operations.(8) This is a non-GAAP financial measure. Pre-tax pre-provision earnings excludes the provision for credit losses, which can fluctuate significantly from period-to-period under the recently adopted CECL methodology, merger and rebranding-related costs unrelated to the Companys normal operations, and income tax expense. The Company believes this measure is useful to investors as it excludes certain costs resulting from acquisition activity as well as the potentially volatile provision measure, and allows for greater comparability with others in the industry and for investors to more clearly see the combined economic results of the organizations operations.(9) These are non-GAAP financial measures. PPP adjustment impact excludes the SBA guaranteed loans funded during the first half of 2020. The Company believes loans held for investment (net of deferred fees and costs), excluding PPP is useful to investors as it provides more clarity on the Companys organic growth. The Company also believes that the related non-GAAP financial measures of past due loans still accruing interest as a percentage of total loans held for investment (net of deferred fees and costs), excluding PPP, are useful to investors as loans originated under the PPP carry an SBA guarantee. The Company believes that the ALLL as a percentage of loans held for investment (net of deferred fees and costs), excluding PPP, is useful to investors because of the size of the Companys PPP originations and the impact of the embedded credit enhancement provided by the SBA guarantee.

ATLANTIC UNION BANKSHARES CORPORATION AND SUBSIDIARIESCONSOLIDATED BALANCE SHEETS(Dollars in thousands, except share data)

September 30, June 30, December 31, September 30, 2020 2020 2019 2019ASSETS (unaudited) (unaudited) (audited) (unaudited)Cash and cash equivalents:Cash and due from $ 178,563 $ 202,947 $ 163,050 $ 218,584banksInterest-bearingdeposits in other 335,111 636,211 234,810 370,673banksFederal funds sold 7,292 2,862 38,172 2,663Total cash and cash 520,966 842,020 436,032 591,920equivalentsSecuritiesavailable for sale, 2,443,340 2,019,164 1,945,445 1,918,859at fair valueSecurities held tomaturity, at 546,661 547,561 555,144 556,579carrying valueRestricted stock, 112,216 105,832 130,848 132,310at costLoans held for 52,607 55,067 55,405 72,208sale, at fair valueLoans held forinvestment, net of 14,383,215 14,308,646 12,610,936 12,306,997deferred fees andcostsLess allowance forloan and lease 174,122 169,977 42,294 43,820lossesTotal loans held 14,209,093 14,138,669 12,568,642 12,263,177for investment, netPremises and 156,934 164,321 161,073 168,122equipment, netGoodwill 935,560 935,560 935,560 929,815Amortizable 61,068 65,105 73,669 78,241intangibles, netBank owned life 325,538 327,075 322,917 320,779insuranceOther assets 566,667 551,943 378,255 409,025Total assets $ 19,930,650 $ 19,752,317 $ 17,562,990 $ 17,441,035LIABILITIES Noninterest-bearing $ 4,420,665 $ 4,345,960 $ 2,970,139 $ 3,155,174demand depositsInterest-bearing 11,155,433 11,259,179 10,334,842 9,889,538depositsTotal deposits 15,576,098 15,605,139 13,304,981 13,044,712Securities soldunder agreements to 91,086 77,216 66,053 67,260repurchaseOther short-term 175,200 ? 370,200 344,600borrowingsLong-term 1,048,036 1,047,814 1,077,495 1,137,321borrowingsOther liabilities 379,345 403,922 231,159 322,111Total liabilities 17,269,765 17,134,091 15,049,888 14,916,004Commitments and contingenciesSTOCKHOLDERS' EQUITYPreferred stock, 173 173 ? ?$10.00 par valueCommon stock, $1.33 104,141 104,126 105,827 107,330par valueAdditional paid-in 1,914,640 1,911,985 1,790,305 1,831,667capitalRetained earnings 579,269 540,638 581,395 545,665Accumulated othercomprehensive 62,662 61,304 35,575 40,369income (loss)Total stockholders' 2,660,885 2,618,226 2,513,102 2,525,031equityTotal liabilitiesand stockholders' $ 19,930,650 $ 19,752,317 $ 17,562,990 $ 17,441,035equity Common shares 78,718,850 78,713,056 80,001,185 81,147,896outstandingCommon shares 200,000,000 200,000,000 200,000,000 200,000,000authorizedPreferred shares 17,250 17,250 - -outstandingPreferred shares 500,000 500,000 500,000 500,000authorized

ATLANTIC UNION BANKSHARES CORPORATION AND SUBSIDIARIESCONSOLIDATED STATEMENTS OF INCOME(Dollars in thousands, except share data)

Three Months Ended Nine Months Ended September June 30, September September September 30, 30, 30, 30, 2020 2020 2019 2020 2019 (Unaudited) (Unaudited) (Unaudited) (Unaudited) (Unaudited)Interest anddividend income:Interest and $ 138,402 $ 143,234 $ 156,651 $ 432,763 $ 459,603 fees on loansInterest ondeposits in 137 155 1,030 1,154 2,047 other banksInterest anddividends on securities:Taxable 10,275 11,267 12,625 33,170 39,059 Nontaxable 8,600 8,211 8,039 24,520 24,413 Total interestand dividend 157,414 162,867 178,345 491,607 525,122 incomeInterest expense:Interest on 15,568 19,861 30,849 63,943 84,088 depositsInterest onshort-term 72 186 2,200 1,598 14,313 borrowingsInterest onlong-term 4,393 5,515 8,695 16,372 23,978 borrowingsTotal interest 20,033 25,562 41,744 81,913 122,379 expenseNet interest 137,381 137,305 136,601 409,694 402,743 incomeProvision for 6,558 34,200 9,100 100,954 18,192 credit lossesNet interestincome after 130,823 103,105 127,501 308,740 384,551 provision forcredit lossesNoninterest income:Servicecharges on 6,041 4,930 7,675 18,549 22,331 depositaccountsOther servicecharges, 1,621 1,354 1,513 4,600 4,879 commissionsand feesInterchange 1,979 1,697 2,108 5,300 12,765 feesFiduciary andasset 6,045 5,515 6,082 17,543 16,834 managementfeesMortgage 8,897 5,826 3,374 16,744 7,614 banking incomeGains onsecurities 18 10,339 7,104 12,293 7,306 transactionsBank ownedlife insurance 3,421 2,027 2,062 7,498 6,191 incomeLoan-relatedinterest rate 3,170 5,484 5,480 12,602 10,656 swap feesOtheroperating 3,215 (1,240 ) 12,708 4,116 15,045 incomeTotalnoninterest 34,407 35,932 48,106 99,245 103,621 incomeNoninterest expenses:Salaries and 49,000 49,896 49,718 149,013 148,116 benefitsOccupancy 7,441 7,224 7,493 21,798 22,427 expensesFurniture andequipment 3,895 3,406 3,719 11,042 10,656 expensesPrinting,postage, and 904 999 1,268 3,194 3,763 suppliesTechnology anddata 6,564 6,454 5,787 19,187 17,203 processingProfessional 2,914 2,989 2,681 9,211 8,269 servicesMarketing andadvertising 2,631 2,043 2,600 7,413 7,891 expenseFDICassessmentpremiums and 1,811 2,907 381 7,578 5,620 otherinsuranceOther taxes 4,124 4,120 3,971 12,364 11,779 Loan-related 2,314 2,501 2,566 7,512 7,250 expensesOREO andcredit-related 413 411 1,005 1,512 3,162 expensesAmortizationof intangible 4,053 4,223 4,764 12,676 13,919 assetsTraining andother 746 876 1,618 3,192 4,240 personnelcostsMerger-related ? ? 2,435 ? 26,928 costsRebranding ? ? 1,133 ? 5,553 expenseLoss on debt ? 10,306 16,397 10,306 16,397 extinguishmentOther expenses 6,412 4,459 4,151 15,683 10,849 Totalnoninterest 93,222 102,814 111,687 291,681 324,022 expensesIncome fromcontinuingoperations 72,008 36,223 63,920 116,304 164,150 before incometaxesIncome tax 11,008 5,514 10,724 17,506 26,330 expenseIncome fromcontinuing $ 61,000 $ 30,709 $ 53,196 $ 98,798 $ 137,820 operationsDiscontinued operations:Income (loss)fromoperations of $ ? $ ? $ 56 $ ? $ (173 )discontinuedmortgagesegmentIncome taxexpense ? ? 14 ? (45 )(benefit)Income (loss)on ? ? 42 ? (128 )discontinuedoperationsNet income 61,000 30,709 53,238 98,798 137,692 Dividends onpreferred 2,691 - - 2,691 - stockNet incomeavailable to $ 58,309 $ 30,709 $ 53,238 $ 96,107 $ 137,692 commonshareholders Basic earningsper common $ 0.74 $ 0.39 $ 0.65 $ 1.22 $ 1.72 shareDilutedearnings per $ 0.74 $ 0.39 $ 0.65 $ 1.22 $ 1.72 common share

AVERAGE BALANCES, INCOME AND EXPENSES, YIELDS AND RATES (TAXABLE EQUIVALENT BASIS)

For the Quarter Ended September 30, 2020 June 30, 2020 Interest Yield Interest Yield Average Income/ / Average Income/ / Balance Expense ^ Rate^ Balance Expense ^ Rate^ (1) (1)(2) (1) (1)(2) (unaudited) (unaudited)Assets: Securities: Taxable $ 1,738,033 $ 10,275 2.35 % $ 1,626,426 $ 11,267 2.79 %Tax-exempt 1,153,177 10,886 3.76 % 1,022,541 10,394 4.09 %Total securities 2,891,210 21,161 2.91 % 2,648,967 21,661 3.29 %Loans, net ^(3) (4) 14,358,666 138,635 3.84 % 13,957,711 143,339 4.13 %Other earning assets 498,276 519 0.41 % 499,454 672 0.54 %Total earning assets 17,748,152 $ 160,315 3.59 % 17,106,132 $ 165,672 3.90 %Allowance for credit (174,171 ) (150,868 ) lossesTotal non-earning 2,211,186 2,201,974 assetsTotal assets $ 19,785,167 $ 19,157,238 Liabilities andStockholders' Equity:Interest-bearing deposits:Transaction andmoney market $ 7,834,317 $ 4,684 0.24 % $ 7,474,210 $ 7,303 0.39 %accountsRegular savings 845,936 128 0.06 % 799,890 123 0.06 %Time deposits ^(5) 2,579,991 10,756 1.66 % 2,667,268 12,435 1.88 %Totalinterest-bearing 11,260,244 15,568 0.55 % 10,941,368 19,861 0.73 %depositsOther borrowings ^ 1,183,839 4,465 1.50 % 1,344,994 5,701 1.70 %(6)Totalinterest-bearing 12,444,083 $ 20,033 0.64 % 12,286,362 $ 25,562 0.84 %liabilities Noninterest-bearing liabilities:Demand deposits 4,320,225 4,019,018 Other liabilities 372,082 361,889 Total liabilities 17,136,390 16,667,269 Stockholders' equity 2,648,777 2,489,969 Total liabilitiesand stockholders' $ 19,785,167 $ 19,157,238 equityNet interest income $ 140,282 $ 140,110 Interest rate spread 2.95 % 3.06 %Cost of funds 0.45 % 0.61 %Net interest margin 3.14 % 3.29 %

(1)Income and yields are reported on a taxable equivalent basis using the statutory federal corporate tax rate of 21%.(2)Rates and yields are annualized and calculated from actual, not rounded amounts in thousands, which appear above.(3)Nonaccrual loans are included in average loans outstanding.(4)Interest income on loans includes $3.8 million and $6.4 million for the three months ended September 30, 2020 and June 30, 2020, respectively, in accretion of the fair market value adjustments related to acquisitions.(5)Interest expense on time deposits includes $26,000 and$34,000 for the three months ended September 30, 2020 and June 30, 2020, respectively, in accretion of the fair market value adjustments related to acquisitions.(6)Interest expense on borrowings includes $167,000 and $140,000 for the three months ended September 30, 2020 and June 30, 2020, in amortization of the fair market value adjustments related to acquisitions.

Contact:Robert M. Gorman- (804) 5237828Executive Vice President / Chief Financial Officer