GlobeNewswire Inc | Jan 26, 2021 07:30AM EST

January 26, 2021

RICHMOND, Va., Jan. 26, 2021 (GLOBE NEWSWIRE) -- Atlantic Union Bankshares Corporation (the Company or Atlantic Union) (Nasdaq: AUB) today reported net income available to common shareholders of $56.5 million and basic and diluted earnings per common share of $0.72 for the fourth quarter ended December 31,2020. Adjusted operating earnings available to common shareholders(1) were $72.9 million, diluted operating earnings per common share(1) were $0.93, and pre-tax pre-provision adjusted operating earnings(1) were $77.0 million for the fourth quarter ended December 31, 2020.

Net income available to common shareholders was $152.6 million and basic and diluted earnings per common share were $1.93 for the twelve months ended December 31, 2020. Adjusted operating earnings available to common shareholders(1) were $168.8 million, diluted operating earnings per common share(1) were $2.14, and pre-tax pre-provision adjusted operating earnings(1) were $294.0 million, for the twelve months ended December 31, 2020.

Despite the continued economic disruption caused by the pandemic in 2020, Atlantic Union delivered solid financial results in the fourth quarter and for the full year while demonstrating the flexibility and agility needed for success, 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 remains in a strong financial position with ample liquidity and a well-fortified capital base.

Our conservative credit culture is serving us well as we help our clients weather the storm. While we continue to face near-term uncertainty, as a result of benign credit quality metrics to date and a more optimistic economic outlook due to the roll-out of COVID-19 vaccines and additional government stimulus inclusive of more PPP funding, we are more confident that credit losses will not be as severe as initially feared.

Looking forward, we are optimistic that the challenges of COVID-19 will ease as 2021 progresses and that Atlantic Union will emerge as a stronger company that is well positioned to generate sustainable, profitable growth and 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 pursuant to the CARES Act, which totaled $1.7 billion with a recorded investment of $1.2 billion and unamortized deferred fees of $17.6 million, each as of December 31, 2020. The loans carry a 1% interest rate. In addition to an insignificant amount of PPP loan pay offs, the Company processed approximately $429.3 million of loan forgiveness on approximately 3,100 PPP loans during the fourth quarter of 2020.

Certain provisions of the CARES Act, including additional PPP funding, were extended as a result of the Consolidated Appropriations Act, 2021 (the CAA), which was signed into law on December 27, 2020. The Company began accepting applications on January 19, 2021 for additional PPP loans pursuant to the CAA.

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(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

Expense Reduction Measures

During 2020, the Company launched several initiatives to reduce expenses in light of the current and expected operating environment, including the consolidation of certain branch locations.

The Company completed the consolidation of 14 branches in September 2020 and one branch in December 2020, and five branches are expected to be consolidated in February 2021. These actions resulted in expenses of approximately $6.8 million for the twelve months ended December 31, 2020 with approximately $3.4 million recognized in the second quarter of 2020, approximately $2.6 million in the third quarter of 2020 and approximately $790,000 in the fourth quarter of 2020, primarily related to lease termination costs, severance costs and real estate write-downs.

Additionally, in response to the current rate environment, the Company prepaid certain long-term Federal Home Loan Bank (FHLB) advances, which resulted in a prepayment penalty of $20.8 million in the fourth quarter of 2020.

NET INTEREST INCOME

For the fourth quarter of 2020, net interest income was $145.6 million, an increase from $137.4 million reported in the third quarter of 2020. Net interest income (FTE)(1)was $148.7 million in the fourth quarter of 2020, an increase of $8.4 million from the third quarter of 2020. The fourth quarter net interest margin increased 17 basis points to 3.25% from 3.08% in the previous quarter, while the net interest margin (FTE)(1) increased 18 basis points to 3.32% from 3.14% during the same period. The increases in the net interest margin and net interest margin (FTE) were principally due to the increase in PPP loan accretion to $15.0 million in the fourth quarter of 2020 from $9.9 million in the third quarter of 2020 driven by PPP loan forgiveness approved by the SBA during the fourth quarter.

The Companys net interest margin (FTE) includes the impact of acquisition accounting fair value adjustments. Net accretion related to acquisition accounting increased $702,000 from the prior quarter to $4.4 million for the quarter ended December 31,2020. The four 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 quarter ended $ 9,528 50 (138 ) $ 9,440March31,2020For the quarter ended 6,443 34 (140 ) 6,337June30,2020For the quarter ended 3,814 26 (167 ) 3,673September30,2020For the quarter ended 4,541 22 (188 ) 4,375December31,2020For the years ending (estimated):2021 8,625 14 (807 ) 7,8322022 7,096 (43 ) (829 ) 6,2242023 5,213 (32 ) (852 ) 4,3292024 4,221 (4 ) (877 ) 3,3402025 3,160 (1 ) (900 ) 2,259Thereafter 13,780 ? (9,873 ) 3,907Total remainingacquisition accounting 42,095 (66 ) (14,138 ) 27,891fair value adjustmentsat December 31, 2020

ASSET QUALITY

OverviewDuring the fourth quarter of 2020, the Companys asset quality metrics remained relatively stable. Nonperforming assets (NPAs) as a percentage of loans increased slightly, but, remained low at 0.32% at December 31, 2020. Accruing past due loan levels as a percentage of total loans held for investment at December 31,2020 remained consistent with a 1 basis point increase as compared to September 30, 2020 and lower than accruing past due loan levels at December 31,2019. Net charge-off levels remained low at 0.05% of average loans for the fourth quarter 2020, which is a 1 basis point increase from the third quarter of 2020 and a 10 basis point decrease from the fourth quarter 2019.

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(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

The allowance for credit losses (ACL) decreased from September 30, 2020 due to improvements in the macroeconomic outlook which resulted in a decline in the provision for credit losses for the fourth quarter of 2020, as compared to the third 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 jointguidance (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.

In addition, Section 4013 of the CARES Act, as amended by the CAA, 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 relief afforded by Section 4013 of the CARES Act, as amended by the CAA, is available to loans modified between March 1, 2020 and the earlier of 60 days after the date of termination of the COVID-19 national emergency and January 1, 2022.

The Company has made certain loan modifications pursuant to the March 22 Joint Guidance and Section 4013 of the CARES Act (as amended by the CAA), and as of December 31, 2020 approximately $146.1 million remain under their modified terms, a decline of $623.5 million as compared to September 30, 2020. The majority of the Companys modifications as of December 31, 2020 were in the commercial real estate portfolios.

Nonperforming AssetsAt December 31,2020, NPAs totaled $45.2 million, an increase of $2.0 million from September 30, 2020. NPAs as apercentage of total outstanding loans at December 31,2020 were 0.32%, an increase of 2 basis points from 0.30% at September 30,2020. Excluding the impact of the PPP loans(1), NPAs as a percentage of total outstanding loans were 0.35%, an increase of 1 basis point from September 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):

December31, September30, June30, March31, December31, 2020 2020 2020 2020 2019Nonaccrual $ 42,448 $ 39,023 $ 39,624 $ 44,022 $ 28,232loansForeclosed 2,773 4,159 4,397 4,444 4,708propertiesTotalnonperforming $ 45,221 $ 43,182 $ 44,021 $ 48,466 $ 32,940assets

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(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

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

December31, September30, June30, March31, December31, 2020 2020 2020 2020 2019Beginning $ 39,023 $ 39,624 $ 44,022 $ 28,232 $ 30,032 BalanceNetcustomer (4,640 ) (2,803 ) (6,524 ) (3,451 ) (5,741 )paymentsAdditions 8,211 2,790 3,206 6,059 5,631 Impact ofCECL ? ? ? 14,381 ? adoptionCharge-offs (146 ) (588 ) (1,088 ) (1,199 ) (1,690 )Loansreturning ? ? 8 ? ? to accruingstatusEnding $ 42,448 $ 39,023 $ 39,624 $ 44,022 $ 28,232 Balance

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

December31, September30, June30, March31, December31, 2020 2020 2020 2020 2019Beginning $ 4,159 $ 4,397 $ 4,444 $ 4,708 $ 6,385 BalanceAdditionsof ? ? ? 615 62 foreclosedpropertyValuation (35 ) ? ? (44 ) (375 )adjustmentsProceeds (1,357 ) (254 ) (55 ) (854 ) (1,442 )from salesGains(losses) 6 16 8 19 78 from salesEnding $ 2,773 $ 4,159 $ 4,397 $ 4,444 $ 4,708 Balance

Past Due LoansPast due loans still accruing interest totaled $49.8 million or 0.36% of total loans held for investment at December 31,2020, compared to $50.9 million or 0.35% of total loans held for investment at September 30, 2020, and $76.6 million or 0.61% of total loans held for investment at December 31,2019. Excluding the impact of the PPP loans(1), past due loans still accruing interest were 0.39% of total adjusted loans held for investment at December 31, 2020, compared to 0.40% of total adjusted loans held for investment at September 30, 2020. Of the total past due loans still accruing interest, $13.6 million or 0.10% of total loans held for investment were loans past due 90days or more at December 31,2020, compared to $15.7 million or 0.11% of total loans held for investment at September 30,2020, and $13.4 million or 0.11% of total loans held for investment at December 31,2019.

Net Charge-offsFor the fourth quarter of 2020, net charge-offs were $1.8 million or 0.05% of total average loans on an annualized basis, compared to $1.4 million or 0.04% for the third quarter of 2020 and $4.6 million or 0.15% for the fourth quarter last year. Excluding the impact of the PPP loans(1), net charge-offs were 0.06% of total adjusted average loans on an annualized basis, compared to 0.04% for the third quarter of 2020. The majority of net charge-offs in the fourth quarter of 2020 were related to the third-party consumer loan portfolio.

For the year ended December 31, 2020, net charge-offs were $11.4 million or 0.08% of total average loans, compared to $20.9 million or 0.17% for the year ended December 31, 2019. Excluding the impact of the PPP loans(1), net charge-offs were 0.09% of total average loans on an annualized basis, compared to 0.17% for the year ended December 31, 2019. The majority of net charge-offs for the year ended December 31, 2020 were related to the third-party consumer loan portfolio.

Provision for Credit LossesThe provision for credit losses decreased $20.4 million for the fourth quarter of 2020 compared to the previous quarter and decreased $16.7 million compared to the same quarter in 2019. The provision for credit losses for the fourth quarter of 2020 reflected a negative provision of $11.8 million in provision for loan losses and a negative provision of $2.0 million in provision for unfunded commitments. The decrease in the provision for credit losses was driven by the improvement in the economic forecast utilized in estimating the final allowance for credit losses (ACL) as of December 31, 2020.

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(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.

Allowance for Credit Losses At December 31, 2020, the ACL was $170.5 million and included an allowance for loan and lease losses (ALLL) of $160.5 million and a reserve for unfunded commitments (RUC) of $10.0 million. The ACL decreased $15.6 million from September 30,2020, due to lower expected losses than previously estimated as a result of improvements in Virginias unemployment rate, benign credit quality metrics to date, and an improved economic forecast due to the roll-out of COVID-19 vaccines and additional government stimulus inclusive of more PPP funding.

The ALLL decreased $13.6 million and the RUC decreased $2.0 million from September 30, 2020. The ALLL as apercentage of the total loan portfolio was 1.14% at December 31,2020 and 1.21% at September 30,2020. The ACL as percentage of total loans was 1.22% at December 31, 2020 and 1.29% at September 30, 2020. When excluding PPP loans(1), which are 100% guaranteed by the SBA, the ALLL as a percentage of adjusted loans decreased 11 basis points to 1.25% from the prior quarter and the ACL as a percentage of adjusted loans decreased 13 basis points to 1.33% from the prior quarter. The ratio of the ALLL to nonaccrual loans was 378.2% at December 31,2020, compared to 446.2% at September 30, 2020.

NONINTEREST INCOME

Noninterest income decreased $2.2 million to $32.2 million for the quarter ended December 31,2020 from $34.4 million in the prior quarter, primarily driven by a decline in bank owned life insurance income due to $1.4 million in death benefit proceeds received during the third quarter of 2020, lower insurance related income of approximately $530,000, reduced level of unrealized gains of approximately $550,000 related to the Companys SBIC investments, and lower loan-related interest rate swap income of $460,000 due to lower transaction volumes. These quarterly declines were partially offset by increases in several other non-interest income categories including an increase in service charges on deposit accounts of $661,000, primarily due to higher NSF and overdraft fees.

NONINTEREST EXPENSE

Noninterest expense increased $28.5 million to $121.7 million for the quarter ended December 31,2020 from $93.2 million in the prior quarter, primarily driven by the recognition of an approximately $20.8 million loss on debt extinguishment in the fourth quarter, resulting from the prepayment of approximately $350.0 million in long-term FHLB advances. In addition, during the fourth quarter of 2020, there was an increase of approximately $8.6 million in salaries and benefits, driven primarily by performance based variable incentive compensation and profit-sharing expenses of $7.4 million, including a $1.2 million contribution to the Companys Employee Stock Ownership Plan (ESOP), as well as third party expenses of approximately $716,000 incurred to process PPP loans for SBA forgiveness. Other increases from the third quarter of 2020 included approximately $883,000 in professional services driven by higher consulting fees due to LIBOR transition and other projects, and an increase in FDIC assessment premiums of approximately $582,000, driven by the impact of lower PPP loan balances on the Companys assessment rate. Noninterest expense for the fourth quarter of 2020 also included approximately $790,000 in costs related to the Companys plans to close five branches in February 2021 and approximately $450,000 in costs related to the Companys response to the COVID-19 pandemic.

INCOME TAXES

The effective tax rate for the three months ended December 31,2020 was 15.1% compared to 15.3% for the three months ended September30,2020.

BALANCE SHEET

At December31,2020, total assets were $19.6 billion, a decrease of $302.2 million or approximately 6.0% (annualized) from September 30, 2020, and an increase of $2.1 billion or approximately 11.8% from December31,2019. The decrease in assets from the prior quarter was driven by PPP loan forgiveness, partially offset by organic loan growth while growth from the prior year was primarily a result of growth in both organic and PPP loans.

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(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.

At December 31, 2020, loans held for investment (net of deferred fees and costs) were $14.0 billion, a decrease of $361.9 million or 10.0% (annualized) from September 30, 2020, while average loans decreased $170.0 million or 4.7% (annualized), from the prior quarter. Excluding the effects of the PPP(1), loans held for investment (net of deferred fees and costs) increased $59.2 million, or 1.8% (annualized), while average loans increased $22.6 million, or 0.7% (annualized) during this period. Loans held for investment (net of deferred fees and costs) increased $1.4 billion or 11.2% from December 31, 2019, while quarterly average loans increased $1.9 billion or 15.1% from the prior year. Excluding the effects of the PPP(1), loans held for investment (net of deferred fees and costs) at December 31, 2020 increased $230.9 million or 1.8% from the prior year, while quarterly average loans during the fourth quarter of 2020 increased $415.4 million or 3.4% from the prior year. In addition to an insignificant amount of PPP loan payoffs, the Company processed $429.3 million of loan forgiveness on approximately 3,100 PPP loans during the fourth quarter of 2020.

At December31,2020, total deposits were $15.7 billion, an increase of $146.7 million or approximately 3.7% (annualized) from September30,2020, while average deposits increased $315.7 million or 8.1% (annualized) from the prior quarter. Deposits increased $2.4 billion or 18.2% from December31,2019, while quarterly average deposits increased $2.6 billion or 19.5% 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:

December31, September30, December31, 2020 2020 2019 CommonequityTier 1 10.26 % 10.05 % 10.24 %capitalratio ^(2)Tier 1capital 11.39 % 11.18 % 10.24 %ratio ^(2)Totalcapital 14.00 % 13.93 % 12.63 %ratio ^(2)Leverageratio(Tier 1capital 8.95 % 8.82 % 8.79 %toaverageassets)^(2)Commonequity 12.95 % 12.52 % 14.31 %to totalassetsTangiblecommonequityto 8.31 % 7.91 % 9.08 %tangibleassets ^(1)

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(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.(2)All ratios at December 31,2020 are estimates and subject to change pending the Companys filing of its FR Y9-C. All other periods are presented as filed.

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.

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(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.

During the fourth quarter of 2020, the Company declared and paid cash dividends of $0.25 per common share, consistent with the third quarter of 2020 and the fourth quarter of 2019. During the fourth quarter of 2020, the Company also declared and paid a quarterly dividend on the outstanding shares of Series A Preferred Stock of $171.88 per share (equivalent to $0.43 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 134 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.

FOURTH QUARTER AND FISCAL YEAR 2020 EARNINGS RELEASE CONFERENCE CALL

The Company will hold a conference call and webcast for analysts on Tuesday, January 26, 2021 at 9:00a.m. Eastern Time during which management will review the fourth quarter and fiscal year 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 2886812. Management will conduct a listen-only webcast with accompanying slides, which can be found at: https://edge.media-server.com/mmc/p/ze3ax9o8.

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 and fiscal year ended December 31,2020, 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 and statements regarding the Companys planned branch consolidations and statements regarding the impact of additional PPP funding on the Company, 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, the speed and efficacy of vaccine and treatment developments, 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, as amended by the CAA, 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, as amended by the CAA; -- 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 Year Ended 12/31/20 09/30/20 12/31/19 12/31/20 12/31/19 Results of (unaudited) (unaudited) (unaudited) (unaudited) (unaudited) OperationsInterest and $ 161,847 $ 157,414 $ 174,211 $ 653,454 $ 699,332 dividend incomeInterest expense 16,243 20,033 39,081 98,156 161,460 Net interest 145,604 137,381 135,130 555,298 537,872 incomeProvision for (13,813 ) 6,558 2,900 87,141 21,092 credit lossesNet interestincome after 159,417 130,823 132,230 468,157 516,780 provision forcredit lossesNoninterest 32,241 34,407 29,193 131,486 132,815 incomeNoninterest 121,668 93,222 94,318 413,349 418,340 expensesIncome before 69,990 72,008 67,105 186,294 231,255 income taxesIncome tax 10,560 11,008 11,227 28,066 37,557 expenseIncome fromcontinuing 59,430 61,000 55,878 158,228 193,698 operationsDiscontinuedoperations, net ? ? (42 ) ? (170 ) of taxNet income 59,430 61,000 55,836 158,228 193,528 Dividends on 2,967 2,691 ? 5,658 ? preferred stockNet incomeavailable to $ 56,463 $ 58,309 $ 55,836 $ 152,570 $ 193,528 commonshareholders Interest earnedon earning $ 164,931 $ 160,315 $ 176,868 $ 665,001 $ 710,453 assets (FTE) ^(1)Net interestincome (FTE) ^ 148,688 140,282 137,787 566,845 548,993 (1)Total revenue 180,929 174,689 166,980 698,331 681,808 (FTE) ^(1)Pre-taxpre-provision 76,987 78,548 71,392 294,026 295,178 operatingearnings ^(8) Key Ratios Earnings percommon share, $ 0.72 $ 0.74 $ 0.69 $ 1.93 $ 2.41 dilutedReturn onaverage assets 1.19 % 1.23 % 1.27 % 0.83 % 1.15 %(ROA)Return onaverage equity 8.82 % 9.16 % 8.81 % 6.14 % 7.89 %(ROE)Return onaverage tangible 15.60 % 16.49 % 15.64 % 11.18 % 14.26 %common equity(ROTCE) ^(2) (3)Efficiency ratio 68.41 % 54.27 % 57.40 % 60.19 % 62.37 %Net interest 3.25 % 3.08 % 3.48 % 3.26 % 3.61 %marginNet interestmargin (FTE) ^ 3.32 % 3.14 % 3.55 % 3.32 % 3.69 %(1)Yields onearning assets 3.69 % 3.59 % 4.55 % 3.90 % 4.77 %(FTE) ^(1)Cost ofinterest-bearing 0.52 % 0.64 % 1.33 % 0.80 % 1.43 %liabilitiesCost of deposits 0.30 % 0.39 % 0.92 % 0.51 % 0.92 %Cost of funds 0.37 % 0.45 % 1.00 % 0.58 % 1.08 % Operating Measures ^(4)Adjustedoperating $ 75,870 $ 60,986 $ 56,966 $ 174,495 $ 227,813 earningsAdjustedoperatingearnings 72,903 58,295 56,966 168,837 227,813 available tocommonshareholdersAdjustedoperating $ 0.93 $ 0.74 $ 0.71 $ 2.14 $ 2.84 earnings pershare, dilutedAdjusted 1.52 % 1.23 % 1.30 % 0.91 % 1.35 %operating ROAAdjusted 11.27 % 9.16 % 8.99 % 6.77 % 9.29 %operating ROEAdjustedoperating ROTCE 19.91 % 16.49 % 15.93 % 12.28 % 16.61 %^(2) (3)Adjustedoperating 53.59 % 51.05 % 52.77 % 53.16 % 51.79 %efficiency ratio(FTE) ^(1)(7) Per Share Data Earnings percommon share, $ 0.72 $ 0.74 $ 0.69 $ 1.93 $ 2.41 basicEarnings percommon share, 0.72 0.74 0.69 1.93 2.41 dilutedCash dividendspaid per common 0.25 0.25 0.25 1.00 0.96 shareMarket value per 32.94 21.37 37.55 32.94 37.55 shareBook value per 32.46 31.86 31.58 32.46 31.58 common shareTangible bookvalue per common 19.78 19.13 18.90 19.78 18.90 share ^(2)Price toearnings ratio, 11.50 7.26 13.72 17.07 15.58 dilutedPrice to bookvalue per common 1.01 0.67 1.19 1.01 1.19 share ratioPrice totangible book 1.67 1.12 1.99 1.67 1.99 value per commonshare ratio ^(2)Weighted averagecommon shares 78,721,530 78,714,353 80,439,007 78,858,726 80,200,950 outstanding,basicWeighted averagecommon shares 78,740,351 78,725,346 80,502,269 78,875,668 80,263,557 outstanding,dilutedCommon sharesoutstanding at 78,729,212 78,718,850 80,001,185 78,729,212 80,001,185 end of period

As of & For Three Months Ended As of & For Year Ended 12/31/20 09/30/20 12/31/19 12/31/20 12/31/19 Capital Ratios (unaudited) (unaudited) (unaudited) (unaudited) (unaudited) Common equityTier 1 capital 10.26 % 10.05 % 10.24 % 10.26 % 10.24 %ratio ^(5)Tier 1 capital 11.39 % 11.18 % 10.24 % 11.39 % 10.24 %ratio ^(5)Total capital 14.00 % 13.93 % 12.63 % 14.00 % 12.63 %ratio ^(5)Leverage ratio(Tier 1 capital 8.95 % 8.82 % 8.79 % 8.95 % 8.79 %to averageassets) ^(5)Common equity to 12.95 % 12.52 % 14.31 % 12.95 % 14.31 %total assetsTangible commonequity to 8.31 % 7.91 % 9.08 % 8.31 % 9.08 %tangible assets^(2) Financial ConditionAssets $ 19,628,449 $ 19,930,650 $ 17,562,990 $ 19,628,449 $ 17,562,990 Loans held for 14,021,314 14,383,215 12,610,936 14,021,314 12,610,936 investmentSecurities 3,180,052 3,102,217 2,631,437 3,180,052 2,631,437 Earning Assets 17,624,618 17,885,975 15,576,208 17,624,618 15,576,208 Goodwill 935,560 935,560 935,560 935,560 935,560 Amortizable 57,185 61,068 73,669 57,185 73,669 intangibles, netDeposits 15,722,765 15,576,098 13,304,981 15,722,765 13,304,981 Borrowings 840,717 1,314,322 1,513,748 840,717 1,513,748 Stockholders' 2,708,490 2,660,885 2,513,102 2,708,490 2,513,102 equityTangible common 1,549,388 1,497,900 1,503,873 1,549,388 1,503,873 equity ^(2) Loans held forinvestment, net of deferred feesand costsConstruction and $ 925,798 $ 1,207,190 $ 1,250,924 $ 925,798 $ 1,250,924 land developmentCommercial realestate - owner 2,128,909 2,107,333 2,041,243 2,128,909 2,041,243 occupiedCommercial realestate - 3,657,562 3,497,929 3,286,098 3,657,562 3,286,098 non-owneroccupiedMultifamily real 814,745 731,582 633,743 814,745 633,743 estateCommercial & 3,263,460 3,536,249 2,114,033 3,263,460 2,114,033 IndustrialResidential 1-4Family - 671,949 696,944 724,337 671,949 724,337 CommercialResidential 1-4Family - 822,866 830,144 890,503 822,866 890,503 ConsumerResidential 1-4Family - 596,996 618,320 659,504 596,996 659,504 RevolvingAuto 401,324 387,417 350,419 401,324 350,419 Consumer 247,730 276,023 372,853 247,730 372,853 Other Commercial 489,975 494,084 287,279 489,975 287,279 Total loans held $ 14,021,314 $ 14,383,215 $ 12,610,936 $ 14,021,314 $ 12,610,936 for investment Deposits NOW accounts $ 3,621,181 $ 3,460,480 $ 2,905,714 $ 3,621,181 $ 2,905,714 Money market 4,248,335 4,269,696 3,951,856 4,248,335 3,951,856 accountsSavings accounts 904,095 861,685 727,847 904,095 727,847 Time deposits of$250,000 and 654,224 633,252 684,797 654,224 684,797 overOther time 1,926,227 1,930,320 2,064,628 1,926,227 2,064,628 depositsTime deposits 2,580,451 2,563,572 2,749,425 2,580,451 2,749,425 Totalinterest-bearing $ 11,354,062 $ 11,155,433 $ 10,334,842 $ 11,354,062 $ 10,334,842 depositsDemand deposits 4,368,703 4,420,665 2,970,139 4,368,703 2,970,139 Total deposits $ 15,722,765 $ 15,576,098 $ 13,304,981 $ 15,722,765 $ 13,304,981 Averages Assets $ 19,817,318 $ 19,785,167 $ 17,437,552 $ 19,083,853 $ 16,840,310 Loans held for 14,188,661 14,358,666 12,327,692 13,777,467 11,949,171 investmentLoans held for 59,312 45,201 75,038 53,016 53,390 saleSecurities 3,140,243 2,891,210 2,608,942 2,826,504 2,663,184 Earning assets 17,801,490 17,748,152 15,418,605 17,058,795 14,881,142 Deposits 15,896,149 15,580,469 13,302,955 14,950,295 12,515,552 Time deposits 2,571,639 2,579,991 2,847,366 2,643,229 2,627,987 Interest-bearing 11,482,105 11,260,244 10,265,986 11,028,169 9,624,396 depositsBorrowings 891,699 1,183,839 1,369,035 1,215,676 1,656,426 Interest-bearing 12,373,804 12,444,083 11,635,021 12,243,845 11,280,822 liabilitiesStockholders' 2,679,170 2,648,777 2,515,303 2,576,372 2,451,435 equityTangible common 1,518,223 1,483,848 1,509,001 1,482,060 1,459,509 equity ^(2)

As of & For Three Months Ended As of & For Year Ended 12/31/20 09/30/20 12/31/19 12/31/20 12/31/19 Asset Quality (unaudited) (unaudited) (unaudited) (unaudited) (unaudited) Allowance forCredit Losses (ACL)Beginningbalance,Allowance for $ 174,122 $ 169,977 $ 43,820 $ 42,294 $ 41,045 loan andlease losses(ALLL)Add: Day 1impact from ? ? ? 47,484 ? adoption ofCECLAdd: 1,617 1,566 2,292 6,754 7,232 RecoveriesLess: 3,386 2,978 6,918 18,193 28,108 Charge-offsAdd:Provision for (11,813 ) 5,557 3,100 82,201 22,125 loan lossesEnding $ 160,540 $ 174,122 $ 42,294 $ 160,540 $ 42,294 balance, ALLL Beginningbalance,Reserve for $ 12,000 $ 11,000 $ 1,100 900 900 unfundedcommitment(RUC)Add: Day 1impact from ? ? ? 4,160 ? adoption ofCECLAdd: Impactof ? ? ? ? 1,033 acquisitionaccountingAdd:Provision for (2,000 ) 1,000 (200 ) 4,940 (1,033 ) unfundedcommitmentsEnding $ 10,000 $ 12,000 $ 900 10,000 900 balance, RUCTotal ACL $ 170,540 $ 186,122 $ 43,194 $ 170,540 $ 43,194 ACL / totaloutstanding 1.22 % 1.29 % 0.34 % 1.22 % 0.34 %loansACL / totaladjusted 1.33 % 1.46 % 0.34 % 1.33 % 0.34 %loans^(9)ALLL / totaloutstanding 1.14 % 1.21 % 0.34 % 1.14 % 0.34 %loansALLL / totaladjusted 1.25 % 1.36 % 0.34 % 1.25 % 0.34 %loans^(9)Netcharge-offs / 0.05 % 0.04 % 0.15 % 0.08 % 0.17 %total averageloansNetcharge-offs /total 0.06 % 0.04 % 0.15 % 0.09 % 0.17 %adjustedaverage loans^(9)Provision forloan losses/ (0.33 ) % 0.15 % 0.10 % 0.60 % 0.19 %total averageloansProvision forloan losses/total (0.37 ) % 0.17 % 0.10 % 0.65 % 0.19 %adjustedaverage loans^(9) Nonperforming Assets^(6)Constructionand land $ 3,072 $ 3,520 $ 3,703 $ 3,072 $ 3,703 developmentCommercialreal estate - 7,128 9,267 6,003 7,128 6,003 owneroccupiedCommercialreal estate - 2,317 1,992 381 2,317 381 non-owneroccupiedMultifamily 33 33 ? 33 ? real estateCommercial & 2,107 1,592 1,735 2,107 1,735 IndustrialResidential1-4 Family - 9,993 5,743 4,301 9,993 4,301 CommercialResidential1-4 Family - 12,600 12,620 9,292 12,600 9,292 ConsumerResidential1-4 Family - 4,629 3,664 2,080 4,629 2,080 RevolvingAuto 500 517 563 500 563 Consumer 69 75 77 69 77 Other ? ? 97 ? 97 CommercialNonaccrual $ 42,448 $ 39,023 $ 28,232 $ 42,448 $ 28,232 loansForeclosed 2,773 4,159 4,708 2,773 4,708 propertyTotalnonperforming $ 45,221 $ 43,182 $ 32,940 $ 45,221 $ 32,940 assets (NPAs)Constructionand land $ ? $ 93 $ 189 $ ? $ 189 developmentCommercialreal estate - 3,727 1,726 1,062 3,727 1,062 owneroccupiedCommercialreal estate - 148 168 1,451 148 1,451 non-owneroccupiedMultifamily ? 359 474 ? 474 real estateCommercial & 1,114 604 449 1,114 449 IndustrialResidential1-4 Family - 1,560 5,298 674 1,560 674 CommercialResidential1-4 Family - 5,699 4,495 4,515 5,699 4,515 ConsumerResidential1-4 Family - 826 2,276 3,357 826 3,357 RevolvingAuto 166 315 272 166 272 Consumer 394 327 953 394 953 Other ? ? ? ? ? CommercialLoans ? 90days and $ 13,634 $ 15,661 $ 13,396 $ 13,634 $ 13,396 stillaccruingTotal NPAsand loans ? $ 58,855 $ 58,843 $ 46,336 $ 58,855 $ 46,336 90 daysNPAs / totaloutstanding 0.32 % 0.30 % 0.26 % 0.32 % 0.26 %loansNPAs / totaladjusted 0.35 % 0.34 % 0.26 % 0.35 % 0.26 %loans^(9)NPAs / total 0.23 % 0.22 % 0.19 % 0.23 % 0.19 %assetsALLL /nonaccrual 378.20 % 446.20 % 149.81 % 378.20 % 149.81 %loansALLL/nonperforming 355.01 % 403.23 % 128.40 % 355.01 % 128.40 %assets

As of & For Three Months Ended As of & For Year Ended 12/31/20 09/30/20 12/31/19 12/31/20 12/31/19 Past Due (unaudited) (unaudited) (unaudited) (unaudited) (unaudited) Detail^(6)Constructionand land $ 1,903 $ 2,625 $ 4,563 $ 1,903 $ 4,563 developmentCommercialreal estate - 1,870 4,924 3,482 1,870 3,482 owner occupiedCommercialreal estate - 2,144 1,291 457 2,144 457 non-owneroccupiedMultifamily 617 ? 223 617 223 real estateCommercial & 1,848 4,322 8,698 1,848 8,698 IndustrialResidential1-4 Family - 2,227 1,236 1,479 2,227 1,479 CommercialResidential1-4 Family - 10,182 2,998 16,244 10,182 16,244 ConsumerResidential1-4 Family - 2,975 2,669 10,190 2,975 10,190 RevolvingAuto 2,076 1,513 2,525 2,076 2,525 Consumer 1,166 1,020 2,128 1,166 2,128 Other 16 613 464 16 464 CommercialLoans 30-59 $ 27,024 $ 23,211 $ 50,453 $ 27,024 $ 50,453 days past dueConstructionand land $ 547 $ 223 $ 482 $ 547 $ 482 developmentCommercialreal estate - 1,380 1,310 2,184 1,380 2,184 owner occupiedCommercialreal estate - 1,721 1,371 ? 1,721 ? non-owneroccupiedMultifamily ? ? ? ? ? real estateCommercial & 1,190 1,448 1,598 1,190 1,598 IndustrialResidential1-4 Family - 818 937 2,207 818 2,207 CommercialResidential1-4 Family - 1,533 3,976 3,072 1,533 3,072 ConsumerResidential1-4 Family - 1,044 1,141 1,784 1,044 1,784 RevolvingAuto 376 453 236 376 236 Consumer 550 772 1,233 550 1,233 Other ? 427 ? ? ? CommercialLoans 60-89 $ 9,159 $ 12,058 $ 12,796 $ 9,159 $ 12,796 days past due Past Due and $ 49,817 $ 50,930 $ 76,645 $ 49,817 $ 76,645 still accruingPast Due andstill accruing 0.36 % 0.35 % 0.61 % 0.36 % 0.61 %/ total loansPast Due andstill accruing/ total 0.39 % 0.40 % 0.61 % 0.39 % 0.61 %adjusted loans^(9) Troubled Debt RestructuringsPerforming $ 13,961 $ 14,515 $ 15,686 $ 13,961 $ 15,686 Nonperforming 6,655 7,045 3,810 6,655 3,810 Total troubleddebt $ 20,616 $ 21,560 $ 19,496 $ 20,616 $ 19,496 restructurings AlternativePerformance Measures(non-GAAP)Net interest income (FTE)Net interest $ 145,604 $ 137,381 $ 135,130 $ 555,298 $ 537,872 income (GAAP)FTE adjustment 3,084 2,901 2,657 11,547 11,121 Net interestincome (FTE) $ 148,688 $ 140,282 $ 137,787 $ 566,845 $ 548,993 (non-GAAP)^(1)Noninterest 32,241 34,407 29,193 131,486 132,815 income (GAAP)Total revenue(FTE) $ 180,929 $ 174,689 $ 166,980 $ 698,331 $ 681,808 (non-GAAP) ^(1) Average $ 17,801,490 $ 17,748,152 $ 15,418,605 $ 17,058,795 $ 14,881,142 earning assetsNet interest 3.25 % 3.08 % 3.48 % 3.26 % 3.61 %marginNet interestmargin (FTE) ^ 3.32 % 3.14 % 3.55 % 3.32 % 3.69 %(1) Tangible Assets ^(2)Ending assets $ 19,628,449 $ 19,930,650 $ 17,562,990 $ 19,628,449 $ 17,562,990 (GAAP)Less: Ending 935,560 935,560 935,560 935,560 935,560 goodwillLess: Endingamortizable 57,185 61,068 73,669 57,185 73,669 intangiblesEndingtangible $ 18,635,704 $ 18,934,022 $ 16,553,761 $ 18,635,704 $ 16,553,761 assets(non-GAAP) TangibleCommon Equity ^(2)Ending equity $ 2,708,490 $ 2,660,885 $ 2,513,102 $ 2,708,490 $ 2,513,102 (GAAP)Less: Ending 935,560 935,560 935,560 935,560 935,560 goodwillLess: Endingamortizable 57,185 61,068 73,669 57,185 73,669 intangiblesLess:Perpetual 166,357 166,357 ? 166,357 ? preferredstockEndingtangible $ 1,549,388 $ 1,497,900 $ 1,503,873 $ 1,549,388 $ 1,503,873 common equity(non-GAAP) Average equity $ 2,679,170 $ 2,648,777 $ 2,515,303 $ 2,576,372 $ 2,451,435 (GAAP)Less: Average 935,560 935,560 930,457 935,560 912,521 goodwillLess: Averageamortizable 59,031 63,016 75,845 65,094 79,405 intangiblesLess: Averageperpetual 166,356 166,353 - 93,658 - preferredstockAveragetangible $ 1,518,223 $ 1,483,848 $ 1,509,001 $ 1,482,060 $ 1,459,509 common equity(non-GAAP) ROTCE ^(2)(3) Net incomeavailable tocommon $ 56,463 $ 58,309 $ 55,836 $ 152,570 $ 193,528 shareholders(GAAP)Plus:Amortizationof 3,079 3,202 3,636 13,093 14,632 intangibles,tax effectedNet incomeavailable tocommonshareholders $ 59,542 $ 61,511 $ 59,472 $ 165,663 $ 208,160 beforeamortizationof intangibles(non-GAAP) Return onaveragetangible 15.60 % 16.49 % 15.64 % 11.18 % 14.26 %common equity(ROTCE) ^(2)(3)

As of & For Three Months Ended As of & For Year Ended 12/31/20 09/30/20 12/31/19 12/31/20 12/31/19 (unaudited) (unaudited) (unaudited) (unaudited) (unaudited) Operating Measures ^ (4)Net income (GAAP) $ 59,430 $ 61,000 $ 55,836 $ 158,228 $ 193,528 Plus: Merger andrebranding-related ? ? 1,422 ? 27,395 costs, net of taxPlus: Net lossrelated to balancesheet 16,440 ? ? 25,979 12,953 repositioning, netof taxLess: Gain on saleof securities, net ? 14 292 9,712 6,063 of taxAdjusted operatingearnings 75,870 60,986 56,966 174,495 227,813 (non-GAAP)Less: Dividends on 2,967 2,691 ? 5,658 ? preferred stockAdjusted operatingearnings availableto common $ 72,903 $ 58,295 $ 56,966 $ 168,837 $ 227,813 shareholders(non-GAAP) Noninterest $ 121,668 $ 93,222 $ 94,318 $ 413,349 $ 418,340 expense (GAAP)Less: Merger ? ? 896 ? 27,824 Related CostsLess: Rebranding ? ? 902 ? 6,455 CostsLess: Amortizationof intangible 3,897 4,053 4,603 16,574 18,521 assetsLess: Lossesrelated to balance 20,810 ? ? 31,116 16,397 sheetrepositioningAdjusted operatingnoninterest $ 96,961 $ 89,169 $ 87,917 $ 365,659 $ 349,143 expense (non-GAAP) Noninterest income $ 32,241 $ 34,407 $ 29,193 $ 131,486 $ 132,815 (GAAP)Less: Gainsrelated to balance ? ? ? (1,769 ) ? sheetrepositioningLess: Gain on sale ? 18 369 12,294 7,675 of securitiesOperatingnoninterest income $ 32,241 $ 34,389 $ 28,824 $ 120,961 $ 125,140 (non-GAAP) Net interestincome (FTE) $ 148,688 $ 140,282 $ 137,787 $ 566,845 $ 548,993 (non-GAAP)^ (1)Operatingnoninterest income 32,241 34,389 28,824 120,961 125,140 (non-GAAP)Total adjustedrevenue (FTE) $ 180,929 $ 174,671 $ 166,611 $ 687,806 $ 674,133 (non-GAAP) ^(1) Efficiency ratio 68.41 % 54.27 % 57.40 % 60.19 % 62.37 %Adjusted operatingefficiency ratio 53.59 % 51.05 % 52.77 % 53.16 % 51.79 %(FTE) ^(1)(7) Operating ROTCE ^ (2)(3)(4)Adjusted operatingearnings availableto common $ 72,903 $ 58,295 $ 56,966 $ 168,837 $ 227,813 shareholders(non-GAAP)Plus: Amortizationof intangibles, 3,079 3,202 3,636 13,093 14,632 tax effectedAdjusted operatingearnings availableto commonshareholders $ 75,982 $ 61,497 $ 60,602 $ 181,930 $ 242,445 beforeamortization ofintangibles(non-GAAP) Average tangiblecommon equity $ 1,518,223 $ 1,483,848 $ 1,509,001 $ 1,482,060 $ 1,459,509 (non-GAAP)Adjusted operatingreturn on average 19.91 % 16.49 % 15.93 % 12.28 % 16.61 %tangible commonequity (non-GAAP) Pre-taxpre-provision adjusted operatingearnings ^(8)Net income (GAAP) $ 59,430 $ 61,000 $ 55,836 $ 158,228 $ 193,528 Plus: Provision (13,813 ) 6,558 2,900 87,141 21,092 for credit lossesPlus: Income tax 10,560 11,008 11,227 28,066 37,557 expensePlus: Merger andrebranding-related ? ? 1,798 ? 34,279 costsPlus: Net lossrelated to balance 20,810 ? ? 32,885 16,397 sheetrepositioningLess: Gain on sale ? 18 369 12,294 7,675 of securitiesPre-taxpre-provisionadjusted operating $ 76,987 $ 78,548 $ 71,392 $ 294,026 $ 295,178 earnings(non-GAAP) Weighted averagecommon shares 78,740,351 78,725,346 80,502,269 78,875,668 80,263,557 outstanding,dilutedPre-taxpre-provision $ 0.98 $ 1.00 $ 0.89 $ 3.73 $ 3.68 earnings pershare, diluted PaycheckProtection Program adjustment impact ^(9)Loans held forinvestment (net of $ 14,021,314 $ 14,383,215 $ 12,610,936 $ 14,021,314 $ 12,610,936 deferred fees andcosts)(GAAP)Less: PPP 1,179,522 1,600,577 ? 1,179,522 ? adjustmentsLoans held forinvestment (net ofdeferred fees andcosts),net $ 12,841,792 $ 12,782,638 $ 12,610,936 $ 12,841,792 $ 12,610,936 adjustments,excluding PPP(non-GAAP) Average loans heldfor investment $ 14,188,661 $ 14,358,666 $ 12,327,692 $ 13,777,467 $ 11,949,171 (GAAP)Less: Average PPP 1,445,602 1,638,204 ? 1,091,921 ? adjustmentsAverage loans heldfor investment,net adjustments, $ 12,743,059 $ 12,720,462 $ 12,327,692 $ 12,685,546 $ 11,949,171 excluding PPP(non-GAAP)

As of & For Three Months Ended As of & For Year Ended 12/31/20 09/30/20 12/31/19 12/31/20 12/31/19 (unaudited) (unaudited) (unaudited) (unaudited) (unaudited) MortgageOrigination VolumeRefinance $ 165,042 $ 145,718 $ 50,555 $ 542,880 $ 152,624 VolumeConstruction ? 6,448 14,571 27,251 18,846 VolumePurchase 83,214 130,185 63,836 361,138 258,282 VolumeTotalMortgage $ 248,256 $ 282,351 $ 128,962 $ 931,269 $ 429,752 loanoriginations% oforiginations 66.5 % 51.6 % 39.2 % 58.3 % 35.5 %that arerefinances Wealth Assets undermanagement $ 5,865,264 $ 5,455,268 $ 5,650,757 $ 5,865,264 $ 5,650,757 ("AUM") Other Data End ofperiod 1,879 1,883 1,989 1,879 1,989 full-timeemployeesNumber offull-service 134 135 149 134 149 branchesNumber offullautomatic 156 157 169 156 169 transactionmachines("ATMs")

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(1)These are non-GAAP financial measures. Net interest income (FTE) and total adjusted revenue (FTE), which are used in computing net interest margin (FTE) and adjusted 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. Adjusted operating measures exclude the after-tax effect of merger and rebranding-related costs unrelated to the Companys normal operations. In addition, adjusted operating measures now exclude the gains or losses related to balance sheet repositioning (principally composed of gains and losses on debt extinguishment) and gains or losses on sale of securities. The Company believes these non-GAAP adjusted measures provide investors with important information about the combined economic results of the organizations operations. (5)All ratios at December 31, 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 adjusted operating efficiency ratio (FTE) excludes the amortization of intangible assets, merger and rebranding-related costs and gains or losses related to balance sheet repositioning (principally composed of gains and losses on debt extinguishment). 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 adjusted measure provides investors with important information about the combined economic results of the organizations operations. (8)This is a non-GAAP financial measure. Pre-tax pre-provision adjusted 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, income tax expense, gains or losses related to balance sheet repositioning (principally composed of gains and losses on debt extinguishment), and gains or losses on sale of securities. The Company believes this adjusted measure provides investors with important information about 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 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)

December 31, September 30, December 31, 2020 2020 2019 ASSETS (unaudited) (unaudited) (audited) Cash and cash equivalents: Cash and due from banks $ 172,307 $ 178,563 $ 163,050 Interest-bearing deposits in 318,974 335,111 234,810 other banksFederal funds sold 2,013 7,292 38,172 Total cash and cash equivalents 493,294 520,966 436,032 Securities available for sale, 2,540,419 2,443,340 1,945,445 at fair valueSecurities held to maturity, at 544,851 546,661 555,144 carrying valueRestricted stock, at cost 94,782 112,216 130,848 Loans held for sale, at fair 96,742 52,607 55,405 valueLoans held for investment, net 14,021,314 14,383,215 12,610,936 of deferred fees and costsLess allowance for loan and 160,540 174,122 42,294 lease lossesTotal loans held for 13,860,774 14,209,093 12,568,642 investment, netPremises and equipment, net 163,829 156,934 161,073 Goodwill 935,560 935,560 935,560 Amortizable intangibles, net 57,185 61,068 73,669 Bank owned life insurance 326,892 325,538 322,917 Other assets 514,121 566,667 378,255 Total assets $ 19,628,449 $ 19,930,650 $ 17,562,990 LIABILITIES Noninterest-bearing demand $ 4,368,703 $ 4,420,665 $ 2,970,139 depositsInterest-bearing deposits 11,354,062 11,155,433 10,334,842 Total deposits 15,722,765 15,576,098 13,304,981 Securities sold under 100,888 91,086 66,053 agreements to repurchaseOther short-term borrowings 250,000 175,200 370,200 Long-term borrowings 489,829 1,048,036 1,077,495 Other liabilities 356,477 379,345 231,159 Total liabilities 16,919,959 17,269,765 15,049,888 Commitments and contingencies STOCKHOLDERS' EQUITY Preferred stock, $10.00 par 173 173 ? valueCommon stock, $1.33 par value 104,169 104,141 105,827 Additional paid-in capital 1,917,081 1,914,640 1,790,305 Retained earnings 616,052 579,269 581,395 Accumulated other comprehensive 71,015 62,662 35,575 income (loss)Total stockholders' equity 2,708,490 2,660,885 2,513,102 Total liabilities and $ 19,628,449 $ 19,930,650 $ 17,562,990 stockholders' equity Common shares outstanding 78,729,212 78,718,850 80,001,185 Common shares authorized 200,000,000 200,000,000 200,000,000 Preferred shares outstanding 17,250 17,250 - Preferred shares authorized 500,000 500,000 500,000

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

Three Months Ended Year Ended December September December December December 31, 30, 31, 31, 31, 2020 2020 2019 2020 2019 (Unaudited) (Unaudited) (Unaudited) (Unaudited) (Audited)Interest anddividend income:Interest and $ 142,108 $ 138,402 $ 152,513 $ 574,871 $ 612,115 fees on loansInterest ondeposits in 117 137 1,686 1,270 3,733 other banksInterest anddividends on securities:Taxable 10,414 10,275 12,378 43,585 51,437 Nontaxable 9,208 8,600 7,634 33,728 32,047 Total interestand dividend 161,847 157,414 174,211 653,454 699,332 incomeInterest expense:Interest on 12,000 15,568 30,884 75,943 114,972 depositsInterest onshort-term 93 72 1,166 1,691 15,479 borrowingsInterest onlong-term 4,150 4,393 7,031 20,522 31,009 borrowingsTotal interest 16,243 20,033 39,081 98,156 161,460 expenseNet interest 145,604 137,381 135,130 555,298 537,872 incomeProvision for (13,813 ) 6,558 2,900 87,141 21,092 credit lossesNet interestincome after 159,417 130,823 132,230 468,157 516,780 provision forcredit lossesNoninterest income:Servicecharges on 6,702 6,041 7,871 25,251 30,202 depositaccountsOther servicecharges, 1,692 1,621 1,544 6,292 6,423 commissionsand feesInterchange 1,884 1,979 1,854 7,184 14,619 feesFiduciary andasset 6,107 6,045 6,531 23,650 23,365 managementfeesMortgage 9,113 8,897 2,689 25,857 10,303 banking incomeGains onsecurities ? 18 369 12,294 7,675 transactionsBank ownedlife insurance 2,057 3,421 2,119 9,554 8,311 incomeLoan-relatedinterest rate 2,704 3,170 3,470 15,306 14,126 swap feesOtheroperating 1,982 3,215 2,746 6,098 17,791 incomeTotalnoninterest 32,241 34,407 29,193 131,486 132,815 incomeNoninterest expenses:Salaries and 57,649 49,000 47,233 206,662 195,349 benefitsOccupancy 7,043 7,441 7,366 28,841 29,793 expensesFurniture andequipment 3,881 3,895 3,559 14,923 14,216 expensesTechnology anddata 6,742 6,564 6,483 25,929 23,686 processingProfessional 3,797 2,914 3,636 13,007 11,905 servicesMarketing andadvertising 2,473 2,631 3,675 9,886 11,566 expenseFDICassessmentpremiums and 2,393 1,811 1,254 9,971 6,874 otherinsuranceOther taxes 4,119 4,124 3,970 16,483 15,749 Loan-related 2,004 2,314 2,793 9,515 10,043 expensesOREO andcredit-related 511 413 1,547 2,023 4,708 expensesAmortizationof intangible 3,897 4,053 4,603 16,574 18,521 assetsMerger-related ? ? 896 ? 27,824 costsRebranding ? ? 902 ? 6,455 expenseLoss on debt 20,810 ? ? 31,116 16,397 extinguishmentOther expenses 6,349 8,062 6,401 28,419 25,254 Totalnoninterest 121,668 93,222 94,318 413,349 418,340 expensesIncome fromcontinuingoperations 69,990 72,008 67,105 186,294 231,255 before incometaxesIncome tax 10,560 11,008 11,227 28,066 37,557 expenseIncome fromcontinuing $ 59,430 $ 61,000 $ 55,878 $ 158,228 $ 193,698 operationsDiscontinued operations:Income (loss)fromoperations of $ ? $ ? $ (56 ) $ ? $ (230 )discontinuedmortgagesegmentIncome taxexpense ? ? (14 ) ? (60 )(benefit)Income (loss)on ? ? (42 ) ? (170 )discontinuedoperationsNet income 59,430 61,000 55,836 158,228 193,528 Dividends onpreferred 2,967 2,691 ? 5,658 ? stockNet incomeavailable to $ 56,463 $ 58,309 $ 55,836 $ 152,570 $ 193,528 commonshareholders Basic earningsper common $ 0.72 $ 0.74 $ 0.69 $ 1.93 $ 2.41 shareDilutedearnings per $ 0.72 $ 0.74 $ 0.69 $ 1.93 $ 2.41 common share

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

For the Quarter Ended December 31, 2020 September 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 $ 1,848,655 $ 10,414 2.24 % $ 1,738,033 $ 10,275 2.35 %Tax-exempt 1,291,588 11,656 3.59 % 1,153,177 10,886 3.76 %Total securities 3,140,243 22,070 2.80 % 2,891,210 21,161 2.91 %Loans, net ^(3) (4) 14,188,661 142,289 3.99 % 14,358,666 138,635 3.84 %Other earning assets 472,586 572 0.48 % 498,276 519 0.41 %Total earning assets 17,801,490 $ 164,931 3.69 % 17,748,152 $ 160,315 3.59 %Allowance for credit (174,761 ) (174,171 ) lossesTotal non-earning 2,190,589 2,211,186 assetsTotal assets $ 19,817,318 $ 19,785,167 Liabilities and Stockholders' Equity:Interest-bearing deposits:Transaction and money $ 8,029,168 $ 3,167 0.16 % $ 7,834,317 $ 4,684 0.24 %market accountsRegular savings 881,298 88 0.04 % 845,936 128 0.06 %Time deposits ^(5) 2,571,639 8,745 1.35 % 2,579,991 10,756 1.66 %Total interest-bearing 11,482,105 12,000 0.42 % 11,260,244 15,568 0.55 %depositsOther borrowings ^(6) 891,699 4,243 1.89 % 1,183,839 4,465 1.50 %Total interest-bearing 12,373,804 $ 16,243 0.52 % 12,444,083 $ 20,033 0.64 %liabilities Noninterest-bearing liabilities:Demand deposits 4,414,044 4,320,225 Other liabilities 350,300 372,082 Total liabilities 17,138,148 17,136,390 Stockholders' equity 2,679,170 2,648,777 Total liabilities and $ 19,817,318 $ 19,785,167 stockholders' equityNet interest income $ 148,688 $ 140,282 Interest rate spread 3.17 % 2.95 %Cost of funds 0.37 % 0.45 %Net interest margin 3.32 % 3.14 %

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(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 $4.5 million and $3.8 million for the three months ended December 31, 2020 and September 30, 2020, respectively, in accretion of the fair market value adjustments related to acquisitions.(5)Interest expense on time deposits includes $22,000 and$26,000 for the three months ended December 31, 2020 and September 30, 2020, respectively, in accretion of the fair market value adjustments related to acquisitions.(6)Interest expense on borrowings includes $188,000 and $167,000 for the three months ended December 31, 2020 and September 30, 2020, in amortization of the fair market value adjustments related to acquisitions.

Contact: Robert M. Gorman- (804) 523-7828 Executive Vice President / Chief Financial Officer