Business Wire | Jul 20, 2021 04:30PM EDT

Fulton Financial Announces Second Quarter 2021 Results

Jul. 20, 2021

LANCASTER, Pa.--(BUSINESS WIRE)--Jul. 20, 2021--Fulton Financial Corporation (NASDAQ:FULT) ("Fulton" or the "Corporation") reported net income available to common shareholders of $62 million, or $0.38 per diluted share, for the second quarter of 2021.

This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20210720006139/en/

"In the second quarter, Fulton Financial again achieved solid performance," said E. Philip Wenger, Chairman and CEO of Fulton Financial Corporation. "Our results reflect stable to improving core business trends, a disciplined operating environment, growth in wealth management revenues and stable asset quality."

Net Interest Income and Balance Sheet

Net interest income for the second quarter of 2021 was $162 million, $2 million lower than the first quarter of 2021. Net interest margin for the second quarter of 2021 decreased 6 basis points, to 2.73%, from 2.79% in the first quarter of 2021. The decreases in net interest income and net interest margin in comparison to the first quarter of 2021 were primarily due to lower fee income recognized related to the Paycheck Protection Program ("PPP") loans, which were $12 million in the second quarter of 2021 compared to $19 million for the first quarter of 2021, as well as lower yields on loans.

Total average interest-earning assets for the second quarter of 2021 were $24 billion, a decrease of $2 million from the first quarter of 2021, driven by a decline in PPP loans and other interest-earning assets, partially offset by growth in the commercial and residential real estate loan portfolios as well as investment securities. Average Net Loans1, which include loans originated under the PPP, were $18.9 billion, a decrease of $74 million compared to the first quarter of 2021. Average PPP loans were $1.5 billion for the second quarter of 2021 compared to $1.7 billion for the first quarter of 2021. Second quarter loan balances were impacted by the net effect of $639 million of PPP loans forgiven and $60 million of new loans originated under the third phase of the PPP in the second quarter of 2021.

^___________________________________1Loans and lease receivables, (net of unearned income)

Average loans and yields, by type, for the second quarter of 2021 in comparison to the first quarter of 2021 are summarized in the following table:

Three months ended

June 30, 2021 March 31, 2021 Growth

Balance Yield Balance Yield $ % ^(1) ^(1)

(dollars in thousands)

Average NetLoans by type:

Real estate- commercial $ 7,177,622 3.16 % $ 7,128,997 3.15 % $ 48,625 0.7 %mortgage

Commercialand 5,445,160 2.58 % 5,722,080 2.57 % (276,920) (4.8) %industrial^(2)

Real estate- 3,396,690 3.39 % 3,183,585 3.52 % 213,105 6.7 %residentialmortgage

Real estate- home 1,139,558 3.71 % 1,175,218 3.75 % (35,660) (3.0) %equity

Real estate- 1,054,469 3.05 % 1,054,718 3.09 % (249) (0.0) %construction

Consumer 451,486 3.89 % 459,038 4.13 % (7,552) (1.6) %

Equipmentlease 256,248 3.74 % 266,405 4.11 % (10,157) (3.8) %financing

Other^(3) (14,677) N/A (9,455) N/A (5,222) 55.2 %

TotalAverage Net $ 18,906,556 3.32 % $ 18,980,586 3.53 % $ (74,030) (0.4) %Loans



(1) Presented on a fully-taxable equivalent basis using a 21% Federal tax rate and statutory interest expense disallowances.

(2) Includes average PPP loans of $1.5 billion and $1.7 billion for the three months ended June 30, 2021 and March 31, 2021, respectively.

(3) Consists of overdrafts and net origination fees and costs.

Total average liabilities decreased $98 million, to $23.3 billion, in the second quarter of 2021 compared to the first quarter of 2021 driven by decreases in short-term and long-term borrowings, partially offset by increases in average deposits. Average deposits and interest rates, by type, for the second quarter of 2021 in comparison to the first quarter of 2021 are summarized in the following table:

(1) Presented on a fully-taxable equivalent basis using a 21% Federal tax rateand statutory interest expense disallowances.

(2) Includes average PPP loans of $1.5 billion and $1.7 billion for the threemonths ended June 30, 2021 and March 31, 2021, respectively.

(3) Consists of overdrafts and net origination fees and costs.

Total average liabilities decreased $98 million, to $23.3 billion, in the second quarter of 2021 compared to the first quarter of 2021 driven by decreases in short-term and long-term borrowings, partially offset by increases in average deposits. Average deposits and interest rates, by type, for the second quarter of 2021 in comparison to the first quarter of 2021 are summarized in the following table:

Three months ended

June 30, 2021 March 31, 2021 Growth

Balance Rate Balance Rate $ %

(dollars in thousands)

Average Deposits, by type:

Noninterest-bearing $ 7,203,696 - $ 6,672,832 - $ 530,864 8.0 %demand

Interest-bearing demand 5,979,855 0.06 % 5,832,174 0.08 % 147,681 2.5 %

Savings 6,280,629 0.09 % 6,137,084 0.10 % 143,545 2.3 %

Total average demand and 19,464,180 0.05 % 18,642,090 0.06 % 822,090 4.4 %savings

Brokered 297,815 0.34 % 324,364 0.49 % (26,549) (8.2) %

Time 2,003,606 1.09 % 2,150,570 1.23 % (146,964) (6.8) %

Total Average Deposits $ 21,765,601 0.15 % $ 21,117,024 0.18 % $ 648,577 3.1 %

Asset Quality

In the second quarter of 2021, a negative provision for credit losses of $4 million was recognized, as compared to a negative provision for credit losses of $6 million recognized in the first quarter of 2021. A $20 million provision for credit losses was recognized in the second quarter of 2020. Consistent with the first quarter of 2021, improved economic forecasts and a decrease in specific allocations within the allowance for credit losses for loans evaluated individually reduced the level of the allowance for credit losses determined to be necessary at the end of the second quarter of 2021.

The $20 million provision for credit losses in the second quarter of 2020 reflected expected credit losses based on economic forecasts as of the end of the second quarter of 2020 and the assessment of the estimated impacts of the COVID-19 pandemic at that time.

Non-performing assets were $157 million, or 0.60% of total assets, at June 30, 2021, compared to $156 million, or 0.60% of total assets, and $145 million, or 0.59% of total assets at March 31, 2021 and June 30, 2020, respectively.

Annualized net charge-offs for the quarter ended June 30, 2021 were 0.15% of total average loans, compared to 0.13% and 0.09% for the quarters ended March 31, 2021 and June 30, 2020, respectively.

Non-interest Income

Non-interest income in the second quarter of 2021, excluding investment securities gains, was $52 million, a decrease of $10 million, or 16%, from the first quarter of 2021, primarily driven by decreases of $11 million in mortgage banking income and a $1 million decrease in capital markets income. The decrease in mortgage banking income was due to lower mortgage sales and gain-on-sale spreads on loans sold, as well as a $2 million addition to the valuation allowance for mortgage servicing assets. The $1 million decrease in capital markets income was the result of lower commercial loan interest rate swap revenues.

Compared to the second quarter of 2020, non-interest income, excluding investment securities gains, in the second quarter of 2021 decreased $1 million, or 2%, from $53 million, primarily driven by a $7 million decrease in mortgage banking income, resulting from a combination of lower mortgage sales gains and higher rates. During the second quarter of 2020, mortgage banking income was higher as a result of lower mortgage interest rates which drove an increase in activity. The decrease in mortgage banking income was partially offset by a $4 million increase in wealth management income and a $2 million increase in consumer banking income.

Net investment securities gains were $33 million lower compared to the first quarter of 2021. In the first quarter of 2021, Fulton completed a balance sheet restructuring involving gains on sales of Visa, Inc. Class B restricted shares of $34 million, which were offset in non-interest expense by corresponding debt extinguishment costs of $32 million, other securities losses of $0.4 million and a write-off of $1 million recognized in net interest income in connection with the purchase of certain of the Corporation's outstanding senior and subordinated notes and the prepayment of term Federal Home Loan Bank advances.

Non-interest Expense

Non-interest expense was $141 million in the second quarter of 2021, a decrease of $38 million compared to the first quarter of 2021, with the decrease driven by costs recognized during the first quarter of 2021 associated with the aforementioned balance sheet restructuring.

Compared to the second quarter of 2020, non-interest expense decreased $2 million, or 2%, in the second quarter of 2021, due primarily to a decrease in salaries and employee benefits and debt extinguishment costs. In the second quarter of 2020 a $3 million prepayment penalty on redemption of FHLB advances was incurred. These decreases were partially offset by increases in multiple other non-interest expense categories.

Income Tax Expense

The effective income tax rate (ETR) was 16% for both the second and first quarters of 2021 as compared to 14% for second quarter of 2020. The increase was a result of higher income before income taxes, while net favorable permanent differences were relatively the same compared to the second quarter of 2020.

Additional information on Fulton is available on the Internet at www.fult.com.

Safe Harbor Statement

This news release may contain forward-looking statements with respect to the Corporation's financial condition, results of operations and business. Do not unduly rely on forward-looking statements. Forward-looking statements can be identified by the use of words such as "may," "should," "will," "could," "estimates," "predicts," "potential," "continue," "anticipates," "believes," "plans," "expects," "future," "intends," "projects," the negative of these terms and other comparable terminology. These forward-looking statements may include projections of, or guidance on, the Corporation's future financial performance, expected levels of future expenses, including future credit losses, anticipated growth strategies, descriptions of new business initiatives and anticipated trends in the Corporation's business or financial results.

Forward-looking statements are neither historical facts, nor assurance of future performance. Instead, they are based on current beliefs, expectations and assumptions regarding the future of the Corporation's business, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of the Corporation's control, and actual results and financial condition may differ materially from those indicated in the forward-looking statements. Therefore, you should not unduly rely on any of these forward-looking statements. Any forward-looking statement is based only on information currently available and speaks only as of the date when made. The Corporation undertakes no obligation, other than as required by law, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

A discussion of certain risks and uncertainties affecting the Corporation, and some of the factors that could cause the Corporation's actual results to differ materially from those described in the forward-looking statements, can be found in the sections entitled "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" in the Corporation's Annual Report on Form 10-K for the year ended December 31, 2020, Quarterly Report on Form 10-Q for the quarter ended March 31, 2021 and other current and periodic reports, which have been or will be filed with the Securities and Exchange Commission and are or will be available in the Investor Relations section of the Corporation's website (www.fult.com) and on the Securities and Exchange Commission's website (www.sec.gov).

Non-GAAP Financial Measures

The Corporation uses certain non-GAAP financial measures in this earnings release. These non-GAAP financial measures are reconciled to the most comparable GAAP measures in tables at the end of this release.

FULTON FINANCIAL CORPORATION

SUMMARY CONSOLIDATED FINANCIAL INFORMATION (UNAUDITED)

in thousands, except per-share data and percentages

Three months ended

Jun 30 Mar 31 Dec 31 Sep 30 Jun 30

2021 2021 2020 2020 2020

Ending Balances

Investments $ 3,921,658 $ 3,612,010 $ 3,340,424 $ 3,097,721 $ 2,974,813

Net Loans 18,586,756 18,990,986 18,900,820 19,028,621 18,704,722

Total assets 26,079,774 25,892,990 25,906,733 25,543,281 24,617,863

Deposits 21,724,312 21,633,838 20,839,207 20,730,051 19,884,208

Shareholders' 2,692,958 2,629,655 2,616,828 2,390,261 2,340,501 equity



Average Balances

Investments $ 3,670,333 $ 3,448,166 $ 3,221,289 $ 2,977,672 $ 3,096,632

Net Loans 18,906,556 18,980,586 18,994,514 18,880,519 18,331,797

Total assets 26,017,542 26,082,816 25,749,405 25,169,508 24,139,116

Deposits 21,765,601 21,117,024 20,791,522 20,388,447 19,276,658

Shareholders' 2,669,413 2,637,098 2,544,866 2,374,091 2,309,133 equity



Income Statement

Net interest $ 162,399 $ 164,448 $ 161,591 $ 154,116 $ 152,754 income

Provision for (3,500) (5,500) 6,240 7,080 19,570 credit losses

Non-interest 51,890 95,397 55,574 63,248 55,922 income

Non-interest 140,831 178,384 154,737 139,147 143,006 expense

Income before 76,958 86,961 56,187 71,137 46,101 taxes

Net incomeavailable to 62,402 70,472 48,690 61,607 39,559 commonshareholders

Pre-provisionnet revenue^ 75,575 81,795 64,092 80,043 67,125 (1)



Per Share

Net incomeavailable tocommon $ 0.38 $ 0.43 $ 0.30 $ 0.38 $ 0.24 shareholders(basic)

Net incomeavailable tocommon $ 0.38 $ 0.43 $ 0.30 $ 0.38 $ 0.24 shareholders(diluted)

Cash $ 0.14 $ 0.14 $ 0.17 $ 0.13 $ 0.13 dividends

Commonshareholders' $ 15.34 $ 14.99 $ 14.93 $ 14.74 $ 14.45 equity

Commonshareholders'equity $ 12.05 $ 11.69 $ 11.62 $ 11.44 $ 11.15 (tangible)^(1)

Weightedaverage 162,785 162,441 162,242 162,061 161,715 shares(basic)

Weightedaverage 163,858 163,737 163,071 162,579 162,267 shares(diluted)



(1) Non-GAAP financial measure. Refer to the calculation on the page titled "Reconciliation of Non-GAAP Measures" at the end of this document.

^(1) Non-GAAP financial measure. Refer to the calculation on the page titled"Reconciliation of Non-GAAP Measures" at the end of this document.

Three months ended

Jun 30

Mar 31

Dec 31

Sep 30

Jun 30

2021

2021

2020

2020

2020

Asset Quality

Net charge-offs (recoveries) to average loans (annualized)

0.15

%

0.13

%

(0.07)

%

(0.05)

%

0.09

%

Non-performing loans to total loans

0.83

%

0.80

%

0.78

%

0.75

%

0.75

%

Non-performing assets to total assets

0.60

%

0.60

%

0.58

%

0.57

%

0.59

%

ACL - loans(2) to total loans

1.37

%

1.40

%

1.47

%

1.40

%

1.37

%

ACL - loans(2) to non-performing loans

166

%

174

%

189

%

188

%

183

%

Asset Quality, excluding PPP(1)(3)

Net charge-offs (recoveries) to adjusted average loans (annualized)

0.16

%

0.14

%

(0.08)

%

(0.06)

%

0.10

%

Non-performing loans to total adjusted loans

0.88

%

0.88

%

0.85

%

0.83

%

0.83

%

ACL - loans(2) to total adjusted loans

1.46

%

1.54

%

1.60

%

1.56

%

1.53

%

Profitability

Return on average assets

1.00

%

1.14

%

0.79

%

0.97

%

0.66

%

Return on average common shareholders' equity

9.38

%

10.84

%

7.61

%

10.32

%

6.89

%

Return on average common shareholders' equity (tangible)(1)

12.93

%

15.00

%

10.32

%

13.50

%

8.99

%

Net interest margin

2.73

%

2.79

%

2.75

%

2.70

%

2.81

%

Efficiency ratio(1)

63.8

%

63.0

%

62.5

%

62.3

%

66.4

%

Capital Ratios

Tangible common equity ratio(1)

7.7

%

7.5

%

7.4

%

7.4

%

7.5

%

Tier 1 leverage ratio(4)

8.4

%

8.3

%

8.2

%

7.4

%

7.6

%

Common equity Tier 1 capital ratio(4)

9.9

%

9.8

%

9.5

%

9.5

%

9.5

%

Tier 1 capital ratio(4)

10.9

%

10.8

%

10.5

%

9.5

%

9.5

%

Total risk-based capital ratio(4)

14.3

%

14.2

%

14.4

%

13.9

%

13.8

%

Three months ended

Jun 30 Mar 31 Dec 31 Sep 30 Jun 30

2021 2021 2020 2020 2020

Asset Quality

Net charge-offs (recoveries)to average loans 0.15 % 0.13 % (0.07) % (0.05) % 0.09 % (annualized)

Non-performing loans to 0.83 % 0.80 % 0.78 % 0.75 % 0.75 % total loans

Non-performing assets to 0.60 % 0.60 % 0.58 % 0.57 % 0.59 % total assets

ACL - loans^(2) to total 1.37 % 1.40 % 1.47 % 1.40 % 1.37 % loans

ACL - loans^(2) to 166 % 174 % 189 % 188 % 183 % non-performing loans



Asset Quality, excluding PPP ^(1)(3)

Net charge-offs (recoveries)to adjusted average loans 0.16 % 0.14 % (0.08) % (0.06) % 0.10 % (annualized)

Non-performing loans to 0.88 % 0.88 % 0.85 % 0.83 % 0.83 % total adjusted loans

ACL - loans^(2) to total 1.46 % 1.54 % 1.60 % 1.56 % 1.53 % adjusted loans



Profitability

Return on average assets 1.00 % 1.14 % 0.79 % 0.97 % 0.66 %

Return on average common 9.38 % 10.84 % 7.61 % 10.32 % 6.89 % shareholders' equity

Return on average commonshareholders' equity 12.93 % 15.00 % 10.32 % 13.50 % 8.99 % (tangible)^(1)

Net interest margin 2.73 % 2.79 % 2.75 % 2.70 % 2.81 %

Efficiency ratio^(1) 63.8 % 63.0 % 62.5 % 62.3 % 66.4 %



Capital Ratios

Tangible common equity ratio 7.7 % 7.5 % 7.4 % 7.4 % 7.5 % ^(1)

Tier 1 leverage ratio^(4) 8.4 % 8.3 % 8.2 % 7.4 % 7.6 %

Common equity Tier 1 capital 9.9 % 9.8 % 9.5 % 9.5 % 9.5 % ratio^(4)

Tier 1 capital ratio^(4) 10.9 % 10.8 % 10.5 % 9.5 % 9.5 %

Total risk-based capital 14.3 % 14.2 % 14.4 % 13.9 % 13.8 % ratio^(4)

(1) Non-GAAP financial measure. Refer to the calculation on the page titled "Reconciliation of Non-GAAP Measures" at the end of this document.

(2) "ACL - loans" relates to the allowance for credit losses ("ACL") specifically on "Net Loans" and does not include the ACL related to off-balance-sheet ("OBS") credit exposures.

(3) Asset quality information excluding Paycheck Protection Program ("PPP") loans. Refer to the calculation on the page titled "Reconciliation of Non-GAAP Measures" at the end of this document.

(4) Regulatory capital ratios as of June 30, 2021 are preliminary and prior periods are actual.

(1) Non-GAAP financial measure. Refer to the calculation on the page titled"Reconciliation of Non-GAAP Measures" at the end of this document.

(2) "ACL - loans" relates to the allowance for credit losses ("ACL")specifically on "Net Loans" and does not include the ACL related tooff-balance-sheet ("OBS") credit exposures.

(3) Asset quality information excluding Paycheck Protection Program ("PPP")loans. Refer to the calculation on the page titled "Reconciliation of Non-GAAPMeasures" at the end of this document.

(4) Regulatory capital ratios as of June 30, 2021 are preliminary and priorperiods are actual.

FULTON FINANCIAL CORPORATIONCONDENSED CONSOLIDATED ENDING BALANCE SHEETS (UNAUDITED)

dollars in thousands

% Change from

Jun 30

Mar 31

Dec 31

Sep 30

Jun 30

Mar 31

Jun 30

2021

2021

2020

2020

2020

2021

2020

ASSETS

Cash and due from banks

$

143,002

$

102,570

$

120,462

$

139,304

$

141,702

39.4

%

0.9

%

Other interest-earning assets

1,823,688

1,625,515

1,819,499

1,489,550

1,007,939

12.2

%

80.9

%

Loans held for sale

41,924

34,092

83,886

93,621

77,415

23.0

%

(45.8)

%

Investment securities

3,921,658

3,612,010

3,340,424

3,097,721

2,974,813

8.6

%

31.8

%

Net Loans

18,586,756

18,990,986

18,900,820

19,028,621

18,704,722

(2.1)

%

(0.6)

%

Less: ACL - loans(1)

(255,032)

(265,986)

(277,567)

(266,825)

(256,537)

(4.1)

%

(0.6)

%

Loans, net

18,331,724

18,725,000

18,623,253

18,761,796

18,448,185

(2.1)

%

(0.6)

%

Net, premises and equipment

228,353

229,035

231,480

236,943

239,596

(0.3)

%

(4.7)

%

Accrued interest receivable

63,232

65,649

72,942

70,766

73,720

(3.7)

%

(14.2)

%

Goodwill and intangible assets

536,847

536,544

536,659

534,907

535,039

0.1

%

0.3

%

Other assets

989,346

962,575

1,078,128

1,118,673

1,119,454

2.8

%

(11.6)

%

Total Assets

$

26,079,774

$

25,892,990

$

25,906,733

$

25,543,281

$

24,617,863

0.7

%

5.9

%

LIABILITIES AND SHAREHOLDERS' EQUITY

Deposits

$

21,724,312

$

21,633,838

$

20,839,207

$

20,730,051

$

19,884,208

0.4

%

9.3

%

Short-term borrowings

533,749

520,989

630,066

611,727

572,551

2.4

%

(6.8)

%

Other liabilities

501,542

482,101

524,369

515,230

525,407

4.0

%

(4.5)

%

Long-term borrowings

627,213

626,407

1,296,263

1,296,012

1,295,196

0.1

%

(51.6)

%

Total Liabilities

23,386,816

23,263,335

23,289,905

23,153,020

22,277,362

0.5

%

5.0

%

Shareholders' equity

2,692,958

2,629,655

2,616,828

2,390,261

2,340,501

2.4

%

15.1

%

Total Liabilities and Shareholders' Equity

$

26,079,774

$

25,892,990

$

25,906,733

$

25,543,281

$

24,617,863

0.7

%

5.9

%

LOANS, DEPOSITS AND SHORT-TERM BORROWINGS DETAIL:

Loans, by type:

Real estate - commercial mortgage

$

7,152,932

$

7,142,137

$

7,105,092

$

7,046,330

$

6,934,936

0.2

%

3.1

%

Commercial and industrial

3,870,462

3,986,858

4,088,561

4,007,278

4,033,439

(2.9)

%

(4.0)

%

Real estate - residential mortgage

3,555,897

3,254,058

3,141,915

3,061,835

2,862,226

9.3

%

24.2

%

Real estate - home equity

1,136,128

1,149,958

1,202,913

1,222,709

1,251,455

(1.2)

%

(9.2)

%

Real estate - construction

1,070,755

1,083,494

1,047,218

1,007,534

972,909

(1.2)

%

10.1

%

Consumer

448,433

451,857

466,772

469,551

465,610

(0.8)

%

(3.7)

%

Equipment lease financing

252,158

260,907

279,118

280,286

281,897

(3.4)

%

(10.5)

%

Other(2)

(14,410)

(26,677)

(12,481)

(27,067)

(34,784)

(46.0)

%

(58.6)

%

Net Loans before PPP

17,472,355

17,302,592

17,319,108

17,068,456

16,767,688

1.0

%

4.2

%

PPP

1,114,401

1,688,394

1,581,712

1,960,165

1,937,034

(34.0)

%

(42.5)

%

Total Net Loans

$

18,586,756

$

18,990,986

$

18,900,820

$

19,028,621

$

18,704,722

(2.1)

%

(0.6)

%

Deposits, by type:

Noninterest-bearing demand

$

7,442,132

$

7,046,116

$

6,531,002

$

6,378,077

$

6,239,055

5.6

%

19.3

%

Interest-bearing demand

5,795,404

5,959,909

5,818,564

5,813,935

5,099,405

(2.8)

%

13.6

%

Savings

6,276,554

6,244,513

5,929,792

5,805,431

5,667,893

0.5

%

10.7

%

Total demand and savings

19,514,090

19,250,538

18,279,358

17,997,443

17,006,353

1.4

%

14.7

%

Brokered

277,444

309,873

335,185

317,588

310,689

(10.5)

%

(10.7)

%

Time

1,932,778

2,073,427

2,224,664

2,415,020

2,567,166

(6.8)

%

(24.7)

%

Total Deposits

$

21,724,312

$

21,633,838

$

20,839,207

$

20,730,051

$

19,884,208

0.4

%

9.3

%

Short-term borrowings, by type:

Customer funding

$

533,749

$

520,989

$

630,066

$

611,727

$

572,551

2.4

%

(6.8)

%

Total Short-term Borrowings

$

533,749

$

520,989

$

630,066

$

611,727

$

572,551

2.4

%

(6.8)

%

FULTON FINANCIAL CORPORATION

CONDENSED CONSOLIDATED ENDING BALANCE SHEETS (UNAUDITED)

dollars in thousands

% Change from

Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 Jun 30

2021 2021 2020 2020 2020 2021 2020

ASSETS

Cash and due from $ 143,002 $ 102,570 $ 120,462 $ 139,304 $ 141,702 39.4 % 0.9 % banks

Other interest-earning 1,823,688 1,625,515 1,819,499 1,489,550 1,007,939 12.2 % 80.9 % assets

Loans held for sale 41,924 34,092 83,886 93,621 77,415 23.0 % (45.8) %

Investment 3,921,658 3,612,010 3,340,424 3,097,721 2,974,813 8.6 % 31.8 % securities

Net Loans 18,586,756 18,990,986 18,900,820 19,028,621 18,704,722 (2.1) % (0.6) %

Less: ACL - loans^ (255,032) (265,986) (277,567) (266,825) (256,537) (4.1) % (0.6) % (1)

Loans, net 18,331,724 18,725,000 18,623,253 18,761,796 18,448,185 (2.1) % (0.6) %

Net, premises and 228,353 229,035 231,480 236,943 239,596 (0.3) % (4.7) % equipment

Accrued interest 63,232 65,649 72,942 70,766 73,720 (3.7) % (14.2) % receivable

Goodwill and 536,847 536,544 536,659 534,907 535,039 0.1 % 0.3 % intangible assets

Other assets 989,346 962,575 1,078,128 1,118,673 1,119,454 2.8 % (11.6) %

Total Assets $ 26,079,774 $ 25,892,990 $ 25,906,733 $ 25,543,281 $ 24,617,863 0.7 % 5.9 %

LIABILITIES AND SHAREHOLDERS' EQUITY

Deposits $ 21,724,312 $ 21,633,838 $ 20,839,207 $ 20,730,051 $ 19,884,208 0.4 % 9.3 %

Short-term 533,749 520,989 630,066 611,727 572,551 2.4 % (6.8) % borrowings

Other liabilities 501,542 482,101 524,369 515,230 525,407 4.0 % (4.5) %

Long-term 627,213 626,407 1,296,263 1,296,012 1,295,196 0.1 % (51.6) % borrowings

Total Liabilities 23,386,816 23,263,335 23,289,905 23,153,020 22,277,362 0.5 % 5.0 %

Shareholders' 2,692,958 2,629,655 2,616,828 2,390,261 2,340,501 2.4 % 15.1 % equity

Total Liabilities and Shareholders' $ 26,079,774 $ 25,892,990 $ 25,906,733 $ 25,543,281 $ 24,617,863 0.7 % 5.9 % Equity



LOANS, DEPOSITS AND SHORT-TERM BORROWINGS DETAIL:

Loans, by type:

Real estate - $ 7,152,932 $ 7,142,137 $ 7,105,092 $ 7,046,330 $ 6,934,936 0.2 % 3.1 % commercial mortgage

Commercial and 3,870,462 3,986,858 4,088,561 4,007,278 4,033,439 (2.9) % (4.0) % industrial

Real estate - residential 3,555,897 3,254,058 3,141,915 3,061,835 2,862,226 9.3 % 24.2 % mortgage

Real estate - home 1,136,128 1,149,958 1,202,913 1,222,709 1,251,455 (1.2) % (9.2) % equity

Real estate - 1,070,755 1,083,494 1,047,218 1,007,534 972,909 (1.2) % 10.1 % construction

Consumer 448,433 451,857 466,772 469,551 465,610 (0.8) % (3.7) %

Equipment lease 252,158 260,907 279,118 280,286 281,897 (3.4) % (10.5) % financing

Other^(2) (14,410) (26,677) (12,481) (27,067) (34,784) (46.0) % (58.6) %

Net Loans before 17,472,355 17,302,592 17,319,108 17,068,456 16,767,688 1.0 % 4.2 % PPP

PPP 1,114,401 1,688,394 1,581,712 1,960,165 1,937,034 (34.0) % (42.5) %

Total Net Loans $ 18,586,756 $ 18,990,986 $ 18,900,820 $ 19,028,621 $ 18,704,722 (2.1) % (0.6) %

Deposits, by type:

Noninterest-bearing $ 7,442,132 $ 7,046,116 $ 6,531,002 $ 6,378,077 $ 6,239,055 5.6 % 19.3 % demand

Interest-bearing 5,795,404 5,959,909 5,818,564 5,813,935 5,099,405 (2.8) % 13.6 % demand

Savings 6,276,554 6,244,513 5,929,792 5,805,431 5,667,893 0.5 % 10.7 %

Total demand and 19,514,090 19,250,538 18,279,358 17,997,443 17,006,353 1.4 % 14.7 % savings

Brokered 277,444 309,873 335,185 317,588 310,689 (10.5) % (10.7) %

Time 1,932,778 2,073,427 2,224,664 2,415,020 2,567,166 (6.8) % (24.7) %

Total Deposits $ 21,724,312 $ 21,633,838 $ 20,839,207 $ 20,730,051 $ 19,884,208 0.4 % 9.3 %

Short-term borrowings, by type:

Customer funding $ 533,749 $ 520,989 $ 630,066 $ 611,727 $ 572,551 2.4 % (6.8) %

Total Short-term $ 533,749 $ 520,989 $ 630,066 $ 611,727 $ 572,551 2.4 % (6.8) % Borrowings



(1) "ACL - loans" relates to the ACL specifically on "Net Loans" and does not include the ACL related to OBS credit exposures.

(2) Consists of overdrafts and net origination fees and costs.

(1) "ACL - loans" relates to the ACL specifically on "Net Loans" and does notinclude the ACL related to OBS credit exposures.

(2) Consists of overdrafts and net origination fees and costs.

FULTON FINANCIAL CORPORATIONCONDENSED CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)

dollars in thousands

Three Months Ended

% Change from

Six Months Ended

Jun 30

Mar 31

Dec 31

Sep 30

Jun 30

Mar 31

Jun 30

Jun 30

2021

2021

2020

2020

2020

2021

2020

2021

2020

% Change

Interest Income:

Interest income

$

176,673

$

184,936

$

183,645

$

179,159

$

180,696

(4.5)

%

(2.2)

%

$

361,609

$

380,074

(4.9)

%

Interest expense

14,274

20,488

22,054

25,043

27,942

(30.3)

%

(48.9)

%

34,762

66,574

(47.8)

%

Net Interest Income

162,399

164,448

161,591

154,116

152,754

(1.2)

%

6.3

%

326,847

313,500

4.3

%

Provision for credit losses

(3,500)

(5,500)

6,240

7,080

19,570

(36.4)

%

(117.9)

%

(9,000)

63,600

(114.2)

%

Net Interest Income after Provision

165,899

169,948

155,351

147,036

133,184

(2.4)

%

24.6

%

335,847

249,900

34.4

%

Non-Interest Income:

Commercial banking:

Merchant and card

6,786

5,768

5,953

6,237

5,326

17.6

%

27.4

%

12,554

10,950

14.6

%

Cash management

5,341

4,921

4,737

4,742

4,503

8.5

%

18.6

%

10,262

9,245

11.0

%

Capital markets

1,536

2,800

3,513

4,696

5,004

(45.1)

%

(69.3)

%

4,336

10,079

(57.0)

%

Other commercial banking

3,466

2,853

2,606

2,636

1,914

21.5

%

81.1

%

6,319

4,892

29.2

%

Total commercial banking

17,129

16,342

16,809

18,311

16,748

4.8

%

2.3

%

33,471

35,167

(4.8)

%

Consumer banking:

Card

5,733

5,878

5,123

5,002

4,966

(2.5)

%

15.4

%

11,611

9,651

20.3

%

Overdraft

2,750

2,724

3,376

3,015

2,107

1.0

%

30.5

%

5,474

6,165

(11.2)

%

Other consumer banking

2,377

2,152

2,298

2,406

2,065

10.5

%

15.1

%

4,529

4,561

(0.7)

%

Total consumer banking

10,860

10,754

10,797

10,423

9,138

1.0

%

18.8

%

21,614

20,377

6.1

%

Wealth management

17,634

17,347

15,653

14,943

13,407

1.7

%

31.5

%

34,981

28,462

22.9

%

Mortgage banking

2,838

13,960

9,311

16,801

9,964

(79.7)

%

(71.5)

%

16,798

16,198

3.7

%

Other

3,393

3,519

3,004

2,769

3,660

(3.6)

%

(7.3)

%

6,912

7,311

(5.5)

%

Non-interest income before investment securities gains

51,854

61,922

55,574

63,246

52,917

(16.3)

%

(2.0)

%

113,776

107,515

5.8

%

Investment securities gains, net

36

33,475

-

2

3,005

(99.9)

%

(98.8)

%

33,511

3,051

N/M

Total Non-Interest Income

51,890

95,397

55,574

63,248

55,922

(45.6)

%

(7.2)

%

147,287

110,566

33.2

%

Non-Interest Expense:

Salaries and employee benefits

78,367

82,586

83,929

79,227

81,012

(5.1)

%

(3.3)

%

160,953

161,240

(0.2)

%

Net occupancy

12,494

13,982

13,161

13,221

13,144

(10.6)

%

(4.9)

%

26,476

26,630

(0.6)

%

Data processing and software

13,932

13,561

11,951

12,285

12,193

2.7

%

14.3

%

27,493

23,838

15.3

%

Other outside services

8,178

8,490

8,334

7,617

7,600

(3.7)

%

7.6

%

16,668

15,481

7.7

%

Equipment

3,424

3,428

3,563

3,711

3,193

(0.1)

%

7.2

%

6,852

6,611

3.6

%

Professional fees

2,651

2,779

2,424

2,879

3,331

(4.6)

%

(20.4)

%

5,430

7,533

(27.9)

%

FDIC insurance

2,282

2,624

2,346

1,578

2,133

(13.0)

%

7.0

%

4,906

4,941

(0.7)

%

Amortization of tax credit investments

1,563

1,531

1,532

1,694

1,450

2.1

%

7.8

%

3,094

2,900

6.7

%

Marketing

1,348

1,002

1,098

1,147

1,303

34.5

%

3.5

%

2,350

2,882

(0.7)

%

Intangible amortization

178

115

132

132

132

54.8

%

34.8

%

293

264

11.0

%

Debt extinguishment

412

32,163

-

-

2,878

(98.7)

%

(98.7)

%

32,575

2,878

N/M

Other

16,002

16,123

26,268

15,654

14,637

(0.8)

%

9.3

%

32,125

30,360

5.8

%

Total Non-Interest Expense

140,831

178,383

154,738

139,145

143,006

(21.1)

%

(1.5)

%

319,215

285,558

11.8

%

Income Before Income Taxes

76,958

86,961

56,187

71,139

46,100

(11.5)

%

66.9

%

163,919

74,909

118.8

%

Income tax expense

11,994

13,898

5,362

9,529

6,542

(13.7)

%

83.3

%

25,892

9,303

N/M

Net Income

64,964

73,063

50,825

61,610

39,558

(11.1)

%

64.2

%

138,027

65,606

110.4

%

Preferred stock dividends

(2,562)

(2,591)

(2,135)

-

-

(1.1)

%

N/M

(5,153)

-

N/M

Net Income Available to Common Shareholders

$

62,402

$

70,472

$

48,690

$

61,610

$

39,558

(11.5)

%

57.7

%

$

132,874

$

65,606

102.5

%

PER SHARE:

Net income:

Basic

$

0.38

$

0.43

$

0.30

$

0.38

$

0.24

(11.6)

%

58.3

%

$

0.81

$

0.40

102.5

%

Diluted

0.38

0.43

0.30

0.38

0.24

(11.6)

%

58.3

%

0.81

0.40

102.5

%

Cash dividends

0.14

0.14

0.17

0.13

0.13

-

%

7.7

%

0.28

0.26

7.7

%

Weighted average shares (basic)

162,785

162,441

162,242

162,061

161,715

0.2

%

0.7

%

162,614

162,582

-

%

Weighted average shares (diluted)

163,858

163,737

163,071

162,579

162,267

0.1

%

1.0

%

163,738

163,326

0.3

%

N/M - Not meaningful

FULTON FINANCIAL CORPORATION

CONDENSED CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)

dollars in thousands

Three Months Ended % Change from Six Months Ended

Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 Jun 30 Jun 30

2021 2021 2020 2020 2020 2021 2020 2021 2020 % Change

Interest Income:

Interest income $ 176,673 $ 184,936 $ 183,645 $ 179,159 $ 180,696 (4.5) % (2.2) % $ 361,609 $ 380,074 (4.9) %

Interest expense 14,274 20,488 22,054 25,043 27,942 (30.3) % (48.9) % 34,762 66,574 (47.8) %

Net Interest Income 162,399 164,448 161,591 154,116 152,754 (1.2) % 6.3 % 326,847 313,500 4.3 %

Provision for credit (3,500) (5,500) 6,240 7,080 19,570 (36.4) % (117.9) % (9,000) 63,600 (114.2) % losses

Net Interest Income 165,899 169,948 155,351 147,036 133,184 (2.4) % 24.6 % 335,847 249,900 34.4 % after Provision

Non-Interest Income:

Commercial banking:

Merchant and card 6,786 5,768 5,953 6,237 5,326 17.6 % 27.4 % 12,554 10,950 14.6 %

Cash management 5,341 4,921 4,737 4,742 4,503 8.5 % 18.6 % 10,262 9,245 11.0 %

Capital markets 1,536 2,800 3,513 4,696 5,004 (45.1) % (69.3) % 4,336 10,079 (57.0) %

Other commercial 3,466 2,853 2,606 2,636 1,914 21.5 % 81.1 % 6,319 4,892 29.2 % banking

Total commercial 17,129 16,342 16,809 18,311 16,748 4.8 % 2.3 % 33,471 35,167 (4.8) % banking

Consumer banking:

Card 5,733 5,878 5,123 5,002 4,966 (2.5) % 15.4 % 11,611 9,651 20.3 %

Overdraft 2,750 2,724 3,376 3,015 2,107 1.0 % 30.5 % 5,474 6,165 (11.2) %

Other consumer banking 2,377 2,152 2,298 2,406 2,065 10.5 % 15.1 % 4,529 4,561 (0.7) %

Total consumer banking 10,860 10,754 10,797 10,423 9,138 1.0 % 18.8 % 21,614 20,377 6.1 %

Wealth management 17,634 17,347 15,653 14,943 13,407 1.7 % 31.5 % 34,981 28,462 22.9 %

Mortgage banking 2,838 13,960 9,311 16,801 9,964 (79.7) % (71.5) % 16,798 16,198 3.7 %

Other 3,393 3,519 3,004 2,769 3,660 (3.6) % (7.3) % 6,912 7,311 (5.5) %

Non-interest income before investment 51,854 61,922 55,574 63,246 52,917 (16.3) % (2.0) % 113,776 107,515 5.8 % securities gains

Investment securities 36 33,475 - 2 3,005 (99.9) % (98.8) % 33,511 3,051 N/M gains, net

Total Non-Interest 51,890 95,397 55,574 63,248 55,922 (45.6) % (7.2) % 147,287 110,566 33.2 % Income

Non-Interest Expense:

Salaries and employee 78,367 82,586 83,929 79,227 81,012 (5.1) % (3.3) % 160,953 161,240 (0.2) % benefits

Net occupancy 12,494 13,982 13,161 13,221 13,144 (10.6) % (4.9) % 26,476 26,630 (0.6) %

Data processing and 13,932 13,561 11,951 12,285 12,193 2.7 % 14.3 % 27,493 23,838 15.3 % software

Other outside services 8,178 8,490 8,334 7,617 7,600 (3.7) % 7.6 % 16,668 15,481 7.7 %

Equipment 3,424 3,428 3,563 3,711 3,193 (0.1) % 7.2 % 6,852 6,611 3.6 %

Professional fees 2,651 2,779 2,424 2,879 3,331 (4.6) % (20.4) % 5,430 7,533 (27.9) %

FDIC insurance 2,282 2,624 2,346 1,578 2,133 (13.0) % 7.0 % 4,906 4,941 (0.7) %

Amortization of tax 1,563 1,531 1,532 1,694 1,450 2.1 % 7.8 % 3,094 2,900 6.7 % credit investments

Marketing 1,348 1,002 1,098 1,147 1,303 34.5 % 3.5 % 2,350 2,882 (0.7) %

Intangible 178 115 132 132 132 54.8 % 34.8 % 293 264 11.0 % amortization

Debt extinguishment 412 32,163 - - 2,878 (98.7) % (98.7) % 32,575 2,878 N/M

Other 16,002 16,123 26,268 15,654 14,637 (0.8) % 9.3 % 32,125 30,360 5.8 %

Total Non-Interest 140,831 178,383 154,738 139,145 143,006 (21.1) % (1.5) % 319,215 285,558 11.8 % Expense

Income Before Income 76,958 86,961 56,187 71,139 46,100 (11.5) % 66.9 % 163,919 74,909 118.8 % Taxes

Income tax expense 11,994 13,898 5,362 9,529 6,542 (13.7) % 83.3 % 25,892 9,303 N/M

Net Income 64,964 73,063 50,825 61,610 39,558 (11.1) % 64.2 % 138,027 65,606 110.4 %

Preferred stock (2,562) (2,591) (2,135) - - (1.1) % N/M (5,153) - N/M dividends

Net Income Available $ 62,402 $ 70,472 $ 48,690 $ 61,610 $ 39,558 (11.5) % 57.7 % $ 132,874 $ 65,606 102.5 % to Common Shareholders



PER SHARE:

Net income:

Basic $ 0.38 $ 0.43 $ 0.30 $ 0.38 $ 0.24 (11.6) % 58.3 % $ 0.81 $ 0.40 102.5 %

Diluted 0.38 0.43 0.30 0.38 0.24 (11.6) % 58.3 % 0.81 0.40 102.5 %

Cash dividends 0.14 0.14 0.17 0.13 0.13 - % 7.7 % 0.28 0.26 7.7 %



Weighted average 162,785 162,441 162,242 162,061 161,715 0.2 % 0.7 % 162,614 162,582 - % shares (basic)

Weighted average 163,858 163,737 163,071 162,579 162,267 0.1 % 1.0 % 163,738 163,326 0.3 % shares (diluted)

N/M - Not meaningful

FULTON FINANCIAL CORPORATION

CONDENSED CONSOLIDATED AVERAGE BALANCE SHEET ANALYSIS (UNAUDITED)

dollars in thousands

Three months ended

June 30, 2021 March 31, 2021 June 30, 2020

Average Interest Yield/ Average Interest Yield/ Average Interest Yield/

Balance (1) Rate Balance (1) Rate Balance (1) Rate

ASSETS



Interest-earning assets:

Net Loans $ 18,906,556 $ 156,525 3.32 % $ 18,980,586 $ 165,462 3.53 % $ 18,331,797 $ 160,613 3.52 %

Taxable investment 2,630,090 13,898 1.93 % 2,438,496 13,691 2.08 % 2,200,870 15,171 2.76 % securities

Tax-exempt investment 961,141 7,494 3.11 % 911,648 7,156 3.13 % 830,836 6,737 3.23 % securities

Total Investment 3,591,231 21,392 2.38 % 3,350,144 20,847 2.49 % 3,031,706 21,908 2.89 % Securities

Loans held for sale 31,948 199 2.49 % 53,465 471 3.53 % 55,608 509 3.66 %

Other interest-earning 1,752,549 1,575 0.16 % 1,900,199 1,136 0.24 % 815,910 766 0.38 % assets

Total Interest-earning 24,282,284 179,691 2.97 % 24,284,394 187,916 3.13 % 22,235,021 183,796 3.32 % Assets



Noninterest-earning assets:

Cash and due from banks 129,927 120,181 153,728

Premises and equipment 229,047 230,649 240,417

Other assets 1,643,410 1,728,473 1,761,038

Less: ACL - loans^(2) (267,126) (280,881) (251,088)

Total Assets $ 26,017,542 $ 26,082,816 $ 24,139,116



LIABILITIES AND SHAREHOLDERS' EQUITY



Interest-bearing liabilities:

Demand deposits $ 5,979,855 $ 932 0.06 % $ 5,832,174 $ 1,160 0.08 % $ 5,103,419 $ 2,219 0.17 %

Savings deposits 6,280,629 1,363 0.09 % 6,137,084 1,526 0.10 % 5,446,368 3,331 0.25 %

Brokered deposits 297,815 253 0.34 % 324,364 395 0.49 % 312,121 422 0.54 %

Time deposits 2,003,606 5,434 1.09 % 2,150,570 6,521 1.23 % 2,624,962 11,145 1.71 %

Total Interest-bearing 14,561,905 7,982 0.22 % 14,444,192 9,602 0.27 % 13,486,870 17,118 0.51 % Deposits



Short-term borrowings 514,025 137 0.11 % 570,775 188 0.13 % 707,771 517 0.29 %

Long-term borrowings 626,795 6,155 3.93 % 1,271,170 10,698 3.38 % 1,361,421 10,307 3.03 %

Total Interest-bearing 15,702,725 14,274 0.36 % 16,286,137 20,488 0.51 % 15,556,062 27,942 0.72 % Liabilities



Noninterest-bearing liabilities:

Demand deposits 7,203,696 6,672,832 5,789,788

Total Deposits/Cost of 21,765,601 0.15 % 21,117,024 0.18 % 19,276,658 0.36 % Deposits

Other 441,708 486,749 484,133

Total Liabilities 23,348,129 23,445,718 21,829,983

Total Interest-bearing liabilities and non-interest bearing 22,906,421 0.25 % 22,958,969 0.36 % 21,345,850 0.53 % deposits ("Cost of Funds")



Shareholders' equity 2,669,413 2,637,098 2,309,133

Total Liabilities and $ 26,017,542 $ 26,082,816 $ 24,139,116 Shareholders' Equity



Net interest income/net interest margin (fully 165,417 2.73 % 167,428 2.79 % 155,854 2.81 % taxable equivalent)

Tax equivalent (3,018) (2,979) (3,100) adjustment

Net interest income $ 162,399 $ 164,449 $ 152,754



(1) Presented on a fully taxable-equivalent basis using a 21% federal tax rate and statutory interest expense disallowances.

(2) "ACL - loans" relates to the ACL specifically on "Net Loans" and does not include the ACL related to OBS credit exposures.

(1) Presented on a fully taxable-equivalent basis using a 21% federal tax rateand statutory interest expense disallowances.

(2) "ACL - loans" relates to the ACL specifically on "Net Loans" and does notinclude the ACL related to OBS credit exposures.

FULTON FINANCIAL CORPORATIONAVERAGE LOANS, DEPOSITS AND SHORT-TERM BORROWINGS DETAIL (UNAUDITED):

dollars in thousands

Three months ended

% Change from

Jun 30

Mar 31

Dec 31

Sep 30

Jun 30

Mar 31

Jun 30

2021

2021

2020

2020

2020

2021

2020

Loans, by type:

Real estate - commercial mortgage

$

7,177,622

$

7,128,997

$

7,101,363

$

6,986,528

$

6,875,872

0.7

%

4.4

%

Commercial and industrial

3,920,771

4,033,367

4,024,879

4,030,750

4,451,228

(2.8)

%

(11.9)

%

Real estate - residential mortgage

3,396,690

3,183,585

3,087,529

2,975,516

2,769,682

6.7

%

22.6

%

Real estate - home equity

1,139,558

1,175,218

1,212,113

1,237,602

1,271,190

(3.0)

%

(10.4)

%

Real estate - construction

1,054,469

1,054,718

1,009,284

981,589

941,079

-

%

12.0

%

Consumer

451,486

459,038

468,678

464,851

465,728

(1.6)

%

(3.1)

%

Equipment lease financing

256,248

266,405

279,059

279,217

284,658

(3.8)

%

(10.0)

%

Other(1)

(14,677)

(9,455)

(18,817)

(28,656)

13,443

55.2

%

N/M

Net Loans before PPP

17,382,167

17,291,873

17,164,088

16,927,397

17,072,880

0.5

%

1.8

%

PPP

1,524,389

1,688,713

1,830,426

1,953,122

1,258,917

(9.7)

%

21.1

%

Total Net Loans

$

18,906,556

$

18,980,586

$

18,994,514

$

18,880,519

$

18,331,797

(0.4)

%

3.1

%

Deposits, by type:

Noninterest-bearing demand

$

7,203,696

$

6,672,832

$

6,477,228

$

6,270,683

$

5,789,788

8.0

%

24.4

%

Interest-bearing demand

5,979,855

5,832,174

5,762,150

5,591,548

5,103,419

2.5

%

17.2

%

Savings

6,280,629

6,137,084

5,905,137

5,716,050

5,446,368

2.3

%

15.3

%

Total demand and savings

19,464,180

18,642,090

18,144,515

17,578,281

16,339,575

4.4

%

19.1

%

Brokered

297,815

324,364

340,451

314,721

312,121

(8.2)

%

(4.6)

%

Time

2,003,606

2,150,570

2,306,556

2,495,445

2,624,962

(6.8)

%

(23.7)

%

Total Deposits

$

21,765,601

$

21,117,024

$

20,791,522

$

20,388,447

$

19,276,658

3.1

%

12.9

%

Short-term borrowings, by type:

Customer funding

$

514,025

$

570,775

$

622,623

$

613,127

$

546,716

(9.9)

%

(6.0)

%

Federal funds purchased

-

-

-

-

74,231

N/M

(100.0)

%

Short-term FHLB advances and other borrowings

-

-

-

-

86,824

N/M

(100.0)

%

Total Short-term borrowings

$

514,025

$

570,775

$

622,623

$

613,127

$

707,771

(9.9)

%

(27.4)

%

N/M - Not meaningful

(1) Consists of overdrafts and net origination fees and costs.

FULTON FINANCIAL CORPORATIONAVERAGE LOANS, DEPOSITS AND SHORT-TERM BORROWINGS DETAIL (UNAUDITED):

dollars in thousands

Three months ended % Change from

Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 Jun 30

2021 2021 2020 2020 2020 2021 2020

Loans, by type:

Real estate - commercial $ 7,177,622 $ 7,128,997 $ 7,101,363 $ 6,986,528 $ 6,875,872 0.7 % 4.4 % mortgage

Commercial and industrial 3,920,771 4,033,367 4,024,879 4,030,750 4,451,228 (2.8) % (11.9) %

Real estate - residential 3,396,690 3,183,585 3,087,529 2,975,516 2,769,682 6.7 % 22.6 % mortgage

Real estate - home equity 1,139,558 1,175,218 1,212,113 1,237,602 1,271,190 (3.0) % (10.4) %

Real estate - construction 1,054,469 1,054,718 1,009,284 981,589 941,079 - % 12.0 %

Consumer 451,486 459,038 468,678 464,851 465,728 (1.6) % (3.1) %

Equipment lease financing 256,248 266,405 279,059 279,217 284,658 (3.8) % (10.0) %

Other^(1) (14,677) (9,455) (18,817) (28,656) 13,443 55.2 % N/M

Net Loans before PPP 17,382,167 17,291,873 17,164,088 16,927,397 17,072,880 0.5 % 1.8 %

PPP 1,524,389 1,688,713 1,830,426 1,953,122 1,258,917 (9.7) % 21.1 %

Total Net Loans $ 18,906,556 $ 18,980,586 $ 18,994,514 $ 18,880,519 $ 18,331,797 (0.4) % 3.1 %



Deposits, by type:

Noninterest-bearing demand $ 7,203,696 $ 6,672,832 $ 6,477,228 $ 6,270,683 $ 5,789,788 8.0 % 24.4 %

Interest-bearing demand 5,979,855 5,832,174 5,762,150 5,591,548 5,103,419 2.5 % 17.2 %

Savings 6,280,629 6,137,084 5,905,137 5,716,050 5,446,368 2.3 % 15.3 %

Total demand and savings 19,464,180 18,642,090 18,144,515 17,578,281 16,339,575 4.4 % 19.1 %

Brokered 297,815 324,364 340,451 314,721 312,121 (8.2) % (4.6) %

Time 2,003,606 2,150,570 2,306,556 2,495,445 2,624,962 (6.8) % (23.7) %

Total Deposits $ 21,765,601 $ 21,117,024 $ 20,791,522 $ 20,388,447 $ 19,276,658 3.1 % 12.9 %



Short-term borrowings, by type:

Customer funding $ 514,025 $ 570,775 $ 622,623 $ 613,127 $ 546,716 (9.9) % (6.0) %

Federal funds purchased - - - - 74,231 N/M (100.0) %

Short-term FHLB advances - - - - 86,824 N/M (100.0) % and other borrowings

Total Short-term borrowings $ 514,025 $ 570,775 $ 622,623 $ 613,127 $ 707,771 (9.9) % (27.4) %



N/M - Not meaningful

^(1) Consists of overdrafts and net origination fees and costs.

FULTON FINANCIAL CORPORATION

CONDENSED CONSOLIDATED AVERAGE BALANCE SHEET ANALYSIS (UNAUDITED)

dollars in thousands

Six months ended June 30

2021

2020

Average

Interest

Yield/

Average

Interest

Yield/

Balance

(1)

Rate

Balance

(1)

Rate

ASSETS

Interest-earning assets:

Net Loans

$

18,943,367

$

321,987

3.42

%

$

17,595,932

$

338,110

3.86

%

Taxable investment securities

2,534,821

27,588

2.00

%

2,242,663

31,465

2.81

%

Tax-exempt investment securities

936,531

14,651

3.12

%

775,530

12,698

3.26

%

Total Investment Securities

3,471,352

42,239

2.43

%

3,018,193

44,163

2.92

%

Loans held for sale

42,647

671

3.14

%

41,393

829

4.00

%

Other interest-earning assets

1,825,966

2,711

0.19

%

709,091

3,297

4.31

%

Total Interest-earning Assets

24,283,332

367,607

3.05

%

21,364,609

386,399

3.63

%

Noninterest-earning assets:

Cash and due from banks

125,081

145,988

Premises and equipment

229,843

240,019

Other assets

1,685,708

1,675,849

Less: ACL - loans(2)

(273,965)

(230,858)

Total Assets

$

26,049,999

$

23,195,607

LIABILITIES AND SHAREHOLDERS' EQUITY

Interest-bearing liabilities:

Demand deposits

$

5,906,423

$

2,092

0.07

%

$

4,876,662

$

8,020

0.33

%

Savings deposits

6,209,253

2,890

0.09

%

5,287,015

10,441

0.40

%

Brokered deposits

311,016

647

0.42

%

293,756

1,495

1.02

%

Time deposits

2,076,681

11,955

1.16

%

2,693,202

23,602

1.76

%

Total Interest-bearing Deposits

14,503,373

17,584

0.24

%

13,150,635

43,558

0.67

%

Short-term borrowings

542,243

325

0.12

%

1,005,409

4,590

0.91

%

Long-term borrowings

947,203

16,853

3.56

%

1,212,318

18,426

3.04

%

Total Interest-bearing Liabilities

15,992,819

34,762

0.44

%

15,368,362

66,574

0.87

%

Noninterest-bearing liabilities:

Demand deposits

6,939,731

5,048,408

Total Deposits/Cost of Deposits

21,443,104

0.17

%

18,199,043

0.48

%

Other

464,104

455,763

Total Liabilities

23,396,654

20,872,533

Total Interest-bearing liabilities and non-interest bearing deposits ("Cost of Funds")

22,932,550

0.30

%

20,416,770

0.65

%

Shareholders' equity

2,653,345

2,323,074

Total Liabilities and Shareholders' Equity

$

26,049,999

$

23,195,607

Net interest income/net interest margin (fully taxable equivalent)

332,845

2.76

%

319,825

3.01

%

Tax equivalent adjustment

(5,998)

(6,325)

Net interest income

$

326,847

$

313,500

(1) Presented on a fully taxable-equivalent basis using a 21% federal tax rate and statutory interest expense disallowances.

(2) "ACL - loans" relates to the ACL specifically on "Net Loans" and does not include the ACL related to OBS credit exposures.

FULTON FINANCIAL CORPORATION

CONDENSED CONSOLIDATED AVERAGE BALANCE SHEET ANALYSIS (UNAUDITED)

dollars in thousands

Six months ended June 30

2021 2020

Average Interest Yield/ Average Interest Yield/

Balance (1) Rate Balance (1) Rate

ASSETS



Interest-earning assets:

Net Loans $ 18,943,367 $ 321,987 3.42 % $ 17,595,932 $ 338,110 3.86 %

Taxable investment 2,534,821 27,588 2.00 % 2,242,663 31,465 2.81 % securities

Tax-exempt investment 936,531 14,651 3.12 % 775,530 12,698 3.26 % securities

Total Investment 3,471,352 42,239 2.43 % 3,018,193 44,163 2.92 % Securities

Loans held for 42,647 671 3.14 % 41,393 829 4.00 % sale

Other interest-earning 1,825,966 2,711 0.19 % 709,091 3,297 4.31 % assets

Total Interest-earning 24,283,332 367,607 3.05 % 21,364,609 386,399 3.63 % Assets



Noninterest-earning assets:

Cash and due 125,081 145,988 from banks

Premises and 229,843 240,019 equipment

Other assets 1,685,708 1,675,849

Less: ACL - (273,965) (230,858) loans^(2)

Total Assets $ 26,049,999 $ 23,195,607



LIABILITIES AND SHAREHOLDERS' EQUITY



Interest-bearing liabilities:

Demand deposits $ 5,906,423 $ 2,092 0.07 % $ 4,876,662 $ 8,020 0.33 %

Savings deposits 6,209,253 2,890 0.09 % 5,287,015 10,441 0.40 %

Brokered 311,016 647 0.42 % 293,756 1,495 1.02 % deposits

Time deposits 2,076,681 11,955 1.16 % 2,693,202 23,602 1.76 %

Total Interest-bearing 14,503,373 17,584 0.24 % 13,150,635 43,558 0.67 % Deposits



Short-term 542,243 325 0.12 % 1,005,409 4,590 0.91 % borrowings

Long-term 947,203 16,853 3.56 % 1,212,318 18,426 3.04 % borrowings

Total Interest-bearing 15,992,819 34,762 0.44 % 15,368,362 66,574 0.87 % Liabilities



Noninterest-bearing liabilities:

Demand deposits 6,939,731 5,048,408

Total Deposits/ 21,443,104 0.17 % 18,199,043 0.48 % Cost of Deposits

Other 464,104 455,763

Total 23,396,654 20,872,533 Liabilities

Total Interest-bearing liabilities and non-interest 22,932,550 0.30 % 20,416,770 0.65 % bearing deposits ("Cost of Funds")



Shareholders' 2,653,345 2,323,074 equity

Total Liabilities and $ 26,049,999 $ 23,195,607 Shareholders' Equity



Net interest income/net interest margin 332,845 2.76 % 319,825 3.01 % (fully taxable equivalent)

Tax equivalent (5,998) (6,325) adjustment

Net interest $ 326,847 $ 313,500 income



(1) Presented on a fully taxable-equivalent basis using a 21% federal tax rate and statutory interest expense disallowances.

(2) "ACL - loans" relates to the ACL specifically on "Net Loans" and does not include the ACL related to OBS credit exposures.

FULTON FINANCIAL CORPORATION

AVERAGE LOANS, DEPOSITS AND SHORT-TERM BORROWINGS DETAIL (UNAUDITED):

dollars in thousands

Six months ended June 30

2021

2020

% Change

Loans, by type:

Real estate - commercial mortgage

$

7,153,444

$

6,811,318

5.0

%

Commercial and industrial

3,976,758

4,448,990

(10.6)

%

Real estate - residential mortgage

3,290,726

2,719,851

21.0

%

Real estate - home equity

1,157,289

1,285,661

(10.0)

%

Real estate - construction

1,054,593

935,304

12.8

%

Consumer

455,241

466,071

(2.3)

%

Equipment lease financing

261,300

284,612

(8.2)

%

Other(1)

(12,081)

14,667

N/M

Net Loans before PPP

17,337,270

16,966,474

2.2

%

PPP

1,606,097

629,458

N/M

Total Net Loans

$

18,943,367

$

17,595,932

7.7

%

Deposits, by type:

Noninterest-bearing demand

$

6,939,731

$

5,048,408

37.5

%

Interest-bearing demand

5,906,423

4,876,662

21.1

%

Savings

6,209,253

5,287,015

17.4

%

Total demand and savings

19,055,407

15,212,085

25.3

%

Brokered

311,016

293,756

5.9

%

Time

2,076,681

2,693,202

(22.9)

%

Total Deposits

$

21,443,104

$

18,199,043

17.8

%

Short-term borrowings, by type:

Customer funding

542,243

487,478

11.2

%

Federal funds purchased

-

130,549

N/M

Short-term FHLB advances and other borrowings

-

387,382

N/M

Total Short-term Borrowings

$

542,243

$

1,005,409

(46.1)

%

N/M - Not meaningful

(1) Consists of overdrafts and net origination fees and costs.

FULTON FINANCIAL CORPORATION

AVERAGE LOANS, DEPOSITS AND SHORT-TERM BORROWINGS DETAIL (UNAUDITED):

dollars in thousands



Six months ended June 30

2021 2020 % Change

Loans, by type:

Real estate - commercial mortgage $ 7,153,444 $ 6,811,318 5.0 %

Commercial and industrial 3,976,758 4,448,990 (10.6) %

Real estate - residential mortgage 3,290,726 2,719,851 21.0 %

Real estate - home equity 1,157,289 1,285,661 (10.0) %

Real estate - construction 1,054,593 935,304 12.8 %

Consumer 455,241 466,071 (2.3) %

Equipment lease financing 261,300 284,612 (8.2) %

Other^(1) (12,081) 14,667 N/M

Net Loans before PPP 17,337,270 16,966,474 2.2 %

PPP 1,606,097 629,458 N/M

Total Net Loans $ 18,943,367 $ 17,595,932 7.7 %



Deposits, by type:

Noninterest-bearing demand $ 6,939,731 $ 5,048,408 37.5 %

Interest-bearing demand 5,906,423 4,876,662 21.1 %

Savings 6,209,253 5,287,015 17.4 %

Total demand and savings 19,055,407 15,212,085 25.3 %

Brokered 311,016 293,756 5.9 %

Time 2,076,681 2,693,202 (22.9) %

Total Deposits $ 21,443,104 $ 18,199,043 17.8 %



Short-term borrowings, by type:

Customer funding 542,243 487,478 11.2 %

Federal funds purchased - 130,549 N/M

Short-term FHLB advances and other - 387,382 N/M borrowings

Total Short-term Borrowings $ 542,243 $ 1,005,409 (46.1) %



N/M - Not meaningful

(1) Consists of overdrafts and net origination fees and costs.

FULTON FINANCIAL CORPORATION

ASSET QUALITY INFORMATION (UNAUDITED)

dollars in thousands

Three months ended

Jun 30

Mar 31

Dec 31

Sep 30

Jun 30

2021

2021

2020

2020

2020

Allowance for credit losses related to Net Loans:

Balance at beginning of period

$

265,986

$

277,567

$

266,825

$

256,537

$

238,508

Loans charged off:

Commercial and industrial

(954)

(4,319)

(1,567)

(2,969)

(3,480)

Real estate - commercial mortgage

(6,506)

(1,837)

(300)

(746)

(2,324)

Consumer and home equity

(1,130)

(847)

(668)

(1,093)

(1,303)

Real estate - residential mortgage

(496)

(192)

-

(198)

(235)

Real estate - construction

-

(39)

-

-

(17)

Equipment lease financing and other

(436)

(968)

(483)

(483)

(688)

Total loans charged off

(9,522)

(8,202)

(3,018)

(5,489)

(8,047)

Recoveries of loans previously charged off:

Commercial and industrial

693

769

4,581

2,103

2,978

Real estate - commercial mortgage

729

174

588

100

95

Consumer and home equity

634

440

594

491

649

Real estate - residential mortgage

105

95

199

95

112

Real estate - construction

254

384

179

4,873

-

Equipment lease financing and other

153

159

219

185

92

Recoveries of loans previously charged off

2,568

2,021

6,360

7,847

3,926

Net loans recovered (charged off)

(6,954)

(6,181)

3,342

2,358

(4,121)

Provision for credit losses

(4,000)

(5,400)

7,400

7,930

22,150

Balance at end of period

$

255,032

$

265,986

$

277,567

$

266,825

$

256,537

Net charge-offs (recoveries) to average loans (annualized)

0.15

%

0.13

%

(0.07)

%

(0.05)

%

0.09

%

Allowance credit losses related to OBS Credit Exposures(1)

Balance at beginning of period

$

14,273

$

14,373

$

15,533

$

16,383

$

18,963

Provision for credit losses

500

(100)

(1,160)

(850)

(2,580)

Balance at end of period

$

14,773

$

14,273

$

14,373

$

15,533

$

16,383

NON-PERFORMING ASSETS:

Non-accrual loans

$

147,864

$

143,889

$

137,198

$

128,321

$

125,037

Loans 90 days past due and accruing

5,865

8,559

9,929

13,761

14,767

Total non-performing loans

153,729

152,448

147,127

142,082

139,804

Other real estate owned

2,779

3,664

4,178

4,565

5,418

Total non-performing assets

$

156,508

$

156,112

$

151,305

$

146,647

$

145,222

NON-PERFORMING LOANS, BY TYPE:

Commercial and industrial

$

33,522

$

31,871

$

32,610

$

37,224

$

39,730

Real estate - commercial mortgage

53,693

54,164

52,647

43,426

42,374

Real estate - residential mortgage

38,185

36,152

30,793

28,287

22,887

Consumer and home equity

11,408

13,072

13,090

12,292

11,911

Real estate - construction

1,016

1,440

1,550

4,051

4,525

Equipment lease financing and other

15,905

15,749

16,437

16,802

18,377

Total non-performing loans

$

153,729

$

152,448

$

147,127

$

142,082

$

139,804

(1) The allowance for credit losses related to OBS Credit Exposures is presented in "other liabilities" on the consolidated balance sheets.

FULTON FINANCIAL CORPORATION

ASSET QUALITY INFORMATION (UNAUDITED)

dollars in thousands

Three months ended

Jun 30 Mar 31 Dec 31 Sep 30 Jun 30

2021 2021 2020 2020 2020

Allowance for credit losses related to Net Loans:

Balance atbeginning of $ 265,986 $ 277,567 $ 266,825 $ 256,537 $ 238,508 period



Loans charged off:

Commercial and (954) (4,319) (1,567) (2,969) (3,480) industrial

Real estate - commercial (6,506) (1,837) (300) (746) (2,324) mortgage

Consumer and (1,130) (847) (668) (1,093) (1,303) home equity

Real estate - residential (496) (192) - (198) (235) mortgage

Real estate - - (39) - - (17) construction

Equipment lease financing and (436) (968) (483) (483) (688) other

Total loans (9,522) (8,202) (3,018) (5,489) (8,047) charged off

Recoveries ofloans previously charged off:

Commercial and 693 769 4,581 2,103 2,978 industrial

Real estate - commercial 729 174 588 100 95 mortgage

Consumer and 634 440 594 491 649 home equity

Real estate - residential 105 95 199 95 112 mortgage

Real estate - 254 384 179 4,873 - construction

Equipment lease financing and 153 159 219 185 92 other

Recoveries of loans previously 2,568 2,021 6,360 7,847 3,926 charged off

Net loansrecovered (charged (6,954) (6,181) 3,342 2,358 (4,121) off)

Provision for (4,000) (5,400) 7,400 7,930 22,150 credit losses

Balance at end of $ 255,032 $ 265,986 $ 277,567 $ 266,825 $ 256,537 period

Net charge-offs(recoveries) to 0.15 % 0.13 % (0.07) % (0.05) % 0.09 %average loans(annualized)



Allowance credit losses related to OBS Credit Exposures^(1)

Balance at beginning of $ 14,273 $ 14,373 $ 15,533 $ 16,383 $ 18,963 period

Provision for 500 (100) (1,160) (850) (2,580) credit losses

Balance at end $ 14,773 $ 14,273 $ 14,373 $ 15,533 $ 16,383 of period



NON-PERFORMING ASSETS:

Non-accrual $ 147,864 $ 143,889 $ 137,198 $ 128,321 $ 125,037 loans

Loans 90 days past due and 5,865 8,559 9,929 13,761 14,767 accruing

Total non-performing 153,729 152,448 147,127 142,082 139,804 loans

Other real 2,779 3,664 4,178 4,565 5,418 estate owned

Total non-performing $ 156,508 $ 156,112 $ 151,305 $ 146,647 $ 145,222 assets



NON-PERFORMING LOANS, BY TYPE:

Commercial and $ 33,522 $ 31,871 $ 32,610 $ 37,224 $ 39,730 industrial

Real estate - commercial 53,693 54,164 52,647 43,426 42,374 mortgage

Real estate - residential 38,185 36,152 30,793 28,287 22,887 mortgage

Consumer and 11,408 13,072 13,090 12,292 11,911 home equity

Real estate - 1,016 1,440 1,550 4,051 4,525 construction

Equipment lease financing and 15,905 15,749 16,437 16,802 18,377 other

Total non-performing $ 153,729 $ 152,448 $ 147,127 $ 142,082 $ 139,804 loans



(1) The allowance for credit losses related to OBS Credit Exposures ispresented in "other liabilities" on the consolidated balance sheets.



FULTON FINANCIAL CORPORATION

RECONCILIATION OF NON-GAAP MEASURES (UNAUDITED)

in thousands, except per share data and percentages

Explanatory note:

This press release contains supplemental financial information, as detailed below, which has been derived by methods other than Generally Accepted Accounting Principles ("GAAP"). The Corporation has presented these non-GAAP financial measures because it believes that these measures provide useful and comparative information to assess trends in the Corporation's results of operations. Presentation of these non-GAAP financial measures is consistent with how the Corporation evaluates its performance internally and these non-GAAP financial measures are frequently used by securities analysts, investors and other interested parties in the evaluation of companies in the Corporation's industry. Management believes that these non-GAAP financial measures, in addition to GAAP measures, are also useful to investors to evaluate the Corporation's results. Investors should recognize that the Corporation's presentation of these non-GAAP financial measures might not be comparable to similarly-titled measures of other companies. These non-GAAP financial measures should not be considered a substitute for GAAP basis measures, and the Corporation strongly encourages a review of its condensed consolidated financial statements in their entirety. Reconciliations of these non-GAAP financial measures to the most directly comparable GAAP measure follow:

Three months ended

Jun 30

Mar 31

Dec 31

Sep 30

Jun 30

2021

2021

2020

2020

2020

Common shareholders' equity (tangible), per share

Shareholders' equity

$

2,692,958

$

2,629,655

$

2,616,828

$

2,390,261

$

2,340,501

Less: Preferred stock

(192,878)

(192,878)

(192,878)

-

-

Less: Goodwill and intangible assets

(536,847)

(536,544)

(536,659)

(534,907)

(535,039)

Tangible common shareholders' equity (numerator)

$

1,963,233

$

1,900,233

$

1,887,291

$

1,855,354

$

1,805,462

Shares outstanding, end of period (denominator)

162,988

162,518

162,350

162,134

161,958

Common shareholders' equity (tangible), per share

$

12.05

$

11.69

$

11.62

$

11.44

$

11.15

Return on average common shareholders' equity (tangible)

Net income available to common shareholders

$

62,402

$

70,472

$

48,690

$

61,610

$

39,558

Plus: Intangible amortization, net of tax

140

90

104

103

104

(Numerator)

$

62,542

$

70,562

$

48,794

$

61,713

$

39,662

Average shareholders' equity

$

2,669,413

$

2,637,098

$

2,544,866

$

2,374,091

$

2,309,133

Less: Average preferred stock

(192,878)

(192,878)

(127,639)

-

-

Less: Average goodwill and intangible assets

(536,470)

(536,601)

(535,474)

(534,971)

(535,103)

Average tangible common shareholders' equity (denominator)

$

1,940,065

$

1,907,619

$

1,881,753

$

1,839,120

$

1,774,030

Return on average common shareholders' equity (tangible), annualized

12.93%

15.00%

10.32%

13.50%

8.99%

Tangible common equity to tangible assets (TCE Ratio)

Shareholders' equity

$

2,692,958

$

2,629,655

$

2,616,828

$

2,390,261

$

2,340,501

Less: Preferred stock

(192,878)

(192,878)

(192,878)

-

-

Less: Goodwill and intangible assets

(536,847)

(536,544)

(536,659)

(534,907)

(535,039)

Tangible common shareholders' equity (numerator)

$

1,963,233

$

1,900,233

$

1,887,291

$

1,855,354

$

1,805,462

Total assets

$

26,079,774

$

25,892,990

$

25,906,733

$

25,543,281

$

24,617,863

Less: Goodwill and intangible assets

(536,847)

(536,544)

(536,659)

(534,907)

(535,039)

Total tangible assets (denominator)

$

25,542,927

$

25,356,446

$

25,370,074

$

25,008,374

$

24,082,824

Tangible common equity to tangible assets

7.69%

7.49%

7.44%

7.42%

7.50%

Efficiency ratio

Non-interest expense

$

140,831

$

178,383

$

154,738

$

139,145

$

143,006

Less: Amortization of tax credit investments

(1,563)

(1,531)

(1,532)

(1,694)

(1,450)

Less: Intangible amortization

(178)

(115)

(132)

(132)

(132)

Less: 2020 cost savings initiatives

-

-

(15,400)

(800)

-

Less: Debt extinguishment costs

(412)

(32,163)

-

-

(2,878)

Non-interest expense (numerator)

$

138,678

$

144,574

$

137,674

$

136,519

$

138,546

Net interest income (fully taxable equivalent)

$

165,417

$

167,428

$

164,578

$

157,106

$

155,854

Plus: Total Non-interest income

51,890

95,397

55,574

63,248

55,922

Less: Investment securities gains, net

(36)

(33,475)

-

(2)

(3,005)

Total revenue (denominator)

$

217,271

$

229,350

$

220,152

$

220,352

$

208,771

Efficiency ratio

63.8%

63.0%

62.5%

62.0%

66.4%

Three months ended

Jun 30

Mar 31

Dec 31

Sep 30

Jun 30

2021

2021

2020

2020

2020

Asset Quality, excluding PPP

Net loans recovered (charged-off) (numerator)

$

(6,954)

$

(6,181)

$

3,342

$

2,358

$

(4,121)

Average Net Loans

$

18,906,556

$

18,980,586

$

18,994,514

$

18,880,519

$

18,331,797

Less: Average PPP loans

(1,524,389)

(1,688,713)

(1,830,426)

(1,953,122)

(1,258,917)

Total adjusted average loans (denominator)

$

17,382,167

$

17,291,873

$

17,164,088

$

16,927,397

$

17,072,880

Net charge-offs (recoveries) to adjusted average loans (annualized)

0.16%

0.14%

(0.08)%

(0.06)%

0.10%

Non-performing loans (numerator)

$

153,729

$

152,448

$

147,127

$

142,082

$

139,804

Net Loans

$

18,586,756

$

18,990,986

$

18,900,820

$

19,028,621

$

18,704,722

Less: PPP loans

(1,114,401)

(1,688,394)

(1,581,712)

(1,960,165)

(1,937,034)

Total adjusted loans (denominator)

$

17,472,355

$

17,302,592

$

17,319,108

$

17,068,456

$

16,767,688

Non-performing loans to total adjusted loans

0.88%

0.88%

0.85%

0.83%

0.83%

ACL - loans (numerator)

$

255,032

$

265,986

$

277,567

$

266,825

$

256,537

Net Loans

$

18,586,756

$

18,990,986

$

18,900,820

$

19,028,621

$

18,704,722

Less: PPP loans

(1,114,401)

(1,688,394)

(1,581,712)

(1,960,165)

(1,937,034)

Total adjusted loans (denominator)

$

17,472,355

$

17,302,592

$

17,319,108

$

17,068,456

$

16,767,688

ACL - loans to total adjusted loans

1.46%

1.54%

1.60%

1.56%

1.53%

Pre-provision net revenue

Net interest income

$

162,399

$

164,448

$

161,591

$

154,116

$

152,754

Non-interest income

51,890

95,397

55,574

63,248

55,922

Less: Investment securities gains, net

(36)

(33,475)

-

(2)

(3,005)

Total revenue

$

214,253

$

226,370

$

217,165

$

217,362

$

205,671

Non-interest expense

$

140,831

$

178,383

$

154,738

$

139,145

$

143,006

Less: Debt extinguishment

(412)

(32,163)

-

-

(2,878)

Less: Amortization on tax credit investments

(1,563)

(1,531)

(1,532)

(1,694)

(1,450)

Less: Intangible amortization

(178)

(115)

(132)

(132)

(132)

Total non-interest expense

$

138,678

$

144,574

$

153,074

$

137,319

$

138,546

Pre-provision net revenue

$

75,575

$

81,796

$

64,091

$

80,043

$

67,125

Note: numbers may not sum due to rounding.

Category: Earnings

View source version on businesswire.com: https://www.businesswire.com/news/home/20210720006139/en/

CONTACT: Media Contact: Laura Wakeley (717) 291-2616 Investor Contact: Matt Jozwiak (717) 327-2657