Diluted Earnings per Share Increased 21.9% in 2015

COLUMBUS, Ga.--(BUSINESS WIRE)-- Synovus Financial Corp. (NYSE: SNV) today reported financial results for the quarter ended December 31, 2015.

Net income available to common shareholders for the fourth quarter of 2015 was $55.8 million or $0.43 per diluted share as compared to $55.4 million or $0.42 per diluted share for the third quarter of 2015 and $50.6 million or $0.37 per diluted share for the fourth quarter of 2014. Adjusted earnings per diluted share for the fourth quarter of 2015 were $0.44, a 4.2% increase from the third quarter of 2015 and a 13.5% increase from the fourth quarter of 2014.

2015 Highlights

• Net income available to common shareholders for 2015 was $215.8 million or $1.62 per diluted share as compared to $185.0 million or $1.33 per diluted share for 2014. Diluted EPS grew 21.9% for 2015 compared to 2014.
• Total loans ended the year at $22.43 billion, a $1.33 billion or 6.3% increase from 2014.
• Average core deposits for the year were $21.13 billion, a $1.60 billion or 8.2% increase from 2014.
• Non-performing assets of $215.4 million at December 31, 2015 declined 24.9% from December 31, 2014, and the non-performing asset ratio declined 39 basis points from December 31, 2014 to 0.96% at December 31, 2015.
• The net-charge off ratio for 2015 was 0.13%, down 26 basis points from 2014.
• We returned over $250 million in capital to common shareholders through common stock share repurchases and dividends.
  • Common Equity Tier 1 ratio was 10.37% at December 31, 2015 compared to 10.74% at December 31, 2014.

“We finished 2015 with strong performance in the fourth quarter, closing out another year of double digit growth in net income and balanced loan growth supported by strong core deposits,” said Kessel D. Stelling, Synovus Chairman and CEO. “Our team is excited about 2016 as we seek new ways to better serve our customers and prospects in this dynamic and highly-competitive environment. Our relationship-based approach, combined with our strategic initiatives and investments, creates an effective formula for driving continued growth, achieving greater efficiencies, and improving financial performance.”

Fourth Quarter 2015 Highlights

Balance Sheet

• Total loans ended the quarter at $22.43 billion, up $565.3 million or 10.3% annualized from the previous quarter.
  • Commercial and industrial loans grew by $248.3 million or 9.3% annualized.
  • Commercial real estate loans grew by $185.2 million or 10.2% annualized.
  • Retail loans grew by $133.5 million or 12.7% annualized.
• Total average deposits for the quarter were $23.24 billion, up $384.2 million or 6.7% annualized from the previous quarter.
• Average core deposits grew $556.3 million or 10.3% annualized from the previous quarter.
• Average core deposits, excluding state, county, and municipal deposits, grew by $377.8 million or 7.7% annualized compared to the previous quarter.

Income Statement

Adjusted pre-tax, pre-credit costs income was $105.3 million for the fourth quarter of 2015, an increase of $533 thousand from $104.7 million for the third quarter of 2015.

• Net interest income was $212.6 million for the fourth quarter of 2015, up $4.8 million from $207.8 million in the previous quarter.
• The net interest margin increased four basis points to 3.18% compared to 3.14% in the third quarter of 2015. The yield on earning assets was 3.63%, up three basis points from the third quarter of 2015, and the effective cost of funds was 0.45%, down one basis point from the third quarter of 2015.
• Total non-interest income was $66.2 million, down $884 thousand or 1.3% compared to $67.1 million for the third quarter of 2015.
  • Core banking fees[1] were $33.6 million, down $271 thousand or 0.8% from the third quarter of 2015.
  • Financial Management Services revenues, consisting primarily of fiduciary and asset management fees and brokerage revenue, were $19.8 million, unchanged from the third quarter of 2015.
  • Mortgage banking income decreased $1.8 million or 30.7% compared to the third quarter of 2015, due to a decrease in production volume of 34.1%.

• Total non-interest expense for the fourth quarter of 2015 was $183.0 million, up $5.1 million or 2.9% from the previous quarter and down $1.8 million or 1.0% as compared to the fourth quarter of 2014.
• Adjusted non-interest expense for the fourth quarter of 2015 was $173.5 million, up $3.4 million or 2.0% from the previous quarter and up $1.1 million or 0.6% as compared to the fourth quarter of 2014.
  • Employment expense of $95.5 million increased $1.2 million or 1.3% from the previous quarter.
  • Occupancy and equipment expense increased $879 thousand or 3.3% from the prior quarter, driven by a $1.2 million charge related to lease exit costs.
  • Other expenses increased $1.3 million or 2.6% sequentially, driven by a $2.2 million increase in consulting fees.

Credit Quality

Broad-based improvement in credit quality continued.

• Total credit costs were $11.9 million in the fourth quarter of 2015 compared to $10.3 million in the third quarter of 2015.
• Total non-performing assets were $215.4 million at December 31, 2015, a $6.6 million or 3.0% decline from the previous quarter, and a $71.4 million or 24.9% decline from the fourth quarter of 2014. The non-performing asset ratio was 0.96% at December 31, 2015, compared to 1.01% at the end of the previous quarter and 1.35% at December 31, 2014.
• Non-performing loans, excluding loans held for sale, were $168.4 million at December 31, 2015, an increase of $10.7 million or 6.8% from the previous quarter, and a decrease of $29.4 million or 14.9% from the fourth quarter of 2014. The non-performing loan ratio was 0.75% at December 31, 2015, compared to 0.72% at the end of the previous quarter and 0.94% at December 31, 2014.
• Total delinquencies (consisting of loans 30 or more days past due and still accruing) were 0.21% at December 31, 2015 compared to 0.18% at September 30, 2015 and 0.24% at December 31, 2014. Total loans past due 90 days or more and still accruing were 0.01% at December, 31, 2015, unchanged from September 30, 2015 and down from 0.02% at December 31, 2014.
• Net charge-offs were $3.4 million in the fourth quarter of 2015, a decrease of $3.3 million from $6.8 million in the third quarter of 2015. The annualized net charge-off ratio was 0.06% in the fourth quarter compared to 0.12% in the previous quarter.

Capital Ratios

Capital ratios remained strong and include the impact of common stock repurchases totaling $37.1 million, the issuance of $250 million in subordinated debt with a ten year maturity, and the repurchase of $46.7 million of the outstanding subordinated notes that mature in 2017.

• Common Equity Tier 1 ratio was 10.37% at December 31, 2015 compared to 10.60% at September 30, 2015.
• Tier 1 Capital ratio was 10.37% at December 31, 2015 compared to 10.60% at September 30, 2015.
• Total Risk Based Capital ratio was 12.70% at December 31, 2015 compared to 12.02% at September 30, 2015.
• Tier 1 Leverage ratio was 9.43% at December 31, 2015 compared to 9.45% at September 30, 2015.
• Tangible Common Equity ratio was 9.90% at December 31, 2015 compared to 10.18% at September 30, 2015.

Fourth Quarter Earnings Conference Call

Synovus will host an earnings highlights conference call at 8:30 a.m. Eastern on January 19, 2016. The earnings call will be accompanied by a slide presentation. Shareholders and other interested parties may listen to this conference call via simultaneous Internet broadcast. For a link to the webcast, go to www.synovus.com/webcasts. You may download RealPlayer or Windows Media Player (free download available) prior to accessing the actual call or the replay. The replay will be archived for 12 months and will be available 30-45 minutes after the call.

About Synovus

Synovus Financial Corp. is a financial services company based in Columbus, Georgia, with approximately $29 billion in assets. Synovus provides commercial and retail banking, investment, and mortgage services to customers through 28 locally-branded divisions, 257 branches, and 336 ATMs in Georgia, Alabama, South Carolina, Florida, and Tennessee. Synovus Bank, a wholly owned subsidiary of Synovus, was recognized as one of America's Most Reputable Banks by American Banker and the Reputation Institute in 2015. Synovus is on the web at synovus.com, on Twitter @synovus, and on LinkedIn at http://linkedin.com/company/synovus.

Forward-Looking Statements

This press release and certain of our other filings with the Securities and Exchange Commission contain statements that constitute “forward-looking statements” within the meaning of, and subject to the protections of, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements other than statements of historical fact are forward-looking statements. You can identify these forward-looking statements through Synovus’ use of words such as “believes,” “anticipates,” “expects,” “may,” “will,” “assumes,” “should,” “predicts,” “could,” “would,” “intends,” “targets,” “estimates,” “projects,” “plans,” “potential” and other similar words and expressions of the future or otherwise regarding the outlook for Synovus’ future business and financial performance and/or the performance of the banking industry and economy in general. These forward-looking statements include, among others, our expectations regarding deposit growth, loan growth and the net interest margin; expectations on our growth strategy, expense initiatives, and future profitability; expectations on credit trends and key credit metrics; expectations regarding our capital management plan; and the assumptions underlying our expectations. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve known and unknown risks and uncertainties which may cause the actual results, performance or achievements of Synovus to be materially different from the future results, performance or achievements expressed or implied by such forward-looking statements. Forward-looking statements are based on the information known to, and current beliefs and expectations of, Synovus’ management and are subject to significant risks and uncertainties. Actual results may differ materially from those contemplated by such forward-looking statements. A number of factors could cause actual results to differ materially from those contemplated by the forward-looking statements in this press release. Many of these factors are beyond Synovus’ ability to control or predict.

These forward-looking statements are based upon information presently known to Synovus’ management and are inherently subjective, uncertain and subject to change due to any number of risks and uncertainties, including, without limitation, the risks and other factors set forth in Synovus’ filings with the Securities and Exchange Commission, including its Annual Report on Form 10-K for the year ended December 31, 2014 under the captions “Cautionary Notice Regarding Forward-Looking Statements” and “Risk Factors” and in Synovus’ quarterly reports on Form 10-Q and current reports on Form 8-K. We believe these forward-looking statements are reasonable; however, undue reliance should not be placed on any forward-looking statements, which are based on current expectations and speak only as of the date that they are made. We do not assume any obligation to update any forward-looking statements as a result of new information, future developments or otherwise, except as otherwise may be required by law.

Use of Non-GAAP Financial Measures

The measures entitled average core deposits; average core deposits excluding average state, county, and municipal deposits; estimated Common Equity Tier 1 (CET1) ratio under Basel III (as of December 31, 2014); Tangible Common Equity ratio; adjusted earnings per diluted share; adjusted pre-tax, pre-credit costs income; and adjusted non-interest expense are not measures recognized under U.S. generally accepted accounting principles (GAAP) and therefore are considered non-GAAP financial measures. The most comparable GAAP measures are total average deposits; total shareholders’ equity to total assets ratio; net income per common share, diluted; income before income taxes; and total non-interest expense, respectively.

Synovus believes that these non-GAAP financial measures provide meaningful additional information about Synovus to assist management and investors in evaluating Synovus’ capital strength and the performance of its core business. These non-GAAP financial measures should not be considered as substitutes for total average deposits; total shareholders’ equity to total assets ratio; net income per common share, diluted; income before income taxes; and total non-interest expense determined in accordance with GAAP and may not be comparable to other similarly titled measures at other companies.

The computations of average core deposits; average core deposits excluding average state, county, and municipal deposits; estimated Common Equity Tier 1 (CET1) ratio under Basel III (as of December 31, 2014); Tangible Common Equity ratio; adjusted earnings per diluted share; adjusted pre-tax, pre-credit costs income; and adjusted non-interest expense; and the reconciliation of these measures to total average deposits; total shareholders’ equity to total assets ratio; net income per common share, diluted; income before income taxes; and total non-interest expense are set forth in the tables below.

Reconciliation of Non-GAAP Financial Measures
(dollars in thousands)				4Q15					3Q15				4Q14				YTD 2015				YTD 2014
Average core deposits
Average core deposits excluding state, county, and municipal deposits
Average total deposits				$	23,244,256				22,860,019				21,336,007				22,551,679					20,967,488
Subtract: Average brokered deposits					(1,185,093	)			(1,357,163	)			(1,602,354	)			(1,421,949	)				(1,434,422	)
Average core deposits					22,059,163				21,502,856				19,733,653				21,129,730					19,533,066
Subtract: Average state, county, and municipal deposits					(2,303,278	)			(2,124,812	)			(2,184,757	)			(2,232,438	)				(2,215,170	)
Average core deposits excluding state, county, and municipal deposits				$	19,755,885				19,378,044				17,548,896				18,897,292					17,317,896
				4Q15					3Q15				2Q15				1Q15				4Q14
Tangible Common Equity ratio
Total assets				$	28,792,653				28,167,135				28,205,078				27,632,890					27,050,237
Subtract: Goodwill					(24,431	)			(24,431	)			(24,431	)			(24,431	)				(24,431	)
Subtract: Other intangible assets, net					(471	)			(667	)			(863	)			(1,061	)				(1,265	)
Tangible assets					28,767,751				28,142,037				28,179,784				27,607,398					27,024,541
Total shareholders’ equity					3,000,196				3,017,116				3,006,157				3,030,635					3,041,270
Subtract: Goodwill					(24,431	)			(24,431	)			(24,431	)			(24,431	)				(24,431	)
Subtract: Other intangible assets, net					(471	)			(667	)			(863	)			(1,061	)				(1,265	)
Subtract: Series C Preferred Stock, no par value					(125,980	)			(125,980	)			(125,980	)			(125,980	)				(125,980	)
Tangible common equity				$	2,849,314				2,866,038				2,854,883				2,879,163					2,889,594
Total shareholders’ equity to total assets ratio					10.42	%			10.71	%			10.66				10.97					11.24
Tangible Common Equity ratio					9.90	%			10.18	%			10.13				10.43					10.69
Estimated Common Equity Tier 1 (CET1) ratio under Basel III (as of December 31, 2014)
Tier 1 common equity (Basel I)																					$	2,407,645
Add: Adjustment to capital components																						157,765
Estimated common equity Tier 1 (CET1) under Basel III																						2,565,410
Estimated risk-weighted assets under Basel III																					$	23,891,728
Estimated Common Equity Tier 1 (CET1) ratio under Basel III																						10.74	%

Reconciliation of Non-GAAP Financial Measures, continued
(dollars in thousands)				4Q15					3Q15				2Q15				1Q15				4Q14
Adjusted net income per common share, diluted
Net income available to common shareholders				$	55,839				55,369				53,233				51,404				50,612
Add: Litigation settlement expenses (after-tax)					434				-				2,688				-				283
Add: Restructuring charges (after-tax)					42				42				3				(65	)			2,129
Add: Loss on extinguishment of debt (after-tax)					937				-				-				-				-
Add: Visa indemnification charges (after-tax)					227				222				216				229				189
Adjusted net income available to common shareholders				$	57,479				55,633				56,140				51,568				53,213
Weighted average common shares outstanding - diluted					131,197				132,297				133,625				135,744				137,831
Adjusted net income per common share, diluted				$	0.44				0.42				0.42				0.38				0.39
Adjusted Pre-tax, Pre-credit Costs Income
Income before income taxes				$	90,741				93,986				88,034				85,812				78,928
Add: Provision for losses on loans					5,021				2,956				6,636				4,397				8,193
Add: Other credit costs(1)					6,864				7,344				6,175				11,273				8,213
Add: Restructuring charges					69				69				5				(107	)			3,484
Add: Litigation contingency/settlement expenses					710				-				4,400				-				463
Add: Loss on extinguishment of debt					1,533				-				-				-				-
Add: Visa indemnification charges					371				363				354				375				310
Subtract: Investment securities gains, net					(58	)			-				(1,985	)			(725	)			-
Pre-tax, pre-credit costs income				$	105,251				104,718				103,619				101,025				99,591
Adjusted Non-interest Expense
Total non-interest expense				$	183,033				177,907				177,806				178,908				184,883
Subtract: Other credit costs(1)					(6,864	)			(7,344	)			(6,175	)			(11,273	)			(8,213	)
Subtract: Restructuring charges					(69	)			(69	)			(5	)			107				(3,484	)
Subtract: Visa indemnification charges					(371	)			(363	)			(354	)			(375	)			(310	)
Subtract: Loss on extinguishment of debt					(1,533	)			-				-				-				-
Subtract: Litigation contingency/settlement expenses					(710	)			-				(4,400	)			-				(463	)
Adjusted non-interest expense				$	173,486				170,131				166,872				167,367				172,413
(1) Other credit costs consist primarily of foreclosed real estate expense, net.

Synovus
INCOME STATEMENT DATA					Twelve Months Ended
(Unaudited)
(Dollars in thousands, except per share data)					December 31,
					2015			2014			Change
Interest income				$	945,962			928,692			1.9	%
Interest expense					118,644			109,408			8.4
Net interest income					827,318			819,284			1.0
Provision for loan losses					19,010			33,831			(43.8	)
Net interest income after provision for loan losses					808,308			785,453			2.9
Non-interest income:
Service charges on deposit accounts					80,142			78,897			1.6
Fiduciary and asset management fees					45,928			45,226			1.6
Brokerage revenue					27,855			27,088			2.8
Mortgage banking income					24,096			18,354			31.3
Bankcard fees					33,172			32,931			0.7
Investment securities gains, net					2,769			1,331			108.0
Other fee income					21,170			19,130			10.7
Gain on sale of Memphis branches, net (1)					-			5,789			nm
Other non-interest income					32,788			33,358			(1.7	)
Total non-interest income					267,920			262,104			2.2
Non-interest expense:
Salaries and other personnel expense					380,918			371,904			2.4
Net occupancy and equipment expense					107,466			105,806			1.6
Third-party processing expense					42,851			40,042			7.0
FDIC insurance and other regulatory fees					27,091			33,485			(19.1	)
Professional fees					26,646			26,440			0.8
Advertising expense					15,477			24,037			(35.6	)
Foreclosed real estate expense, net					22,803			25,321			(9.9	)
Visa indemnification charges					1,464			3,041			(51.9	)
Loss on extinguishment of debt					1,533			-			nm
Litigation contingency/settlement expenses					5,110			12,812			(60.1	)
Restructuring charges, net					36			20,585			(99.8	)
Other operating expenses					86,260			81,525			5.8
Total non-interest expense					717,655			744,998			(3.7	)
Income before income taxes					358,573			302,559			18.5
Income tax expense					132,491			107,310			23.5
Net income					226,082			195,249			15.8
Dividends on preferred stock					10,238			10,238			-
Net income available to common shareholders				$	215,844			185,011			16.7	%
Net income per common share, basic				$	1.63			1.34			22.0	%
Net income per common share, diluted					1.62			1.33			21.9
Cash dividends declared per common share					0.42			0.31			35.5
Return on average assets					0.80	%		0.74			6 bps
Return on average common equity					7.46			6.38			108
Weighted average common shares outstanding, basic					132,423			138,495			(4.4	)%
Weighted average common shares outstanding, diluted					133,201			139,154			(4.3	)
nm - not meaningful
bps - basis points
(1) Consists of gain, net of associated costs, from the 1Q14 sale of certain loans, premises, deposits, and other assets and liabilities of the Memphis, Tennessee branches of Trust One Bank, a division of Synovus Bank.

Synovus
INCOME STATEMENT DATA
(Unaudited)
(In thousands, except per share data)					2015													2014			4th Quarter
					Fourth			Third			Second			First				Fourth			'15 vs. '14
					Quarter			Quarter			Quarter			Quarter				Quarter			Change
Interest income				$	242,814			238,093			233,654			231,401				234,703			3.5	%
Interest expense					30,194			30,303			30,010			28,138				27,248			10.8
Net interest income					212,620			207,790			203,644			203,263				207,455			2.5
Provision for loan losses					5,021			2,956			6,636			4,397				8,193			(38.7	)
Net interest income after provision for loan losses					207,599			204,834			197,008			198,866				199,262			4.2
Non-interest income:
Service charges on deposit accounts					20,522			20,692			19,795			19,133				20,287			1.2
Fiduciary and asset management fees					11,206			11,308			11,843			11,571				11,690			(4.1	)
Brokerage revenue					6,877			6,946			6,782			7,251				6,887			(0.1	)
Mortgage banking income					4,136			5,965			7,511			6,484				4,895			(15.5	)
Bankcard fees					8,262			8,334			8,499			8,077				8,536			(3.2	)
Investment securities gains, net					58			-			1,985			725				-			nm
Other fee income					5,798			5,521			4,605			5,246				4,635			25.1
Other non-interest income					9,316			8,293			7,812			7,367				7,619			22.3
Total non-interest income					66,175			67,059			68,832			65,854				64,549			2.5
Non-interest expense:
Salaries and other personnel expense					95,524			94,341			94,565			96,488				92,049			3.8
Net occupancy and equipment expense					27,816			26,937			26,541			26,172				26,370			5.5
Third-party processing expense					10,993			10,844			10,672			10,343				10,437			5.3
FDIC insurance and other regulatory fees					6,776			6,591			6,767			6,957				8,115			(16.5	)
Professional fees					8,265			6,371			6,417			5,594				8,013			3.1
Advertising expense					3,680			5,488			2,865			3,443				8,102			(54.6	)
Foreclosed real estate expense, net					4,454			4,503			4,351			9,496				6,502			(31.5	)
Visa indemnification charges					371			363			354			375				310			19.7
Loss on extinguishment of debt					1,533			-			-			-				-			nm
Litigation contingency/settlement expenses					710			-			4,400			-				463			53.3
Restructuring charges, net					69			69			5			(107	)			3,484			(98.0	)
Other operating expenses					22,842			22,400			20,869			20,147				21,038			8.6
Total non-interest expense					183,033			177,907			177,806			178,908				184,883			(1.0	)
Income before income taxes					90,741			93,986			88,034			85,812				78,928			15.0
Income tax expense					32,343			36,058			32,242			31,849				25,757			25.6
Net income					58,398			57,928			55,792			53,963				53,171			9.8
Dividends on preferred stock					2,559			2,559			2,559			2,559				2,559			-
Net income available to common shareholders				$	55,839			55,369			53,233			51,404				50,612			10.3	%
Net income per common share, basic				$	0.43			0.42			0.40			0.38				0.37			16.0	%
Net income per common share, diluted					0.43			0.42			0.40			0.38				0.37			15.9
Cash dividends declared per common share					0.12			0.10			0.10			0.10				0.10			20.0
Return on average assets *					0.81		%	0.81			0.80			0.80				0.79			2 bps
Return on average common equity *					7.67			7.64			7.39			7.16				6.89			78
Weighted average common shares outstanding, basic					130,354			131,516			132,947			134,933				137,031			(4.9	)%
Weighted average common shares outstanding, diluted					131,197			132,297			133,625			135,744				137,831			(4.8	)
nm - not meaningful
bps - basis points
* - ratios are annualized

Synovus
BALANCE SHEET DATA				December 31, 2015					September 30, 2015				December 31, 2014
(Unaudited)
(In thousands, except share data)
ASSETS
Cash and cash equivalents				$	367,092				329,396				485,489
Interest bearing funds with Federal Reserve Bank					829,887				837,641				721,362
Interest earning deposits with banks					17,387				21,170				11,810
Federal funds sold and securities purchased under resale agreements					69,819				69,732				73,111
Trading account assets, at fair value					5,097				5,844				13,863
Mortgage loans held for sale, at fair value					59,275				73,623				63,328
Investment securities available for sale, at fair value					3,587,818				3,487,332				3,041,406
Loans, net of deferred fees and costs					22,429,565				21,864,309				21,097,699
Allowance for loan losses					(252,496	)			(250,900	)			(261,317	)
Loans, net					22,177,069				21,613,409				20,836,382
Premises and equipment, net					445,155				449,078				455,235
Goodwill					24,431				24,431				24,431
Other real estate					47,030				64,346				85,472
Deferred tax asset, net					511,948				526,492				622,464
Other assets					650,645				664,641				615,884
Total assets				$	28,792,653				28,167,135				27,050,237
LIABILITIES AND SHAREHOLDERS' EQUITY
Liabilities:
Deposits:
Non-interest bearing deposits				$	6,732,970				6,570,227				6,228,472
Interest bearing deposits, excluding brokered deposits					15,434,171				14,961,388				13,660,830
Brokered deposits					1,075,520				1,245,798				1,642,398
Total deposits					23,242,661				22,777,413				21,531,700
Federal funds purchased and securities sold under repurchase agreements					177,025				135,475				126,916
Long-term debt					2,186,893				2,038,028				2,139,325
Other liabilities					185,878				199,103				211,026
Total liabilities					25,792,457				25,150,019				24,008,967
Shareholders' equity:
Series C Preferred Stock - no par value, 5,200,000 shares outstanding at December 31, 2015, September 30, 2015, and December 31, 2014					125,980				125,980				125,980
Common stock - $1.00 par value. 129,547,032 shares outstanding at December 31, 2015, 130,632,731 shares outstanding at September 30, 2015, and 136,122,843 shares outstanding at December 31, 2014					140,592				140,526				139,950
Additional paid-in capital					2,989,981				2,986,333				2,960,825
Treasury stock, at cost - 11,045,377 shares at December 31, 2015, 9,892,877 shares at September 30, 2015, and 3,827,579 shares at December 31, 2014					(401,511	)			(364,428	)			(187,774	)
Accumulated other comprehensive loss, net					(29,819	)			(6,092	)			(12,605	)
Retained earnings					174,973				134,797				14,894
Total shareholders' equity					3,000,196				3,017,116				3,041,270
Total liabilities and shareholders' equity				$	28,792,653				28,167,135				27,050,237

Synovus
AVERAGE BALANCES AND YIELDS/RATES (1)
(Unaudited)
(Dollars in thousands)
					2015																	2014
					Fourth					Third				Second				First				Fourth
					Quarter					Quarter				Quarter				Quarter				Quarter
Interest Earning Assets
Taxable investment securities (2)				$	3,481,184					3,380,543				3,165,513				2,998,597				3,027,769
Yield					1.85				%	1.76				1.79				1.85				1.85
Tax-exempt investment securities (2) (4)				$	4,352					4,509				4,595				4,967				5,030
Yield (taxable equivalent)					6.16				%	6.21				6.15				6.21				6.19
Trading account assets				$	8,067					7,278				12,564				14,188				12,879
Yield					2.24				%	1.84				3.72				3.02				3.08
Commercial loans (3) (4)				$	17,884,661					17,522,735				17,297,130				17,176,641				16,956,294
Yield					3.97				%	3.99				4.01				4.06				4.09
Consumer loans (3)				$	4,233,061					4,105,639				3,986,151				3,929,188				3,895,397
Yield					4.27				%	4.31				4.37				4.45				4.42
Allowance for loan losses				$	(252,049	)				(256,102	)			(254,177	)			(257,167	)			(268,659	)
Loans, net (3)				$	21,865,673					21,372,272				21,029,104				20,848,662				20,583,032
Yield					4.08				%	4.10				4.14				4.19				4.22
Mortgage loans held for sale				$	50,668					69,438				90,419				64,507				60,892
Yield					3.84				%	3.82				3.39				3.92				3.84
Federal funds sold, due from Federal Reserve Bank, and other short-term investments				$	1,081,604					1,380,686				1,590,114				1,123,250				898,871
Yield					0.27				%	0.24				0.24				0.24				0.23
Federal Home Loan Bank and Federal Reserve Bank stock (5)				$	66,790					71,852				76,091				80,813				75,547
Yield					5.08				%	4.71				4.57				3.90				4.53
Total interest earning assets				$	26,558,338					26,286,578				25,968,400				25,134,984				24,664,020
Yield					3.63				%	3.60				3.61				3.73				3.78
Interest Bearing Liabilities
Interest bearing demand deposits				$	4,117,116					3,955,803				3,919,401				3,800,476				3,781,389
Rate					0.17				%	0.18				0.18				0.19				0.19
Money market accounts				$	7,062,517					6,893,563				6,466,610				6,210,704				6,009,897
Rate					0.35				%	0.36				0.35				0.32				0.29
Savings deposits				$	692,536					685,813				675,260				649,597				638,813
Rate					0.06				%	0.06				0.06				0.05				0.07
Time deposits under $100,000				$	1,307,601					1,338,994				1,351,299				1,324,513				1,315,905
Rate					0.65				%	0.66				0.68				0.61				0.57
Time deposits over $100,000				$	2,033,193					2,086,851				2,061,434				1,926,380				1,877,602
Rate					0.88				%	0.88				0.88				0.80				0.76
Brokered money market accounts				$	297,925					221,817				185,909				181,754				191,103
Rate					0.31				%	0.31				0.31				0.30				0.28
Brokered time deposits				$	887,168					1,135,346				1,370,022				1,413,068				1,411,252
Rate					0.76				%	0.71				0.67				0.63				0.58
Total interest bearing deposits				$	16,398,056					16,318,187				16,029,935				15,506,492				15,225,961
Rate					0.40				%	0.42				0.42				0.39				0.36
Federal funds purchased and securities sold under repurchase agreements				$	158,810					207,894				232,531				222,658				186,993
Rate					0.08				%	0.09				0.08				0.08				0.07
Long-term debt				$	2,007,924					2,073,185				2,173,595				2,207,215				2,084,636
Rate					2.63				%	2.46				2.39				2.41				2.55
Total interest bearing liabilities				$	18,564,790					18,599,266				18,436,061				17,936,365				17,497,590
Rate					0.65				%	0.65				0.65				0.63				0.62
Non-interest bearing demand deposits				$	6,846,200					6,541,832				6,436,167				6,108,558				6,110,047
Effective cost of funds					0.45				%	0.46				0.46				0.45				0.44
Net interest margin					3.18				%	3.14				3.15				3.28				3.34
Taxable equivalent adjustment				$	311					315				330				349				372
(1) Yields and rates are annualized.
(2) Excludes net unrealized gains and losses.
(3) Average loans are shown net of unearned income. Non-performing loans are included.
(4) Reflects taxable-equivalent adjustments, using the statutory federal income tax rate of 35%, in adjusting interest on tax-exempt loans and investment securities to a taxable-equivalent basis.
(5) Included as a component of Other Assets on the consolidated balance sheet

Synovus
LOANS OUTSTANDING AND NON-PERFORMING LOANS COMPOSITION
(Unaudited)
(Dollars in thousands)
				December 31, 2015
									Loans as a %				Total				Non-performing Loans
									of Total Loans				Non-performing				as a % of Total
Loan Type				Total Loans					Outstanding				Loans				Nonperforming Loans
Multi-Family				$	1,391,453				6.2	%			$	223			$	0.1	%
Hotels					703,825				3.1					381				0.2
Office Buildings					1,495,247				6.7					1,170				0.7
Shopping Centers					956,394				4.3					907				0.5
Commercial Development					92,809				0.4					8,941				5.3
Warehouses					563,217				2.5					208				0.1
Other Investment Property					548,686				2.4					11,210				6.7
Total Investment Properties					5,751,631				25.6					23,040				13.7
1-4 Family Construction					168,243				0.8					-				0.0
1-4 Family Investment Mortgage					786,797				3.5					7,708				4.6
Residential Development					154,814				0.7					9,130				5.4
Total 1-4 Family Properties					1,109,854				4.9					16,838				10.0
Land Acquisition					513,981				2.2					17,768				10.6
Total Commercial Real Estate					7,375,466				32.9					57,646				34.3
Commercial, Financial, and Agricultural					6,472,482				28.8					49,137				29.1
Owner-Occupied					4,318,950				19.3					20,294				12.1
Total Commercial & Industrial					10,791,432				48.1					69,431				41.2
Home Equity Lines					1,689,914				7.5					16,480				9.8
Consumer Mortgages					1,938,683				8.6					22,248				13.2
Credit Cards					240,851				1.2					-				-
Other Retail Loans					423,318				1.9					2,565				1.5
Total Retail					4,292,766				19.1					41,293				24.5
Unearned Income					(30,099	)			(0.1	)				-			nm
Total				$	22,429,565				100.0	%			$	168,370				100.0	%

LOANS OUTSTANDING BY TYPE COMPARISON
(Unaudited)
(Dollars in thousands)
				Total Loans									4Q15 vs. 3Q15									4Q15 vs. 4Q14
Loan Type				December 31, 2015					September 30, 2015				% change (1)				December 31, 2014					% change
Multi-Family				$	1,391,453				1,345,688				13.5	%			$	1,205,095				15.5	%
Hotels					703,825				684,106				11.4					697,987				0.8
Office Buildings					1,495,247				1,388,965				30.4					1,196,537				25.0
Shopping Centers					956,394				944,690				4.9					881,821				8.5
Commercial Development					92,809				101,946				(35.6	)				121,990				(23.9	)
Warehouses					563,217				545,346				13.0					559,320				0.7
Other Investment Property					548,686				546,835				1.3					543,925				0.9
Total Investment Properties					5,751,631				5,557,576				13.9					5,206,675				10.5
1-4 Family Construction					168,243				159,237				22.4					143,619				17.1
1-4 Family Investment Mortgage					786,797				777,196				4.9					813,047				(3.2	)
Residential Development					154,814				158,120				(8.3	)				177,217				(12.6	)
Total 1-4 Family Properties					1,109,854				1,094,553				5.5					1,133,883				(2.1	)
Land Acquisition					513,981				538,127				(17.8	)				586,045				(12.3	)
Total Commercial Real Estate					7,375,466				7,190,256				10.2					6,926,603				6.5
Commercial, Financial, and Agricultural					6,472,482				6,277,768				12.3					6,182,311				4.7
Owner-Occupied					4,318,950				4,265,409				5.0					4,085,407				5.7
Total Commercial & Industrial					10,791,432				10,543,177				9.3					10,267,718				5.1
Home Equity Lines					1,689,914				1,684,046				1.4					1,683,998				0.4
Consumer Mortgages					1,938,683				1,888,456				10.6					1,694,061				14.4
Credit Cards					240,851				241,315				(0.8	)				253,649				(5.0	)
Other Retail Loans					423,318				345,426				89.5					302,460				40.0
Total Retail					4,292,766				4,159,243				12.7					3,934,168				9.1
Unearned Income					(30,099	)			(28,367	)			24.2					(30,790	)			(2.2	)
Total				$	22,429,565				21,864,309				10.3	%			$	21,097,699				6.3	%
(1) Percentage change is annualized.

Synovus
CREDIT QUALITY DATA
(Unaudited)
(Dollars in thousands)				2015														2014			4th Quarter
				Fourth					Third			Second			First			Fourth			'15 vs. '14
				Quarter					Quarter			Quarter			Quarter			Quarter			Change
Non-performing Loans				$	168,370				157,640			173,638			194,232			197,757			(14.9	)%
Other Loans Held for Sale (1)					-				-			-			1,082			3,606			(100.0	)
Other Real Estate					47,030				64,346			66,449			74,791			85,472			(45.0	)
Non-performing Assets					215,400				221,986			240,087			270,105			286,835			(24.9	)
Allowance for loan losses					252,496				250,900			254,702			253,371			261,317			(3.4	)
Net Charge-Offs - Quarter					3,425				6,758			5,306			12,343			16,253			(78.9	)
Net Charge-Offs - YTD					27,831				24,407			17,649			12,343			79,055			(64.8	)
Net Charge-Offs / Average Loans - Quarter (2)					0.06	%			0.12			0.10			0.23			0.31
Net Charge-Offs / Average Loans - YTD (2)					0.13				0.15			0.17			0.23			0.39
Non-performing Loans / Loans					0.75				0.72			0.81			0.92			0.94
Non-performing Assets / Loans, Other Loans Held for Sale & ORE					0.96				1.01			1.11			1.28			1.35
Allowance / Loans					1.13				1.15			1.18			1.20			1.24
Allowance / Non-performing Loans					149.96				159.16			146.69			130.45			132.14
Allowance / Non-performing Loans (3)					189.47				205.90			202.08			197.55			197.22
Past Due Loans over 90 days and Still Accruing				$	2,621				2,998			4,832			5,025			4,637			(43.5	)%
As a Percentage of Loans Outstanding					0.01	%			0.01			0.02			0.02			0.02
Total Past Due Loans and Still Accruing				$	47,912				39,350			50,860			57,443			51,251			(6.5	)
As a Percentage of Loans Outstanding					0.21	%			0.18			0.24			0.27			0.24
Accruing Troubled Debt Restructurings (TDRs)				$	223,873				240,370			268,542			313,362			348,427			(35.7	)
(1) Represent impaired loans that are intended to be sold. Held for sale loans are carried at the lower of cost or fair value, less costs to sell.
(2) Ratio is annualized.
(3) Excludes non-performing loans for which the expected loss has been charged off.

SELECTED CAPITAL INFORMATION (1)
(Unaudited)
(Dollars in thousands)
				December 31, 2015					September 30, 2015			December 31, 2014
Capital Rules in effect:				Basel III					Basel III			Basel I
Tier 1 Capital				$	2,660,015				2,637,462			2,543,625
Total Risk-Based Capital					3,255,757				2,990,099			2,987,406
Common Equity Tier 1 Ratio (transitional)					10.37	%			10.60			na
Common Equity Tier 1 Ratio (fully phased-in)					9.77				9.98			na
Tier 1 Common Equity Ratio				na					na			10.28
Tier 1 Capital Ratio					10.37				10.60			10.86
Total Risk-Based Capital Ratio					12.70				12.02			12.75
Tier 1 Leverage Ratio					9.43				9.45			9.67
Common Equity as a Percentage of Total Assets (2)					9.98				10.26			10.78
Tangible Common Equity as a Percentage of Tangible Assets (3)					9.90				10.18			10.69
Tangible Common Equity as a Percentage of Risk Weighted Assets (3)					11.11				11.54			12.33
Book Value Per Common Share (4)					22.19				22.13			21.42
Tangible Book Value Per Common Share (3)					21.99				21.94			21.23
(1) Current quarter regulatory capital information is preliminary. 2015 regulatory capital ratios determined under Basel III capital rules. 2014 ratios were determined under Basel I capital rules.
(2) Common equity consists of Total Shareholders' Equity less Preferred Stock.
(3) Excludes the carrying value of goodwill and other intangible assets from common equity and total assets.
(4) Book Value Per Common Share consists of Total Shareholders' Equity less Preferred Stock divided by total common shares outstanding.

[1] Include service charges on deposit accounts, bankcard fees, letter of credit fees, ATM fee income, line of credit non-usage fees, and miscellaneous other service charges.

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Synovus Financial Corp.

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Media Relations

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Source: Synovus Financial Corp.