Form 8-K FIFTH THIRD BANCORP For: Apr 21

April 21, 2016 6:31 AM

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, DC 20549

FORM 8-K

CURRENT REPORT

PURSUANT TO SECTION 13 OR 15(D)

OF THE SECURITIES EXCHANGE ACT OF 1934

Date of report (Date of earliest event reported): April 21, 2016

LOGO

(Exact Name of Registrant as Specified in Its Charter)

OHIO

(State or Other Jurisdiction of Incorporation)


001-33653		31-0854434
(Commission File Number)		(IRS Employer Identification No.)

Fifth Third Center 38 Fountain Square Plaza, Cincinnati, Ohio		45263
(Address of Principal Executive Offices)		(Zip Code)

(800) 972-3030

(Registrant’s Telephone Number, Including Area Code)

Not Applicable

(Former Name or Former Address, if Changed Since Last Report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 2.02

Results of Operations and Financial Condition

On April 21, 2016 Fifth Third Bancorp issued a press release and its quarterly financial supplement announcing its earnings release for the first quarter of 2016. A copy of this press release and its quarterly financial supplement are attached as Exhibits 99.1 and 99.3, respectively. This information is furnished under both Item 2.02 Results of Operations and Financial Condition and Item 7.01 Regulation FD Disclosure. The information in this Form 8-K and Exhibits attached hereto shall not be deemed filed for purposes of Section 18 of the Securities Act of 1934, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, except as shall be expressly set forth by specific reference.

Item 7.01

Regulation FD Disclosure

For the benefit of its investors, Fifth Third Bancorp is furnishing information regarding its earnings conference call. A copy of this item is attached as Exhibit 99.2. The information in this Form 8-K and Exhibit attached hereto shall not be deemed filed for purposes of Section 18 of the Securities Act of 1934, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, except as shall be expressly set forth by specific reference.

Item 9.01

Financial Statements and Exhibits

Exhibit 99.1 – Press release dated April 21, 2016

Exhibit 99.2 – First Quarter Earnings Conference Call

Exhibit 99.3 – Quarterly Financial Supplement

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.


				FIFTH THIRD BANCORP

				(Registrant)

April 21, 2016				/s/ Tayfun Tuzun

				Tayfun Tuzun
				Executive Vice President and Chief Financial Officer

Exhibit 99.1

LOGO


		News Release

CONTACTS:	Sameer Gokhale (Investors)	FOR IMMEDIATE RELEASE
	(513) 534-2219	April 21, 2016
	Jim Eglseder (Investors)
	(513) 534-8424
	Larry Magnesen (Media)
	(513) 534-8055

FIFTH THIRD ANNOUNCES FIRST QUARTER 2016 NET INCOME TO COMMON SHAREHOLDERS OF $312 MILLION, OR $0.40 PER DILUTED SHARE

•

1Q16 net income available to common shareholders of $312 million, or $0.40 per diluted common share

•

Includes a $47 million pre-tax (~$31 million after-tax) positive valuation adjustment on the remaining warrant in Vantiv, a $14 million pre-tax (~$9 million after-tax) expense related to the voluntary early retirement program, and an $8 million pre-tax (~$5 million after-tax) gain on the previously announced sale of certain branches in St. Louis. These items resulted in a net $0.03 impact on earnings per share

•

1Q16 return on average assets (ROA) of 0.93%; return on average common equity of 8.3%; return on average tangible common equity** of 9.9%

•

Pre-provision net revenue (PPNR)** of $554 million in 1Q16

•

Net interest income (FTE) of $909 million, up 1 percent sequentially and up 7 percent from 1Q15; net interest margin of 2.91%, up 6 bps sequentially

•

Average portfolio loans of $93.3 billion, down $319 million sequentially and up $2.8 billion from 1Q15; Period end portfolio loans and leases of $93.6 billion increased $1.0 billion, or 1 percent sequentially and $2.4 billion, or 3 percent, from 1Q15; the sequential and year over year increases were primarily driven by increases in C&I, residential mortgage, and commercial construction loans

•

Non-interest income of $637 million compared with $1.1 billion in the prior quarter; primarily driven by the Vantiv-related items in the prior quarter; Capital markets fees within Corporate banking revenue increased 20% from 4Q15, driven primarily by M&A advisory work

•

Non-interest expense of $986 million, up 2 percent from prior quarter, primarily driven by seasonally higher compensation-related expenses and $14 million in expense related to the voluntary early retirement program

•

Credit trends

•

1Q16 net charge-offs of $96 million (0.42% of loans and leases) increased from 4Q15 NCOs of $80 million (0.34% of loans and leases)

•

Portfolio NPA ratio of 0.88% up 18 bps from 4Q15, NPL ratio of 0.75% up 20 bps from 4Q15; total nonperforming assets (NPAs) of $830 million, including loans held-for-sale (HFS), increased $171 million sequentially

•

1Q16 provision expense of $119 million; $91 million in 4Q15 and $69 million in 1Q15

•

Strong capital ratios*

•

Common equity Tier 1 (CET1) ratio 9.81%; fully phased-in CET1 ratio of 9.72%

•

Tier 1 risk-based capital ratio 10.91%, Total risk-based capital ratio 14.66%, Leverage ratio 9.57%

•

Tangible common equity ratio** of 8.97%; 8.55% excluding securities portfolio unrealized gains/losses

•

15 million reduction in common shares outstanding during the quarter

•

Book value per share of $19.46 up 5% from 4Q15 and up 9% from 1Q15; tangible book value per share** of $16.32

*	Capital ratios estimated; presented under current U.S. capital regulations.

**	Non-GAAP measure; see Reg. G reconciliation on page 32.

Fifth Third Bancorp (Nasdaq: FITB) today reported first quarter 2016 net income of $327 million versus net income of $657 million in the fourth quarter of 2015 and $361 million in the first quarter of 2015. After preferred dividends, net income available to common shareholders was $312 million, or $0.40 per diluted share, in the first quarter of 2016, compared with $634 million, or $0.79 per diluted share, in the fourth quarter of 2015, and $346 million, or $0.42 per diluted share, in the first quarter of 2015.

First quarter 2016 included:

Income

•

$47 million positive valuation adjustment on the remaining Vantiv warrant

•

$8 million gain on sale of certain St. Louis branches as part of the previously announced branch consolidation and sales plan

•

$1 million benefit related to the valuation of the Visa total return swap

Expense

•

($15 million) in severance expense, primarily consisting of $14 million related to the voluntary early retirement program

Fourth quarter 2015 included:

Income

•

$331 million gain on the sale of Vantiv shares

•

$89 million gain on Vantiv warrant actions taken during the quarter

•

$49 million payment received from Vantiv to terminate a portion of its tax receivable agreement

•

$21 million positive valuation adjustment on the remaining Vantiv warrant

•

($10 million) charge related to the valuation of the Visa total return swap

Expense

•

($2 million) in severance expense

•

($10 million) contribution to Fifth Third Foundation

Results also included a $31 million annual payment recognized from Vantiv pursuant to the tax receivable agreement recorded in other non-interest income.

First quarter 2015 included:

Income

•

$70 million positive valuation adjustment on the Vantiv warrant

•

$37 million gain on the sale of residential mortgage loans classified as troubled debt restructurings

•

($17 million) charge related to the valuation of the Visa total return swap

•

($30 million) impairment associated with aircraft leases

Expense

•

($1 million) in severance expense

•

($2 million) in litigation reserve charges

•

($4 million) contribution to Fifth Third Foundation

Earnings Highlights


	For the Three Months Ended										% Change
	March		December		September		June		March
	2016		2015		2015		2015		2015		Seq		Yr/Yr
Earnings ($ in millions)
Net income attributable to Bancorp	$	327	$	657	$	381	$	315	$	361		(50%)		(9%)
Net income available to common shareholders	$	312	$	634	$	366	$	292	$	346		(51%)		(10%)

Common Share Data
Earnings per share, basic	$	0.40	$	0.80	$	0.46	$	0.36	$	0.42		(50%)		(5%)
Earnings per share, diluted		0.40		0.79		0.45		0.36		0.42		(49%)		(5%)
Cash dividends per common share		0.13		0.13		0.13		0.13		0.13		—		—

Financial Ratios
Return on average assets		0.93%		1.83%		1.07%		0.90%		1.06%		(49%)		(12%)
Return on average common equity		8.3		17.2		10.0		8.1		9.7		(52%)		(14%)
Return on average tangible common equity^(b)		9.9		20.6		12.0		9.7		11.7		(52%)		(15%)
CET1 capital^(c)		9.81		9.82		9.40		9.42		9.52		—		3%
Tier I risk-based capital^(c)		10.91		10.93		10.49		10.51		10.62		—		3%
CET1 capital (fully-phased in)^(b)(c)		9.72		9.72		9.30		9.31		9.41		—		3%
Net interest margin^(a)		2.91		2.85		2.89		2.90		2.86		2%		2%
Efficiency^(a)		63.8		48.0		58.2		65.4		62.3		33%		2%

Common shares outstanding (in thousands)		770,471		785,080		795,439		810,054		815,190		(2%)		(5%)
Average common shares outstanding(in thousands):
Basic		773,564		784,855		795,793		803,965		810,210		(1%)		(5%)
Diluted		778,392		794,481		805,023		812,843		818,672		(2%)		(5%)

(a)

Presented on a fully taxable equivalent basis.

(b)

These ratios have been included herein to facilitate a greater understanding of the Bancorp’s capital structure and financial condition. See the Regulation G Non-GAAP Reconciliation table for a reconciliation of these ratios to U.S. GAAP.

(c)

Under the banking agencies’ Basel III Final Rule, assets and credit equivalent amounts of off-balance sheet exposures are calculated according to the standardized approach for risk-weighted assets. The resulting values are added together resulting in the Bancorp’s total risk-weighted assets used in the calculation of the tier I risk-based capital and common equity tier 1 ratios. Current period regulatory capital ratios are estimated.

NA: Not applicable.

“First quarter results were strong despite significant market volatility,” said Greg D. Carmichael, President and CEO of Fifth Third Bancorp. “Our net interest income increased from the fourth quarter, reflecting the benefit of the Fed’s December rate hike on loan yields. In addition, we had very strong results this quarter in our fee generating businesses. At the same time the results also highlight our focus on expense management. We remain cautious about the economic outlook and are continuing to look to drive better near term performance without relying on higher interest rates.”

“The first quarter of 2016 represented a critical starting point for the planned investments we discussed in January. During the quarter we also executed other expense saving initiatives, including our early retirement offer, which will positively impact our operating leverage going forward. Despite the challenging economic environment, we are making these investments now as they will help drive revenue growth and efficiency improvements, while enhancing the quality of customer service. We believe these investments will help us generate attractive and more stable returns through business cycles.”

“Economic conditions within our footprint remain relatively unchanged, and activity levels are in line with customer sentiment. Our customers continue to embrace the changes we have made to our products, services, and delivery methods as we adapt to their evolving preferences. Our focus on the customer remains at the core of our efforts.”

Income Statement Highlights


	For the Three Months Ended										% Change
	March		December		September		June		March
	2016		2015		2015		2015		2015		Seq		Yr/Yr
Condensed Statements of Income ($ in millions)
Net interest income (taxable equivalent)	$	909	$	904	$	906	$	892	$	852		1%		7%
Provision for loan and lease losses		119		91		156		79		69		31%		72%
Total non-interest income		637		1,104		713		556		630		(42%)		1%
Total non-interest expense		986		963		943		947		923		2%		7%

Income before income taxes (taxable equivalent)	$	441	$	954	$	520	$	422	$	490		(54%)		(10%)


Taxable equivalent adjustment		6		5		5		5		5		20%		20%
Applicable income tax expense		108		292		134		108		124		(63%)		(13%)

Net income	$	327	$	657	$	381	$	309	$	361		(50%)		(9%)
Less: Net income attributable to noncontrolling interests		—		—		—		(6)		—		—		—

Net income attributable to Bancorp	$	327	$	657	$	381	$	315	$	361		(50%)		(9%)
Dividends on preferred stock		15		23		15		23		15		(35%)		—

Net income available to common shareholders	$	312	$	634	$	366	$	292	$	346		(51%)		(10%)

Earnings per share, diluted	$	0.40	$	0.79	$	0.45	$	0.36	$	0.42		(49%)		(5%)

Net Interest Income


	For the Three Months Ended										% Change
	March		December		September		June		March
	2016		2015		2015		2015		2015		Seq		Yr/Yr
Interest Income ($ in millions)
Total interest income (taxable equivalent)	$	1,044	$	1,035	$	1,031	$	1,008	$	975		1%		7%
Total interest expense		135		131		125		116		123		3%		10%

Net interest income (taxable equivalent)	$	909	$	904	$	906	$	892	$	852		1%		7%


Average Yield
Yield on interest-earning assets (taxable equivalent)		3.34%		3.26%		3.29%		3.28%		3.28%		2%		2%
Rate paid on interest-bearing liabilities		0.64%		0.61%		0.58%		0.56%		0.60%		5%		7%

Net interest rate spread (taxable equivalent)		2.70%		2.65%		2.71%		2.72%		2.68%		2%		1%

Net interest margin (taxable equivalent)		2.91%		2.85%		2.89%		2.90%		2.86%		2%		2%

Average Balances ($ in millions)
Loans and leases, including held for sale	$	94,078	$	94,587	$	94,329	$	92,739	$	91,659		(1%)		3%
Total securities and other short-term investments		31,573		31,256		30,102		30,563		29,038		1%		9%
Total interest-earning assets		125,651		125,843		124,431		123,302		120,697		—		4%
Total interest-bearing liabilities		85,450		85,381		85,171		83,480		83,305		—		3%
Bancorp shareholders’ equity		16,376		15,982		15,815		15,841		15,820		2%		4%

Net interest income increased $5 million to $909 million on a fully taxable equivalent basis from the fourth quarter, primarily driven by improvement in loan yields due to the December Fed funds rate increase. The increase was partially offset by continued loan yield compression as a result of mix shift to lower yielding, higher quality credits, as well as lower consumer loan balances, a lower day count, and the reduction in the Fed stock dividend rate.

The net interest margin was 2.91 percent, an increase of 6 bps from the previous quarter. The increase was primarily driven by the impact of the December Fed funds rate hike on loan yields and a lower day count. This increase was partially offset by continued loan yield compression as a result of a mix shift to lower yielding, higher quality credits, as well as lower consumer loan balances and the reduction in the Fed stock dividend rate.

Compared with the first quarter of 2015, net interest income increased $57 million and the net interest margin increased 5 bps. The increase in net interest income was driven by the impact of higher investment securities and loan balances. The increase in the net interest margin from the prior year was primarily driven by lower cash balances held at the Fed.

Securities

Average securities and other short-term investments were $31.6 billion in the first quarter of 2016 compared with $31.3 billion in the previous quarter and $29.0 billion in the first quarter of 2015. Other short-term investments average balances of $1.9 billion decreased $377 million sequentially reflecting lower cash balances held at the Federal Reserve.

Loans


	For the Three Months Ended										% Change
	March		December		September		June		March
	2016		2015		2015		2015		2015		Seq		Yr/Yr
Average Portfolio Loans and Leases ($ in millions)
Commercial:
Commercial and industrial loans	$	43,089	$	43,154	$	43,149	$	42,550	$	41,426		—		4%
Commercial mortgage loans		6,886		7,032		7,023		7,148		7,241		(2%)		(5%)
Commercial construction loans		3,297		3,141		2,965		2,549		2,197		5%		50%
Commercial leases		3,874		3,839		3,846		3,776		3,715		1%		4%

Total commercial loans and leases	$	57,146	$	57,166	$	56,983	$	56,023	$	54,579		—		5%

Consumer:
Residential mortgage loans	$	13,788	$	13,504	$	13,144	$	12,831	$	12,433		2%		11%
Home equity		8,217		8,360		8,479		8,654		8,802		(2%)		(7%)
Automobile loans		11,283		11,670		11,877		11,902		11,933		(3%)		(5%)
Credit card		2,179		2,218		2,277		2,296		2,321		(2%)		(6%)
Other consumer loans and leases		662		676		613		467		440		(2%)		50%

Total consumer loans and leases	$	36,129	$	36,428	$	36,390	$	36,150	$	35,929		(1%)		1%

Total average loans and leases (excluding held for sale)	$	93,275	$	93,594	$	93,373	$	92,173	$	90,508		—		3%

Average loans held for sale	$	803	$	993	$	956	$	566	$	1,151		(19%)		(30%)

Average loan and lease balances (excluding loans held-for-sale) decreased $319 million sequentially and increased $2.8 billion, or 3 percent, from the first quarter of 2015. The year-over-year increase in average loans and leases was driven by increased commercial and industrial (C&I), residential mortgage and commercial construction loans. Period end loans and leases (excluding loans held-for-sale) of $93.6 billion increased $1.0 billion, or 1 percent, sequentially and increased $2.4 billion, or 3 percent, from a year ago.

Average commercial portfolio loan and lease balances were flat sequentially and increased $2.6 billion, or 5 percent, from the first quarter of 2015. Average C&I loans were flat from the prior quarter and increased $1.7 billion, or 4 percent, from the first quarter of 2015. Within commercial real estate, average commercial mortgage balances decreased $146 million and average commercial construction balances increased $156 million sequentially. Commercial line usage, on an end of period basis, increased 62 bps from the fourth quarter of 2015 and decreased 15 bps from the first quarter of 2015.

Average consumer portfolio loan and lease balances decreased $299 million sequentially and increased $200 million from the first quarter of 2015 primarily driven by average residential mortgage loans which increased 2 percent sequentially and 11 percent from a year ago. Average auto loans decreased 3 percent sequentially and 5 percent from the previous year. Average home equity loans declined 2 percent sequentially and 7 percent from the first quarter of 2015. Average credit card loans decreased 2 percent sequentially and 6 percent from the first quarter of 2015.

Period end loans held-for-sale balances of $803 million decreased $100 million sequentially and increased $79 million compared with the prior year. During the quarter, we closed on the previously announced sale of branches in St. Louis. The sale included approximately $158 million of loans and consisted primarily of residential mortgages. The sale had an impact of $51 million on average loans held for sale in the first quarter of 2016.

Deposits


	For the Three Months Ended										% Change
	March		December		September		June		March
	2016		2015		2015		2015		2015		Seq		Yr/Yr
Average Deposits ($ in millions)
Demand	$	35,201	$	36,254	$	35,231	$	35,384	$	33,760		(3%)		4%
Interest checking		25,740		25,296		25,590		26,894		26,885		2%		(4%)
Savings		14,601		14,615		14,868		15,156		15,174		—		(4%)
Money market		18,655		18,775		18,253		18,071		17,492		(1%)		7%
Foreign office^(a)		483		736		718		955		861		(34%)		(44%)

Total transaction deposits	$	94,680	$	95,676	$	94,660	$	96,460	$	94,172		(1%)		1%
Other time		4,035		4,052		4,057		4,074		4,022		—		—

Total core deposits	$	98,715	$	99,728	$	98,717	$	100,534	$	98,194		(1%)		1%
Certificates - $100,000 and over		2,815		3,305		2,924		2,558		2,683		(15%)		5%
Other		—		7		222		—		—		(100%)		—

Total average deposits	$	101,530	$	103,040	$	101,863	$	103,092	$	100,877		(1%)		1%

(a)

Includes commercial customer Eurodollar sweep balances for which the Bancorp pays rates comparable to other commercial deposit accounts.

Average core deposits decreased $1.0 billion, or 1 percent, sequentially and increased $521 million, or 1 percent, from the first quarter of 2015. Average transaction deposits decreased $996 million, or 1 percent, from the fourth quarter of 2015 and increased $508 million, or 1 percent, from the first quarter of 2015. Sequential performance was primarily driven by lower demand deposit and foreign office account balances, partially offset by higher interest checking account balances. Year-over-year growth reflected higher demand and money market account balances, partially offset by lower interest checking, savings, and foreign office account balances. Other time deposits were flat sequentially and compared with the first quarter of 2015. Average deposit balances were impacted by approximately $68 million due to the previously noted sale of branches in St. Louis. This sale included $219 million of primarily core consumer deposit balances.

Average commercial transaction deposits decreased 4 percent sequentially and 1 percent from the previous year. Sequential performance was primarily driven by seasonally lower demand deposit balances and lower money market account balances. The year-over-year decline reflected lower interest checking and foreign office account balances, partially offset by higher demand deposit and money market account balances.

Average consumer transaction deposits increased 2 percent both sequentially and from the first quarter of 2015. The sequential performance reflected higher interest checking, money market account, and demand deposit account balances. Year-over-year growth was driven by increased interest checking, money market account, and demand deposit account balances, partially offset by lower savings account balances.

Wholesale Funding


	For the Three Months Ended										% Change
	March 2016		December 2015		September 2015		June 2015		March 2015		Seq		Yr/Yr
Average Wholesale Funding ($ in millions)
Certificates - $100,000 and over	$	2,815	$	3,305	$	2,924	$	2,558	$	2,683		(15%)		5%
Other deposits		—		7		222		—		—		(100%)		—
Federal funds purchased		608		1,182		1,978		326		172		(49%)		NM
Other short-term borrowings		3,564		1,675		1,897		1,705		1,602		NM		NM
Long-term debt		14,949		15,738		14,664		13,741		14,414		(5%)		4%

Total average wholesale funding	$	21,936	$	21,907	$	21,685	$	18,330	$	18,871		—		16%

Average wholesale funding of $21.9 billion was flat sequentially, and increased $3.1 billion, or 16 percent, compared with the first quarter of 2015. The year-over-year increase in average wholesale funding was driven by higher securities balances and the impact of reducing LCR punitive deposit balances through targeted pricing changes.

Non-interest Income


	For the Three Months Ended										% Change
	March 2016		December 2015		September 2015		June 2015		March 2015		Seq		Yr/Yr
Non-interest Income ($ in millions)
Service charges on deposits	$	137	$	144	$	145	$	139	$	135		(5%)		1%
Corporate banking revenue		102		104		104		113		63		(2%)		62%
Mortgage banking net revenue		78		74		71		117		86		5%		(9%)
Investment advisory revenue		102		102		103		105		108		—		(6%)
Card and processing revenue		79		77		77		77		71		3%		11%
Other non-interest income		136		602		213		1		163		(77%)		(17%)
Securities gains, net		3		1		—		4		4		NM		(25%)

Total non-interest income	$	637	$	1,104	$	713	$	556	$	630		(42%)		1%

Non-interest income of $637 million decreased $467 million sequentially and increased $7 million compared with prior year results. The sequential and year-over-year comparisons reflect the impacts described below.

Non-interest Income excluding certain items


	For the Three Months Ended						% Change
	March 2016		December 2015		March 2015		Seq		Yr/Yr
Non-interest Income excluding certain items ($ in millions)
Non-interest income (U.S. GAAP)	$	637	$	1,104	$	630
Vantiv warrant valuation		(47)		(21)		(70)
Gain on sale of certain branches		(8)		—		—
Gain on sale of Vantiv shares		—		(331)		—
Gain on Vantiv warrant actions		—		(89)		—
Vantiv TRA settlement payment		—		(49)		—
Gain on sale of TDRs		—		—		(37)
Impairment associated with aircraft leases		—		—		30
Valuation of Visa total return swap		(1)		10		17
Securities (gains) / losses		(3)		(1)		(4)

Non-interest income excluding certain items	$	578	$	623	$	566		(7%)		2%

Excluding the items in the table above, non-interest income of $578 million decreased $45 million, or 7 percent, from the previous quarter and increased $12 million, or 2 percent, from the first quarter of 2015. The sequential decline was primarily due to the $31 million annual Vantiv tax receivable payment recorded in the fourth quarter of 2015. Year-over-year growth was driven by an increase in corporate banking revenue and card and processing revenue.

Service charges on deposits of $137 million decreased 5 percent from the fourth quarter of 2015, reflecting normal seasonality, and increased 1 percent compared with the same quarter last year. The sequential decrease reflected an 11 percent decrease in retail service charges due to seasonality. The increase from the first quarter of 2015 was due to a 4 percent increase in commercial service charges.

Corporate banking revenue of $102 million decreased $2 million compared to the fourth quarter of 2015 and increased $39 million from the first quarter of 2015. The sequential comparison reflects lower lease remarketing fees and business lending fees, partially offset by an increase in institutional sales revenue. The year-over-year increase was primarily driven by the $30 million impairment associated with aircraft leases in the first quarter of 2015 and higher loan syndications revenue, partially offset by lower foreign exchange fees.

Mortgage banking net revenue was $78 million in the first quarter of 2016, up $4 million from the fourth quarter of 2015 and down $8 million from the first quarter of 2015. Originations were stable at $1.8 billion in the current quarter, the previous quarter and in the first quarter of 2015. First quarter 2016 originations resulted in gains of $42 million on mortgages sold, compared with gains of $37 million during the previous quarter and $44 million during the first quarter of 2015. Mortgage servicing fees were $52 million this quarter, $53 million in the fourth quarter of 2015, and $59 million in the first quarter of 2015. Mortgage banking net revenue is also affected by net servicing asset valuation adjustments, which include mortgage servicing rights (MSR) amortization and MSR valuation adjustments (including mark-to-market adjustments on free-standing derivatives used to economically hedge the MSR portfolio). These net servicing asset valuation adjustments were negative $16 million in the first quarter of 2016 (reflecting MSR amortization of $27 million and MSR valuation adjustments of positive $11 million); negative $16 million in the fourth quarter of 2015 (MSR amortization of $29 million and MSR valuation adjustments of positive $13 million); and negative $17 million in the first quarter of 2015 (MSR amortization of $34 million and MSR valuation adjustments of positive $17 million). The mortgage servicing asset, net of the valuation reserve, was $685 million at quarter end on a servicing portfolio of $58 billion.

Investment advisory revenue of $102 million was flat from the fourth quarter of 2015 as seasonally higher tax related private client service revenue was offset by lower securities and brokerage fees. There was a decrease of 6 percent from the prior year primarily due to lower securities and brokerage fees and personal asset management fees due to the market decline during the quarter.

Card and processing revenue of $79 million in the first quarter of 2016 increased 3 percent sequentially and increased 11 percent from the first quarter of 2015.

Other non-interest income totaled $136 million in the first quarter of 2016, compared with $602 million in the previous quarter and $163 million in the first quarter of 2015. As previously described, the results included the adjustments in the table on page 9 with the exception of securities gains in all comparable periods. Excluding these items, other non-interest income of $80 million decreased approximately $42 million, or 34 percent, from the fourth quarter of 2015 and increased approximately $7 million, or 10 percent, from the first quarter of 2015. The sequential decrease was primarily due to the payment from Vantiv pursuant to the tax receivable agreement of $31 million recognized in the fourth quarter of 2015.

Net gains on investment securities were $3 million in the first quarter of 2016, compared with $1 million in the previous quarter and $4 million in the first quarter of 2015.

Non-interest Expense


	For the Three Months Ended										% Change
	March 2016		December 2015		September 2015		June 2015		March 2015		Seq			Yr/Yr
Non-interest Expense ($ in millions)
Salaries, wages and incentives	$	403	$	386	$	387	$	383	$	369		4	%		9	%
Employee benefits		100		74		72		78		99		35	%		1	%
Net occupancy expense		77		83		77		83		79		(7	%)		(3	%)
Technology and communications		56		59		56		54		55		(5	%)		2	%
Equipment expense		30		32		31		31		31		(6	%)		(3	%)
Card and processing expense		35		40		40		38		36		(13	%)		(3	%)
Other non-interest expense		285		289		280		280		254		(1	%)		12	%

Total non-interest expense	$	986	$	963	$	943	$	947	$	923		2	%		7	%

Non-interest expense of $986 million increased 2 percent compared with the fourth quarter of 2015 and increased 7 percent compared with the first quarter of 2015. The sequential increase was primarily due to a seasonal increase in FICA and unemployment tax expense recorded in employee benefits and a $14 million expense related to the voluntary early retirement program. The year-over-year increase reflected higher compensation expense as a result of additions primarily in risk and compliance and the benefit from a settlement of a tax liability in the first quarter of 2015 recorded in other non-interest expense.

Credit Quality


	For the Three Months Ended
	March 2016		December 2015		September 2015		June 2015		March 2015
Total net losses charged-off ($ in millions)
Commercial and industrial loans	($	46)	($	30)	($	128)	($	34)	($	38)
Commercial mortgage loans		(6)		(3)		(11)		(11)		(1)
Commercial construction loans		—		—		(3)		—		—
Commercial leases		(2)		(1)		—		—		—
Residential mortgage loans		(2)		(3)		(3)		(5)		(6)
Home equity		(8)		(9)		(9)		(9)		(14)
Automobile loans		(9)		(9)		(7)		(4)		(8)
Credit card		(20)		(19)		(21)		(21)		(21)
Other consumer loans and leases		(3)		(6)		(6)		(2)		(3)

Total net losses charged-off	($	96)	($	80)	($	188)	($	86)	($	91)

Total losses charged-off	($	116)	($	105)	($	209)	($	112)	($	115)
Total recoveries of losses previously charged-off		20		25		21		26		24

Total net losses charged-off	($	96)	($	80)	($	188)	($	86)	($	91)
Ratios (annualized)
Net losses charged-off as a percent of average portfolio loans and leases (excluding held for sale)		0.42%		0.34%		0.80%		0.37%		0.41%
Commercial		0.38%		0.24%		0.99%		0.32%		0.29%
Consumer		0.48%		0.49%		0.51%		0.46%		0.59%

Net charge-offs were $96 million, or 42 bps of average loans and leases on an annualized basis, in the first quarter of 2016 compared with net charge-offs of $80 million, or 34 bps, in the fourth quarter of 2015 and $91 million, or 41 bps, in the first quarter of 2015.

Commercial net charge-offs were $54 million, or 38 bps, and were up $20 million sequentially. The increase was primarily due to higher charge-offs of C&I Loans, which increased by $16 million from the fourth quarter of 2015. Of this increase, $9 million was in the energy portfolio and related to oil field services loans. Commercial real estate net charge-offs increased $3 million from the previous quarter.

Consumer net charge-offs were $42 million, or 48 bps, and were down $4 million sequentially. Compared with the previous quarter, net charge-offs on residential mortgage loans in the portfolio and home equity portfolio were each down $1 million. Net charge-offs in the auto portfolio were flat and net charge-offs on credit card loans were up $1 million from the fourth quarter of 2015. Net charge-offs on other consumer loans were $3 million, down $3 million the previous quarter.


	For the Three Months Ended
	March 2016		December 2015		September 2015		June 2015		March 2015
Allowance for Credit Losses ($ in millions)
Allowance for loan and lease losses, beginning	$	1,272	$	1,261	$	1,293	$	1,300	$	1,322
Total net losses charged-off		(96)		(80)		(188)		(86)		(91)
Provision for loan and lease losses		119		91		156		79		69

Allowance for loan and lease losses, ending	$	1,295	$	1,272	$	1,261	$	1,293	$	1,300

Reserve for unfunded commitments, beginning	$	138	$	134	$	132	$	130	$	135
Provision (benefit) for unfunded commitments		6		4		2		2		(4)
Charge-offs		—		—		—		—		(1)

Reserve for unfunded commitments, ending	$	144	$	138	$	134	$	132	$	130

Components of allowance for credit losses:
Allowance for loan and lease losses	$	1,295	$	1,272	$	1,261	$	1,293	$	1,300
Reserve for unfunded commitments		144		138		134		132		130

Total allowance for credit losses	$	1,439	$	1,410	$	1,395	$	1,425	$	1,430
Allowance for loan and lease losses ratio
As a percent of portfolio loans and leases		1.38%		1.37%		1.35%		1.39%		1.42%
As a percent of nonperforming loans and leases^(a)		185%		252%		275%		272%		247%
As a percent of nonperforming assets^(a)		157%		197%		208%		206%		188%

(a)

Excludes nonaccrual loans and leases in loans held for sale.

Provision for loan and lease losses totaled $119 million in the first quarter of 2016. The allowance represented 1.38 percent of total portfolio loans and leases outstanding as of quarter end, compared with 1.37 percent last quarter, and represented 185 percent of nonperforming loans and leases, and 157 percent of nonperforming assets.

The provision increased $28 million from the fourth quarter of 2015 and increased $50 million from the first quarter of 2015. The allowance for loan and lease losses increased $23 million sequentially, primarily reflecting a higher reserve build for the energy portfolio as a result of sustained low oil prices. As of March 31, the reserve allocated to the energy portfolio was approximately 6.20%, up from approximately 4.75% last quarter.


	As of
	March 2016		December2015		September2015		June2015		March 2015
Nonperforming Assets and Delinquent Loans ($ in millions)
Nonaccrual portfolio loans and leases:
Commercial and industrial loans	$	278	$	82	$	47	$	61	$	61
Commercial mortgage loans		51		56		60		49		57
Commercial construction loans		—		—		—		—		—
Commercial leases		4		—		2		2		2
Residential mortgage loans		25		28		31		35		40
Home equity		61		62		65		70		71

Total nonaccrual portfolio loans and leases (excludes restructured loans)	$	419	$	228	$	205	$	217	$	231
Nonaccrual restructured portfolio commercial loans and leases^(b)		210		203		177		175		205
Nonaccrual restructured portfolio consumer loans and leases		72		75		76		83		90

Total nonaccrual portfolio loans and leases	$	701	$	506	$	458	$	475	$	526
Repossessed property		17		18		17		16		20
OREO		107		123		131		135		145

Total nonperforming portfolio assets^(a)	$	825	$	647	$	606	$	626	$	691
Nonaccrual loans held for sale		3		1		1		1		2
Nonaccrual restructured loans held for sale		2		11		1		—		—

Total nonperforming assets	$	830	$	659	$	608	$	627	$	693


Restructured Portfolio Consumer loans and leases (accrual)	$	998	$	979	$	973	$	970	$	943
Restructured Portfolio Commercial loans and leases (accrual)^(b)	$	461	$	491	$	571	$	769	$	774

Total loans and leases 90 days past due	$	73	$	75	$	70	$	70	$	78
Nonperforming loans and leases as a percent of portfolio loans, leases and other assets, including OREO^(a)		0.75%		0.55%		0.49%		0.51%		0.57%
Nonperforming portfolio assets as a percent of portfolio loans andleases and OREO^(a)		0.88%		0.70%		0.65%		0.67%		0.76%

(a)

Does not include nonaccrual loans held for sale.

(b)

Excludes $20 million of restructured nonaccrual loans and $7 million of restructured accruing loans as of March 31, 2016 and December 31, 2015. Excludes $21 million of restructured nonaccrual loans and $7 million of restructured accruing loans as of September 30, 2015, June 30, 2015 and March 31, 2015.

Total nonperforming assets, including loans held-for-sale, increased $171 million, or 26 percent, from the previous quarter to $830 million. Nonperforming loans (NPLs) at quarter-end increased $195 million, or 39 percent, from the previous quarter to $701 million or 0.75 percent of total loans, leases and OREO.

Commercial NPAs increased $192 million, or 46 percent, from the fourth quarter to $611 million, or 1.06 percent of commercial loans, leases and OREO. Commercial NPLs increased $202 million from last quarter to $543 million, or 0.94 percent of commercial loans and leases. The increase in commercial NPAs was primarily due to an increase in C&I NPAs. C&I NPAs increased $200 million from the prior quarter to $472 million. This increase primarily reflected a $168 million increase in NPLs associated with the RBL (reserve based lending) energy portfolio and the impact of low oil prices. This increase, coupled with the collateralized nature of the RBL loans and the recognition of losses on previous individually evaluated loans, resulted in a decline in the reserve coverage of both NPLs and NPAs compared with those coverage levels in the fourth quarter of 2015. Commercial mortgage NPAs decreased $12 million from the previous quarter to $126 million. Commercial construction NPAs were flat from the previous quarter at $8 million. Commercial lease NPAs were $5 million, up $4 million from the previous quarter. Commercial NPAs included $210 million of nonaccrual troubled debt restructurings (TDRs), compared with $203 million last quarter.

Consumer NPAs decreased $14 million from the fourth quarter to $214 million, or 0.59 percent of consumer loans, leases and OREO. Consumer NPLs decreased $7 million from last quarter to $158 million, or 0.44 percent of consumer loans and leases. Residential mortgage NPAs decreased $9 million from the second quarter to $77 million. Home equity NPAs decreased $3 million, sequentially, to $95 million. Consumer nonaccrual TDRs were $72 million in the first quarter of 2016, compared with $75 million in the fourth quarter of 2015.

First quarter OREO balances included in NPA balances were down $16 million from the fourth quarter to $107 million, and included $60 million in commercial OREO and $47 million in consumer OREO. Repossessed personal property decreased $1 million from the prior quarter to $17 million.

Loans over 90 days past due and still accruing decreased $2 million from the fourth quarter of 2015 to $73 million. Commercial balances over 90 days past due were $3 million compared with $7 million in the prior quarter, and consumer balances 90 days past due increased $2 million from the previous quarter to $70 million. Loans 30-89 days past due of $208 million were down $37 million from the previous quarter. Commercial balances 30-89 days past due decreased $1 million sequentially to $34 million and consumer balances 30-89 days past due were down $36 million from the fourth quarter at $174 million. The above delinquency figures exclude nonaccruals described previously.

Capital Position


	For the Three Months Ended
	March 2016			December 2015			September 2015			June 2015			March 2015
Capital Position
Average total Bancorp shareholders’ equity to average assets		11.57	%		11.26	%		11.24	%		11.32	%		11.50	%
Tangible equity^(a)		9.51	%		9.55	%		9.29	%		9.29	%		9.37	%
Tangible common equity (excluding unrealized gains/losses)^(a)		8.55	%		8.59	%		8.33	%		8.33	%		8.40	%
Tangible common equity (including unrealized gains/losses)^(a)		8.97	%		8.71	%		8.65	%		8.51	%		8.77	%
Tangible common equity as a percent of risk-weighted assets (excluding unrealized gains/losses)^(a)(b)		9.78	%		9.80	%		9.37	%		9.39	%		9.49	%

	Basel III
Regulatory capital ratios:	Transitional
CET1 capital^(b)		9.81	%		9.82	%		9.40	%		9.42	%		9.52	%
Tier I risk-based capital^(b)		10.91	%		10.93	%		10.49	%		10.51	%		10.62	%
Total risk-based capital^(b)		14.66	%		14.13	%		13.68	%		13.69	%		14.01	%
Tier I leverage		9.57	%		9.54	%		9.38	%		9.44	%		9.59	%

CET1 capital (fully phased-in)^(a)(b)		9.72	%		9.72	%		9.30	%		9.31	%		9.41	%

Book value per share	$	19.46		$	18.48		$	18.22		$	17.62		$	17.83
Tangible book value per share^(a)	$	16.32		$	15.39		$	15.18		$	14.62		$	14.85

(a)

(b)

Under the banking agencies Basel III Final Rule, assets and credit equivalent amounts of off-balance sheet exposures are calculated based upon the standardized approach for risk-weighted assets. The resulting values are added together resulting in the Bancorp’s total risk-weighted assets.

(c)

Current period regulatory capital ratios are estimated.

Capital ratios remained strong during the quarter. The common equity Tier 1 ratio was 9.81 percent, the tangible common equity to tangible assets ratio* was 8.55 percent (excluding unrealized gains/losses), and 8.97 percent (including unrealized gains/losses). The Tier 1 risk-based capital ratio was 10.91 percent, the total risk-based capital ratio was 14.66 percent, and the Leverage ratio was 9.57 percent.

*	Non-GAAP measure; see Reg. G reconciliation on page 32.

Book value per share at March 31, 2016 was $19.46 and tangible book value per share* was $16.32, compared with the December 31, 2015 book value per share of $18.48 and tangible book value per share* of $15.39.

Fifth Third entered into or completed multiple share repurchases during the quarter. Below is a summary of those share repurchases.

•

On January 14, 2016, Fifth Third settled the forward contract related to the December 14, 2015 $215 million share repurchase agreement. An additional 1.78 million shares were repurchased in connection with the completion of this agreement.

•

On March 4, 2016, Fifth Third entered into a share repurchase agreement whereby Fifth Third would purchase approximately $240 million of its outstanding stock, which reduced the first quarter share count by 12.62 million shares.

•

On April 11, 2016, Fifth Third settled the forward contract related to the March 4, 2016 $240 million share repurchase agreement. An additional 1.87 million shares were repurchased in connection with the completion of this agreement.

In total, common shares outstanding decreased by approximately 15 million shares in the first quarter of 2016 from the fourth quarter of 2015.

Tax Rate

The effective tax rate was 25.0 percent in the first quarter of 2016 compared with 30.7 percent in the fourth quarter of 2015 and 25.6 percent in the first quarter of 2015. The sequential comparison was primarily driven by the impact of Vantiv-related transactions during the prior quarter.

Other

Fifth Third Bank owns approximately 35 million units representing an 18.3 percent interest in Vantiv Holding, LLC, convertible into shares of Vantiv, Inc., a publicly traded firm. Based upon Vantiv’s closing price of $53.88 on March 31, 2016, our interest in Vantiv was valued at approximately $1.9 billion. Next month in our 10-Q, we will update our disclosure of the carrying value of our interest in Vantiv stock, which was $360 million as of December 31, 2015. The difference between the market value and the book value of Fifth Third’s interest in Vantiv’s shares is not recognized in Fifth Third’s equity or capital. Additionally, Fifth Third has a remaining warrant to purchase approximately 7.8 million additional shares in Vantiv which is carried as a derivative asset at a fair value of $308 million as of March 31, 2016.

Conference Call

Fifth Third will host a conference call to discuss these financial results at 9:00 a.m. (Eastern Time) today. This conference call will be webcast live by Thomson Financial and may be accessed through the Fifth Third Investor Relations website at www.53.com (click on “About Fifth Third” then “Investor Relations”). Institutional investors can access the call via Thomson Financial’s password-protected event management site, StreetEvents (www.streetevents.com).

*	Non-GAAP measure; see Reg. G reconciliation on page 32.

Those unable to listen to the live webcast may access a webcast replay through the Fifth Third Investor Relations website at the same web address. Additionally, a telephone replay of the conference call will be available beginning approximately two hours after the conference call until Thursday, May 5, 2016 by dialing 800-585-8367 for domestic access or 404-537-3406 for international access (passcode 75971680#).

Corporate Profile

Fifth Third Bancorp is a diversified financial services company headquartered in Cincinnati, Ohio. As of March 31, 2016, the Company had $142 billion in assets and operates 1,241 full-service Banking Centers, including 95 Bank Mart® locations, most open seven days a week, inside select grocery stores and 2,556 ATMs in Ohio, Kentucky, Indiana, Michigan, Illinois, Florida, Tennessee, West Virginia, Pennsylvania, Georgia and North Carolina. Fifth Third operates four main businesses: Commercial Banking, Branch Banking, Consumer Lending, and Investment Advisors. Fifth Third also has an 18.3% interest in Vantiv Holding, LLC. Fifth Third is among the largest money managers in the Midwest and, as of March 31, 2016, had $303 billion in assets under care, of which it managed $26 billion for individuals, corporations and not-for-profit organizations. Investor information and press releases can be viewed at www.53.com. Fifth Third’s common stock is traded on the NASDAQ^® Global Select Market under the symbol “FITB.”

FORWARD-LOOKING STATEMENTS

This release contains statements that we believe are “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Rule 175 promulgated thereunder, and Section 21E of the Securities Exchange Act of 1934, as amended, and Rule 3b-6 promulgated thereunder. These statements relate to our financial condition, results of operations, plans, objectives, future performance or business. They usually can be identified by the use of forward-looking language such as “will likely result,” “may,” “are expected to,” “anticipates,” “potential,” “estimate,” “forecast,” “projected,” “intends to,” or may include other similar words or phrases such as “believes,” “plans,” “trend,” “objective,” “continue,” “remain,” or similar expressions, or future or conditional verbs such as “will,” “would,” “should,” “could,” “might,” “can,” or similar verbs. You should not place undue reliance on these statements, as they are subject to risks and uncertainties, including but not limited to the risk factors set forth in our most recent Annual Report on Form 10-K as updated from time to time by our Quarterly Reports on Form 10-Q. When considering these forward-looking statements, you should keep in mind these risks and uncertainties, as well as any cautionary statements we may make. Moreover, you should treat these statements as speaking only as of the date they are made and based only on information then actually known to us. There is a risk that additional information may become known during the company’s quarterly closing process or as a result of subsequent events that could affect the accuracy of the statements and financial information contained herein.

There are a number of important factors that could cause future results to differ materially from historical performance and these forward-looking statements. Factors that might cause such a difference include, but are not limited to: (1) general economic conditions and the economy weaken and become less favorable than expected, particularly in the real estate market, either nationally or in the states in which Fifth Third, one or more acquired entities and/or the combined company do business; (2) deteriorating credit quality; (3) political developments, wars or other hostilities may disrupt or increase volatility in securities markets or other economic conditions; (4) changes in the interest rate environment reduce interest margins; (5) prepayment speeds, loan origination and sale volumes, charge-offs and loan loss provisions; (6) Fifth Third’s ability to maintain required capital levels and adequate sources of funding and liquidity; (7) maintaining capital requirements and adequate sources of funding and liquidity may limit Fifth Third’s operations and potential growth; (8) changes and trends in capital markets; (9) problems encountered by larger or similar financial institutions may adversely affect the banking industry and/or Fifth Third; (10) competitive pressures among depository institutions increase significantly; (11) effects of critical accounting policies and judgments; (12) changes in accounting policies or procedures as may be required by the Financial Accounting Standards Board (FASB) or other regulatory agencies; (13) legislative or regulatory changes or actions, or significant litigation, adversely affect Fifth Third, one or more acquired entities and/or the combined company or the businesses in which Fifth Third, one or more acquired entities and/or the combined company are engaged, including the Dodd-Frank Wall Street Reform and Consumer Protection Act; (14) ability to maintain favorable ratings from rating agencies; (15) fluctuation of Fifth Third’s stock price; (16) ability to attract and retain key personnel; (17) ability to receive dividends from its subsidiaries; (18) potentially dilutive effect of future acquisitions on current shareholders’ ownership of Fifth Third; (19) effects of accounting or financial results of one or more acquired entities; (20) difficulties from Fifth Third’s investment in, relationship with, and nature of the operations of Vantiv, LLC; (21) loss of income from any sale or potential sale of businesses; (22) difficulties in separating the operations of any branches or other assets divested; (23) inability to achieve expected benefits from branch consolidations and planned sales within desired timeframes, if at all; (24) ability to secure confidential information and deliver products and services through the use of computer systems and telecommunications networks; and (25) the impact of reputational risk created by these developments on such matters as business generation and retention, funding and liquidity.

You should refer to our periodic and current reports filed with the Securities and Exchange Commission, or “SEC,” for further information on other factors, which could cause actual results to be significantly different from those expressed or implied by these forward-looking statements.

# # #

LOGO

Quarterly Financial Review for March 31, 2016

Table of Contents


Financial Highlights			19-20
Consolidated Statements of Income			21
Consolidated Statements of Income (Taxable Equivalent)			22
Consolidated Balance Sheets			23-24
Consolidated Statements of Changes in Equity			25
Average Balance Sheet and Yield Analysis			26-27
Summary of Loans and Leases			28
Regulatory Capital			29
Summary of Credit Loss Experience			30
Asset Quality			31
Regulation G Non-GAAP Reconciliation			32
Segment Presentation			33

Fifth Third Bancorp and Subsidiaries

Financial Highlights

$ in millions, except per share data

(unaudited)


	For the Three Months Ended						% Change
	March 2016		December 2015		March 2015		Seq		Yr/Yr
Income Statement Data
Net interest income^(a)	$	909	$	904	$	852		1%		7%
Non-interest income		637		1,104		630		(42%)		1%
Total revenue^(a)		1,546		2,008		1,482		(23%)		4%
Provision for loan and lease losses		119		91		69		31%		72%
Non-interest expense		986		963		923		2%		7%
Net income attributable to Bancorp		327		657		361		(50%)		(9%)
Net income available to common shareholders		312		634		346		(51%)		(10%)

Common Share Data
Earnings per share, basic	$	0.40	$	0.80	$	0.42		(50%)		(5%)
Earnings per share, diluted		0.40		0.79		0.42		(49%)		(5%)
Cash dividends per common share		0.13		0.13		0.13		—		—
Book value per share		19.46		18.48		17.83		5%		9%
Market price per share		16.69		20.10		18.85		(17%)		(11%)
Common shares outstanding (in thousands)		770,471		785,080		815,190		(2%)		(5%)
Average common shares outstanding (in thousands):
Basic		773,564		784,855		810,210		(1%)		(5%)
Diluted		778,392		794,481		818,672		(2%)		(5%)
Market capitalization	$	12,859	$	15,780	$	15,366		(19%)		(16%)

Financial Ratios
Return on average assets		0.93%		1.83%		1.06%		(49%)		(12%)
Return on average common equity		8.3%		17.2%		9.7%		(52%)		(14%)
Return on average tangible common equity^(b)(d)		9.9%		20.6%		11.7%		(52%)		(15%)
Non-interest income as a percent of total revenue		41%		55%		43%		(25%)		(5%)
Dividend payout ratio		32.5%		16.3%		31.0%		101%		5%
Average total Bancorp shareholders’ equity as a percent of average assets		11.57%		11.26%		11.50%		3%		1%
Tangible common equity^(c)(d)(j)		8.55%		8.59%		8.40%		—		2%
Net interest margin^(a)		2.91%		2.85%		2.86%		2%		2%
Efficiency^(a)		63.8%		48.0%		62.3%		33%		2%
Effective tax rate		25.0%		30.7%		25.6%		(19%)		(2%)

Credit Quality
Net losses charged-off	$	96	$	80	$	91		22%		5%
Net losses charged-off as a percent of average portfolio loans and leases		0.42%		0.34%		0.41%		24%		2%
Allowance for loan and lease losses as a percent of portfolio loans and leases		1.38%		1.37%		1.42%		1%		(3%)
Allowance for credit losses as a percent of portfolio loans and leases		1.54%		1.52%		1.57%		1%		(2%)
Nonperforming assets as a percent of portfolio loans, leases and other assets,including OREO^(e)		0.88%		0.70%		0.76%		26%		16%

Average Balances
Loans and leases, including held for sale	$	94,078	$	94,587	$	91,659		(1%)		3%
Total securities and other short-term investments		31,573		31,256		29,038		1%		9%
Total assets		141,582		141,973		137,617		—		3%
Transaction deposits^(f)		94,680		95,676		94,172		(1%)		1%
Core deposits^(g)		98,715		99,728		98,194		(1%)		1%
Wholesale funding^(h)		21,936		21,907		18,871		—		16%
Bancorp shareholders’ equity		16,376		15,982		15,820		2%		4%

	Basel III Transitional
Regulatory Capital Ratios⁽ⁱ⁾
CET1 capital^(j)		9.81%		9.82%		9.52%		—		3%
Tier I risk-based capital^(j)		10.91%		10.93%		10.62%		—		3%
Total risk-based capital^(j)		14.66%		14.13%		14.01%		4%		5%
Tier I leverage		9.57%		9.54%		9.59%		—		—
CET1 capital (fully phased-in)^(j)		9.72%		9.72%		9.41%		—		3%

Operations
Banking centers		1,241		1,254		1,303		(1%)		(4%)
ATMs		2,556		2,593		2,637		(1%)		(3%)
Full-time equivalent employees		18,200		18,261		18,471		—		(1%)

(a)

Presented on a fully taxable equivalent basis.

(b)

The return on average tangible common equity is calculated as tangible net income available to common shareholders excluding tax effected amortization of intangibles) divided by average tangible common equity (average common equity less goodwill and intangible assets).

(c)

The tangible common equity ratio is calculated as tangible common equity (shareholders’ equity less preferred stock, goodwill, intangible assets and accumulated other comprehensive income divided by tangible assets (total assets less goodwill, intangible assets and AOCI).

(d)

These ratios have been included herein to facilitate a greater understanding of the Bancorp’s capital structure and financial condition. Non-GAAP measure; see Reg. G reconciliation on page 32.

(e)

Excludes nonaccrual loans held for sale.

(f)

Includes demand, interest checking, savings, money market and foreign office deposits of commercial customers.

(g)

Includes transaction deposits plus other time deposits.

(h)

Includes certificates $100,000 and over, other deposits, federal funds purchased, other short-term borrowings and long-term debt.

(i)

Current period regulatory capital ratios are estimates.

(j)

Under the banking agencies’ Basel III Final Rule, assets and credit equivalent amounts of off-balance sheet exposures are calculated based upon the standardized approach for risk-weighted assets. The resulting values are added together resulting in the Bancorp’s total risk-weighted assets.

Fifth Third Bancorp and Subsidiaries

Financial Highlights

$ in millions, except per share data

(unaudited)


	For the Three Months Ended
	March 2016			December 2015			September 2015			June 2015			March 2015
Income Statement Data
Net interest income^(a)	$	909		$	904		$	906		$	892		$	852
Non-interest income		637			1,104			713			556			630
Total revenue^(a)		1,546			2,008			1,619			1,448			1,482
Provision for loan and lease losses		119			91			156			79			69
Non-interest expense		986			963			943			947			923
Net income attributable to Bancorp		327			657			381			315			361
Net income available to common shareholders		312			634			366			292			346

Common Share Data
Earnings per share, basic	$	0.40		$	0.80		$	0.46		$	0.36		$	0.42
Earnings per share, diluted		0.40			0.79			0.45			0.36			0.42
Cash dividends per common share		0.13			0.13			0.13			0.13			0.13
Book value per share		19.46			18.48			18.22			17.62			17.83
Market price per share		16.69			20.10			18.91			20.82			18.85
Common shares outstanding (in thousands)		770,471			785,080			795,439			810,054			815,190
Average common shares outstanding (in thousands):
Basic		773,564			784,855			795,793			803,965			810,210
Diluted		778,392			794,481			805,023			812,843			818,672
Market capitalization	$	12,859		$	15,780		$	15,042		$	16,865		$	15,366

Financial Ratios
Return on average assets		0.93	%		1.83	%		1.07	%		0.90	%		1.06	%
Return on average common equity		8.3	%		17.2	%		10.0	%		8.1	%		9.7	%
Return on average tangible common equity^(b)(d)		9.9	%		20.6	%		12.0	%		9.7	%		11.7	%
Non-interest income as a percent of total revenue		41	%		55	%		44	%		38	%		43	%
Dividend payout ratio		32.5	%		16.3	%		28.3	%		36.1	%		31.0	%
Average total Bancorp shareholders’ equity as a percent of average assets		11.57	%		11.26	%		11.24	%		11.32	%		11.50	%
Tangible common equity^(c)(d)		8.55	%		8.59	%		8.33	%		8.33	%		8.40	%
Net interest margin^(a)		2.91	%		2.85	%		2.89	%		2.90	%		2.86	%
Efficiency^(a)		63.8	%		48.0	%		58.2	%		65.4	%		62.3	%
Effective tax rate		25.0	%		30.7	%		26.0	%		26.1	%		25.6	%

Credit Quality
Net losses charged-off	$	96		$	80		$	188		$	86		$	91
Net losses charged-off as a percent of average portfolio loans and leases		0.42	%		0.34	%		0.80	%		0.37	%		0.41	%
ALLL as a percent of portfolio loans and leases		1.38	%		1.37	%		1.35	%		1.39	%		1.42	%
Allowance for credit losses as a percent of portfolio loans and leases		1.54	%		1.52	%		1.49	%		1.54	%		1.57	%
Nonperforming assets as a percent of portfolio loans, leasesand other assets, including OREO^(e)		0.88	%		0.70	%		0.65	%		0.67	%		0.76	%

Average Balances
Loans and leases, including held for sale	$	94,078		$	94,587		$	94,329		$	92,739		$	91,659
Total securities and other short-term investments		31,573			31,256			30,102			30,563			29,038
Total assets		141,582			141,973			140,706			139,960			137,617
Transaction deposits^(f)		94,680			95,676			94,660			96,460			94,172
Core deposits^(g)		98,715			99,728			98,717			100,534			98,194
Wholesale funding^(h)		21,936			21,907			21,685			18,330			18,871
Bancorp shareholders’ equity		16,376			15,982			15,815			15,841			15,820

	Basel III Transitional
Regulatory Capital Ratios⁽ⁱ⁾
CET1 capital^(j)		9.81	%		9.82	%		9.40	%		9.42	%		9.52	%
Tier I risk-based capital^(j)		10.91	%		10.93	%		10.49	%		10.51	%		10.62	%
Total risk-based capital^(j)		14.66	%		14.13	%		13.68	%		13.69	%		14.01	%
Tier I leverage		9.57	%		9.54	%		9.38	%		9.44	%		9.59	%
CET1 capital (fully phased-in)^(j)		9.72	%		9.72	%		9.30	%		9.31	%		9.41	%

Operations
Banking centers		1,241			1,254			1,295			1,299			1,303
ATMs		2,556			2,593			2,650			2,630			2,637
Full-time equivalent employees		18,200			18,261			18,311			18,527			18,471

(a)

Presented on a fully taxable equivalent basis.

(b)

(c)

(d)

The ratios have been included herein to facilitate a greater understanding of the Bancorp’s capital structure and financial condition. Non-GAAP measure; see Reg. G reconciliation on page 32.

(e)

Excludes nonaccrual loans held for sale.

(f)

Includes demand, interest checking, savings, money market and foreign office deposits of commercial customers.

(g)

Includes transaction deposits plus other time deposits.

(h)

Includes certificates $100,000 and over, other deposits, federal funds purchased, other short-term borrowings and long-term debt.

(i)

Current period regulatory capital ratios are estimates.

(j)

Fifth Third Bancorp and Subsidiaries

Consolidated Statements of Income

$ in millions

(unaudited)


	For the Three Months Ended						% Change
	March 2016		December 2015		March 2015		Seq		Yr/Yr
Interest Income
Interest and fees on loans and leases	$	804	$	797	$	778		1%		3%
Interest on securities		232		231		188		—		23%
Interest on other short-term investments		2		2		4		—		(50%)

Total interest income		1,038		1,030		970		1%		7%

Interest Expense
Interest on deposits		49		46		50		7%		(2%)
Interest on federal funds purchased		1		—		—		100%		100%
Interest on short-term borrowings		3		1		—		NM		100%
Interest on long-term debt		82		84		73		(2%)		12%

Total interest expense		135		131		123		3%		10%


Net Interest Income		903		899		847		—		7%

Provision for loan and lease losses		119		91		69		31%		72%


Net Interest Income After Provision for Loan and Lease Losses		784		808		778		(3%)		1%

Non-interest Income
Service charges on deposits		137		144		135		(5%)		1%
Corporate banking revenue		102		104		63		(2%)		62%
Mortgage banking net revenue		78		74		86		5%		(9%)
Investment advisory revenue		102		102		108		—		(6%)
Card and processing revenue		79		77		71		3%		11%
Other non-interest income		136		602		163		(77%)		(17%)
Securities gains, net		3		1		4		NM		(25%)

Total non-interest income		637		1,104		630		(42%)		1%

Non-interest Expense
Salaries, wages and incentives		403		386		369		4%		9%
Employee benefits		100		74		99		35%		1%
Net occupancy expense		77		83		79		(7%)		(3%)
Technology and communications		56		59		55		(5%)		2%
Equipment expense		30		32		31		(6%)		(3%)
Card and processing expense		35		40		36		(13%)		(3%)
Other non-interest expense		285		289		254		(1%)		12%

Total non-interest expense		986		963		923		2%		7%
Income Before Income Taxes		435		949		485		(54%)		(10%)
Applicable income tax expense		108		292		124		(63%)		(13%)

Net Income		327		657		361		(50%)		(9%)
Less: Net income attributable to noncontrolling interests		—		—		—		—		—

Net Income Attributable to Bancorp		327		657		361		(50%)		(9%)
Dividends on preferred stock		15		23		15		(35%)		—

Net Income Available to Common Shareholders	$	312	$	634	$	346		(51%)		(10%)

Fifth Third Bancorp and Subsidiaries

Consolidated Statements of Income (Taxable Equivalent)

$ in millions

(unaudited)


	For the Three Months Ended
	March 2016		December 2015		September 2015		June 2015		March 2015
Interest Income
Interest and fees on loans and leases	$	804	$	797	$	795	$	782	$	778
Interest on securities		232		231		230		219		188
Interest on other short-term investments		2		2		1		2		4

Total interest income		1,038		1,030		1,026		1,003		970
Taxable equivalent adjustment		6		5		5		5		5

Total interest income (taxable equivalent)		1,044		1,035		1,031		1,008		975

Interest Expense
Interest on deposits		49		46		44		46		50
Interest on federal funds purchased		1		—		—		—		—
Interest on other short-term borrowings		3		1		1		1		—
Interest on long-term debt		82		84		80		69		73

Total interest expense		135		131		125		116		123


Net Interest Income (Taxable Equivalent)		909		904		906		892		852

Provision for loan and lease losses		119		91		156		79		69

Net Interest Income (Taxable Equivalent) After Provision for Provision for Loan and Lease Losses		790		813		750		813		783

Non-interest Income
Service charges on deposits		137		144		145		139		135
Corporate banking revenue		102		104		104		113		63
Mortgage banking net revenue		78		74		71		117		86
Investment advisory revenue		102		102		103		105		108
Card and processing revenue		79		77		77		77		71
Other non-interest income		136		602		213		1		163
Securities gains, net		3		1		—		4		4

Total non-interest income		637		1,104		713		556		630

Non-interest Expense
Salaries, wages and incentives		403		386		387		383		369
Employee benefits		100		74		72		78		99
Net occupancy expense		77		83		77		83		79
Technology and communications		56		59		56		54		55
Equipment expense		30		32		31		31		31
Card and processing expense		35		40		40		38		36
Other non-interest expense		285		289		280		280		254

Total non-interest expense		986		963		943		947		923

Income Before Income Taxes (Taxable Equivalent)		441		954		520		422		490
Taxable equivalent adjustment		6		5		5		5		5

Income Before Income Taxes		435		949		515		417		485
Applicable income tax expense		108		292		134		108		124

Net Income		327		657		381		309		361
Less: Net Income attributable to noncontrolling interests		—		—		—		(6)		—

Net Income Attributable to Bancorp		327		657		381		315		361
Dividends on preferred stock		15		23		15		23		15

Net Income Available to Common Shareholders	$	312	$	634	$	366	$	292	$	346

Fifth Third Bancorp and Subsidiaries

Consolidated Balance Sheets

$ in millions, except per share data

(unaudited)


	As of						% Change
	March		December		March
	2016		2015		2015		Seq		Yr/Yr
Assets
Cash and due from banks	$	2,298	$	2,540	$	2,920		(10%)		(21%)
Available-for-sale and other securities^(a)		29,891		29,044		26,409		3%		13%
Held-to-maturity securities^(b)		64		70		177		(9%)		(64%)
Trading securities		405		386		392		5%		3%
Other short-term investments		1,778		2,671		4,919		(33%)		(64%)
Loans held for sale		803		903		724		(11%)		11%
Portfolio loans and leases:
Commercial and industrial loans		43,433		42,131		42,052		3%		3%
Commercial mortgage loans		6,864		6,957		7,209		(1%)		(5%)
Commercial construction loans		3,428		3,214		2,302		7%		49%
Commercial leases		3,956		3,854		3,786		3%		4%
Residential mortgage loans		13,895		13,716		12,569		1%		11%
Home equity		8,112		8,301		8,714		(2%)		(7%)
Automobile loans		11,128		11,493		11,873		(3%)		(6%)
Credit card		2,138		2,259		2,291		(5%)		(7%)
Other consumer loans and leases		651		657		448		(1%)		45%

Portfolio loans and leases		93,605		92,582		91,244		1%		3%
Allowance for loan and lease losses		(1,295)		(1,272)		(1,300)		2%		—

Portfolio loans and leases, net		92,310		91,310		89,944		1%		3%
Bank premises and equipment		2,185		2,239		2,433		(2%)		(10%)
Operating lease equipment		738		707		695		4%		6%
Goodwill		2,416		2,416		2,416		—		—
Intangible assets		11		12		14		(8%)		(21%)
Servicing rights		685		785		789		(13%)		(13%)
Other assets		8,846		7,965		8,605		11%		3%

Total Assets	$	142,430	$	141,048	$	140,437		1%		1%


Liabilities
Deposits:
Demand	$	35,858	$	36,267	$	35,343		(1%)		1%
Interest checking		25,182		26,768		27,191		(6%)		(7%)
Savings		14,738		14,601		15,355		1%		(4%)
Money market		19,377		18,494		18,105		5%		7%
Foreign office		441		464		811		(5%)		(46%)
Other time		4,049		4,019		4,044		1%		—
Certificates $100,000 and over		2,830		2,592		2,566		9%		10%

Total deposits		102,475		103,205		103,415		(1%)		(1%)
Federal funds purchased		134		151		200		(11%)		(33%)
Other short-term borrowings		3,523		1,507		1,413		NM		NM
Accrued taxes, interest and expenses		2,011		2,164		1,979		(7%)		2%
Other liabilities		2,627		2,341		3,504		12%		(25%)
Long-term debt		15,305		15,810		14,022		(3%)		9%

Total Liabilities		126,075		125,178		124,533		1%		1%

Equity
Common stock^(c)		2,051		2,051		2,051		—		—
Preferred stock		1,331		1,331		1,331		—		—
Capital surplus		2,686		2,666		2,659		1%		1%
Retained earnings		12,570		12,358		11,380		2%		10%
Accumulated other comprehensive income		684		197		588		NM		16%
Treasury stock		(2,999)		(2,764)		(2,145)		9%		40%

Total Bancorp shareholders’ equity		16,323		15,839		15,864		3%		3%
Noncontrolling interests		32		31		40		3%		(20%)

Total Equity		16,355		15,870		15,904		3%		3%

Total Liabilities and Equity	$	142,430	$	141,048	$	140,437		1%		1%

(a) Amortized cost	$	28,838	$	28,678	$	25,475		1%		13%
(b) Market values		64		70		177		(9%)		(64%)
(c) Common shares, stated value $2.22 per share (in thousands):
Authorized		2,000,000		2,000,000		2,000,000		—		—
Outstanding, excluding treasury		770,471		785,080		815,190		(2%)		(5%)
Treasury		153,422		138,812		108,702		11%		41%

Fifth Third Bancorp and Subsidiaries

Consolidated Balance Sheets

$ in millions, except per share data

(unaudited)


	As of
	March			December			September			June			March
	2016			2015			2015			2015			2015
Assets
Cash and due from banks	$	2,298		$	2,540		$	2,455		$	2,785		$	2,920
Available-for-sale and other securities^(a)		29,891			29,044			28,799			27,987			26,409
Held-to-maturity securities^(b)		64			70			157			157			177
Trading securities		405			386			374			370			392
Other short-term investments		1,778			2,671			1,994			3,451			4,919
Loans held for sale		803			903			994			995			724
Portfolio loans and leases:
Commercial and industrial loans		43,433			42,131			42,948			42,800			42,052
Commercial mortgage loans		6,864			6,957			7,061			7,150			7,209
Commercial construction loans		3,428			3,214			3,101			2,709			2,302
Commercial leases		3,956			3,854			3,898			3,881			3,786
Residential mortgage loans		13,895			13,716			13,392			12,933			12,569
Home equity		8,112			8,301			8,427			8,547			8,714
Automobile loans		11,128			11,493			11,826			11,909			11,873
Credit card		2,138			2,259			2,229			2,278			2,291
Other consumer loans and leases		651			657			692			496			448

Portfolio loans and leases		93,605			92,582			93,574			92,703			91,244
Allowance for loan and lease losses		(1,295	)		(1,272	)		(1,261	)		(1,293	)		(1,300	)

Portfolio loans and leases, net		92,310			91,310			92,313			91,410			89,944
Bank premises and equipment		2,185			2,239			2,264			2,298			2,433
Operating lease equipment		738			707			680			670			695
Goodwill		2,416			2,416			2,416			2,416			2,416
Intangible assets		11			12			13			13			14
Servicing rights		685			785			757			854			789
Other assets		8,846			7,965			8,667			8,222			8,605

Total Assets	$	142,430		$	141,048		$	141,883		$	141,628		$	140,437


Liabilities
Deposits:
Demand	$	35,858		$	36,267		$	34,832		$	35,449		$	35,343
Interest checking		25,182			26,768			24,832			27,074			27,191
Savings		14,738			14,601			14,632			14,976			15,355
Money market		19,377			18,494			18,887			17,900			18,105
Foreign office		441			464			754			728			811
Other time		4,049			4,019			4,041			4,050			4,044
Certificates $100,000 and over		2,830			2,592			2,915			2,846			2,566

Total deposits		102,475			103,205			100,893			103,023			103,415
Federal funds purchased		134			151			132			126			200
Other short-term borrowings		3,523			1,507			4,904			4,136			1,413
Accrued taxes, interest and expenses		2,011			2,164			1,990			1,858			1,979
Other liabilities		2,627			2,341			2,614			3,356			3,504
Long-term debt		15,305			15,810			15,492			13,491			14,022

Total Liabilities		126,075			125,178			126,025			125,990			124,533

Equity
Common stock^(c)		2,051			2,051			2,051			2,051			2,051
Preferred stock		1,331			1,331			1,331			1,331			1,331
Capital surplus		2,686			2,666			2,659			2,632			2,659
Retained earnings		12,570			12,358			11,826			11,564			11,380
Accumulated other comprehensive income		684			197			522			291			588
Treasury stock		(2,999	)		(2,764	)		(2,563	)		(2,264	)		(2,145	)

Total Bancorp shareholders’ equity		16,323			15,839			15,826			15,605			15,864
Noncontrolling interests		32			31			32			33			40

Total Equity		16,355			15,870			15,858			15,638			15,904

Total Liabilities and Equity	$	142,430		$	141,048		$	141,883		$	141,628		$	140,437

(a) Amortized cost	$	28,838		$	28,678		$	27,986		$	27,483		$	25,475
(b) Market values		64			70			157			157			177
(c) Common shares, stated value $2.22 per share (in thousands):
Authorized		2,000,000			2,000,000			2,000,000			2,000,000			2,000,000
Outstanding, excluding treasury		770,471			785,080			795,439			810,054			815,190
Treasury		153,422			138,812			128,453			113,838			108,702

Fifth Third Bancorp and Subsidiaries

Consolidated Statements of Changes in Equity

$ in millions

(unaudited)


	For the Three Months Ended
	March			March
	2016			2015
Total equity, beginning	$	15,870		$	15,665
Net income attributable to Bancorp		327			361
Other comprehensive income, net of tax:
Change in unrealized gains:
Available-for-sale securities		447			133
Qualifying cash flow hedges		39			24
Change in accumulated other comprehensive income related to employee benefit plans		1			2

Comprehensive income		814			520

Cash dividends declared:
Common stock		(100	)		(106	)
Preferred stock		(15	)		(15	)
Impact of stock transactions under stock compensation plans, net		24			21
Shares acquired for treasury		(240	)		(180	)
Noncontrolling interest		1			1
Other		1			(2	)

Total equity, ending	$	16,355		$	15,904

Fifth Third Bancorp and Subsidiaries

Average Balance Sheet and Yield Analysis

$ in millions, except share data

(unaudited)


	For the Three Months Ended						% Change
	March		December		March
	2016		2015		2015		Seq		Yr/Yr
Assets
Interest-earning assets:
Commercial and industrial loans	$	43,127	$	43,175	$	41,462		—		4%
Commercial mortgage loans		6,908		7,053		7,248		(2%)		(5%)
Commercial construction loans		3,297		3,141		2,198		5%		50%
Commercial leases		3,875		3,841		3,716		1%		4%
Residential mortgage loans		14,405		14,315		13,515		1%		7%
Home equity		8,241		8,394		8,802		(2%)		(6%)
Automobile loans		11,285		11,674		11,933		(3%)		(5%)
Credit card		2,277		2,320		2,321		(2%)		(2%)
Other consumer loans and leases		663		674		464		(2%)		43%
Taxable securities		29,619		28,951		23,102		2%		28%
Tax exempt securities		78		52		59		50%		32%
Other short-term investments		1,876		2,253		5,877		(17%)		(68%)

Total interest-earning assets		125,651		125,843		120,697		—		4%
Cash and due from banks		2,335		2,466		2,830		(5%)		(17%)
Other assets		14,869		14,925		15,412		—		(4%)
Allowance for loan and lease losses		(1,273)		(1,261)		(1,322)		1%		(4%)

Total Assets	$	141,582	$	141,973	$	137,617		—		3%


Liabilities
Interest-bearing liabilities:
Interest checking deposits	$	25,740	$	25,296	$	26,885		2%		(4%)
Savings deposits		14,601		14,615		15,174		—		(4%)
Money market deposits		18,655		18,775		17,492		(1%)		7%
Foreign office deposits		483		736		861		(34%)		(44%)
Other time deposits		4,035		4,052		4,022		—		—
Certificates $100,000 and over		2,815		3,305		2,683		(15%)		5%
Other deposits		—		7		—		(100%)		—
Federal funds purchased		608		1,182		172		(49%)		NM
Other short-term borrowings		3,564		1,675		1,602		NM		NM
Long-term debt		14,949		15,738		14,414		(5%)		4%

Total interest-bearing liabilities		85,450		85,381		83,305		—		3%
Demand deposits		35,201		36,254		33,760		(3%)		4%
Other liabilities		4,524		4,325		4,693		5%		(4%)

Total Liabilities		125,175		125,960		121,758		(1%)		3%
Total Equity		16,407		16,013		15,859		2%		3%

Total Liabilities and Equity	$	141,582	$	141,973	$	137,617		—		3%


Yield Analysis
Interest-earning assets:
Commercial and industrial loans^(a)		3.23%		3.12%		3.16%		4%		2%
Commercial mortgage loans^(a)		3.27%		3.11%		3.27%		5%		—
Commercial construction loans^(a)		3.38%		3.18%		3.23%		6%		5%
Commercial leases^(a)		2.77%		2.68%		2.90%		3%		(4%)
Residential mortgage loans		3.63%		3.62%		3.83%		—		(5%)
Home equity		3.80%		3.57%		3.66%		6%		4%
Automobile loans		2.65%		2.67%		2.68%		(1%)		(1%)
Credit card		10.64%		10.17%		10.22%		5%		4%
Other consumer loans and leases		6.27%		6.95%		10.79%		(10%)		(42%)

Total loans and leases		3.46%		3.36%		3.46%		3%		—
Taxable securities		3.14%		3.16%		3.30%		(1%)		(5%)
Tax exempt securities^(a)		4.32%		5.69%		5.24%		(24%)		(18%)
Other short-term investments		0.42%		0.28%		0.25%		50%		68%

Total interest-earning assets		3.34%		3.26%		3.28%		2%		2%

Interest-bearing liabilities:
Interest checking deposits		0.23%		0.19%		0.20%		21%		15%
Savings deposits		0.04%		0.05%		0.07%		(20%)		(43%)
Money market deposits		0.25%		0.22%		0.32%		14%		(22%)
Foreign office deposits		0.15%		0.14%		0.20%		7%		(25%)
Other time deposits		1.22%		1.20%		1.17%		2%		4%
Certificates $100,000 and over		1.28%		1.09%		1.16%		17%		10%
Other deposits		0.00%		0.09%		0.00%		(100%)		—
Federal funds purchased		0.36%		0.12%		0.09%		NM		NM
Other short-term borrowings		0.39%		0.12%		0.11%		NM		NM
Long-term debt		2.22%		2.12%		2.03%		5%		9%

Total interest-bearing liabilities		0.64%		0.61%		0.60%		5%		7%

Ratios:
Net interest margin (taxable equivalent)		2.91%		2.85%		2.86%		2%		2%
Net interest rate spread (taxable equivalent)		2.70%		2.65%		2.68%		2%		1%
Interest-bearing liabilities to interest-earning assets		68.01%		67.85%		69.02%		—		(1%)

(a)

Presented on a fully taxable equivalent basis.

Fifth Third Bancorp and Subsidiaries

Average Balance Sheet and Yield Analysis

$ in millions, except share data

(unaudited)


	For the Three Months Ended
	March		December		September		June		March
	2016		2015		2015		2015		2015
Assets
Interest-earning assets:
Commercial and industrial loans	$	43,127	$	43,175	$	43,162	$	42,554	$	41,462
Commercial mortgage loans		6,908		7,053		7,038		7,149		7,248
Commercial construction loans		3,297		3,141		2,966		2,549		2,198
Commercial leases		3,875		3,841		3,847		3,776		3,716
Residential mortgage loans		14,405		14,315		13,976		13,375		13,515
Home equity		8,241		8,394		8,521		8,655		8,802
Automobile loans		11,285		11,674		11,881		11,902		11,933
Credit card		2,277		2,320		2,277		2,296		2,321
Other consumer loans and leases		663		674		661		483		464
Taxable securities		29,619		28,951		28,251		27,344		23,102
Tax exempt securities		78		52		52		59		59
Other short-term investments		1,876		2,253		1,799		3,160		5,877

Total interest-earning assets		125,651		125,843		124,431		123,302		120,697
Cash and due from banks		2,335		2,466		2,503		2,636		2,830
Other assets		14,869		14,925		15,064		15,322		15,412
Allowance for loan and lease losses		(1,273)		(1,261)		(1,292)		(1,300)		(1,322)

Total Assets	$	141,582	$	141,973	$	140,706	$	139,960	$	137,617

Liabilities
Interest-bearing liabilities:
Interest checking deposits	$	25,740	$	25,296	$	25,590	$	26,894	$	26,885
Savings deposits		14,601		14,615		14,868		15,156		15,174
Money market deposits		18,655		18,775		18,253		18,071		17,492
Foreign office deposits		483		736		718		955		861
Other time deposits		4,035		4,052		4,057		4,074		4,022
Certificates $100,000 and over		2,815		3,305		2,924		2,558		2,683
Other deposits		—		7		222		—		—
Federal funds purchased		608		1,182		1,978		326		172
Other short-term borrowings		3,564		1,675		1,897		1,705		1,602
Long-term debt		14,949		15,738		14,664		13,741		14,414

Total interest-bearing liabilities		85,450		85,381		85,171		83,480		83,305
Demand deposits		35,201		36,254		35,231		35,384		33,760
Other liabilities		4,524		4,325		4,458		5,215		4,693

Total Liabilities		125,175		125,960		124,860		124,079		121,758
Total Equity		16,407		16,013		15,846		15,881		15,859

Total Liabilities and Equity	$	141,582	$	141,973	$	140,706	$	139,960	$	137,617

Yield Analysis
Interest-earning assets:
Commercial and industrial loans^(a)		3.23%		3.12%		3.11%		3.14%		3.16%
Commercial mortgage loans^(a)		3.27%		3.11%		3.17%		3.22%		3.27%
Commercial construction loans^(a)		3.38%		3.18%		3.13%		3.17%		3.23%
Commercial leases^(a)		2.77%		2.68%		2.72%		2.83%		2.90%
Residential mortgage loans		3.63%		3.62%		3.63%		3.69%		3.83%
Home equity		3.80%		3.57%		3.61%		3.66%		3.66%
Automobile loans		2.65%		2.67%		2.62%		2.65%		2.68%
Credit card		10.64%		10.17%		10.38%		10.33%		10.22%
Other consumer loans and leases		6.27%		6.95%		6.81%		8.49%		10.79%

Total loans and leases		3.46%		3.36%		3.36%		3.41%		3.46%
Taxable securities		3.14%		3.16%		3.23%		3.20%		3.30%
Tax exempt securities^(a)		4.32%		5.69%		5.20%		4.82%		5.24%
Other short-term investments		0.42%		0.28%		0.23%		0.25%		0.25%

Total interest-earning assets		3.34%		3.26%		3.29%		3.28%		3.28%

Interest-bearing liabilities:
Interest checking deposits		0.23%		0.19%		0.18%		0.19%		0.20%
Savings deposits		0.04%		0.05%		0.05%		0.05%		0.07%
Money market deposits		0.25%		0.22%		0.21%		0.23%		0.32%
Foreign office deposits		0.15%		0.14%		0.14%		0.14%		0.20%
Other time deposits		1.22%		1.20%		1.19%		1.24%		1.17%
Certificates $100,000 and over		1.28%		1.09%		1.16%		1.24%		1.16%
Other deposits		0.00%		0.09%		0.16%		0.00%		0.00%
Federal funds purchased		0.36%		0.12%		0.14%		0.12%		0.09%
Other short-term borrowings		0.39%		0.12%		0.13%		0.12%		0.11%
Long-term debt		2.22%		2.12%		2.16%		2.04%		2.03%

Total interest-bearing liabilities		0.64%		0.61%		0.58%		0.56%		0.60%

Ratios:
Net interest margin (taxable equivalent)		2.91%		2.85%		2.89%		2.90%		2.86%
Net interest rate spread (taxable equivalent)		2.70%		2.65%		2.71%		2.72%		2.68%
Interest-bearing liabilities to interest-earning assets		68.01%		67.85%		68.45%		67.70%		69.02%

(a)

Presented on a fully taxable equivalent basis.

Fifth Third Bancorp and Subsidiaries

Summary of Loans and Leases

$ in millions

(unaudited)


	For the Three Months Ended
	March		December		September		June		March
	2016		2015		2015		2015		2015
Average Portfolio Loans and Leases
Commercial loans and leases:
Commercial and industrial loans	$	43,089	$	43,154	$	43,149	$	42,550	$	41,426
Commercial mortgage loans		6,886		7,032		7,023		7,148		7,241
Commercial construction loans		3,297		3,141		2,965		2,549		2,197
Commercial leases		3,874		3,839		3,846		3,776		3,715

Total commercial loans and leases		57,146		57,166		56,983		56,023		54,579
Consumer loans and leases:
Residential mortgage loans		13,788		13,504		13,144		12,831		12,433
Home equity		8,217		8,360		8,479		8,654		8,802
Automobile loans		11,283		11,670		11,877		11,902		11,933
Credit card		2,179		2,218		2,277		2,296		2,321
Other consumer loans and leases		662		676		613		467		440

Total consumer loans and leases		36,129		36,428		36,390		36,150		35,929

Total average portfolio loans and leases	$	93,275	$	93,594	$	93,373	$	92,173	$	90,508


Average loans held for sale	$	803	$	993	$	956	$	566	$	1,151

End of Period Portfolio Loans and Leases
Commercial loans and leases:
Commercial and industrial loans	$	43,433	$	42,131	$	42,948	$	42,800	$	42,052
Commercial mortgage loans		6,864		6,957		7,061		7,150		7,209
Commercial construction loans		3,428		3,214		3,101		2,709		2,302
Commercial leases		3,956		3,854		3,898		3,881		3,786

Total commercial loans and leases		57,681		56,156		57,008		56,540		55,349
Consumer loans and leases:
Residential mortgage loans		13,895		13,716		13,392		12,933		12,569
Home equity		8,112		8,301		8,427		8,547		8,714
Automobile loans		11,128		11,493		11,826		11,909		11,873
Credit card		2,138		2,259		2,229		2,278		2,291
Other consumer loans and leases		651		657		692		496		448

Total consumer loans and leases		35,924		36,426		36,566		36,163		35,895

Total portfolio loans and leases	$	93,605	$	92,582	$	93,574	$	92,703	$	91,244


Total loans held for sale	$	803	$	903	$	994	$	995	$	724

Operating lease equipment	$	738	$	707	$	680	$	670	$	695

Loans and Leases Serviced for Others:^(a)
Commercial and industrial loans	$	552	$	588	$	589	$	594	$	609
Commercial mortgage loans		231		239		260		266		279
Commercial construction loans		26		27		26		25		21
Commercial leases		262		256		252		260		257
Residential mortgage loans		57,758		59,024		60,301		61,727		64,178
Automobile loans		102		122		146		174		203

Total loans and leases serviced for others		58,931		60,256		61,574		63,046		65,547

Total loans and leases serviced	$	154,077	$	154,448	$	156,822	$	157,414	$	158,210

(a)

Fifth Third sells certain loans and leases and obtains servicing responsibilities.

Fifth Third Bancorp and Subsidiaries

Regulatory Capital

$ in millions

(unaudited)


	Basel III Transitional
	As of
	March			December			September			June			March
	2016^(a)			2015			2015			2015			2015
Regulatory capital:
Common stock and related surplus (net of treasury stock)		1,738		$	1,953		$	2,147		$	2,419			2,565
Retained earnings		12,570			12,358			11,826			11,564			11,380
Common equity tier I capital adjustments and deductions		(2,394	)		(2,394	)		(2,399	)		(2,401	)		(2,402	)

CET1 capital		11,914			11,917			11,574			11,582			11,543
Additional tier I capital		1,330			1,343			1,340			1,340			1,339

Tier I capital		13,244			13,260			12,914		$	12,922		$	12,882
Tier II capital		4,553			3,874			3,935			3,909			4,112

Total regulatory capital	$	17,797		$	17,134		$	16,849		$	16,831		$	16,994

Risk-weighted assets^(b)	$	121,432		$	121,290		$	123,148		$	122,986		$	121,310

Ratios:
Average shareholders’ equity to average assets		11.57	%		11.26	%		11.24	%		11.32	%		11.50	%

Regulatory capital ratios:
	Basel III Transitional
	Basel III Transitional
Fifth Third Bancorp
CET1 capital^(b)		9.81	%		9.82	%		9.40	%		9.42	%		9.52	%
Tier I risk-based capital^(b)		10.91	%		10.93	%		10.49	%		10.51	%		10.62	%
Total risk-based capital^(b)		14.66	%		14.13	%		13.68	%		13.69	%		14.01	%
Tier I leverage		9.57	%		9.54	%		9.38	%		9.44	%		9.59	%
CET1 capital (fully phased-in)^(b)(c)		9.72	%		9.72	%		9.30	%		9.31	%		9.41	%

Fifth Third Bank
Tier I risk-based capital^(b)		11.79	%		11.92	%		11.39	%		11.25	%		11.36	%
Total risk-based capital^(b)		13.63	%		13.12	%		12.55	%		12.44	%		12.58	%
Tier I leverage		10.39	%		10.43	%		10.21	%		10.14	%		10.30	%

(a)

Current period regulatory capital data and ratios are estimated.

(b)

(c)

This ratio has been included herein to facilitate a greater understanding of the Bancorp’s capital structure and financial condition. Non-GAAP measure; see Reg. G reconciliation on page 32.

Fifth Third Bancorp and Subsidiaries

Summary of Credit Loss Experience

$ in millions

(unaudited)


	For the Three Months Ended
	March 2016		December 2015		September 2015		June 2015		March 2015
Average portfolio loans and leases:
Commercial and industrial loans	$	43,089	$	43,154	$	43,149	$	42,550	$	41,426
Commercial mortgage loans		6,886		7,032		7,023		7,148		7,241
Commercial construction loans		3,297		3,141		2,965		2,549		2,197
Commercial leases		3,874		3,839		3,846		3,776		3,715
Residential mortgage loans		13,788		13,504		13,144		12,831		12,433
Home equity		8,217		8,360		8,479		8,654		8,802
Automobile loans		11,283		11,670		11,877		11,902		11,933
Credit card		2,179		2,218		2,277		2,296		2,321
Other consumer loans and leases		662		676		613		467		440

Total average portfolio loans and leases	$	93,275	$	93,594	$	93,373	$	92,173	$	90,508


Losses charged-off:
Commercial and industrial loans	($	50)	($	38)	($	133)	($	40)	($	43)
Commercial mortgage loans		(8)		(7)		(13)		(14)		(5)
Commercial construction loans		—		—		(3)		—		—
Commercial leases		(2)		(1)		—		—		—
Residential mortgage loans		(4)		(5)		(6)		(8)		(9)
Home equity		(11)		(13)		(13)		(13)		(17)
Automobile loans		(14)		(13)		(11)		(9)		(13)
Credit card		(23)		(22)		(24)		(24)		(24)
Other consumer loans and leases		(4)		(6)		(6)		(4)		(4)

Total losses charged-off	($	116)	($	105)	($	209)	($	112)	($	115)

Recoveries of losses previously charged-off:
Commercial and industrial loans	$	4	$	8	$	5	$	6	$	5
Commercial mortgage loans		2		4		2		3		4
Commercial construction loans		—		—		—		—		—
Commercial leases		—		—		—		—		—
Residential mortgage loans		2		2		3		3		3
Home equity		3		4		4		4		3
Automobile loans		5		4		4		5		5
Credit card		3		3		3		3		3
Other consumer loans and leases		1		—		—		2		1

Total recoveries of losses previously charged-off	$	20	$	25	$	21	$	26	$	24

Net losses charged-off:
Commercial and industrial loans	($	46)	($	30)	($	128)	($	34)	($	38)
Commercial mortgage loans		(6)		(3)		(11)		(11)		(1)
Commercial construction loans		—		—		(3)		—		—
Commercial leases		(2)		(1)		—		—		—
Residential mortgage loans		(2)		(3)		(3)		(5)		(6)
Home equity		(8)		(9)		(9)		(9)		(14)
Automobile loans		(9)		(9)		(7)		(4)		(8)
Credit card		(20)		(19)		(21)		(21)		(21)
Other consumer loans and leases		(3)		(6)		(6)		(2)		(3)

Total net losses charged-off	($	96)	($	80)	($	188)	($	86)	($	91)


Net losses charged-off as a percent of average portfolio loans and leases:
Commercial and industrial loans		0.43%		0.28%		1.17%		0.32%		0.38%
Commercial mortgage loans		0.35%		0.19%		0.66%		0.62%		0.05%
Commercial construction loans		(0.06%)		0.00%		0.43%		0.00%		(0.06%)
Commercial leases		0.20%		0.15%		0.00%		(0.01%)		0.00%
Residential mortgage loans		0.07%		0.08%		0.10%		0.16%		0.19%
Home equity		0.36%		0.39%		0.42%		0.41%		0.61%
Automobile loans		0.32%		0.31%		0.23%		0.14%		0.28%
Credit card		3.73%		3.40%		3.77%		3.62%		3.60%
Other consumer loans and leases		2.28%		3.10%		3.52%		2.45%		4.02%

Total net losses charged-off as a percent of average portfolio loans and leases		0.42%		0.34%		0.80%		0.37%		0.41%

Fifth Third Bancorp and Subsidiaries

Asset Quality

$ in millions

(unaudited)


	For the Three Months Ended
	March 2016		December 2015		September 2015		June 2015		March 2015
Allowance for Credit Losses
Allowance for loan and lease losses, beginning	$	1,272	$	1,261	$	1,293	$	1,300	$	1,322
Total net losses charged-off		(96)		(80)		(188)		(86)		(91)
Provision for loan and lease losses		119		91		156		79		69

Allowance for loan and lease losses, ending	$	1,295	$	1,272	$	1,261	$	1,293	$	1,300

Reserve for unfunded commitments, beginning	$	138	$	134	$	132	$	130	$	135
Provision (benefit) for unfunded commitments		6		4		2		2		(4)
Charge-offs		—		—		—		—		(1)

Reserve for unfunded commitments, ending	$	144	$	138	$	134	$	132	$	130


Components of allowance for credit losses:
Allowance for loan and lease losses	$	1,295	$	1,272	$	1,261	$	1,293	$	1,300
Reserve for unfunded commitments		144		138		134		132		130

Total allowance for credit losses	$	1,439	$	1,410	$	1,395	$	1,425	$	1,430


	As of
	March 2016		December 2015		September 2015		June 2015		March 2015
Nonperforming Assets and Delinquent Loans
Nonaccrual portfolio loans and leases:
Commercial and industrial loans	$	278	$	82	$	47	$	61	$	61
Commercial mortgage loans		51		56		60		49		57
Commercial construction loans		—		—		—		—		—
Commercial leases		4		—		2		2		2
Residential mortgage loans		25		28		31		35		40
Home equity		61		62		65		70		71

Total nonaccrual portfolio loans and leases (excludes restructured loans)		419		228		205		217		231
Nonaccrual restructured portfolio commercial loans and leases		210		203		177		175		205
Nonaccrual restructured portfolio consumer loans and leases		72		75		76		83		90

Total nonaccrual portfolio loans and leases		701		506		458		475		526
Repossessed property		17		18		17		16		20
OREO		107		123		131		135		145

Total nonperforming portfolio assets		825		647		606		626		691
Nonaccrual loans held for sale		3		1		1		1		2
Nonaccrual restructured loans held for sale		2		11		1		—		—

Total nonperforming assets	$	830	$	659	$	608	$	627	$	693


Restructured portfolio consumer loans and leases (accrual)	$	998	$	979	$	973	$	970	$	943
Restructured portfolio commercial loans and leases (accrual)	$	461	$	491	$	571	$	769	$	774

90 days past due loans and leases:
Commercial and industrial loans	$	3	$	7	$	3	$	2	$	2
Commercial mortgage loans		—		—		2		—		1
Commercial construction loans		—		—		—		—		—
Commercial leases		—		—		—		—		—

Total commercial loans and leases		3		7		5		2		3

Residential mortgage loans		44		40		40		43		48
Home equity		—		—		—		—		—
Automobile loans		8		10		8		8		7
Credit card		18		18		17		17		20
Other consumer loans and leases		—		—		—		—		—

Total consumer loans and leases		70		68		65		68		75

Total 90 days past due loans and leases^(b)	$	73	$	75	$	70	$	70	$	78

Ratios
Net losses charged-off as a percent of average portfolio loans and leases		0.42%		0.34%		0.80%		0.37%		0.41%
Allowance for loan and lease losses:
As a percent of portfolio loans and leases		1.38%		1.37%		1.35%		1.39%		1.42%
As a percent of nonperforming loans and leases^(a)		185%		252%		275%		272%		247%
As a percent of nonperforming assets^(a)		157%		197%		208%		206%		188%
Nonperforming loans and leases as a percent of portfolio loans and leasesand OREO^(a)		0.75%		0.55%		0.49%		0.51%		0.57%
Nonperforming assets as a percent of portfolio loans, leases and other assets, including OREO^(a)		0.88%		0.70%		0.65%		0.67%		0.76%
Nonperforming assets as a percent of total loans, leases and otherassets, including OREO		0.88%		0.70%		0.64%		0.67%		0.75%
Allowance for credit losses as a percent of nonperforming assets		174%		218%		230%		228%		207%

(a)

Does not include nonaccrual loans held for sale.

(b)

Does not include loans held for sale.

Fifth Third Bancorp and Subsidiaries

Regulation G Non-GAAP Reconciliation

$ and shares in millions

(unaudited)


		For the Three Months Ended
		March 2016		December 2015		September 2015		June 2015		March 2015
Income before income taxes (U.S. GAAP)		$	435	$	949	$	515	$	417	$	485
Add:	Provision expense (U.S. GAAP)		119		91		156		79		69

Pre-provision net revenue			554		1,040		671		496		554

Net income available to common shareholders (U.S. GAAP)			312		634		366		292		346
Add:	Intangible amortization, net of tax		—		—		—		—		—

Tangible net income available to common shareholders			312		634		366		292		346
Tangible net income available to common shareholders (annualized) (a)			1,255		2,515		1,452		1,171		1,403

Average Bancorp shareholders’ equity (U.S. GAAP)			16,376		15,982		15,815		15,841		15,820
Less:	Average preferred stock		(1,331)		(1,331)		(1,331)		(1,331)		(1,331)
	Average goodwill		(2,416)		(2,416)		(2,416)		(2,416)		(2,416)
	Average intangible assets and other servicing rights		(12)		(13)		(14)		(15)		(15)

Average tangible common equity (b)			12,617		12,222		12,054		12,079		12,058

Total Bancorp shareholders’ equity (U.S. GAAP)			16,323		15,839		15,826		15,605		15,864
Less:	Preferred stock		(1,331)		(1,331)		(1,331)		(1,331)		(1,331)
	Goodwill		(2,416)		(2,416)		(2,416)		(2,416)		(2,416)
	Intangible assets and other servicing rights		(12)		(13)		(13)		(14)		(15)

Tangible common equity, including unrealized gains / losses (c)			12,564		12,079		12,066		11,844		12,102
Less:	Accumulated other comprehensive income		(684)		(197)		(522)		(291)		(588)

Tangible common equity, excluding unrealized gains / losses (d)			11,880		11,882		11,544		11,553		11,514
Add:	Preferred stock		1,331		1,331		1,331		1,331		1,331

Tangible equity (e)			13,211		13,213		12,875		12,884		12,845

Total assets (U.S. GAAP)			142,430		141,048		141,883		141,628		140,437
Less:	Goodwill		(2,416)		(2,416)		(2,416)		(2,416)		(2,416)
	Intangible assets and other servicing rights		(12)		(13)		(13)		(14)		(15)

Tangible assets, including unrealized gains / losses (f)			140,002		138,619		139,454		139,198		138,006
Less:	Accumulated other comprehensive income / loss, before tax		(1,052)		(303)		(803)		(448)		(905)

Tangible assets, excluding unrealized gains / losses (g)		$	138,950	$	138,316	$	138,651		138,750		137,101

Common shares outstanding (h)			770		785		795		810		815

		Basel III
		Transitional
Risk-weighted assets (actual) (i)⁽¹⁾		$	121,432	$	121,290	$	123,148	$	122,986	$	121,310

Ratios:
Return on average tangible common equity (a) / (b)			9.9%		20.6%		12.0%		9.7%		11.7%
Tangible equity (e) / (g)			9.51%		9.55%		9.29%		9.29%		9.37%
Tangible common equity (excluding unrealized gains/losses) (d) / (g)			8.55%		8.59%		8.33%		8.33%		8.40%
Tangible common equity (including unrealized gains/losses) (c) / (f)			8.97%		8.71%		8.65%		8.51%		8.77%
Tangible common equity as a percent of risk-weighted assets(excluding unrealized gains/losses) (d) / (i)			9.78%		9.80%		9.37%		9.39%		9.49%
Tangible book value per share (c) / (h)		$	16.32	$	15.39	$	15.18	$	14.62	$	14.85

Basel III Final Rule - Transition to fully phased-in
		March 2016		December 2015		September 2015		June 2015		March 2015
CET1 capital (transitional)		$	11,914	$	11,917	$	11,574	$	11,582	$	11,543
Less: Adjustments to CET1 capital from transitional to fully phased-in⁽²⁾			(5)		(8)		(11)		(12)		(13)

CET1 capital (fully phased-in) (j)			11,909		11,909		11,563		11,570		11,530

Risk-weighted assets (transitional)			121,432		121,290		123,148		122,986		121,310
Add: Adjustments to risk-weighted assets from transitional to fully phased-in⁽³⁾			1,027		1,178		1,136		1,280		1,182

Risk-weighted assets (fully phased-in) (k)		$	122,459	$	122,468	$	124,284	$	124,266	$	122,492

Estimated CET1 capital ratio under Basel III Final Rule (fully phased-in) (j)/(k)			9.72%		9.72%		9.30%		9.31%		9.41%

(1)

Under the banking agencies’ risk-based capital guidelines, assets and credit equivalent amounts of derivatives and off-balance sheet exposures are assigned to broad risk categories. The aggregate dollar amount in each risk category is multiplied by the associated risk-weight of the category. The resulting weighted values are added together, along with the measure for market risk, resulting in the Bancorp’s total risk-weighted assets.

(2)

Primarily relates to disallowed intangible assets (other than goodwill and MSRs, net of associated deferred tax liabilities).

(3)

Primarily relates to higher risk-weighting for MSRs.

Fifth Third Bancorp and Subsidiaries

Segment Presentation

$ in millions

(unaudited)


For the three months ended March 31, 2016	Commercial Banking		Branch Banking		Consumer Lending		Investment Advisors		Other/ Eliminations		Total

Net interest income^(a)	$	457	$	426	$	60	$	43	($	77)	$	909
Provision for loan and lease losses		(65)		(34)		(12)		—		(8)		(119)

Net interest income after provision for loan and lease losses		392		392		48		43		(85)		790
Total non-interest income		223		189		83		100		42		637
Total non-interest expense		(363)		(411)		(118)		(107)		13		(986)

Income (loss) before income taxes		252		170		13		36		(30)		441
Applicable income tax expense^(a)		(41)		(60)		(5)		(13)		5		(114)

Net income(loss)		211		110		8		23		(25)		327
Less: Net income attributable to noncontrolling interests		—		—		—		—		—		—

Net income (loss) attributable to Bancorp		211		110		8		23		(25)		327
Dividends on preferred stock		—		—		—		—		15		15

Net income (loss) available to common shareholders	$	211	$	110	$	8	$	23	($	40)	$	312

For the three months ended December 31, 2015^(b)	Commercial Banking		Branch Banking		Consumer Lending		Investment Advisors		Other/ Eliminations		Total

Net interest income^(a)	$	425	$	406	$	63	$	37	($	27)	$	904
Provision for loan and lease losses		(27)		(35)		(11)		—		(18)		(91)

Net interest income after provision for loan and lease losses		398		371		52		37		(45)		813
Total non-interest income		223		186		80		101		514		1,104
Total non-interest expense		(338)		(393)		(116)		(112)		(4)		(963)

Income before income taxes		283		164		16		26		465		954
Applicable income tax expense^(a)		(55)		(57)		(6)		(9)		(170)		(297)

Net income		228		107		10		17		295		657
Less: Net income attributable to noncontrolling interests		—		—		—		—		—		—

Net income attributable to Bancorp		228		107		10		17		295		657
Dividends on preferred stock		—		—		—		—		23		23

Net income available to common shareholders	$	228	$	107	$	10	$	17	$	272	$	634

For the three months ended September 30, 2015^(b)	Commercial Banking		Branch Banking		Consumer Lending		Investment Advisors		Other/ Eliminations		Total

Net interest income^(a)	$	418	$	395	$	62	$	33	($	2)	$	906
Provision for loan and lease losses		(195)		(37)		(11)		—		87		(156)

Net interest income after provision for loan and lease losses		223		358		51		33		85		750
Total non-interest income		228		197		76		102		110		713
Total non-interest expense		(334)		(404)		(107)		(112)		14		(943)

Income (loss) before income taxes		117		151		20		23		209		520
Applicable income tax expense^(a)		4		(53)		(7)		(9)		(74)		(139)

Net income(loss)		121		98		13		14		135		381
Less: Net income attributable to noncontrolling interests		—		—		—		—		—		—

Net income (loss) attributable to Bancorp		121		98		13		14		135		381
Dividends on preferred stock		—		—		—		—		15		15

Net income (loss) available to common shareholders	$	121	$	98	$	13	$	14	$	120	$	366

For the three months ended June 30, 2015^(b)	Commercial Banking		Branch Banking		Consumer Lending		Investment Advisors		Other/ Eliminations		Total

Net interest income^(a)	$	407	$	376	$	63	$	29	$	17	$	892
Provision for loan and lease losses		(37)		(36)		(8)		(1)		3		(79)

Net interest income after provision for loan and lease losses		370		340		55		28		20		813
Total non-interest income		232		94		122		103		5		556
Total non-interest expense		(348)		(404)		(113)		(115)		33		(947)

Income before income taxes		254		30		64		16		58		422
Applicable income tax expense^(a)		(43)		(11)		(23)		(6)		(30)		(113)

Net income		211		19		41		10		28		309
Less: Net income attributable to noncontrolling interests		—		—		—		—		(6)		(6)

Net income attributable to Bancorp		211		19		41		10		34		315
Dividends on preferred stock		—		—		—		—		23		23

Net income available to common shareholders	$	211	$	19	$	41	$	10	$	11	$	292

For the three months ended March 31, 2015^(b)	Commercial Banking		Branch Banking		Consumer Lending		Investment Advisors		Other/ Eliminations		Total

Net interest income^(a)	$	397	$	377	$	63	$	29	($	14)	$	852
Provision for loan and lease losses		(42)		(42)		(14)		(1)		30		(69)

Net interest income after provision for loan and lease losses		355		335		49		28		16		783
Total non-interest income		174		176		129		107		44		630
Total non-interest expense		(348)		(400)		(105)		(115)		45		(923)

Income before income taxes		181		111		73		20		105		490
Applicable income tax expense^(a)		(18)		(39)		(26)		(7)		(39)		(129)

Net income		163		72		47		13		66		361
Less: Net income attributable to noncontrolling interests		—		—		—		—		—		—

Net income attributable to Bancorp		163		72		47		13		66		361
Dividends on preferred stock		—		—		—		—		15		15

Net income available to common shareholders	$	163	$	72	$	47	$	13	$	51	$	346

(a)

Includes taxable equivalent adjustments of $6 million for the three months ended March 31, 2016 and $5 million for the three months ended December 31, 2015, September 30, 2015, June 30, 2015 and March 31, 2015.

(b)

Prior period balances have been adjusted to reflect changes in internal allocation methodologies.

1Q16 Earnings Presentation

April 21, 2016

Refer to earnings release dated April 21, 2016 for further information.

Exhibit 99.2

Cautionary statement

This release contains statements that we believe are “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933,

as amended, and Rule 175 promulgated thereunder, and Section 21E of the Securities Exchange Act of 1934, as amended, and Rule 3b-6

promulgated thereunder. These statements relate to our financial condition, results of operations, plans, objectives, future performance or business.

They usually can be identified by the use of forward-looking language such as “will likely result,” “may,” “are expected to,” “anticipates,” “potential,”

“estimate,”

“forecast,”

“projected,”

“intends

to,”

may

include

other

similar

words

phrases

such

“believes,”

“plans,”

“trend,”

“objective,”

“continue,” “remain,” or similar expressions, or future or conditional verbs such as “will,” “would,” “should,” “could,” “might,” “can,” or similar verbs.

You should not place undue reliance on these statements, as they are subject to risks and uncertainties, including but not limited to the risk factors

set

forth

our

most

recent

Annual

Report

Form

10-K

updated

from

time

our

Quarterly

Reports

Form

10-Q.

When

considering

these

forward-looking

statements,

you

should

keep

mind

these

risks

and

uncertainties,

well

any

cautionary

statements

may

make.

Moreover, you should treat these statements as speaking only as of the date they are made and based only on information then actually known to

us. There is a risk that additional information may become known during the company’s quarterly closing process or as a result of subsequent

events that could affect the accuracy of the statements and financial information contained herein.

There are a number of important factors that could cause future results to differ materially from historical performance and these forward-looking

statements. Factors that might cause such a difference include, but are not limited to: (1) general economic conditions and the economy weaken

and become less favorable than expected, particularly in the real estate market, either nationally or in the states in which Fifth Third, one or more

acquired

entities

and/or

the

combined

company

business;

(2)

deteriorating

credit

quality;

(3)

political

developments,

wars

other

hostilities

may

disrupt or increase volatility in securities markets or other economic conditions; (4) changes in the interest rate environment reduce interest margins;

(5) prepayment speeds, loan origination and sale volumes, charge-offs and loan loss provisions; (6) Fifth Third’s ability to maintain required capital

levels and adequate sources of funding and liquidity; (7) maintaining capital requirements and adequate sources of funding and liquidity may limit

Fifth Third’s operations and potential growth; (8) changes and trends in capital markets; (9) problems encountered by larger or similar financial

institutions may adversely affect the banking industry and/or Fifth Third; (10) competitive pressures among depository institutions increase

significantly; (11) effects of critical accounting policies and judgments; (12) changes in accounting policies or procedures as may be required by the

Financial Accounting Standards Board (FASB) or other regulatory agencies; (13) legislative or regulatory changes or actions, or significant litigation,

adversely affect Fifth Third, one or more acquired entities and/or the combined company or the businesses in which Fifth Third, one or more

acquired entities and/or the combined company are engaged, including the Dodd-Frank Wall Street Reform and Consumer Protection Act; (14)

ability to maintain favorable ratings from rating agencies; (15) fluctuation of Fifth Third’s stock price; (16) ability to attract and retain key personnel;

(17) ability to receive dividends from its subsidiaries; (18) potentially dilutive effect of future acquisitions on current shareholders’ ownership of Fifth

Third;

(19)

effects

accounting

financial

results

one

acquired

entities;

(20)

difficulties

from

Fifth

Third’s

investment

in,

relationship

with, and nature of the operations of Vantiv, LLC; (21) loss of income from any sale or potential sale of businesses; (22) difficulties in separating the

operations of any branches or other assets divested; (23) inability to achieve expected benefits from branch consolidations and planned sales within

desired

timeframes,

all;

(24)

ability

secure

confidential

information

and

deliver

products

and

services

through

the

use

computer

systems

and telecommunications networks; and (25) the impact of reputational risk created by these developments on such matters as business generation

and retention, funding and liquidity.

You

should

refer

our

periodic

and

current

reports

filed

with

the

Securities

and

Exchange

Commission,

“SEC,”

for

further

information

other

factors,

which

could

cause

actual

results

significantly

different

from

those

expressed

implied

these

forward-looking

statements.

•

Strong NII and NIM; continued benefit from steady

interest rate risk management strategy

•

Solid fee income despite market volatility

•

Strong corporate banking activity

•

Tightly controlled operational expenses

•

Executed on defined strategies

•

Credit quality excluding energy in line; monitoring

energy portfolio closely

First Quarter 2016 Highlights

Earnings Per

Reported $0.40

•Included $0.03 net benefit from certain

items*

Net Income to

Common

$312 million

LCR

118%

*1Q16 certain items detailed on page 4 of this presentation

1Q16 in review

Note: The percentages in all of the tables in this presentation are calculated on actual dollar amounts and not the rounded dollar amounts.

Excludes loans held-for-sale

Non-GAAP measure; see Reg. G reconciliation in appendix

Significant pre-tax items in 1Q16 results

($0.03

positive

after-tax

EPS

impact):

—

$47MM pre-tax (~$31MM after-tax) positive

valuation

adjustment

the

Vantiv

warrant

—

$8MM pre-tax (~$5MM after-tax) gain on

sale on St. Louis branches

—

($14MM) pre-tax (~$9MM after-tax)

voluntary early retirement expense

Core businesses showed seasonal trends

—

Strong corporate banking activity offset

seasonal impacts

Credit trends

—

NCO

ratio

bps;

increase

YoY

and 8 bps QoQ

—

NPA ratio of 88 bps; up 18 bps sequentially

—

Primarily due to deterioration in

RBL (reserve-based lending)

energy loans

—

Reserve on energy portfolio of 6.20% up

from 4.75% in 4Q15

($ in millions)

1Q16

Seq.

YOY

Average Balances

Total

loans

leases

$93,275

($319)

$2,767

Core deposits

$98,715

($1,013)

$521

Income Statement Data

Net interest income (taxable equivalent)

$909

Provision for loan and lease losses

119

31%

72%

Non-interest income

637

(42%)

Non-interest expense

986

Net income attributable to Bancorp

$327

(50%)

(9%)

Net income available to common

shareholders

$312

(51%)

(10%)

Financial Ratios

Earnings per share, diluted

0.40

(49%)

(5%)

Net interest margin

2.91%

6bps

5bps

Efficiency ratio

63.8%

1580bps

150bps

Return on average assets

0.93%

(90bps)

(13bps)

Return on average common equity

8.3%

(890bps)

(140bps)

Return

average

tangible

common

equity

9.9%

(1070bps)

(180bps)

Tangible

book

value

per

$ 16.32

10%

Balance sheet

Loan balances ($B)

•

Average commercial loans flat

sequentially; up 5% year-over-year

–

EOP C&I growth 3% sequentially

–

Year-over-year growth driven by:

C&I and commercial construction

–

Commodity broker balances of

$241MM; down 48% from peak

•

Average consumer loans down 1%

sequentially; up 1% year-over-year

–

Sold $158MM of consumer loans in

connection with St. Louis branches

•

Average transaction deposits down

$1.0B sequentially, driven by seasonal

declines primarily in commercial

demand deposit accounts

–

Sold $219MM of core deposits with

St. Louis branches

•

Average loan to core deposit ratio of

94%

•

LCR of 118% at 1Q16

Average core deposit balances ($B)

$98.7

$98.2

Average securities and short-term

investments ($B)

•

Average securities up $6.5B year-over-

year driven by:

–

LCR requirement additions

–

Positioning to maintain balanced

interest rate exposures

–

Securities portfolio / total assets of

21.3%; 19.2% in 1Q15

$30.1

$31.3

$29.0

$30.6

Note: Numbers may not sum due to rounding.

$31.6

$90.5

$92.2

$93.4

$93.6

$93.3

1Q15

2Q15

3Q15

4Q15

1Q16

$94.2

$96.5

$94.7

$95.7

$94.7

92%

95%

94%

80%

85%

90%

95%

100%

100

1Q15

2Q15

3Q15

4Q15

1Q16

Transaction deposits

Other time deposits

Loan to core deposit ratio

$23.2

$27.4

$28.3

$29.0

$29.7

1Q15

2Q15

3Q15

4Q15

1Q16

Average securities

Short-term investments

Net interest income

NII and NIM (FTE)

•

Sequential comparisons:

–

NII and NIM increase primarily due to the December Fed funds rate increase

–

NII and NIM both negatively impacted by:

–

Loan yield compression from mix shift, lower consumer loan balances, and Fed stock dividend rate

reduction

–

1 fewer day in 1Q16 vs. 4Q15 was a benefit to NIM, but a detriment to NII

•

Year-over-year comparisons:

–

NII increase driven by the impact of higher investment securities and loan balances

–

NIM increase primarily driven by lower year-over-year cash balances

$852

$892

$906

$904

$909

2.86%

2.90%

2.89%

2.85%

2.91%

$100

$200

$300

$400

$500

$600

$700

$800

$900

$1,000

0.0%

0.5%

1.0%

1.5%

2.0%

2.5%

3.0%

3.5%

4.0%

4.5%

1Q15

2Q15

3Q15

4Q15

1Q16

Net Interest Income ($MM)

NIM

Non-interest income

•

1Q16

reported

non-interest

income

impacted

Vantiv

warrant

valuation

adjustment

and

impact of branch sale

•

Sequential decrease in adjusted non-interest income overall reflected normal seasonal

trends and the annual $31MM tax receivable payment recognized in 4Q15

–

Wealth management impacted by equity markets and lower brokerage activity

–

Strong corporate banking activity offset normal seasonality

Non-interest Income ($MM)

$566

$637

$591

$623

$578

$630

$556

$713

$1,104

$637

$200

$400

$600

$800

$1,000

1Q15

2Q15

3Q15

4Q15

1Q16

Adjusted non-interest income

Reported non-interest income

Non-interest expense

•

Adjusted expenses up 2% sequentially, primarily due to:

–

Seasonal increase in FICA and unemployment tax

–

Costs associated with the voluntary retirement program

•

Adjusted expenses up 6% YoY:

–

Up 5% excluding 1Q15 benefit from tax liability settlement

–

Year-over-year growth primarily due to higher risk and compliance

compensation expense

Non-interest Expense ($MM)

Note: Provision for unfunded commitments was an expense of $6MM in 1Q16, an expense of $4M in 4Q15, an expense of $2M in 3Q15, an expense of $2M in 2Q15, and a benefit of $4M in

1Q15.

$916

$946

$939

$951

$971

$923

$947

$943

$963

$986

$750

$800

$850

$900

$950

$1,000

1Q15

2Q15

3Q15

4Q15

1Q16

Adjusted non-interest expense

Reported non-interest expense

$25

$50

$75

$100

$125

$150

$175

$200

1Q15

2Q15

3Q15

4Q15

1Q16

Consumer

Commercial

Credit quality overview

Net charge-offs ($MM)

$86

NCO ratio

0.41%

0.37%

0.80%

0.34%

$188

HFI Non-performing assets ($MM)

Reserve Coverage

$91

$80

Charge-off

restructuring

student

loan

backed

commercial

credit

originally

extended

2007

102

0.42%

$96

421

376

370

419

611

270

250

236

228

214

$200

$400

$600

$800

$1,000

1Q15

2Q15

3Q15

4Q15

1Q16

Commercial

Consumer

$825

NPA ratio 0.76% 0.67% 0.65% 0.70% 0.88%

$691

$626

$606

$647

•

1Q16 charge-offs up 8 bps from low levels in

4Q15

–

Includes $16MM increase in C&I loans

•

$9MM of 1Q16 charge-offs in OFS

(oil field services)

•

1Q16 portfolio NPA growth of $178MM

–

Primarily due to $168MM of energy loans,

predominantly RBL (reserve-based

lending)

•

1Q16 reserve of 1.38% up from 1.37% in 4Q15

$1,300

$1,293

$1,261

$1,272

$1,295

1.42%

1.39%

1.35%

1.37%

1.38%

$750

$850

$950

$1,050

$1,150

$1,250

$1,350

0.00%

0.50%

1.00%

1.50%

2.00%

2.50%

1Q15

2Q15

3Q15

4Q15

1Q16

Allowance for Loan & Lease Losses (ALLL) ($MM)

ALLL / Loans and Leases

Energy Portfolio

$170

$443

$385

$722

$552

$294

$742

$232

$327

$105

$100

$200

$300

$400

$500

$600

$700

$800

OFS

RBL

Oil & Gas

Midstream

Refining

Total Exposure ($MM)

Unfunded Commitments

Outstandings

•

Energy balances stable at $1.7B

–

Total unfunded commitments of $2.3B

•

76% of total energy loans outstanding are SNCs

•

$9.2MM charge-offs in OFS (oil field services)

•

$168MM increase in NPAs sequentially; predominantly RBL (reserve-based lending)

–

All RBLs current on interest and well-collateralized

•

Reserves of 6.20% of funded loans, up from 4.75% in 4Q15

•

41% of energy loans are criticized, up from 36% in 4Q15

Commercial Real Estate Loans

•

Total CRE balance of $10.2B; 10.9% of total

portfolio loans

–

Total CRE balance of $17.4B at the end

of 2007; 22% of total portfolio loans

–

Peer group average is 13%

–

Balances flat over the past 5 years

•

Multi-family balances of $1.9B as of 1Q16

–

Multi-family construction book

geographically diverse

Non-owner Occupied Portfolio

Distribution ($MM)

2.56%

2.31%

2.32%

2.00%

1.87%

0.67%

0.51%

0.62%

0.26%

0.23%

0.00%

1.00%

2.00%

3.00%

4.00%

5.00%

1Q15

2Q15

3Q15

4Q15

1Q16

Commercial Mortgage

Commercial Construction

Residential

and Land

$4,513

Other

$6,242

2007

Residential

and Land

$462

Other

$6,044

1Q16

Apartment

Retail

Office

Industrial

Hospitality

Other

Owner Occupied

Non-Owner Occupied

$1,862

$648

$731

$918

$1,078

$1,043

$531

$851

$1,177

$1,453

$1,000

$2,000

$3,000

$4,000

$5,000

$6,000

$7,000

1Q16 CRE Property Type Breakout

$3,786

$6,506

($MM)

1Q16 Commercial Real Estate NPAs

Strong capital position

Non-GAAP measure; See Reg. G reconciliation in appendix.

Represents Basel III common equity tier 1 ratio under the final capital rule, subject to phase-in periods. Fifth Third made a one-time permanent election to not include AOCI in

common equity tier 1 capital in the March 31, 2015 regulatory filings.

EOP share impact of 12.4 MM for 4Q15 and 14.4MM for 1Q16; Average share impact of 11.0MM for 4Q15, 13.2MM for 1Q16 and 10.2MM for 2Q16

Tangible Book Value per share

Capital Actions

Avg. Diluted Shares Outstanding (MM)

Common Equity Tier 1 Ratio

(Basel III)

CET1 stable at 9.8%

Executed $240MM accelerated share repurchase

(ASR) transaction on March 1, 2016

—

March 1 –

retired 12.6MM shares

—

April 11 –

retired an additional 1.9MM

shares due to ASR completion

January 14 –

retired 1.8MM shares due to

completion of December 9, 2015 ASR

Sequential growth in TBV per share driven

primarily by an increase in AOCI

9.5%

9.4%

9.8%

10%

1Q15

2Q15

3Q15

4Q15

1Q16

$14.85

$14.62

$15.18

$15.39

$16.32

$10.00

$11.00

$12.00

$13.00

$14.00

$15.00

$16.00

$17.00

1Q15

2Q15

3Q15

4Q15

1Q16

819

813

805

794

778

750

760

770

780

790

800

810

820

830

1Q15

2Q15

3Q15

4Q15

1Q16

Appendix

$497

$578

$553

$571

$510

$100

$200

$300

$400

$500

$600

$700

$800

$900

$1,000

$1,100

1Q15

2Q15

3Q15

4Q15

1Q16

Adjusted PPNR

Reported PPNR

Pre-tax pre-provision earnings

PPNR trend

Non-GAAP measure; see Reg. G reconciliation in appendix.

Prior quarters include similar adjustments.

PPNR decreased 47% sequentially, reflecting :

–

$469MM net benefit in 4Q15 primarily

related to Vantiv

gains

Adjusted PPNR down 11% sequentially

–

Primarily due to the $31MM annual Vantiv

tax receivable payment recorded in 4Q15

PPNR reconciliation

Efficiency ratio

65.4%

62.3%

58.2%

48.0%

63.8%

64.9%

61.9%

62.7%

62.2%

1Q15

2Q15

3Q15

4Q15

1Q16

Efficiency Ratio

Adjusted Efficiency Ratio

65.3%

($ in millions)

1Q15

2Q15

3Q15

4Q15

1Q16

Income before income taxes (U.S. GAAP) (a)

$485

$417

$515

$949

$436

Add: Provision expense (U.S. GAAP) (b)

156

119

PPNR (a) + (b)

$554

$496

$671

$1,040

$554

Adjustments to remove (benefit) / detriment²:

In noninterest income:

Gain

sale

Vantiv

(331)

Gain on Vantiv warrant actions

(89)

Vantiv TRA settlement payment

(49)

Vantiv warrant valuation

(70)

(14)

(130)

(21)

(47)

Gain on sale of certain branches

(8)

Branch and land valuation adjustments

Gain from sales of troubled debt restructurings

(37)

Impairment associated with aircraft leases

Valuation of 2009 Visa total return swap

(1)

Securities (gains) / losses

(4)

(1)

(3)

noninterest

expense:

Contribution to Fifth Third Foundation

Severance expense

Litigation reserve charges

(1)

(5)

Executive Retirements

Adjusted PPNR

$497

$578

$553

$571

$510

Available and contingent borrowing capacity (1Q16):

–

FHLB ~$10.6B available, ~$14.2B total

–

Federal Reserve ~$23.5B

Holding company unsecured debt maturities ($MM)

Bank

unsecured

debt

maturities

($MM

–

excl.

Retail

Brokered CDs)

Heavily core funded

Strong liquidity profile

S-T

wholesale

$1B matured in 1Q16

$700MM matured in 1Q16

(Debt maturities, common and preferred dividends, interest and other expenses) without accessing capital markets; relying on dividends from subsidiaries or any other

discretionary actions

Holding Company:

Holding Company cash at 03/31/16: $2.3B

$1B maturity in January 2016, was pre-funded with the $1.1B Holding

Company issuance executed in 3Q15

Cash currently sufficient to satisfy all fixed obligations in a stressed

environment for ~26 months

Bank Entity:

Of the $2.5B maturing this year, $700MM matured in 1Q16. During the

quarter the Bank issued $1.5B of long term debt, comprised of $750MM

of senior debt and $750MM of sub debt

2016 Funding Plans:

Due to the Moody’s LGF methodology, we intend to replace all debt

maturities this calendar year ($3.7B in total) in order to maintain our

current senior debt ratings

$1.5B of the $3.7B was replaced in 1Q16

It is likely that most of this replacement funding will take place

at the Bank Entity

Demand

25%

Interest

checking

18%

Savings/

MMDA

24%

Consumer

time

Foreign

Office

Non-Core

Deposits

S-T

borrowings

Other

liabilities

Equity

12%

L-T debt

11%

$2,100

$650

$1,850

$1,600

$1,000

$2,000

$3,000

2016

2017

2018

2019

2020

2021 On

Fifth Third Bank

$250

$500

$1,100

$2,312

$500

$1,000

$1,500

$2,000

$2,500

2016

2017

2018

2019

2020

2021 on

Fifth Third Bancorp

Fifth Third Capital Trust (Bancorp)

Fifth Third Bank

42%

39%

19%

Bancorp Investment Portfolio (BV)

Level 1

Level 2A

Non-HQLA

22%

30%

40%

EOP Consumer Loans

Home Equity

Auto

Other

Credit Card

Resi Mortgage & Construction

75%

12%

EOP Commercial Loans

Commercial & Industrial

Commercial Mortgage

Commercial Construction

Commercial Lease

Portfolio Compositions

Commercial:

Fixed:

$10.2B

Float:

$47.5B

•

1M Libor based: 68%

•

3M Libor based: 8%

•

Prime based: 5%

Weighted Avg. Life: 1.86 years

74% Float /

26% Fix

96% Float /

4% Fix

0% Float /

100% Fix

90% Float /

10% Fix

71% Float /

29% Fix

25% Float /

75% Fix

91% Float /

9% Fix

1% Float /

99% Fix

100% Float /

0% Fix

Investments:

52% allocation to bullet/locked-out

cash flow securities

Investment portfolio yield: 3.14%

Duration: 4.8 years

Net unrealized pre-tax gain: $1B

Portfolio Characteristics

0% Float /

100% Fix

0% Float /

100% Fix

17% Float /

83% Fix

Consumer:

Fixed:

$23.3B

Float:

$13.4B

•

Prime based: 25%

Weighted Avg. Life: 3.48 years

Avg. duration of Auto book: 1.33 years

Includes

HFS

Loans

Leases

Interest Rate Risk Management

Actual

results

may

vary

from

these

simulated

results

due

differences

between

forecasted

and

actual

balance

sheet

composition,

timing,

magnitude,

and

frequency

interest

rate

changes, as well as other changes in market conditions and management strategies.

Re-pricing percentage or “beta” is the estimated change in yield over 12 months as a result of a shock or ramp 100 bps parallel shift in the yield curve

Well-positioned for rising rates

•

NII benefits from asset re-pricings in a rising rate environment

–

64% of total loans are floating rate (82% of commercial and 36% of consumer)

–

Investment portfolio duration less than 5 years

–

Short-term wholesale funding represents approximately 4% of total funding

–

Approximately $11B in non-core funding matures beyond one year

•

Interest rate sensitivity tables are based on conservative deposit assumptions

–

70%

beta

all

interest-bearing

deposit

and

sweep

balances

(~50%

betas

experienced

2004

–

2006

Fed

tightening

cycle)

–

No modeled re-pricing lag

–

Modeled non-interest bearing commercial DDA runoff of approximately $2.5B (about 10%) for each 100 bps increase in

rates

–

DDA runoff rolls into an interest bearing product with a 100% beta

Change in Interest Rates (bps)

+200

bps Shock

Change in Interest Rates

+100

bps Shock

+200

bps Ramp

2.12%

6.98%

(4.00%)

+25 bps Shock

+100

bps Ramp

1.20%

4.27%

-25 bps Shock

-50 bps Ramp

(2.00%)

(2.67%)

Betas 25% Higher

Betas 25% Lower

Change in Interest Rates

Months

13 to 24 Months

Months

Change in Interest Rates

Months

13 to 24

Months

13 to 24

Months

+200

bps Ramp

1.84%

6.43%

2.40%

+200

bps Ramp

(1.11%)

0.52%

5.35%

13.44%

+100

bps Ramp

1.06%

3.99%

1.34%

+100

bps Ramp

(0.41%)

1.04%

2.82%

7.50%

ESTIMATED NII SENSITIVITY PROFILE

ESTIMATED EVE SENSITIVITY PROFILE

Percent Change in

NII (FTE)

ALCO Policy Limits

Change in EVE

ALCO Policy Limit

Months

13 to 24 Months

Months

13 to 24 Months

(12.00%)

(0.90%)

(6.00%)

(0.10%)

(0.06%)

(2.85%)

ESTIMATED NII SENSITIVITY with DEPOSIT BETA CHANGES

Percent Change in NII (FTE)

$1B Balance Decrease

$1B Balance Increase

13 to 24 Months

7.54%

4.54%

ESTIMATED NII SENSITIVITY with DEMAND DEPOSIT BALANCE CHANGES

NPL rollforward

NPL HFI Rollforward

Commercial

1Q15

2Q15

3Q15

4Q15

1Q16

367

325

287

286

341

Transfers to nonperforming

195

165

306

Transfers to performing

(1)

(3)

(2)

(3)

Transfers from held for sale

Transfers to held for sale

(12)

(3)

Loans sold from portfolio

(5)

(3)

(1)

(2)

(6)

Loan paydowns/payoffs

(62)

(44)

(46)

(37)

(39)

Transfers to OREO

(9)

(10)

(13)

(1)

Charge-offs

(45)

(49)

(149)

(46)

(60)

Draws/other extensions of credit

325

287

286

341

543

Consumer

1Q15

2Q15

3Q15

4Q15

1Q16

212

201

188

172

165

Transfers to nonperforming

Transfers to performing

(23)

(26)

(30)

(28)

(33)

Transfers from held for sale

Transfers to held for sale

(1)

Loans sold from portfolio

Loan paydowns/payoffs

(8)

(14)

(11)

(10)

(9)

Transfers to OREO

(17)

(10)

(11)

(9)

(6)

Charge-offs

(22)

(18)

(16)

(14)

Draws/other extensions of credit

201

188

172

165

158

Total NPL

526

475

458

506

701

Total new nonaccrual loans -

HFI

134

121

250

221

361

Beginning NPL amount

Ending Commercial NPL

Beginning NPL amount

Ending Consumer NPL

Credit Trends

Residential Mortgage

Commercial & Industrial

Home Equity & Automobile

Commercial Real Estate

* Excludes loans held-for-sale.

($ in millions)

1Q15

2Q15

3Q15

4Q15

1Q16

EOP Balance*

$42,052

$42,800

$42,948

$42,131

$43,433

Avg Loans*

$41,426

$42,550

$43,149

$43,154

$43,089

90+ days delinquent

as % of loans

0.01%

0.02%

0.01%

NPAs*

$216

$193

$183

$272

$472

as % of loans

0.58%

0.45%

0.43%

0.65%

1.09%

Net charge-offs

$38

$34

$128

$30

$46

as % of loans

0.38%

0.32%

1.17%

0.28%

0.43%

C&I

($ in millions)

1Q15

2Q15

3Q15

4Q15

1Q16

EOP Balance*

$7,209

$7,150

$7,061

$6,957

$6,864

Avg Loans*

$7,241

$7,148

$7,023

$7,032

$6,886

NPAs*

$186

$166

$165

$138

$126

as % of loans

2.56%

2.31%

2.34%

1.98%

1.84%

Net charge-offs

$11

as % of loans

0.05%

0.62%

0.66%

0.19%

0.35%

Commercial mortgage

($ in millions)

1Q15

2Q15

3Q15

4Q15

1Q16

EOP Balance*

$2,302

$2,709

$3,101

$3,214

$3,428

Avg Loans*

$2,197

$2,549

$2,965

$3,141

$3,297

NPAs*

$16

$14

$19

as % of loans

0.67%

0.51%

0.61%

0.25%

0.23%

Net charge-offs

as % of loans

(0.06%)

0.00%

0.43%

0.00%

(0.06%)

Commercial construction

($ in millions)

1Q15

2Q15

3Q15

4Q15

1Q16

EOP Balance*

$12,569

$12,933

$13,392

$13,716

$13,895

Avg Loans*

$12,433

$12,831

$13,144

$13,504

$13,788

90+ days delinquent

$48

$43

$40

$44

as % of loans

0.38%

0.33%

0.30%

0.29%

0.32%

NPAs*

$113

$101

$91

$86

$77

as % of loans

0.91%

0.78%

0.68%

0.63%

0.55%

Net charge-offs

as % of loans

0.19%

0.16%

0.10%

0.08%

0.07%

Residential mortgage

($ in millions)

1Q15

2Q15

3Q15

4Q15

1Q16

EOP Balance*

$8,714

$8,547

$8,427

$8,301

$8,112

90+ days delinquent

as % of loans

Net charge-offs

$14

as % of loans

0.61%

0.41%

0.42%

0.39%

0.36%

Home equity

($ in millions)

1Q15

2Q15

3Q15

4Q15

1Q16

EOP Balance*

$11,873

$11,909

$11,826

$11,493

$11,128

90+ days delinquent

$10

as % of loans

0.06%

0.07%

0.09%

0.07%

Net charge-offs

as % of loans

0.28%

0.14%

0.23%

0.31%

0.32%

Automobile

Regulation G Non-GAAP reconciliation

Fifth Third Bancorp and Subsidiaries

Regulation G Non-GAAP Reconciliation

$ and shares in millions

(unaudited)

March

December

September

June

March

2016

2015

Income before income taxes (U.S. GAAP)

435

949

515

417

485

Add:

Provision expense (U.S. GAAP)

119

156

Pre-provision net revenue

554

1,040

671

496

554

Net income available to common shareholders (U.S. GAAP)

312

634

366

292

346

Add:

Intangible amortization, net of tax

Tangible net income available to common shareholders

312

634

366

292

346

Tangible net income available to common shareholders (annualized) (a)

1,255

2,515

1,452

1,171

1,403

Average Bancorp shareholders' equity (U.S. GAAP)

16,376

15,982

15,815

15,841

15,820

Less:

Average preferred stock

(1,331)

Average goodwill

(2,416)

Average intangible assets and other servicing rights

(12)

(13)

(14)

(15)

Average tangible common equity (b)

12,617

12,222

12,054

12,079

12,058

Total Bancorp shareholders' equity (U.S. GAAP)

16,323

15,839

15,826

15,605

15,864

Less:

Preferred stock

(1,331)

Goodwill

(2,416)

Intangible assets and other servicing rights

(12)

(13)

(14)

(15)

Tangible common equity, including unrealized gains / losses (c)

12,564

12,079

12,066

11,844

12,102

Less: Accumulated other comprehensive income

(684)

(197)

(522)

(291)

(588)

Tangible common equity, excluding unrealized gains / losses (d)

11,880

11,882

11,544

11,553

11,514

Total assets (U.S. GAAP)

142,430

141,048

141,883

141,628

140,437

Less:

Goodwill

(2,416)

Intangible assets and other servicing rights

(12)

(13)

(14)

(15)

Tangible assets, including unrealized gains / losses (e)

140,002

138,619

139,454

139,198

138,006

Less: Accumulated other comprehensive income / loss, before tax

(1,052)

(303)

(803)

(448)

(905)

Tangible assets, excluding unrealized gains / losses (f)

138,950

138,316

138,651

138,750

137,101

Common shares outstanding (g)

770

785

795

810

815

Ratios:

Return on average tangible common equity (a) / (b)

9.9%

20.6%

12.0%

9.7%

11.7%

Tangible common equity (excluding unrealized gains/losses) (d) / (f)

8.55%

8.59%

8.33%

8.40%

Tangible common equity (including unrealized gains/losses) (c) / (e)

8.97%

8.71%

8.65%

8.51%

8.77%

Tangible book value per share (c) / (g)

$16.32

$15.39

$15.18

$14.62

$14.85

For the Three Months Ended

Regulation G Non-GAAP reconciliation

Fifth Third Bancorp and Subsidiaries

Regulation G Non-GAAP Reconciliation

$ and shares in millions

(unaudited)

March

December

September

June

March

2016

2015

Basel III Final Rule - Transitional to fully phased-in

CET 1 capital (transitional)

$11,914

$11,917

$11,574

$11,582

$11,543

Less: Adjustments to CET 1 capital from transitional to fully phased-in

(3)

(5)

(8)

(11)

(12)

(13)

CET 1 capital (fully phased-in) (c)

11,909

11,563

11,570

11,530

Risk-weighted assets (transitional)

121,432

121,290

123,148

122,986

121,310

Add: Adjustments to risk-weighted assets from transitional to fully phased-in

(4)

1,027

1,178

1,136

1,280

1,182

Risk-weighted assets (fully phased-in) (d)

$122,459

$122,468

$124,284

$124,266

$122,492

Estimated CET 1 capital ratio under Basel III Final Rule (fully phased-in) (c) / (d)

9.72%

9.30%

9.31%

9.41%

(1)

Primarily relates to disallowed intangible assets (other than goodwill and MSRs, net of associated deferred tax liabilities).

(2)

Primarily relates to higher risk-weighting for MSRs.

March

December

September

June

March

2016

2015

Non-interest income excluding certain items

Non-interest income (U.S. GAAP)

$637

$1,104

$713

$556

$630

Gain on sale of Vantiv shares

(331)

Gain on Vantiv warrant actions

(89)

Vantiv TRA settlement payment

(49)

Vantiv warrant valuation

(47)

(21)

(130)

(14)

(70)

Gain on sale of certain branches

(8)

Branch and land valuation adjustments

Gain from sales of troubled debt restructurings

(37)

Impairment associated with aircraft leases

Valuation of 2009 Visa total return swap

(1)

Securities (gains) / losses

(3)

(1)

(4)

Adjusted non-interest income

$578

$623

$591

$637

$566

Non-interest expense excluding certain items

Non-interest expense (U.S. GAAP)

$986

$963

$943

$947

$923

Contribution for Fifth Third Foundation

(10)

(4)

Severance expense

(15)

(2)

(3)

(2)

(1)

Litigation reserve changes

(2)

Executive retirements

(6)

Adjusted non-interest expense

$971

$951

$939

$946

$916

For the Three Months Ended

Exhibit 99.3

April 2016

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QUARTERLY FINANCIAL SUPPLEMENT

Investment Community Member:

To assist in your financial analysis, the following supplement of most requested information concerning Fifth Third Bancorp is provided.

Numbers are unaudited for quarterly information.

If you need further information, please fax or e-mail your request to Fifth Third’s Investor Relations Department at (513) 534-0629 or [email protected]


Sameer Gokhale		Jim Eglseder
SVP / Senior Director / Investor Relations		SVP / Director / Investor Relations
(513) 534-2219		(513) 534-8424

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Quarterly Data


	Three Months Ended
	March		December		September		June		March		December		September		June
	2016		2015		2015		2015		2015		2014		2014		2014
Ratios (percent)
Return on average assets		0.93		1.83		1.07		0.90		1.06		1.13		1.02		1.34
Return on average common equity		8.3		17.2		10.0		8.1		9.7		10.0		9.2		11.9
Average total Bancorp shareholders’ equity as a percent of average assets		11.57		11.26		11.24		11.32		11.50		11.54		11.72		11.58
Net interest margin^(a)		2.91		2.85		2.89		2.90		2.86		2.96		3.10		3.15
Efficiency^(a)		63.8		48.0		58.2		65.4		62.3		59.6		62.1		58.2
Net losses charged-off as a percent of average portfolio loansand leases		0.42		0.34		0.80		0.37		0.41		0.83		0.50		0.45
ALLL as a percent of portfolio loans and leases		1.38		1.37		1.35		1.39		1.42		1.47		1.56		1.61
Allowance for credit losses as a percent of portfolio loansand leases		1.54		1.52		1.49		1.54		1.57		1.62		1.71		1.77
Nonperforming portfolio assets as a percent of portfolio loansand leases and OREO^(b)		0.88		0.70		0.65		0.67		0.76		0.82		0.88		0.92
Allowance for loan and lease losses as a percent ofnonperforming assets^(b)		157		197		208		206		188		178		178		175
Allowance for credit losses as a percent of nonperformingassets^(b)		174		218		230		228		207		196		195		192

Common Share Data
Earnings per share - basic	$	0.40	$	0.80	$	0.46	$	0.36	$	0.42	$	0.44	$	0.39	$	0.49
Earnings per share - diluted	$	0.40	$	0.79	$	0.45	$	0.36	$	0.42	$	0.43	$	0.39	$	0.49
Cash dividends per common share		0.13		0.13		0.13		0.13		0.13		0.13		0.13		0.13
Book value per share		19.46		18.48		18.22		17.62		17.83		17.35		16.87		16.74

Common shares outstanding, excluding treasury		770,470,768		785,080,314		795,439,309		810,054,148		815,190,210		824,046,952		834,261,897		844,488,849
Market price per share:
High	$	19.61	$	21.06	$	21.71	$	21.69	$	20.21	$	20.69	$	21.75	$	23.19
Low		13.94		18.28		18.23		18.91		17.22		17.74		19.52		20.03
End of period		16.69		20.10		18.91		20.82		18.85		20.38		20.02		21.35

Supplemental Data
Common dividends declared ($ in millions)	$	100	$	102	$	103	$	105	$	106	$	107	$	108	$	110
Full-time equivalent employees		18,200		18,261		18,311		18,527		18,471		18,351		18,503		18,732
Banking centers		1,241		1,254		1,295		1,299		1,303		1,302		1,308		1,309
ATMs		2,556		2,593		2,650		2,630		2,637		2,638		2,639		2,619

(a)

Presented on a fully taxable equivalent basis (FTE).

(b)

Excludes nonperforming assets held for sale.

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Quarterly Data


	Three Months Ended
	March		December		September		June		March		December		September		June
	2016		2015		2015		2015		2015		2014		2014		2014
Income Statement ($ in millions)
Interest income (taxable equivalent)	$	1,044	$	1,035	$	1,031	$	1,008	$	975	$	1,016	$	1,023	$	1,013
Interest expense		135		131		125		116		123		128		115		108

Net interest income (taxable equivalent)		909		904		906		892		852		888		908		905
Provision for loan and lease losses		119		91		156		79		69		99		71		76
Noninterest income:
Service charges on deposits		137		144		145		139		135		142		145		139
Investment advisory revenue		102		102		103		105		108		100		103		102
Corporate banking revenue		102		104		104		113		63		120		100		107
Mortgage banking net revenue		78		74		71		117		86		61		61		78
Card and processing revenue		79		77		77		77		71		76		75		76
Other noninterest income		136		602		213		1		163		150		33		226
Securities gains, net		3		1		—		4		4		4		3		8

Total noninterest income		637		1,104		713		556		630		653		520		736
Noninterest expense:
Salaries, wages and incentives		403		386		387		383		369		366		357		368
Employee benefits		100		74		72		78		99		79		75		79
Net occupancy expense		77		83		77		83		79		77		78		79
Technology and communications		56		59		56		54		55		54		53		52
Equipment expense		30		32		31		31		31		30		30		30
Card and processing expense		35		40		40		38		36		36		37		37
Other noninterest expense		285		289		280		280		254		276		258		309

Total noninterest expense		986		963		943		947		923		918		888		954
Income before income taxes (taxable equivalent)		441		954		520		422		490		524		469		611
Taxable equivalent adjustment		6		5		5		5		5		5		5		5

Income before income taxes		435		949		515		417		485		519		464		606
Applicable income tax expense		108		292		134		108		124		134		124		167

Net income	$	327	$	657	$	381	$	309	$	361	$	385	$	340	$	439
Less: Net income attributable to noncontrolling interests		—		—		—		(6)		—		—		—		—

Net income attributable to Bancorp	$	327	$	657	$	381	$	315	$	361	$	385	$	340	$	439
Dividends on preferred stock		15		23		15		23		15		23		12		23

Net income available to common shareholders	$	312	$	634	$	366	$	292	$	346	$	362	$	328	$	416


*Regulatory Capital Data ($ in millions)^(a)***	Basel III Transitional										Basel I
CET1 capital	$	11,914	$	11,917	$	11,574	$	11,582	$	11,543		N/A		N/A		N/A
Additional tier I capital		1,330		1,343		1,340		1,340		1,339		N/A		N/A		N/A

Tier I capital	$	13,244	$	13,260	$	12,914	$	12,922	$	12,882	$	12,764	$	12,661	$	12,644
Tier II capital		4,553		3,874		3,935		3,909		4,112		4,131		4,103		4,101

Total regulatory capital	$	17,797	$	17,134	$	16,849	$	16,831	$	16,994	$	16,895	$	16,764	$	16,745

Risk-weighted assets	$	121,432^(b)	$	121,290^(b)	$	123,148^(b)	$	122,986^(b)	$	121,310^(b)	$	117,878	$	116,917	$	117,117

CET1 capital ratio		9.81%^(b)		9.82%^(b)		9.40%^(b)		9.42%^(b)		9.52%^(b)		N/A		N/A		N/A
Tier I risk-based capital ratio		10.91%^(b)		10.93%^(b)		10.49%^(b)		10.51%^(b)		10.62%^(b)		10.83%		10.83%		10.80%
Total risk-based capital ratio		14.66%^(b)		14.13%^(b)		13.68%^(b)		13.69%^(b)		14.01%^(b)		14.33%		14.34%		14.30%
Tier I leverage ratio		9.57%		9.54%		9.38%		9.44%		9.59%		9.66%		9.82%		9.86%

Tier I common equity ratio		N/A		N/A		N/A		N/A		N/A		9.65%^(c)		9.64%^(c)		9.61%^(c)
CET1 capital ratio (fully phased-in)		9.72%^(b) (c)		9.72%^(b)(c)		9.30%^(b)(c)		9.31%^(b)(c)		9.41%^(b)(c)		N/A		N/A		N/A

(a)

Current period regulatory capital data and ratios are estimated.

(b)

(c)

This ratio has been included herein to facilitate a greater understanding of the Bancorp’s capital structure and financial condition. This is a Non-GAAP measure.

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Quarterly Data


	As of
	March		December		September		June		March		December		September		June
	2016		2015		2015		2015		2015		2014		2014		2014
Balance Sheet ($ in millions, except share data)
Assets
Cash and due from banks	$	2,298	$	2,540	$	2,455	$	2,785	$	2,920	$	3,091	$	3,125	$	3,312
Available-for-sale and other securities		29,891		29,044		28,799		27,987		26,409		22,408		22,912		22,814
Held-to-maturity securities		64		70		157		157		177		187		191		194
Trading securities		405		386		374		370		392		360		389		361
Other short-term investments		1,778		2,671		1,994		3,451		4,919		7,914		3,637		2,386

Total cash and securities		34,436		34,711		33,779		34,750		34,817		33,960		30,254		29,067
Loans held for sale		803		903		994		995		724		1,261		641		682
Portfolio loans and leases		93,605		92,582		93,574		92,703		91,244		90,084		90,624		90,484

Total loans and leases		94,408		93,485		94,568		93,698		91,968		91,345		91,265		91,166
Allowance for loan and lease losses		(1,295)		(1,272)		(1,261)		(1,293)		(1,300)		(1,322)		(1,414)		(1,458)
Bank premises and equipment		2,185		2,239		2,264		2,298		2,433		2,465		2,467		2,491
Operating lease equipment		738		707		680		670		695		728		732		667
Goodwill		2,416		2,416		2,416		2,416		2,416		2,416		2,416		2,416
Intangible assets		11		12		13		13		14		15		16		17
Servicing rights		685		785		757		854		789		858		935		931
Other real estate owned		119		137		149		163		187		217^(a)		242^(a)		266^(a)
Other assets		8,727		7,828		8,518		8,059		8,418		7,988		7,239		6,963

Total assets	$	142,430	$	141,048	$	141,883	$	141,628	$	140,437	$	138,670	$	134,152	$	132,526

Liabilities
Deposits:
Demand	$	35,858	$	36,267	$	34,832	$	35,449	$	35,343	$	34,809	$	32,258	$	32,140
Interest checking		25,182		26,768		24,832		27,074		27,191		26,800		24,930		24,744
Savings		14,738		14,601		14,632		14,976		15,355		15,051		15,355		16,087
Money market		19,377		18,494		18,887		17,900		18,105		17,083		16,199		14,216
Foreign office		441		464		754		728		811		1,114		1,577		1,418
Other time		4,049		4,019		4,041		4,050		4,044		3,960		3,856		3,724
Certificates - $100,000 and over		2,830		2,592		2,915		2,846		2,566		2,895		3,117		3,623

Total deposits		102,475		103,205		100,893		103,023		103,415		101,712		97,292		95,952
Federal funds purchased		134		151		132		126		200		144		148		153
Other short-term borrowings		3,523		1,507		4,904		4,136		1,413		1,556		2,730		3,146
Other liabilities		4,638		4,505		4,604		5,214		5,483		4,662		4,239		3,842
Long-term debt		15,305		15,810		15,492		13,491		14,022		14,931		14,300		13,925

Total liabilities	$	126,075	$	125,178	$	126,025	$	125,990	$	124,533	$	123,005	$	118,709	$	117,018

Equity
Common and preferred equity	$	18,638	$	18,406	$	17,867	$	17,578	$	17,421	$	17,169	$	16,889	$	16,661
Net unrealized gains:
Available-for-sale securities		685		238		528		327		608		475		338		410
Qualifying cash flow hedges		61		22		58		29		47		23		12		22
Accumulated other comprehensive income related to employee benefit plans		(62)		(63)		(64)		(65)		(67)		(69)		(49)		(50)
Treasury stock, at cost		(2,999)		(2,764)		(2,563)		(2,264)		(2,145)		(1,972)		(1,786)		(1,574)

Total Bancorp shareholders’ equity		16,323		15,839		15,826		15,605		15,864		15,626		15,404		15,469
Noncontrolling interests		32		31		32		33		40		39		39		39

Total equity	$	16,355	$	15,870	$	15,858	$	15,638	$	15,904	$	15,665	$	15,443	$	15,508

Total liabilities and equity	$	142,430	$	141,048	$	141,883	$	141,628	$	140,437	$	138,670	$	134,152	$	132,526

Share Data
Preferred shares outstanding - Series H		24,000		24,000		24,000		24,000		24,000		24,000		24,000		24,000
Preferred shares outstanding - Series I		18,000		18,000		18,000		18,000		18,000		18,000		18,000		18,000
Preferred shares outstanding - Series J		12,000		12,000		12,000		12,000		12,000		12,000		12,000		12,000
Common shares outstanding, excluding treasury		770,470,768		785,080,314		795,439,309		810,054,148		815,190,210		824,046,952		834,261,897		844,488,849
Treasury shares held		153,421,813		138,812,267		128,453,272		113,838,433		108,702,371		99,845,629		89,630,684		79,403,732

(a)

Includes OREO related to government insured loans. Upon the prospective adoption on January 1, 2015 of ASU 2014-14 “Classification of Certain Government-Guaranteed Mortgage Loans Upon Foreclosure,” government guaranteed loans meeting certain criteria were reclassified to other receivables rather than OREO upon foreclosure.

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Quarterly Data


	Three Months Ended
	March		December		September		June		March		December		September		June
	2016		2015		2015		2015		2015		2014		2014		2014
Average Balance Sheet ($ in millions, except share data)
Assets
Interest-earning assets:
Loans and leases	$	94,078	$	94,587	$	94,329	$	92,739	$	91,659	$	91,581		91,428	$	91,241
Taxable securities		29,619		28,951		28,251		27,344		23,102		22,364		22,594		21,706
Tax exempt securities		78		52		52		59		59		64		50		52
Other short-term investments		1,876		2,253		1,799		3,160		5,877		5,176		2,283		2,182

Total interest-earning assets		125,651		125,843		124,431		123,302		120,697		119,185		116,355		115,181
Cash and due from banks		2,335		2,466		2,503		2,636		2,830		3,008		2,862		2,847
Other assets		14,869		14,925		15,064		15,322		15,412		14,764		14,425		14,384
Allowance for loan and lease losses		(1,273)		(1,261)		(1,292)		(1,300)		(1,322)		(1,413)		(1,458)		(1,480)

Total assets	$	141,582	$	141,973	$	140,706	$	139,960	$	137,617	$	135,544	$	132,184	$	130,932
Liabilities
Interest-bearing liabilities:
Interest checking deposits	$	25,740	$	25,296	$	25,590	$	26,894	$	26,885	$	25,478	$	24,926	$	25,222
Savings deposits		14,601		14,615		14,868		15,156		15,174		15,173		15,759		16,509
Money market deposits		18,655		18,775		18,253		18,071		17,492		17,023		15,222		13,942
Foreign office deposits		483		736		718		955		861		1,439		1,663		2,200
Other time deposits		4,035		4,052		4,057		4,074		4,022		3,936		3,800		3,693
Certificates - $100,000 and over		2,815		3,305		2,924		2,558		2,683		2,998		3,339		3,840
Other deposits		—		7		222		—		—		—		—		—
Federal funds purchased		608		1,182		1,978		326		172		161		520		606
Other short-term borrowings		3,564		1,675		1,897		1,705		1,602		1,481		1,973		2,234
Long-term debt		14,949		15,738		14,664		13,741		14,414		14,819		13,919		12,491

Total interest-bearing liabilities		85,450		85,381		85,171		83,480		83,305		82,508		81,121		80,737
Demand deposits		35,201		36,254		35,231		35,384		33,760		33,301		31,790		31,275
Other liabilities		4,524		4,325		4,458		5,215		4,693		4,052		3,749		3,724

Total liabilities		125,175		125,960		124,860		124,079		121,758		119,861		116,660		115,736
Equity		16,407		16,013		15,846		15,881		15,859		15,683		15,524		15,196

Total liabilities and equity	$	141,582	$	141,973	$	140,706	$	139,960	$	137,617	$	135,544	$	132,184	$	130,932

Average loans and leases (excluding held for sale)	$	93,275	$	93,594	$	93,373	$	92,173	$	90,508	$	91,041	$	90,799	$	90,549

Share Data
Average common shares outstanding - basic		773,564,178		784,855,006		795,792,825		803,965,057		810,209,585		819,057,247		829,391,505		838,492,046
Average common shares outstanding - diluted		778,392,453		794,481,388		805,022,588		812,842,540		818,672,259		827,831,317		838,324,420		848,245,111

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Quarterly Data


	Three Months Ended
	March		December		September		June		March		December		September		June
	2016		2015		2015		2015		2015		2014		2014		2014
End of Period Loans and Leases ($ in millions) ^{(net of unearned discount)}
Commercial:
Commercial and industrial loans	$	43,441	$	42,151	$	42,970	$	42,812	$	42,062	$	40,801	$	41,111	$	41,364
Commercial mortgage loans		6,874		6,991		7,084		7,165		7,210		7,410		7,566		7,807
Commercial construction loans		3,428		3,214		3,101		2,709		2,303		2,071		1,704		1,426
Commercial leases		3,956		3,854		3,901		3,882		3,787		3,721		3,555		3,572

Total commercial loans and leases		57,699		56,210		57,056		56,568		55,362		54,003		53,936		54,169
Consumer:
Residential mortgage loans		14,563		14,424		14,197		13,792		13,258		13,582		13,520		13,250
Home equity		8,131		8,336		8,460		8,591		8,714		8,886		8,987		9,056
Automobile loans		11,129		11,497		11,829		11,914		11,873		12,037		12,121		12,050
Credit card		2,235		2,360		2,330		2,278		2,291		2,401		2,317		2,261
Other consumer loans and leases		651		658		696		555		470		436		384		380

Total consumer loans and leases		36,709		37,275		37,512		37,130		36,606		37,342		37,329		36,997

Total loans and leases	$	94,408	$	93,485	$	94,568	$	93,698	$	91,968	$	91,345	$	91,265	$	91,166

Average Loans and Leases ($ in millions) ^{(net of unearned discount)}
Commercial:
Commercial and industrial loans	$	43,127	$	43,175	$	43,162	$	42,554	$	41,462	$	41,313	$	41,525	$	41,451
Commercial mortgage loans		6,908		7,053		7,038		7,149		7,248		7,482		7,637		7,886
Commercial construction loans		3,297		3,141		2,966		2,549		2,198		1,911		1,565		1,364
Commercial leases		3,875		3,841		3,847		3,776		3,716		3,601		3,576		3,556

Total commercial loans and leases		57,207		57,210		57,013		56,028		54,624		54,307		54,303		54,257
Consumer:
Residential mortgage loans		14,405		14,315		13,976		13,375		13,515		13,526		13,342		13,202
Home equity		8,241		8,394		8,521		8,655		8,802		8,937		9,009		9,101
Automobile loans		11,285		11,674		11,881		11,902		11,933		12,073		12,105		12,070
Credit card		2,277		2,320		2,277		2,296		2,321		2,324		2,295		2,232
Other consumer loans and leases		663		674		661		483		464		414		374		379

Total consumer loans and leases		36,871		37,377		37,316		36,711		37,035		37,274		37,125		36,984

Total average loans and leases	$	94,078	$	94,587	$	94,329	$	92,739	$	91,659	$	91,581	$	91,428	$	91,241

Asset Quality ($ in millions)
Nonaccrual portfolio loans and leases	$	419	$	228	$	205	$	217	$	231	$	269	$	305	$	323
Nonaccrual loans held for sale		3		1		1		1		2		24		4		5
Nonaccrual restructured loans held for sale		2		11		1		—		—		15		3		—
Nonaccrual portfolio restructured loans and leases		282		278		253		258		296		310		315		317
OREO and other repossessed property^(a)		124		141		148		151		164		165		176		192

Total nonperforming assets	$	830	$	659	$	608	$	627	$	693	$	783	$	803	$	837

Ninety days past due loans and leases	$	73	$	75	$	70	$	70	$	78	$	87	$	87	$	94

Nonperforming Loans ($ in millions)^{(nonaccrual plus renegotiated)}
Commercial and industrial loans and leases	$	465	$	259	$	171	$	182	$	200	$	241	$	267	$	249
Commercial mortgage loans		83		93		110		106		126		146		121		141
Commercial construction loans		—		—		6		—		1		2		4		10
Residential mortgage loans		44		51		54		62		70		94		111		117
Home equity		80		79		82		88		90		93		85		93
Other consumer loans and leases		34		36		37		38		41		42		39		35

Total nonperforming loans and leases (including held for sale)	$	706	$	518	$	460	$	476	$	528	$	618	$	627	$	645

Credit Charge-Offs ($ in millions)
Total losses charged-off	($	116)	($	105)	($	209)	($	112)	($	115)	($	215)	($	146)	($	127)
Total recoveries of losses previously charged-off		20		25		21		26		24		24		31		26

Total net losses charged-off	($	96)	($	80)	($	188)	($	86)	($	91)	($	191)	($	115)	($	101)

(a)

Excludes OREO related to government insured loans. The Bancorp has historically excluded government guaranteed loans classified in OREO from its nonperforming asset disclosures. Upon the prospective adoption on January 1, 2015 of ASU 2014-14 “Classification of Certain Government-Guaranteed Mortgage Loans Upon Foreclosure,” government guaranteed loans meeting certain criteria will be reclassified to other receivables rather than OREO upon foreclosure.

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