STI 2018 Annual Report

Notes to Consolidated Financial Statements, continued 167 Year Ended December 31, 2018 (Dollars in millions) Consumer Wholesale Corporate Other Reconciling Items Consolidated Balance Sheets: Average LHFI $75,427 $70,200 $89 ($2) $145,714 Average consumer and commercial deposits 111,235 48,675 216 (358) 159,768 Average total assets 85,509 84,413 35,630 1,725 207,277 Average total liabilities 112,173 55,098 16,100 (304) 183,067 Average total equity — — — 24,210 24,210 Statements of Income: Net interest income $4,235 $2,184 ($190) ($242) $5,987 FTE adjustment — 86 2 — 88 Net interest income-FTE 1 4,235 2,270 (188) (242) 6,075 Provision for credit losses 2 148 60 — — 208 Net interest income after provision for credit losses-FTE 4,087 2,210 (188) (242) 5,867 Total noninterest income 1,804 1,534 57 (169) 3,226 Total noninterest expense 4,017 1,720 (42) (22) 5,673 Income before provision for income taxes-FTE 1,874 2,024 (89) (389) 3,420 Provision for income taxes-FTE 3 424 479 (61) (206) 636 Net income including income attributable to noncontrolling interest 1,450 1,545 (28) (183) 2,784 Less: Net income attributable to noncontrolling interest — — 9 — 9 Net income $1,450 $1,545 ($37) ($183) $2,775 1 Presented on a matched maturity funds transfer price basis for the segments. 2 Provision for credit losses represents net charge-offs by segment combined with an allocation to the segments for the provision attributable to quarterly changes in the ALLL and unfunded commitment reserve balances. 3 Includes regular provision for income taxes as well as FTE income and tax credit adjustment reversals. Year Ended December 31, 2017 1, 2 (Dollars in millions) Consumer Wholesale Corporate Other Reconciling Items Consolidated Balance Sheets: Average LHFI $73,578 $69,394 $1,247 ($3) $144,216 Average consumer and commercial deposits 109,298 50,155 160 (64) 159,549 Average total assets 83,278 83,091 35,931 2,631 204,931 Average total liabilities 110,271 55,762 14,626 (29) 180,630 Average total equity — — — 24,301 24,301 Statements of Income: Net interest income $3,906 $2,029 $14 ($316) $5,633 FTE adjustment — 142 3 — 145 Net interest income-FTE 3 3,906 2,171 17 (316) 5,778 Provision for credit losses 4 366 39 4 — 409 Net interest income after provision for credit losses-FTE 3,540 2,132 13 (316) 5,369 Total noninterest income 1,905 1,573 73 (197) 3,354 Total noninterest expense 3,982 1,727 74 (19) 5,764 Income before provision for income taxes-FTE 1,463 1,978 12 (494) 2,959 Provision for income taxes-FTE 5 529 736 (292) (296) 677 Net income including income attributable to noncontrolling interest 934 1,242 304 (198) 2,282 Less: Net income attributable to noncontrolling interest — — 9 — 9 Net income $934 $1,242 $295 ($198) $2,273 1 During the second quarter of 2018, certain of the Company's business banking clients were transferred from the Wholesale business segment to the Consumer business segment. For all periods prior to the second quarter of 2018, the corresponding financial results have been transferred to the Consumer business segment for comparability purposes. 2 During the fourth quarter of 2017, the Company sold PAC, the results of which were previously reported within the Wholesale business segment. For all periods prior to January 1, 2018, PAC's financial results, including the gain on sale, have been transferred to Corporate Other for enhanced comparability of the Wholesale business segment excluding PAC. 3 Presented on a matched maturity funds transfer price basis for the segments. 4 Provision for credit losses represents net charge-offs by segment combined with an allocation to the segments for the provision attributable to quarterly changes in the ALLL and unfunded commitment reserve balances. 5 Includes regular provision for income taxes as well as FTE income and tax credit adjustment reversals.