FIFTH THIRD BANCORP - FORM 8-K - EX-99.1

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8-K - FORM 8-K - FIFTH THIRD BANCORP	d88304d8k.htm

Barclays

Global Financial Services Conference

Tayfun Tuzun

Executive Vice President & Chief Financial Officer

September 17, 2015

Exhibit 99.1

Fifth Third Bank

Through the Cycle Top Performance

Strong Core

Performance

Historical Strength of

Fifth Third

Balancing Shareholder

Return with Growth

Operational

Excellence

Building Infrastructure to

meet New Regulatory

Expectations

Aggressively Managing

Expenses across the

Company

Investing for

the Future

Accelerating

Adaptation

Technology across the

Company

Identifying

Opportunities

Expand

Product

Service

Offerings

Balance Sheet

Positioning

Balanced

Risk

Management

with Focus on Downside

Risks

Maintain

Optimal

Flexibility

in Expectation for

Continued Uncertainty

Fifth Third Bank

$41

$42

$43

$10

$20

$30

$40

$50

$60

4Q14

1Q15

2Q15

C&I

CRE

Lease

Net Interest Income ($MM)

Net Charge-offs ($MM)

4Q14 excludes an $87 million charge-off resulting from the transfer of certain residential mortgage loans to held for sale

Includes loans held for sale

Commercial Loan Growth ($B)

Core Deposit Growth ($B)

Lost Deposit Advance Revenue

Strong Core Performance

$54

$55

$96

$98

$101

$92

$96

$100

$104

4Q14

1Q15

2Q15

$888

$852

$892

$22

$25

$200

$400

$600

$800

$1,000

4Q14

1Q15

2Q15

$104

$91

$86

$50

$60

$70

$80

$90

$100

$110

4Q14

1Q15

2Q15

$57

Fifth Third Bank

100

200

300

400

500

600

700

800

2Q13

2Q14

2Q15

$109

+10%

1H15

2H15 Estimated

Source: SNL Financial; Fifth Third and Peer Average reflects average annual reported efficiency ratios for given time periods

Peer Average includes BBT, COF, CMA, HBAN, KEY, MTB, PNC, RF, STI, USB , WFC, and ZION

Operational Excellence

Historical Focus on

Expense Management

Investments in Risk &

Compliance to meet New

Regulatory Guidelines

Increasing Technology

Investment to Build

Future Shareholder Value

Compliance and Risk FTE

Technology and

Communications

Expense ($MM)

Efficiency Ratio Comparison

40%

45%

50%

55%

60%

65%

2003 - 2007

2008 - 2010

2011 - 2015

Fifth Third Bancorp

Peer Average

$50

$60

$70

$80

$90

$100

$110

$120

$130

Fifth Third Bank

1Q10

4Q10

3Q11

2Q12

1Q13

4Q13

3Q14

2Q15

Balanced Interest

Rate Risk

Management

10yr Treasury

Year 1 +100 bps ramp NII % change

Deposit beta sensitivity

Balance Sheet Positioned Well for Current Environment

$69

$95

$121

$20

$40

$60

$80

$100

$120

$140

70%

50%

30%

Deposit Betas

Post-crisis balanced interest rate risk

management

Balance achieved by managing investment

portfolio duration in conjunction with high

portion of LIBOR-indexed loans

Transparent disclosures about deposit rate

sensitivity

—

Conservative deposit assumptions

—

No modeled re-pricing lag

Change in Interest Rates

+200

bps Ramp

1.63%

6.65%

4.63%

+100

bps Ramp

0.89%

4.23%

2.39%

Percent Change in NII (FTE)

Betas 25% Lower

12.65%

7.23%

Months

13 to 24

Months

13 to 24

Months

ESTIMATED NII SENSITIVITY PROFILE

25 bps move in Fed Funds

Fifth Third Bank

Investing for the Future

Transforming the Core Business

Building Capabilities in Commercial Banking

Talent Acquisition

•

Optimizing

branch

network

–

addressing

evolving

customer behavior, preferences and expectations

•

Supporting physical presence with advanced digital

capabilities

•

Becoming a full solutions provider to our clients

•

Investing in products and services to widen the scope

of our banking offers in retail and healthcare sectors

•

Adding deep industry expertise in both sales and credit

Fifth Third Bank

7.0

6.4

5.9

2Q13

2Q14

2Q15

•

Drove digital adaption

through mobile and ATM

•

Redefined staffing models

& modified roles

Optimize

Re-engineer

•

Redesigning branch formats

and changes in branch network

•

Launching universal bankers for

sales and service

•

Expanding use of self-service

(Smart ATMs)

•

Introducing new banking center

technology

Digitize

•

Build out marketing and

analytics expertise

•

Leverage physical, virtual,

and digital touch points to

drive sales opportunities

•

Create paperless branch

operations

Retail Evolution

2012

Future of Fifth Third

(16%)

(30%)

(40%)

(20%)

20%

Total Banking

Center Staff

Total Service FTE

Total Sales FTE

Retail Banking Headcount

(Dec. 2012 -

June 2015)

Branch transactions

Average monthly trans. in millions

Transaction volume by ATM and

Mobile channels

22%

31%

38%

10%

20%

30%

40%

2Q13

2Q14

2Q15

Fifth Third Bank

Expected Annual Expense Savings

$65MM expense savings from

changes to branch network to be

fully executed by mid-2016

Selection Criteria for Consolidations

Future Initiatives

Digital self service center –

faster,

cheaper, better experience

Integrated customer relationship

data, offer, and omni-channel

delivery

Digitize branch sales and service

operations

Consumer Bank: State of the Art Banking

Scorecard over 50 variables

—

Production volume trend

—

Transaction volume trend

—

Overlap with nearby branches

—

Customer loyalty scores

Recent consolidation experience

shows no material increase in

household attrition

100

120

By Year-End

By Mid-2016

Total

Timeline of Branch Network Changes

Fifth Third Bank

$30

$40

$50

5.0

5.5

6.0

6.5

2012

2013

2014

Jul-15

C&I Loan Balances ($B)

Commercial

Bank:

Scale

and

Scope

10%

32%

13%

15%

International

Large Corporate

Mid Corporate

Healthcare

Middle Market

CRE

PD Improvement

with C&I Growth

Growth in Lead

Relationships²

CAGR +10%

Equipment

Finance

Specialty

Learning

Industry

Verticals &

Other

•

#9 in C&I loans, #9 in treasury management, #10 in commercial deposits nationally

•

Diversified revenue composition

•

Focus on verticals and industry-specific solutions via dedicated solution specialists

•

Changing credit profile post-crisis in-line with our risk appetite and increased focus on mid-

and large-corporate relationships

•

Increased use of technology and data analytics for product and business profitability

•

Driving lead relationships by delivering expert advice via a coordinated team of sales, credit,

and specialized services and solutions

$1.2B

1H15

Revenue

Other includes energy and retail verticals

Does not reflect segmentation changes in prior periods

Source: SNL, E&Y 2014 National Rankings

26%

27%

32%

36%

2012

2013

2014

Jul-15

Fifth Third Bank

Diversified Business Mix

Institutional

services

provides

investment

management,

401(k),

and

custody

services

for

corporations,

financial

institutions

and

not-for

profits

Wealth Management

Fee Growth ($MM)

Revenue per

Household ($K)

Private Bank

47%

Institutional

Services

17%

Retail Brokerage

36%

$270 MM

1H15

Revenue

•

Provides for significant cross-sell opportunity with growth that outpaces the retail channel

•

Focus on superior client experience

—

Use of digital transformation

—

Building a higher touch model

•

Innovating estate planning and settlement

business for future wealth transfer opportunities

•

Expanding our portfolio of capabilities

$10

$15

$20

$25

$30

1H12

1H13

1H14

1H15

Wealth

Management:

Capitalizing

Retail

Commercial

Partnerships

Fifth Third Bank

2.5%

5.2%

Industry

Fifth Third

Excludes earnings credit

Source: Industry information from Oliver Wyman

Treasury management fees

(2012–2014 CAGR)

Credit Card

37%

38%

11%

14%

Debit Card

Commercial Card

& Other

Consumer

Payments (51%)

Commercial

Payments (49%)

1H15

Revenue

•

Traditional strength of Fifth Third

•

Diversified revenue streams in consumer and commercial businesses

•

Industry leading payments revenue

•

Increasing specialized expertise in healthcare and retail verticals

•

Targeted third party investments to enhance product offers

$400

$410

$420

$430

$440

$450

$460

$470

$480

1H13

1H14

1H15

Total Payments Revenue

($MM)

Payments

Commerce

Solutions:

Capital

Efficient

Relationship

Profitability

Growth

Fifth Third Bank

22.8% ownership stake;

Market value net of

carrying value

Market value as of 9/15/15

As of 6/30/15

Note: Incremental TRA generated by future share sales assumes a 36% tax rate and $45 per share

Potential remaining

TRA-related gross

cash flows

TRA-related gross cash flows

recorded by Vantiv

Significant Unrealized Value

$597M

$1.6B

Vantiv,

Inc:

Hidden

Value

Fifth Third Bank

Through the Cycle Top Performance

Strong Core

Performance

Operational

Excellence

Well-managed

balance sheet

positioning

Investing for

the Future

Fifth Third Bank

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 arise during the company’s close process or as a result of subsequent events that would require the company to make adjustments to

the 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 weakening in the economy, specifically

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, are less favorable than expected; (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 that could have an adverse effect on Fifth Third’s earnings and future growth; (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.

Cautionary Statement

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