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Associated Banc-Corp
Investor Presentation
SECOND QUARTER
2017
FORWARD-LOOKING STATEMENTS
Important note regarding forward-looking statements:
Statements made in this presentation which are not purely historical are forward-looking statements, as
defined in the Private Securities Litigation Reform Act of 1995. This includes any statements regarding
management’s plans, objectives, or goals for future operations, products or services, and forecasts of its
revenues, earnings, or other measures of performance. Such forward-looking statements may be
identified by the use of words such as “believe,” “expect,” “anticipate,” “plan,” “estimate,” “should,” “will,”
“intend,” “outlook” or similar expressions. Forward-looking statements are based on current management
expectations and, by their nature, are subject to risks and uncertainties. Actual results may differ
materially from those contained in the forward-looking statements. Factors which may cause actual
results to differ materially from those contained in such forward-looking statements include those
identified in the Company’s most recent Form 10-K and subsequent SEC filings. Such factors are
incorporated herein by reference.
Trademarks:
All trademarks, service marks, and trade names referenced in this material are official trademarks and the
property of their respective owners.
1
WI
70%
153
MN
7%
20
IL
23%
42
Deposits (%)
And Branches
OUR FRANCHISE
2
$29 billion in assets $1 billion revenue2
$20 billion of loans $22 billion of deposits
First Quarter 20171
Headquartered in Green Bay, Wisconsin
Largest bank headquartered in Wisconsin
1 – As of March 31, 2017, unless otherwise noted
2 – Twelve months ended March 31, 2017
Affinity Programs
Serving over 1 million
customers in over 100
communities across 8 states
Community,
Consumer,
and Business
38%
Corporate and
Commercial
Specialty
62%
1Q17 Net Income
by Business Segment
Manufacturing
and Wholesale
Trade
27%
ATTRACTIVE MIDWEST MARKETS
3.1% 3.4%
3.8% 3.9% 3.9% 4.3%
4.9% 5.1% 5.1%
IA WI MN IN MO U.S. IL OH MI
Midwest
~30%
All other
regions
~70%
U.S.
Manufacturing
Jobs
1 – U.S. Census Bureau, Annual Estimates of the Resident Population, 2016
2 – U.S. Bureau of Labor Statistics, Manufacturing Industry Employees, seasonally adjusted, March 2017 (preliminary)
3 – U.S. Bureau of Labor Statistics, Unemployment Rates by State, seasonally adjusted, March 2017 (preliminary)
4 – Experian, 2016 Annual State of Credit report, VantageScore is a registered trademark
Midwest holds ~20% of the U.S. population1 and
~30% of all U.S. manufacturing jobs2
3
Large Population Base With a Manufacturing and Wholesale Trade-Centric Economy
Several Midwestern states have unemployment rates3 below
the national average
Dark green bars denote ASB branch states
Commercial and Business Lending
Loan Composition by Industry
Rochester, MN………..
Mankato, MN………….
Minneapolis, MN……..
Green Bay, WI………..
Wausau, WI…………...
708
708
707
704
704
Top U.S. Cities by Credit Score4
Green font denotes ASB branch markets
Supporting Strong Employment Base and Healthy Consumer Credit
FIRST QUARTER UPDATE
4
Strengthening
Customer
Relationships
Delivering
on our
Strategy
Expanding our
Community
Presence
Providing Long-
Term Value to
Shareholders
2017 Strategic Priorities
Balance
Sheet
Management
Mid-to-high single digit
annual average loan
growth
Maintain Loan to
Deposit ratio under
100%
Improving NIM trend
Fee
Businesses
Improving fee-based
revenues
Declining mortgage
banking revenue
Increasing tax credit
investment activity
Expense
Management
Capital
& Credit
Management
Approximately 1%
higher than the prior
year
Continued
improvement to our
efficiency ratio
Continue to follow stated
corporate priorities for
capital deployment
Provision expected to
adjust with changes to
risk grade, other
indications of credit
quality, and loan volume
YoY
Progress
YoY
Progress
Net QoQ Growth: +$96 million
$1.6 $1.5 $1.5 $1.4 $1.3
$4.6 $4.7 $5.2
$5.9 $6.62
$3.6 $3.9
$4.1
$4.5
$5.0
$5.6
$6.1
$7.0
$7.1
$7.2
1Q 2013 1Q 2014 1Q 2015 1Q 2016 1Q 2017
Commercial & business Commercial real estate
Residential mortgage Home equity & Other consumer
POSITIONED FOR LOAN GROWTH
5
$20.1
$17.8
$18.9
$16.2
$15.4
($ in billions)
5%
Average Quarterly Loans
1Q13 – 1Q17
CAGR
6%
9%
9%
$(200)
$(58)
$(29)
$(22)
$29
$44
$85
$2471
Home equity &
Other consumer
Commercial real estate
Residential mortgage
Power & Utilities
Mortgage warehouse
REIT
Oil and Gas
General commercial
QoQ Average Loan Growth, $ in millions
1 – 60% of 1Q residential mortgage loan growth was in longer-dated production. Percentage based on change in period end composition
2 – $2.0 billion of the total residential mortgage portfolio was comprised of fixed-rate loans. Amount based on change in period end composition
2Q 2017: Expected to exceed 1Q growth
$2.0 $1.7 $1.6 $1.6 $1.6
$1.1 $1.2 $1.3 $1.4 $1.5
$7.0 $7.2
$8.7 $9.4 $9.2
$2.8 $2.8
$3.2
$3.2 $4.3
$4.2 $4.2
$4.3
$5.0
$5.0
1Q 2013 1Q 2014 1Q 2015 1Q 2016 1Q 2017
Time deposits Savings
Money market Interest-bearing demand
Noninterest-bearing demand
89%
94%
91%
93% 92%
Loan to Deposit Ratio
POSITIONED FOR DEPOSIT GROWTH
($ in billions)
$21.5
6
$20.6
$19.1
$17.0 $17.1
Focused on Granular Low Cost Deposits
Average Quarterly Deposits
1 – Percentages based on first quarter 2017 average balances
2 – Network transaction deposits comprise substantially all of the Risk Management and Shared Services segment balances
3 – Affinity debit cards as a percentage of active personal checking accounts, as of March 31, 2017
Corporate and
Commercial
Specialty
30%
Community,
Consumer and
Business
53%
Network
Transaction
Deposits2
17%
Deposits by Segment1
Packers
23%
Badgers
8%
Brewers
7%
Wild
1%
Affinity Debit Cards3
1Q13 – 1Q17
CAGR
4%
11%
7%
40%
24%
22%
7% 7%
Fast Moving Mixed Slow Moving
Money
Market
Noninterest-
bearing
demand
Interest-
bearing
demand
Savings Time
0.45%
0.39%
0.41% 0.42%
0.52%
$12 $12 $13 $14 $17
$10 $8 $8 $8 $10
1Q 2016 2Q 2016 3Q 2016 4Q 2016 1Q 2017
Short and long-term funding costs
Interest-bearing deposits
$21
2.81% 2.81%
2.77%
2.80%
2.84%
$96 $99 $103 $104 $106
$64 $65
$66 $66 $69
$39 $38
$36 $36
$37
1Q 2016 2Q 2016 3Q 2016 4Q 2016 1Q 2017
Commercial Retail Investment and other
POSITIONED FOR HIGHER INTEREST RATES
IMPROVING MARGIN AND ASSET SENSITIVE PROFILE
Net interest margin
($ in millions)
7
Interest Income & Net Interest Margin
$199 $202
$205 $207 $212
$22
$27
Interest Expense
YoY
Interest
Income
Change
+$13 million
NII YoY
Change
+$8 million
YoY
Interest
Expense
Change
-$5 million
$20 $21
Cost of interest-bearing liabilities
Deposit Repricing Mix1
1 – Deposit mix as of March 31, 2017
GROWING AND DIVERSIFIED BUSINESS MODEL
($ IN MILLIONS)
8
Strong Insurance Commissions
Growth Driven by 2015 Acquisition
Robust Capital Markets, Trust
and Investments Solutions
Noninterest Income
$54 $56
$63 $65 $67
1Q 2013 1Q 2014 1Q 2015 1Q 2016 1Q 2017
$83
$74
$80
$83
$80
$12 $12
$20 $21
$22
1Q 2013 1Q 2014 1Q 2015 1Q 2016 1Q 2017
$18
$19 $19 $19
$20
1Q 2013 1Q 2014 1Q 2015 1Q 2016 1Q 2017
1 – A non-GAAP financial measure, fee-based revenue is the sum of trust service fees, service charges on deposit accounts, card-based and other nondeposit fees, insurance
commissions, and brokerage and annuity commissions. Please refer to the appendix for a reconciliation of fee-based revenue to total noninterest income.
Fee-based revenue1
($ in millions)
78%
68%
48% 46% 46%
1Q 2013 1Q 2014 1Q 2015 1Q 2016 1Q 2017
9
INCREASING DISTRIBUTION EFFICIENCY
LESS BRANCH CENTRIC; MORE MOBILE AND ENHANCED 24/7 ACCESS
Almost 60% of
customers are active in
online banking2
Over 30% of consumer
deposit customers use
mobile banking
27% increase in
SnapDeposit activity
from 1Q162
Over 90% of our Corporate Banking customers’
deposit activity1 is executed via lockbox or remote deposit
Only 46%
of all deposit and
withdrawal activity1 is
occurring
inside our branches
1 – Excludes ACH and wire transfer activity, for the quarter ended March 31, 2017
2 – Based on consumer deposit customers , for the quarter ended March 31, 2017
Branch Deposit and Withdrawal Transactions / Total Transactions1
Enhanced
Automation
Operational
Efficiencies
Branch
Consolidations
Branch Staffing
Initiatives
OVERALL EXPENSE EFFICIENCY
AUTOMATION AND INVESTMENTS ARE DRIVING BETTER EFFICIENCY OVER TIME
Efficiency Drivers
1 – The efficiency ratio as defined by the Federal Reserve guidance is noninterest expense (which includes the provision for unfunded commitments) divided by the
sum of net interest income plus noninterest income, excluding investment securities gains / losses, net. The fully tax-equivalent efficiency ratio, which is a non-GAAP
financial measure, is noninterest expense (which includes the provision for unfunded commitments), excluding other intangible amortization, divided by the sum of fully
tax-equivalent net interest income plus noninterest income, excluding investment securities gains / losses, net. Refer to the appendix for a reconciliation of the Federal
Reserve efficiency ratio to the fully tax-equivalent efficiency ratio.
10
~240
215
2.92%
2.45%
1.00%
1.50%
2.00%
2.50%
3.00%
180
190
200
210
220
230
240
250
260
2013 2014 2015 2016 Mar 2017
Branches (period end)
Noninterest Expense /
Average Assets
70% 70% 70%
69%
66%
68% 69% 69%
67%
65%
1Q 2013 1Q 2014 1Q 2015 1Q 2016 1Q 2017
Federal Reserve Fully tax-equivalent
Efficiency Ratio1
IMPROVING CAPITAL EFFICIENCY
11
149
154
1Q 2016 1Q 2017
Average Common Shares
Outstanding Diluted
(in millions)
11.64% 11.20%
9.39% 9.30% 9.87%
1Q 2013 1Q 2014 1Q 2015 1Q 2016 1Q 2017
Common Equity Tier 11 Ratio
$12.41
$13.00
1Q 2016 1Q 2017
Tangible Book Value
per Common Share
4
Funding
Organic
Growth
Paying a
Competitive
Dividend
Non-Organic
Growth
Opportunities
Share Buybacks
and Redemptions
Capital Priorities
1 – Beginning January 1, 2015, the regulatory capital requirements effective for the Corporation follow Basel III, subject to certain transition provisions, and introduced a
new regulatory measure of CET1. Prior to 2015, the regulatory capital requirements effective for the Corporation followed the Capital Accord of the Basel Committee
on Banking Supervision ("Basel I"). CET1 prior to the Basel III requirements was calculated as Tier 1 capital excluding qualifying perpetual preferred stock and
qualifying trust preferred securities. Refer to the appendix for a reconciliation of common equity Tier 1.
$0.11
$0.12
1Q 2016 1Q 2017
Dividends
per Common Share
Earnings Per Share Dividends
Shareholder Gain Return on Average Common Equity Tier 11
39%
94%
One Year Five Years
$0.27
$0.35
1Q 2016 1Q 2017
14%
annualized
TSR
$0.11
$0.12
1Q 2016 1Q 2017
EXPANDING BOTTOM LINE
12
8.6%
10.6%
1Q 2016 1Q 2017
As of March 31, 2017
Exceptional Value
1 – Refer to the appendix for a reconciliation of average common equity Tier 1
“We’ve shaped our success
around a shared vision to
become the Midwest’s
premier financial services
company, distinguished by
consistent, quality customer
experiences, built upon a
strong commitment to our
colleagues and the
communities we serve,
resulting in exceptional
value to our shareholders
through economic cycles.”
+30%
YoY
+9%
YoY
2017 OUTLOOK
Balance
Sheet
Management
Mid-to-high single digit annual
average loan growth
Maintain Loan to Deposit ratio
under 100%
Improving NIM trend
Improving fee-based revenues
Declining mortgage banking
revenue
Increasing tax credit
investment activity
Expense
Management
Approximately 1% higher
than the prior year
Continued improvement to
our efficiency ratio
Capital
&
Credit
Management
Continue to follow stated
corporate priorities for
capital deployment
Provision expected to adjust
with changes to risk grade,
other indications of credit
quality, and loan volume
13
This outlook reflects a stable to improving economy and includes our expectation of one mid-
year interest rate increase in 2017. It does not reflect any changes to the regulatory environment
or to corporate tax rates. We may adjust our outlook if, and when, we have more clarity on any
one, or more, of these factors.
Fee
Businesses
APPENDIX
1Q 2016 2Q 2016 3Q 2016 4Q 2016 1Q 2017
Oil and Gas
$4 $2
$(4)
$3
$13 $19 $22
$6
$6
1.4% 1.4% 1.4% 1.4% 1.4%
6.5%
5.6% 5.5% 5.7%
6.7%
1Q 2016 2Q 2016 3Q 2016 4Q 2016 1Q 2017
ALLL / Total Loans
Oil and Gas ALLL / Oil and Gas Loans
CREDIT QUALITY – QUARTERLY TRENDS
($ IN MILLIONS)
$251 $281 $270 $276 $262
$150
$176 $171
$75 $78
1Q 2016 2Q 2016 3Q 2016 4Q 2016 1Q 2017
Oil and Gas
$157 $154 $163 $128 $126
$129 $129 $127 $147 $134
1Q 2016 2Q 2016 3Q 2016 4Q 2016 1Q 2017
Oil and Gas
Potential Problem Loans Nonaccrual Loans
Net Charge Offs (Recoveries) Allowance to Total Loans / Oil and Gas Loans
$401
$457 $441
$351 $340
$286 $283 $290 $275
$260
$21 $18
$9
$17
15
C&BL by Geography
$7.2 billion
CRE by Geography
$5.0 billion
Multi-Family
29%
Retail
24%
Office / Mixed
Use 20%
Industrial
10%
1-4 Family
Construction
7% Hotel / Motel
4%
Other
6%
Manufacturing
and Wholesale
Trade
27%
Power &
Utilities
14%
Real Estate
11%
Oil & Gas
9%
Finance &
Insurance
8%
Other
11%
East Texas
North
Louisiana
Arkansas
19%
Permian
15%
South Texas
& Eagle
Ford
14%
Rockies
14%
Marcellus
Utica
Appalachia
11%
Mid-
Continent
(primarily
OK & KS)
10%
Gulf Coast
6% Gulf Shallow
5%
Bakken
1%
Other
(Onshore
Lower 48)
5%
Wisconsin
29%
Illinois
16%
Minnesota
7%
Texas3
10%
Other
Midwest2
9%
Other
29%
Wisconsin
28%
Illinois
22%
Minnesota
9%
Other
Midwest2
25%
Texas
3%
Other
13%
1 – Excludes $0.4 billion Other consumer portfolio
2 – Other Midwest includes Missouri, Indiana, Ohio, Michigan and Iowa
3 – Principally reflects the oil and gas portfolio
4 – Based on outstanding commitments
LOANS STRATIFICATION OUTSTANDINGS AS OF MARCH 31, 2017
16
Total Loans1
Wisconsin
32%
Illinois
27%
Other
Midwest2
13%
Minnesota
10%
Texas
4%
Other
14%
C&BL by Industry
$7.2 billion
Oil and Gas Lending4
~$1.0 billion
CRE by Property Type
$5.0 billion
OIL AND GAS UPDATE
$477 $451 $398 $446 $413
$150 $176
$171 $75
$78
$129 $129
$127
$147
$134
1Q 2016 2Q 2016 3Q 2016 4Q 2016 1Q 2017
Pass Potential Problem Loans Nonaccrual
$756 $756
$696 $668
$625
Period End Loans by Credit Quality Oil and Gas Allowance
$49
$42 $38 $38 $42
6.5%
5.6% 5.5% 5.7%
6.7%
1Q 2016 2Q 2016 3Q 2016 4Q 2016 1Q 2017
Oil and Gas Allowance
Oil and Gas Allowance / Oil and Gas Loans
($ in millions) ($ in millions)
17
Total O&G Portfolio
Quarter end March 31, 2017
59 credits ~$1 billion commitments
$625 million
outstandings
3%
of total loans
New business since
January 1, 2016
15 credits $335 million commitments
$207 million
outstandings
1%
of total loans
38% 29%
61% 71%
1% <1%
March 2016 March 2017
HIGH QUALITY SECURITIES
($ IN BILLIONS)
18
$4.89
$5.45 $5.75
$6.08 $5.97
2.68% 2.71% 2.58% 2.47% 2.41%
1.00%
2.00%
3.00%
4.00%
5.00%
$- $0.01 .$0 2 . .3$0 .4 .$0 5
. .6$0 .7 .$0 8 .9 $0.
.1 0$ .1 1.$ 2 .1 .3$ .41
.$ 5 .1 6 .$ .71 $ .8 .1 9$
.2 0 .$ .12 .$ 2 .2 3 .$
.42 .$ 5 .2 6 $ .7 2.$ .82
.9$ .3 0 .$ .13 .$ 2 .3 3
.$ 4 .3 $ .5 3.6$ .73 .$
.83 .9$ .4 0 .$ 1 .4 .$ 2
.4 3 $ .4 4.$ .54 .6$ .74
.$ 8 .4 .9$ .5 0 .$ 1 .5
$ .2 5.3$ .45 .$ 5 .5 .6$
.75 .$ 8 .5 9 .$ .6 0 $ .1
6.$ 2 .6 .3$ .46 .$ 5 .
1Q 2013 1Q 2014 1Q 2015 1Q 2016 1Q 2017
Average Balance Average Yield
Investment Type
Amortized
Cost
Fair
Value
Duration
(Yrs)
GNMA CMBS $1.99 $1.96 3.36
GNMA MBS & CMOs 2.15 2.12 4.81
Agency & Other MBS & CMOs 0.62 0.63 2.64
Municipals 1.13 1.13 5.69
Other1 0.01 0.01
Strategic Portfolio $5.90 $5.85 4.25
Membership Stock 0.14 0.14
Total Portfolio $6.04 $5.99
GNMA
CMBS
34%
GNMA
CMOs
30%
GNMA
MBS
6%
Municipals
19%
Other MBS
10%
Other CMOs
1%
Other
<1%
Fair Value Composition Risk Weighting Profile
Portfolio Detail as of March 31, 2017 Portfolio and Yield Trends
0%
Risk Weighted
Other
20%
Risk Weighted
1 – Includes Corporate, Treasury, and all other
Tangible Common Equity and Common Equity Tier 1
($ in millions) 1Q 2013 1Q 2014 1Q 2015 1Q 2016 1Q 2017
Common equity $2,873 $2,840 $2,823 $2,862 $2,985
Goodwill and other intangible assets, net (944) (939) (987) (989) (987)
Tangible common equity 1,929 1,901 1,836 1,873 1,998
Less: Accumulated other comprehensive income / loss (43) 11 (25) (2) 56
Less: Deferred tax assets / deferred tax liabilities, net (5) — 27 32 31
Common equity Tier 1 $1,881 $1,912 $1,838 $1,903 $2,085
RECONCILIATION AND DEFINITIONS OF
NON-GAAP ITEMS
19
Average Tangible Common Equity and Average Common Equity Tier 1
($ in millions) 1Q 2013 1Q 2014 1Q 2015 1Q 2016 1Q 2017
Average common equity $2,850 $2,827 $2,785 $2,849 $2,963
Average goodwill and other intangible assets, net (944) (940) (971) (989) (987)
Average tangible common equity 1,906 1,887 1,814 1,860 1,976
Less: Accumulated other comprehensive income / loss (45) 13 (18) 3 54
Less: Deferred tax assets / deferred tax liabilities, net (5) — 8 33 32
Average common equity Tier 1 $1,856 $1,900 $1,804 $1,896 $2,062
RECONCILIATION AND DEFINITIONS OF
NON-GAAP ITEMS
20
Efficiency Ratio 1Q 2013 1Q 2014 1Q 2015 1Q 2016 1Q 2017
Federal Reserve efficiency ratio 69.90% 70.46% 70.27% 69.01% 66.39%
Fully tax-equivalent adjustment (1.46) (1.35) (1.42) (1.37) (1.30)
Other intangible amortization (0.42) (0.42) (0.32) (0.20) (0.20)
Fully tax-equivalent efficiency ratio 68.02% 68.69% 68.53% 67.44% 64.89%
The efficiency ratio as defined by the Federal Reserve guidance is noninterest expense (which includes the provision for unfunded commitments) divided by
the sum of net interest income plus noninterest income, excluding investment securities gains / losses, net. The fully tax-equivalent efficiency ratio, which is a
non-GAAP financial measure, is noninterest expense (which includes the provision for unfunded commitments), excluding other intangible amortization,
divided by the sum of fully tax-equivalent net interest income plus noninterest income, excluding investment securities gains / losses, net. Management
believes the fully tax-equivalent efficiency ratio, which adjusts net interest income for the tax-favored status of certain loans and investment securities, to be
the preferred industry measurement as it enhances the comparability of net interest income arising from taxable and tax-exempt sources.
Fee-based Revenue ($ millions) 1Q 2013 1Q 2014 1Q 2015 1Q 2016 1Q 2017
Trust service fees $11 $12 $12 $12 $12
Service charges on deposit accounts 17 16 16 16 16
Card-based and other nondeposit fees 11 12 11 12 13
Insurance commissions 12 12 20 21 22
Brokerage and annuity commissions 3 4 4 4 4
Fee-based revenue $54 $56 $63 $65 $67
Other 29 18 17 18 13
Total noninterest income $83 $74 $80 $83 $80