Continued Credit Improvement Drives Fourth Consecutive Quarter of Profitability

COLUMBUS, Ga.--(BUSINESS WIRE)-- Synovus Financial Corp. (SNV) today reported financial results for the quarter ended June 30, 2012.

Second Quarter Results

• Net income available to common shareholders was $24.8 million for the second quarter of 2012, a 16.1% increase compared to net income available to common shareholders of $21.4 million for the first quarter of 2012 and a net loss attributable to common shareholders of $53.5 million in the second quarter of 2011. Net income available to common shareholders was $46.2 million for the first six months of 2012, compared to a net loss attributable to common shareholders of $147.2 million for the first six months of 2011.
• Diluted net income per common share for the second quarter of 2012 was $0.03, compared to diluted net income per common share of $0.02 for the first quarter of 2012, and a net loss per common share of $0.07 for the second quarter of 2011. Diluted net income per common share for the first six months of 2012 was $0.05, compared to a net loss per common share of $0.19 for the first six months of 2011.

Continued credit improvement drove our fourth consecutive quarter of profitability, said Kessel D. Stelling, Chairman and CEO of Synovus. Declines in total credit costs, non-performing loan inflows, non-performing assets, and total delinquencies contributed significantly to the overall credit improvement. We were pleased to again see increases in loans outstanding from our Large Corporate Banking, Senior Housing, and Asset-Based Lending groups and continued pipeline growth throughout our footprint, reflecting the ongoing success of our commercial banking strategy.

Credit Trends

• Total credit costs were $70.3 million in the second quarter of 2012, down 22.6% from $90.9 million in the first quarter of 2012 and down 55.5% from $157.9 million in the second quarter of 2011.
• Non-performing loan inflows were $124.3 million in the second quarter of 2012, down 10.9% from $139.6 million in the first quarter of 2012 and down 46.2% from $231.1 million in the second quarter of 2011.
• Distressed asset sales were approximately $128 million during the second quarter, compared to approximately $135 million in the first quarter of 2012, and approximately $195 million in the second quarter of 2011.
• Non-performing loans, excluding loans held for sale, were $755.2 million at June 30, 2012, down $80.9 from the previous quarter, and down $130.1 million from the second quarter of 2011. The non-performing loan ratio was 3.84% at June 30, 2012, down from 4.21% at the end of the previous quarter and 4.32% at June 30, 2011.
• Total non-performing assets were $961.4 million at June 30, 2012, down $94.4 million from the previous quarter, and down $257.3 million or 21.1% from the second quarter of 2011. The non-performing asset ratio was 4.83% at June 30, 2012, compared to 5.26% at the end of the previous quarter and 5.85% at June 30, 2011.
• Total delinquencies (consisting of loans 30 or more days past due and still accruing) were 0.47% of total loans at June 30, 2012, down from 0.73% at March 31, 2012, and 0.97% at June 30, 2011. Total loans past due 90 days or more and still accruing were 0.03% at June 30, 2012, down from 0.04% at March 31, 2012, and 0.11% at June 30, 2011.
• Net charge-offs were $98.7 million in the quarter, up slightly from $94.7 million in the first quarter of 2012, and down 41.0% from $167.2 million in the second quarter of 2011. The annualized net charge-off ratio was 1.99% in the second quarter, up from 1.90% in the previous quarter, and down from 3.22% in the second quarter of 2011.

Balance Sheet Fundamentals

• Net sequential quarter loan growth was approximately $29 million for the second quarter, compared to a decrease of approximately $25 million during the first quarter of 2012 and a decline of approximately $168 million during the second quarter of 2011. Net loan growth excludes the impact of loan sales, transfers to loans held-for-sale, charge-offs, and foreclosures.
• Reported loans declined $163.6 million, compared to a $236.1 million decrease in the previous quarter, and a $492.6 million decrease in the second quarter of 2011.
• Loans outstanding from the Large Corporate Banking, Senior Housing, and Asset Based Lending groups were up approximately $486 million over the previous year and up approximately $141 million compared to the previous quarter.
• Total deposits ended the quarter at $21.6 billion, down $572.6 million from the previous quarter due primarily to the planned reductions in higher-cost brokered deposits and time deposits of $462.3 million.
• Core deposits ended the quarter at $20.4 billion, down $314.8 million compared to the first quarter of 2012. Core deposits, excluding time deposits, declined $110.4 million compared to the previous quarter due to an expected seasonal decrease in state, county and municipal deposits. Core deposits increased $231.8 million compared to a year ago. Core deposits, excluding time deposits, increased $1.18 billion compared to June 30, 2011.
• The effective cost of core deposits (includes non-interest bearing deposits) continued to decline, with an effective cost of 41 basis points for the second quarter of 2012, down from 47 basis points for the previous quarter and 67 basis points in the second quarter of 2011.

Core Performance

Pre-tax, pre-credit costs income was $106.6 million for the second quarter of 2012, down $3.9 million from $110.6 million in the first quarter of 2012.

• The net interest margin was 3.48%, down seven basis points from the first quarter of 2012, primarily due to the expected six basis point incremental impact from the debt issued in the first quarter of 2012.
• Total non-interest income was $76.5 million for the second quarter of 2012, compared to $84.1 million in the first quarter of 2012.
• Non-interest income, excluding net investment securities gains, was up $8.3 million from the previous quarter.
  • Mortgage revenue was up $2.0 million from the previous quarter
  • Bankcard fees were up $914 thousand compared to the previous quarter.
  • Service charges were up $454 thousand from the previous quarter.
  • Increase in fair value of private equity investments was $7.3 million for the quarter.
• Total reported non-interest expense was $208.3 million for the second quarter of 2012 compared to $203.1 million for the previous quarter.
• Core expenses (excludes Visa indemnification charges, restructuring charges and credit costs) were up $4.6 million from the first quarter of 2012.
  • Employment expenses increased $2.6 million from the previous quarter, primarily due to annual merit salary increases and employee incentives.
  • Other expenses were up $2.6 million compared to the previous quarter, largely due to higher attorney fees related to problem loans and litigation expenses.

Capital Ratios

• Tier 1 Common Equity ratio was 8.81% at June 30, 2012 up from 8.67% at March 31, 2012.
• Tier 1 Capital ratio was 13.36% at June 30, 2012 up from 13.19% at March 31, 2012.
• Tier 1 Leverage ratio was 10.66% at June 30, 2012 up from 10.41% at March 31, 2012.
• Total Risk Based Capital ratio was 16.32% at June 30, 2012 down from 16.57% at March 31, 2012.
• Tangible Common Equity/Tangible Assets ratio was 7.12% at June 30, 2012 up from 6.81% at March 31, 2012.

Stelling concluded, The second quarter was marked by the continued strengthening of our balance sheet as we disposed of non-performing loans and reduced levels of higher risk credits and asset classes, while generating high-quality commercial loans in all segments of our markets. These efforts, coupled with an intense focus on expense control and our customer-focused, relationship-based brand of banking, further position our company for sustained profitability and long-term success.

Synovus will host an earnings highlights conference call at 8:30 a.m. EST on July 24, 2012. The earnings call will be accompanied by a slide presentation. Shareholders and other interested parties can access the slide presentation and listen to the conference call via simultaneous Internet broadcast at www.synovus.com by clicking on the Live Webcast icon. RealPlayer or Windows Media Player can be downloaded prior to accessing the actual call or the replay. The replay will be archived for 12 months and will be available 30-45 minutes after the call.

About Synovus

Synovus Financial Corp. is a financial services company with over $26 billion in assets based in Columbus, Georgia. Synovus Financial Corp. provides commercial and retail banking, investment and mortgage services to customers in Georgia, Alabama, South Carolina, Florida and Tennessee. See Synovus Financial Corp. on the web at www.synovus.com.

Forward-Looking Statements

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

These forward-looking statements are based upon information presently known to Synovus management and are inherently subjective, uncertain and subject to change due to any number of risks and uncertainties, including, without limitation, the risks and other factors set forth in Synovus filings with the Securities and Exchange Commission, including its Annual Report on Form 10-K for the year ended December 31, 2011 under the captions Cautionary Notice Regarding Forward-Looking Statements and Risk Factors and in Synovus quarterly reports on Form 10-Q and current reports on Form 8-K. We believe these forward-looking statements are reasonable; however, undue reliance should not be placed on any forward-looking statements, which are based on current expectations and speak only as of the date that they are made. We do not assume any obligation to update any forward-looking statements as a result of new information, future developments or otherwise, except as otherwise may be required by law.

Use of Non-GAAP Financial Measures

The measures entitled core deposits, core deposits excluding time deposits, tangible common equity to tangible assets ratio, pre-tax, pre-credit costs income, core expenses, non-interest income excluding net investment securities gains, and net sequential quarter loan growth (decline) are not measures recognized under U.S. generally accepted accounting principles (GAAP) and therefore are considered non-GAAP financial measures. The most comparable GAAP measures are total deposits, total shareholders equity to total assets ratio, income (loss) before income taxes, total non-interest expense, total non-interest income, and sequential quarter total loan growth (decline), respectively.

Synovus believes that these non-GAAP financial measures provide meaningful additional information about Synovus to assist management and investors in evaluating Synovus capital strength and the performance of its core business. These non-GAAP financial measures should not be considered as substitutes for total deposits, total shareholders equity to total assets ratio, income (loss) before income taxes, total non-interest expense, total non-interest income, or sequential quarter total loan growth (decline) determined in accordance with GAAP and may not be comparable to other similarly titled measures at other companies.

The computations of core deposits, core deposits excluding time deposits, tangible common equity to tangible assets ratio, pre-tax, pre-credit costs income, core expenses, non-interest income excluding net investment gains, and net sequential quarter loan growth (decline) and the reconciliation of these measures to total deposits, total shareholders equity to total assets ratio, income (loss) before income taxes, total non-interest expense, total non-interest income, and sequential quarter total loan growth (decline) are set forth in the tables below.

Reconciliation of Non-GAAP Financial Measures
(dollars in thousands)			2Q12					1Q12				4Q11				3Q11				2Q11
Core Deposits
Total deposits			$	21,565,065				22,137,702				22,411,752				23,109,427				22,875,017
Subtract: Brokered deposits				(1,148,892	)			(1,406,709	)			(1,783,174	)			(2,157,631	)			(2,690,598	)
Core deposits				20,416,173				20,730,993				20,628,578				20,951,796				20,184,419
Subtract: Time deposits				(4,097,834	)			(4,302,292	)			(4,591,164	)			(4,952,144	)			(5,049,901	)
Core deposits excluding time deposits			$	16,318,339				16,428,701				16,037,414				15,999,652				15,134,518
Tangible Common Equity To Tangible Assets Ratio
Total assets			$	26,294,110				27,064,792				27,162,845				28,253,923				28,313,910
Subtract: Goodwill				(24,431	)			(24,431	)			(24,431	)			(24,431	)			(24,431	)
Subtract: Other intangible assets, net				(6,693	)			(7,589	)			(8,525	)			(9,482	)			(10,449	)
Tangible assets			$	26,262,986				27,032,772				27,129,889				28,220,010				28,279,030
Total shareholders equity			$	2,853,389				2,821,763				2,827,452				2,829,447				2,850,937
Subtract: Goodwill				(24,431	)			(24,431	)			(24,431	)			(24,431	)			(24,431	)
Subtract: Other intangible assets, net				(6,693	)			(7,589	)			(8,525	)			(9,482	)			(10,449	)
Subtract: Cumulative perpetual preferred stock				(952,093	)			(949,536	)			(947,017	)			(944,538	)			(942,096	)
Tangible common equity			$	1,870,172				1,840,207				1,847,479				1,850,996				1,873,961
Total shareholders equity to total assets ratio				10.85	%			10.43				10.41				10.01				10.07
Tangible common equity to tangible assets ratio				7.12	%			6.81				6.81				6.56				6.63
Pre-tax, Pre-credit Costs Income
Income (loss) before income taxes			$	37,347				35,916				26,979				37,118				(43,764	)
Add: Provision for losses on loans				44,222				66,049				54,565				102,325				120,159
Add: Other credit costs(1)				26,119				24,849				35,962				40,211				37,772
Add: Restructuring charges				1,393				858				639				2,587				3,106
Subtract/Add: Net (gain) loss on investment securities				(4,170	)			(20,083	)			(10,337	)			(62,873	)			(377	)
Add: Visa indemnification charge				1,734				2,979				5,942				--				92
Pre-tax, pre-credit costs income			$	106,645				110,568				113,750				119,368				116,988
Core Expenses
Total non-interest expense			$	208,264				203,133				219,082				222,552				222,415
Subtract: Other credit costs(1)				(26,119	)			(24,849	)			(35,962	)			(40,211	)			(37,772	)
Subtract: Restructuring charges				(1,393	)			(858	)			(639	)			(2,587	)			(3,106	)
Subtract: Visa indemnification charge				(1,734	)			(2,979	)			(5,942	)			--				(92	)
Core expenses			$	179,018				174,447				176,539				179,754				181,445
(1) Other credit costs consist primarily of losses on ORE, provision for losses on unfunded commitments, and charges related to other loans held for sale.

Reconciliation of Non-GAAP Financial Measures (continued)
(dollars in thousands)			2Q12					1Q12				4Q11				3Q11				2Q11
Non-interest income excluding investment securities gains (losses), net
Total non-interest income			$	76,477				84,139				73,470				133,392				67,849
Subtract/Add: Net investment securities (gains) losses				(4,170	)			(20,083	)			(10,337	)			(62,873	)			(377	)
Non-interest income excluding investment securities gains (losses), net			$	72,307				64,056				63,133				70,519				67,472
Net sequential quarter loan growth (decline)
Sequential quarter decline in total loans			$	(163,571	)			(236,115	)			(22,273	)			(402,724	)			(492,612	)
Add: Transfers to other loans held for sale				38,999				578				3,457				16,004				11,275
Add: Foreclosures				30,087				48,127				36,331				57,859				60,426
Add: Charge-offs excluding transfers to other loans held for sale and loan sales				53,075				65,498				78,443				87,660				126,821
Add: Loan sales				70,590				96,621				70,808				109,140				126,462
Net sequential quarter loan growth (decline)			$	29,180				(25,291	)			166,766				(132,061	)			(167,628	)

Synovus
	INCOME STATEMENT DATA			Six Months Ended
	(Unaudited)
	(Dollars in thousands, except per share data)			June 30,
				2012			2011			Change
	Interest income		$	516,464			586,484			(11.9)	%
	Interest expense			82,148			118,089			(30.4)
	Net interest income			434,316			468,395			(7.3)
	Provision for losses on loans			110,271			261,905			(57.9)
	Net interest income after provision for losses on loans			324,045			206,490			56.9
	Non-interest income:
	Service charges on deposit accounts			36,915			39,556			(6.7)
	Fiduciary and asset management fees			21,627			23,416			(7.6)
	Brokerage revenue			12,942			12,511			3.4
	Mortgage revenue			13,986			8,042			73.9
	Bankcard fees			16,072			22,782			(29.5)
	Investment securities gains (losses), net			24,253			1,797			nm
	Other fee income			9,651			10,220			(5.6)
	Increase (decrease) in fair value of private equity investments, net			7,372			(169)			nm
	Other non-interest income			17,798			13,858			28.4
	Total non-interest income			160,616			132,013			21.7
	Non-interest expense:
	Salaries and other personnel expense			187,795			184,849			1.6
	Net occupancy and equipment expense			52,865			58,717			(10.0)
	FDIC insurance and other regulatory fees			27,966			30,362			(7.9)
	Foreclosed real estate expense			43,680			64,609			(32.4)
	Gains on other loans held for sale, net			(99)			(1,746)			nm
	Professional fees			19,196			20,129			(4.6)
	Data processing expense			16,735			18,201			(8.1)
	Visa indemnification charges			4,713			96			nm
	Restructuring charges			2,252			27,439			nm
	Loss on curtailment of post-retirement defined benefit plan			-			398			nm
	Other operating expenses			56,296			59,077			(4.7)
	Total non-interest expense			411,399			462,131			(11.0)
	Income (loss) from continuing operations before income taxes			73,262			(123,628)			nm
	Income tax benefit			(2,182)			(5,220)			58.2
	Net income (loss)			75,444			(118,408)			nm
	Net loss attributable to non-controlling interest			-			(220)			nm
	Net income (loss) attributable to controlling interest			75,444			(118,188)			nm
	Dividends and accretion of discount on preferred stock			29,272			28,970			1.0
	Net income (loss) attributable to common shareholders		$	46,172			(147,158)			nm
	Basic EPS
	Net income (loss) attributable to common shareholders			0.06			(0.19)			nm
	Diluted EPS
	Net income (loss) attributable to common shareholders			0.05			(0.19)			nm
	Cash dividends declared per common share			0.02			0.02			-
	Return on average assets			0.56	%		(0.82)			nm
	Return on average common equity			4.86			(15.55)			nm
	Average common shares outstanding - basic			786,355			785,260			0.1	%
	Average common shares outstanding - diluted			909,542			785,260			15.8
nm - not meaningful

Synovus
INCOME STATEMENT DATA
(Unaudited)
(Dollars in thousands, except per share data)			2012								2011												2nd Quarter
			Second				First				Fourth				Third				Second				'12 vs. '11
			Quarter				Quarter				Quarter				Quarter				Quarter				Change
Interest income		$	253,809				262,654				273,303				281,970				288,052				(11.9	)	%
Interest expense			40,453				41,695				46,147				53,367				57,091				(29.1	)
Net interest income			213,356				220,959				227,156				228,603				230,961				(7.6	)
Provision for losses on loans			44,222				66,049				54,565				102,325				120,159				(63.2	)
Net interest income after provision for losses on loans			169,134				154,910				172,591				126,278				110,802				52.6
Non-interest income:
Service charges on deposit accounts			18,684				18,231				19,175				20,039				19,238				(2.9	)
Fiduciary and asset management fees			10,792				10,835				10,763				11,631				11,879				(9.2	)
Brokerage revenue			6,295				6,647				6,939				6,556				6,291				0.1
Mortgage revenue			7,983				6,003				4,847				7,427				5,547				43.9
Bankcard fees			8,493				7,579				7,150				11,562				12,125				(30.0	)
Investment securities gains (losses), net			4,170				20,083				10,337				62,873				377				nm
Other fee income			4,951				4,700				4,310				5,423				5,289				(6.4	)
Increase (decrease) in fair value of private equity investments, net			7,279				93				(177	)			(771	)			(301	)			nm
Other non-interest income			7,830				9,968				10,126				8,652				7,404				5.8
Total non-interest income			76,477				84,139				73,470				133,392				67,849				12.7
Non-interest expense:
Salaries and other personnel expense			95,173				92,622				93,115				93,184				91,749				3.7
Net occupancy and equipment expense			26,159				26,706				27,338				27,981				28,883				(9.4	)
FDIC insurance and other regulatory fees			13,302				14,663				13,238				15,463				15,956				(16.6	)
Foreclosed real estate expense			20,708				22,972				31,853				37,108				39,872				(48.1	)
(Gains) losses on other loans held for sale, net			(1,058	)			959				(145	)			(846	)			480				nm
Professional fees			9,929				9,267				10,321				10,135				10,893				(8.8	)
Data processing expense			8,712				8,024				8,532				9,024				9,251				(5.8	)
Visa indemnification charges			1,734				2,979				5,942				-				92				nm
Restructuring charges			1,393				858				639				2,587				3,106				(55.2	)
Other operating expenses			32,212				24,083				28,249				27,916				22,133				45.5
Total non-interest expense			208,264				203,133				219,082				222,552				222,415				(6.4	)
Income (loss) before income taxes			37,347				35,916				26,979				37,118				(43,764	)			nm
Income tax (benefit) expense			(2,105	)			(77	)			(378	)			6,910				(4,764	)			(55.8	)
Net income (loss)			39,452				35,993				27,357				30,208				(39,000	)			nm
Dividends and accretion of discount on preferred stock			14,649				14,624				14,578				14,541				14,504				1.0
Net income (loss) available to common shareholders		$	24,803				21,369				12,779				15,667				(53,504	)			nm
Basic EPS
Net income (loss) available to common shareholders			0.03				0.03				0.02				0.02				(0.07	)			nm
Diluted EPS
Net income (loss) available to common shareholders			0.03				0.02				0.01				0.02				(0.07	)			nm
Cash dividends declared per common share			0.01				0.01				0.01				0.01				0.01				-
Return on average assets *			0.59		%		0.53		%		0.39				0.42				(0.55	)			nm
Return on average common equity *			5.23				4.49				2.66				3.20				(10.95	)			nm
Average common shares outstanding - basic			786,576				786,135				785,289				785,280				785,277				0.1		%
Average common shares outstanding - diluted			909,761				908,986				911,253				911,247				785,277				15.9
nm - not meaningful
* - ratios are annualized

	Synovus
		BALANCE SHEET DATA			June 30, 2012			December 31, 2011			June 30, 2011
		(Unaudited)
		(In thousands, except share data)
		ASSETS
		Cash and due from banks		$	523,302			510,423			409,302
		Interest bearing funds with Federal Reserve Bank			1,301,244			1,567,006			2,845,277
		Interest earning deposits with banks			16,003			13,590			24,133
		Federal funds sold and securities purchased under resale agreements			118,098			158,916			127,580
		Trading account assets, at fair value			12,331			16,866			16,130
		Mortgage loans held for sale, at fair value			120,007			161,509			78,752
		Other loans held for sale			32,601			30,156			89,139
		Investment securities available for sale, at fair value			3,570,346			3,690,125			3,259,254
		Loans, net of unearned income			19,680,127			20,079,813			20,504,810
		Allowance for loan losses			(453,325)			(536,494)			(631,401)
		Loans, net			19,226,802			19,543,319			19,873,409
		Premises and equipment, net			475,944			486,923			493,638
		Goodwill			24,431			24,431			24,431
		Other intangible assets, net			6,693			8,525			10,449
		Other real estate			174,941			204,232			244,313
		Other assets			691,367			746,824			818,103
		Total assets		$	26,294,110			27,162,845			28,313,910
		LIABILITIES AND EQUITY
		Liabilities:
		Deposits:
		Non-interest bearing deposits		$	5,607,680			5,366,868			4,877,267
		Interest bearing deposits, excluding brokered deposits			14,808,493			15,261,710			15,307,152
		Brokered deposits			1,148,892			1,783,174			2,690,598
		Total deposits			21,565,065			22,411,752			22,875,017
		Federal funds purchased and other short-term borrowings			351,173			313,757			452,466
		Long-term debt			1,301,616			1,364,727			1,894,901
		Other liabilities			222,867			245,157			240,588
		Total liabilities			23,440,721			24,335,393			25,462,972
		Equity:
		Shareholders' equity:
		Series A Preferred Stock, no par value (1)			952,093			947,017			942,096
		Common stock, par value $1.00 (2)			792,269			790,989			790,973
		Additional paid-in capital			2,215,201			2,241,171			2,353,854
		Treasury stock, at cost (3)			(114,176)			(114,176)			(114,176)
		Accumulated other comprehensive income			7,003			21,093			65,905
		Accumulated deficit			(999,001)			(1,058,642)			(1,187,714)
		Total shareholders' equity			2,853,389			2,827,452			2,850,938
		Total liabilities and equity		$	26,294,110			27,162,845			28,313,910
		(1) Preferred shares outstanding: 967,870, at all periods presented
		(2) Common shares outstanding: 786,575,535; 785,295,428; and 785,279,194 at June 30, 2012, December 31, 2011, and June 30, 2011, respectively.
		(3) Treasury shares: 5,693,452, at all periods presented

	Synovus
	AVERAGE BALANCES AND YIELDS/RATES (1)
	(Unaudited)
	(Dollars in thousands)
						2012						2011
						Second			First			Fourth			Third			Second
						Quarter			Quarter			Quarter			Quarter			Quarter
	Interest Earning Assets
	Taxable investment securities (2)				$	3,539,376			3,577,026			3,647,459			3,152,589			3,172,818
		Yield				2.11	%		2.34			2.59			3.28			3.46
	Tax-exempt investment securities (2) (4)				$	21,408			23,559			25,566			27,903			31,264
		Yield (taxable equivalent)				6.40	%		6.36			6.57			6.66			6.73
	Trading account assets				$	13,647			14,975			19,107			14,601			16,881
		Yield				6.93	%		7.45			4.87			5.76			5.27
	Commercial loans (3) (4)				$	15,941,719			16,144,615			16,276,207			16,535,371			16,983,912
		Yield				4.67	%		4.76			4.82			4.88			4.92
	Consumer loans (3)				$	3,896,941			3,866,084			3,871,393			3,869,698			3,879,042
		Yield				4.87	%		4.94			4.95			5.06			5.10
	Allowance for loan losses				$	(498,419)			(529,669)			(587,956)			(632,082)			(678,851)
	Loans, net (3)				$	19,340,241			19,481,030			19,559,644			19,772,987			20,184,103
		Yield				4.85	%		4.94			5.01			5.09			5.14
	Mortgage loans held for sale				$	90,499			112,040			161,632			91,257			79,340
		Yield				4.99	%		4.88			4.58			5.74			6.16
	Federal funds sold, due from Federal Reserve Bank,
	and other short-term investments				$	1,668,814			1,830,295			2,221,728			3,075,470			2,929,515
		Yield				0.24	%		0.24			0.24			0.24			0.25
	Federal Home Loan Bank and Federal Reserve Bank stock (5)				$	63,665			78,100			84,171			96,442			104,727
		Yield				1.85	%		1.43			0.93			0.90			0.87
	Total interest earning assets				$	24,737,650			25,117,025			25,719,307			26,231,249			26,518,648
		Yield				4.14	%		4.22			4.23			4.28			4.37
	Interest Bearing Liabilities
	Interest bearing demand deposits				$	3,404,540			3,540,327			3,457,677			3,302,439			3,379,243
		Rate				0.22	%		0.25			0.26			0.30			0.32
	Money market accounts				$	6,769,037			6,755,769			6,697,334			6,636,751			6,306,399
		Rate				0.42	%		0.49			0.57			0.73			0.77
	Savings deposits				$	557,149			534,118			516,520			521,604			520,518
		Rate				0.11	%		0.12			0.12			0.13			0.14
	Time deposits under $100,000				$	1,868,348			1,967,084			2,062,171			2,131,453			2,124,525
		Rate				0.97	%		1.08			1.17			1.27			1.38
	Time deposits over $100,000				$	2,336,496			2,480,044			2,710,893			2,912,476			2,978,929
		Rate				1.23	%		1.33			1.40			1.49			1.57
	Brokered money market accounts				$	222,916			223,113			236,973			325,002			390,048
		Rate				0.33	%		0.28			0.27			0.39			0.47
	Brokered time deposits				$	1,036,521			1,346,868			1,689,538			2,053,811			2,471,620
		Rate				1.94	%		1.89			1.87			1.88			1.87
	Total interest bearing deposits				$	16,195,007			16,847,323			17,371,106			17,883,536			18,171,282
		Rate				0.64	%		0.73			0.82			0.95			1.01
	Federal funds purchased and other
	short-term liabilities				$	368,984			296,018			329,343			368,311			449,815
		Rate				0.18	%		0.24			0.26			0.28			0.26
	Long-term debt				$	1,326,239			1,386,324			1,443,825			1,693,673			1,901,130
		Rate				4.34	%		3.19			2.78			2.45			2.30
	Total interest bearing liabilities				$	17,890,230			18,529,665			19,144,274			19,945,520			20,522,227
		Rate				0.91	%		0.90			0.96			1.06			1.11
	Non-interest bearing demand deposits				$	5,606,352			5,397,964			5,413,322			5,175,521			4,911,044
	Net interest margin					3.48	%		3.55			3.52			3.47			3.51
	Taxable equivalent adjustment				$	780			798			844			880			893
	(1) Yields and rates are annualized.
	(2) Excludes net unrealized gains and (losses).
	(3) Average loans are shown net of unearned income. Non-performing loans are included.
	(4) Reflects taxable-equivalent adjustments, using the statutory federal income tax rate of 35%, in adjusting interest on tax-exempt loans and investment securities to a taxable-equivalent basis.
	(5) Included as a component of Other Assets on the balance sheet

	Synovus
		LOANS OUTSTANDING AND NON-PERFORMING LOANS COMPOSITION
		(Unaudited)
		(Dollars in thousands)
					June 30, 2012
								Loans as a %			Total			Non-performing Loans
								of Total Loans			Non-performing			as a % of Total
		Loan Type			Total Loans			Outstanding			Loans			Nonperforming Loans
		Multi-Family		$	785,726			4.0	%	$	5,997			0.8	%
		Hotels			706,782			3.6			11,619			1.5
		Office Buildings			766,263			3.9			7,412			1.0
		Shopping Centers			931,036			4.7			10,196			1.4
		Commercial Development			283,115			1.4			37,044			4.9
		Warehouses			486,055			2.5			6,354			0.8
		Other Investment Property			457,633			2.3			8,586			1.1
		Total Investment Properties			4,416,610			22.4			87,208			11.5
		1-4 Family Construction			163,537			0.8			11,856			1.6
		1-4 Family Investment Mortgage			919,009			4.7			50,849			6.7
		Residential Development			401,278			2.0			89,993			11.9
		Total 1-4 Family Properties			1,483,824			7.5			152,698			20.2
		Land Acquisition			983,843			5.0			213,521			28.3
		Total Commercial Real Estate			6,884,277			35.0			453,427			60.0
		Commercial , Financial, and Agricultural			5,045,144			25.6			140,545			18.6
		Owner-Occupied Real Estate			3,839,489			19.5			77,792			10.3
		Total Commercial & Industrial			8,884,633			45.1			218,337			28.9
		Home Equity Lines			1,603,905			8.1			24,177			3.2
		Consumer Mortgages			1,383,915			7.0			51,783			6.9
		Small Business			383,520			1.9			5,188			0.7
		Credit Cards			262,402			1.3			-			-
		Other Retail Loans			290,793			1.5			2,249			0.3
		Total Retail			3,924,535			19.8			83,397			11.1
		Unearned Income			(13,318)			nm			-			nm
		Total		$	19,680,127			100.0	%	$	755,161			100.0	%
		LOANS OUTSTANDING BY TYPE COMPARISON
		(Unaudited)
		(Dollars in thousands)
					Total Loans			2Q12 vs. 1Q12			2Q12 vs. 4Q11			2Q12 vs. 2Q11
		Loan Type			June 30, 2012			% change (1)			% change (1)			% change
		Multi-Family		$	785,726			13.1	%		0.0			(3.9)
		Hotels			706,782			(32.5)			(21.5)			(13.0)
		Office Buildings			766,263			4.3			(2.4)			(4.0)
		Shopping Centers			931,036			(2.3)			(9.9)			(10.1)
		Commercial Development			283,115			10.1			(2.7)			(10.3)
		Warehouses			486,055			2.7			(1.2)			(6.8)
		Other Investment Property			457,633			(4.9)			3.8			(1.5)
		Total Investment Properties			4,416,610			(2.7)			(6.2)			(7.3)
		1-4 Family Construction			163,537			(30.8)			(35.9)			(34.6)
		1-4 Family Investment Mortgage			919,009			(15.5)			(11.8)			(14.0)
		Residential Development			401,278			(19.0)			(18.9)			(24.6)
		Total 1-4 Family Properties			1,483,824			(18.2)			(16.7)			(19.8)
		Land Acquisition			983,843			(25.2)			(20.4)			(16.6)
		Total Commercial Real Estate			6,884,277			(9.5)			(10.7)			(11.7)
		Commercial , Financial, and Agricultural			5,045,144			(6.0)			(1.7)			1.8
		Owner-Occupied Real Estate			3,839,489			2.7			(0.7)			(1.3)
		Total Commercial & Industrial			8,884,633			(2.3)			(1.3)			0.4
		Home Equity Lines			1,603,905			2.1			(1.9)			(0.5)
		Consumer Mortgages			1,383,915			(1.8)			(4.0)			(4.6)
		Small Business			383,520			67.3			55.7			51.5
		Credit Cards			262,402			(3.1)			(7.9)			(3.4)
		Other Retail Loans			290,793			1.2			11.4			2.5
		Total Retail			3,924,535			5.8			2.3			1.4
		Unearned Income			(13,318)			71.7			22.3			51.6
		Total		$	19,680,127			(3.3)	%		(4.0)			(4.0)
(1) Percentage change is annualized.

Synovus
	CREDIT QUALITY DATA
	(Unaudited)
	(Dollars in thousands)			2012						2011									2nd Quarter
				Second			First			Fourth			Third			Second			'12 vs. '11
				Quarter			Quarter			Quarter			Quarter			Quarter			Change
	Non-performing Loans		$	755,161			836,039			883,021			872,074			885,236			(14.7)	%
	Other Loans Held for Sale (1)			31,306			18,317			30,156			53,074			89,139			(64.9)
	Other Real Estate			174,941			201,429			204,232			239,255			244,313			(28.4)
	Non-performing Assets			961,408			1,055,785			1,117,409			1,164,403			1,218,688			(21.1)
	Allowance for Loan Losses			453,325			507,794			536,494			595,383			631,401			(28.2)
	Net Charge-Offs - Quarter			98,692			94,749			113,454			138,344			167,184			(41.0)
	Net Charge-Offs / Average Loans - Quarter (2)			1.99	%		1.90			2.26			2.72			3.22
	Non-performing Loans / Loans			3.84			4.21			4.40			4.34			4.32
	Non-performing Assets / Loans, Other Loans Held for Sale & ORE			4.83			5.26			5.50			5.71			5.85
	Allowance / Loans			2.30			2.56			2.67			2.96			3.08
	Allowance / Non-performing Loans			60.03			60.74			60.76			68.27			71.33
	Allowance / Non-performing Loans (3)			136.94			128.32			124.04			145.12			161.55
	Past Due Loans over 90 days and Still Accruing		$	5,863			8,388			14,521			26,860			23,235			(74.8)	%
	As a Percentage of Loans Outstanding			0.03	%		0.04			0.07			0.13			0.11
	Total Past Dues Loans and Still Accruing		$	91,962			144,794			149,441			199,561			199,804			(54.0)
	As a Percentage of Loans Outstanding			0.47	%		0.73			0.74			0.99			0.97
	Accruing troubled debt restructurings (TDRs)		$	687,396			651,239			668,472			640,324			551,603			24.6
	(1) Represent impaired loans that are intended to be sold. Held for sale loans are carried at the lower of cost or fair value, less costs to sell.
	(2) Ratio is annualized.
	(3) Excludes non-performing loans for which the expected loss has been charged off.
	SELECTED CAPITAL INFORMATION (1)
	(Unaudited)
	(Dollars in thousands)
				June 30, 2012			December 31, 2011			June 30, 2011
	Tier 1 Capital		$	2,822,487			2,780,774			2,758,282
	Total Risk-Based Capital			3,449,042			3,544,089			3,522,660
	Tier 1 Capital Ratio			13.36	%		12.94			12.84
	Tier 1 Common Equity Ratio			8.81			8.49			8.41
	Total Risk-Based Capital Ratio			16.32			16.49			16.40
	Tier 1 Leverage Ratio			10.66			10.08			9.70
	Common Equity as a Percentage of Total Assets (2)			7.23			6.92			6.74
	Tangible Common Equity as a Percentage of Tangible Assets (3)			7.12			6.81			6.63
	Tangible Common Equity as a Percentage of Risk Weighted Assets (3)			8.85			8.60			8.73
	Book Value Per Common Share (4) (5)			2.09			2.06			2.10
	Tangible Book Value Per Common Share (3) (5)			2.05			2.02			2.06
	(1) Current quarter regulatory capital information is preliminary.
	(2) Common equity consists of Total Shareholders' Equity less Cumulative Perpetual Preferred Stock.
	(3) Excludes the carrying value of goodwill and other intangible assets from common equity and total assets.
	(4) Book Value Per Common Share consists of Total Shareholders' Equity less Cumulative Perpetual Preferred Stock divided by total common shares outstanding.
	(5) Equity and common shares exclude impact of unexercised tangible equity units (tMEDS).

Synovus Financial Corp.
Patrick A. Reynolds, 706-649-4973
Director of Investor Relations

Source: Synovus Financial Corp.

Copyright Business Wire 2012