Third Quarter 2015 Investor Call M. Terry Turner, President and CEO - - PowerPoint PPT Presentation

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Third Quarter 2015 Investor Call M. Terry Turner, President and CEO - - PowerPoint PPT Presentation

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Third Quarter 2015 Investor Call M. Terry Turner, President and CEO Harold R. Carpenter, EVP and CFO October 21, 2015 Safe Harbor Statements Forward-looking statements Certain of the statements in this presentation may constitute

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Third Quarter 2015 Investor Call

  • M. Terry Turner, President and CEO

Harold R. Carpenter, EVP and CFO October 21, 2015

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Forward-looking statements

Certain of the statements in this presentation may constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. The words "expect," "anticipate," "goal," "objective," "intend," "plan," "believe," "should," "hope," “pursue,” "seek," "estimate" and similar expressions are intended to identify such forward-looking statements, but other statements not based on historical information may also be considered forward-looking. All forward-looking statements are subject to risks, uncertainties and other factors that may cause the actual results, performance or achievements of Pinnacle Financial to differ materially from any results expressed or implied by such forward-looking statements. Such risks include, without limitation, (i) deterioration in the financial condition of borrowers resulting in significant increases in loan losses and provisions for those losses; (ii) continuation of the historically low short-term interest rate environment; (iii) the inability of Pinnacle Financial to maintain the historical growth of its loan portfolio; (iv) changes in loan underwriting, credit review or loss reserve policies associated with economic conditions, examination conclusions, or regulatory developments; (v) effectiveness of Pinnacle Financial's asset management activities in improving, resolving or liquidating lower-quality assets; (vi) increased competition with other financial institutions; (vii) greater than anticipated adverse conditions in the national or local economies including the Nashville-Davidson-Murfreesboro-Franklin MSA, the Knoxville MSA, the Chattanooga, TN-GA MSA and the Memphis, TN-MS-AR MSA, particularly in commercial and residential real estate markets; (viii) rapid fluctuations or unanticipated changes in interest rates on loans or deposits; (ix) the results of regulatory examinations; (x) the ability to retain large, uninsured deposits; (xi) the development of any new market other than the Nashville, Knoxville, Chattanooga or Memphis MSAs; (xii) a merger or acquisition; (xiii) risks of expansion into new geographic or product markets, like the recent expansion into the Chattanooga and Memphis MSAs; (xiv) any matter that would cause Pinnacle Financial to conclude that there was impairment of any asset, including intangible assets; (xv) reduced ability to attract additional financial advisors (or failure of such advisors to cause their clients to switch to Pinnacle Financial), to retain financial advisors (including those at CapitalMark Bank & Trust and Magna Bank) or otherwise to attract customers from other financial institutions; (xvi) further deterioration in the valuation of other real estate owned and increased expenses associated therewith; (xvii) inability to comply with regulatory capital requirements, including those resulting from changes to capital calculation methodologies and required capital maintenance levels; (xviii) risks associated with litigation, including the applicability of insurance coverage; (xix) the risk that the cost savings and any revenue synergies from the recent mergers with CapitalMark and Magna may not be realized or take longer than anticipated to be realized; (xx) disruption from the CapitalMark and Magna mergers with customers, suppliers or employee relationships; (xxi) the risk of successful integration of CapitalMark's and Magna's business with ours; (xxii) the amount of the costs, fees, expenses and charges related to the CapitalMark and Magna mergers; (xxiii) reputational risk and the reaction of Pinnacle Financial's, CapitalMark's and Magna's customers to the recent CapitalMark and Magna mergers; (xxiv) the risk that the integration of CapitalMark's and Magna's operations with Pinnacle Financial's will be materially delayed or will be more costly or difficult than expected; (xxv) approval of the declaration of any dividend by Pinnacle Financial's board of directors; (xxvi) the vulnerability of our network and online banking portals to unauthorized access, computer viruses, phishing schemes, spam attacks, human error, natural disasters, power loss and other security breaches; (xxvii) the possibility of increased compliance costs as a result of increased regulatory oversight, including oversight of companies in which Pinnacle Financial has significant investments, and the development of additional banking products for our corporate and consumer clients; (xxviii) the risks associated with our being a minority investor in Bankers Healthcare Group, LLC, including the risk that the owners of a majority of the equity interests in Bankers Healthcare Group decide to sell the company; and (xxix) changes in state and federal legislation, regulations or policies applicable to banks and other financial service providers, including regulatory

  • r legislative developments arising out of current unsettled conditions in the economy, including implementation of the Dodd-Frank Wall Street Reform and Consumer

Protection Act. A more detailed description of these and other risks is contained herein and in Pinnacle Financial's most recent annual report on Form 10-K filed with the Securities and Exchange Commission on February 25, 2015 and Quarterly Reports on Form 10-Q filed with the Securities and Exchange Commission on May 8, 2015 and August 7, 2015. Many of such factors are beyond Pinnacle Financial's ability to control or predict, and readers are cautioned not to put undue reliance on such forward-looking statements. Pinnacle Financial disclaims any obligation to update or revise any forward-looking statements contained in this report, whether as a result

  • f new information, future events or otherwise.

Safe Harbor Statements

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$57,401 $62,396 $83,469

1Q13 2Q13 3Q13 4Q13 1Q14 2Q14 3Q14 4Q14 1Q15 2Q15 3Q15

Total Revenues

20.6% 20.0% 17.1%

1Q13 2Q13 3Q13 4Q13 1Q14 2Q14 3Q14 4Q14 1Q15 2Q15 3Q15

Classified Asset Ratio

$14,647 $18,197 $25,515

1Q13 2Q13 3Q13 4Q13 1Q14 2Q14 3Q14 4Q14 1Q15 2Q15 3Q15

Net Income*

$4,334 $4,662 $6,601

1Q13 2Q13 3Q13 4Q13 1Q14 2Q14 3Q14 4Q14 1Q15 2Q15 3Q15

Total Deposits

(millions)

Legacy PNFP Acquired Franchises $3,969 $4,421 $6,336

1Q13 2Q13 3Q13 4Q13 1Q14 2Q14 3Q14 4Q14 1Q15 2Q15 3Q15

Total Loans

(millions)

Legacy PNFP Acquired Franchises $0.42 $0.52 $0.66

1Q13 2Q13 3Q13 4Q13 1Q14 2Q14 3Q14 4Q14 1Q15 2Q15 3Q15

FD EPS*

Up 26.9% yr/yr $13.22 $15.01 $17.09

1Q13 2Q13 3Q13 4Q13 1Q14 2Q14 3Q14 4Q14 1Q15 2Q15 3Q15

Tangible Book Value per Share

0.89% 0.58% 0.41%

1Q13 2Q13 3Q13 4Q13 1Q14 2Q14 3Q14 4Q14 1Q15 2Q15 3Q15

NPA %

1.70% 1.50% 1.01%

1Q13 2Q13 3Q13 4Q13 1Q14 2Q14 3Q14 4Q14 1Q15 2Q15 3Q15

ALL %

3Q15 Summary Results

Balance Sheet Growth Earnings Growth Asset Quality

Legacy PNFP up 13.2% yr/yr Legacy PNFP Up 30.6 % yr/yr Up 40.2% yr/yr Up 33.7% yr/yr

Execution of fundamentals fueled exceptional growth in key valuation drivers

Up 13.9% yr/yr

*: excluding merger related charges

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Future Growth Initiatives are Moving Forward

1. CapitalMark and Magna mergers

  • Legal mergers – Closings for both banks completed in 3Q15
  • Financial case – Results for 3Q15 ahead of schedule
  • Technology conversions – Magna conversion on target for November

2015; CapitalMark conversion on target for March 2016.

  • Cultural integration – All key associates have been retained and 3-day
  • rientation completed for all newly acquired personnel

2. CRE initiative is producing ahead of schedule 3. PNFP Capital Markets has obtained FINRA broker/dealer approval 4. Aggressive hiring ahead of schedule

3Q15 Summary Results

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Organic growth and acquisitions fuel significant growth in net interest income

$36.0 $37.8 $38.4 $39.3 $39.5 $40.2 $40.9 $42.2 $42.8 $43.6 $44.6 $45.0 $45.9 $47.2 $49.5 $50.3 $51.3 $51.8 $62.1

3.40% 3.66% 2.00% 2.25% 2.50% 2.75% 3.00% 3.25% 3.50% 3.75% 4.00%

$25 $30 $35 $40 $45 $50 $55 $60 $65

Net Interest Margin Net Interest Income

(millions)

Loan, Deposit and Fee Growth Yield Operating Leverage

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6

Legacy PNFP loans grew 13.9% compared to 3Q14; yields up linked quarter

$3,191 $3,212 $3,207 $3,262 $3,280 $3,403 $3,489 $3,580 $3,682 $3,845 $3,932 $3,981 $4,130 $4,251 $4,358 $4,436 $4,625 $4,737 $4,963 $727

4.88% 4.33%

2.00% 2.50% 3.00% 3.50% 4.00% 4.50% 5.00% 5.50% 6.00% $2,000 $2,500 $3,000 $3,500 $4,000 $4,500 $5,000 $5,500 $6,000

Loan Yields Average Loans

(millions)

Legacy PNFP Avg. Loans Acquired Franchise Avg. Loans Loan Yields

Loan, Deposit and Fee Growth Yield Operating Leverage

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1.00% 1.50% 2.00% 2.50% 3.00% 3.50% 4.00% 4.50% 5.00% $600 $700 $800 $900 $1,000 $1,100 $1,200 $1,300 $1,400 Dec 2011 Dec 2012 Dec 2013 Dec 2014 September 2015 Loan Volumes Acquired Entity Loan Volumes Weighted Average Rate Contract Rate 7

Post merger balance sheet in line with stated objectives

1.17% 0.93%

Loan, Deposit and Fee Growth Yield Operating Leverage

0.84% 0.73% 0.64%

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8

Deposits continued to grow while cost of deposits remained low

$3,772 $3,723 $3,700 $3,642 $3,597 $3,636 $3,706 $3,883 $3,950 $3,963 $4,199 $4,408 $4,509 $4,519 $4,655 $4,758 $4,792 $4,885 $5,141 $757

1.01% 0.24%

0.00% 0.20% 0.40% 0.60% 0.80% 1.00% 1.20% $3,000 $3,500 $4,000 $4,500 $5,000 $5,500 $6,000

  • Avg. Deposits

(millions)

Legacy PNFP Avg. Deposits Acquired Franchise Avg. Deposits Cost of Deposits

Loan, Deposit and Fee Growth Yield Operating Leverage

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Expansion of fee businesses produced record fee revenues in 3Q15

3Q15 2Q15 1Q15 4Q14 3Q14 Service charges $3,258 $3,076 $2,913 $3,038 $2,913 Investment services 2,526 2,399 2,259 2,737 2,353 Insurance commissions 1,103 1,106 1,513 1,046 1,037 Gain on mortgage loans sold, net 1,895 1,652 1,941 1,374 1,353 Trust fees 1,437 1,230 1,312 1,274 1,109 Income from equity method investment 5,285 4,266 3,201

  • Other:

Securities gains (losses)

  • 556

6

  • 29

Interchange and other consumer fees 4,964 3,893 3,799 3,591 3,024 Bank-owned life insurance 661 573 600 577 614 Loan swap fees 398 611 482 129

  • Other

(117) 657 468 618 456 Total noninterest income $21,410 $20,019 $18,494 $14,384 $12,888 Total Assets (Quarterly Average) $7,514,633 $6,319,712 $6,102,523 $5,855,421 $5,752,776 Noninterest income/Average Assets 1.13% 1.27% 1.23% 0.97% 0.89% Core Noninterest Income**/ Average Assets 1.13% 1.24% 1.23% 0.97% 0.89%

Loan, Deposit and Fee Growth Yield Operating Leverage

** Excludes the impact of securities gains (losses)

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Operating leverage led to an all time best core expense to average assets

3Q15 2Q15 1Q15 4Q14 3Q14 Salaries and benefits $27,746 $23,775 $23,531 $23,075 $21,722 Equipment and occupancy 6,933 5,878 6,046 5,984 6,477 Other real estate owned (686) (115) 395 (630) 417 Marketing and business development 1,252 1,186 960 1,208 946 Supplies and postage 795 731 649 717 570 Intangible amortization 603 227 227 236 236 Merger related expense 2,249 59

  • Other expenses

6,216 5,006 5,023 3,801 3,992 Total noninterest expense $45,107 $36,747 $36,831 $34,391 $34,360 Efficiency ratio 54.0% 51.1% 52.8% 53.2% 55.0% Expense/Total Average Assets 2.38% 2.33% 2.45% 2.33% 2.37% Core noninterest expense ** $43,544 $36,324 $36,436 $35,021 $33,943 Core efficiency ratio 52.2% 51.1% 52.2% 54.1% 54.4% Core Noninterest Expense**/Total Average Assets 2.30% 2.31% 2.42% 2.37% 2.34%

** Excludes the impact of OREO expense, FHLB prepayment charges and merger related expenses

Loan, Deposit and Fee Growth Yield Operating Leverage

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Industry Concerns

Source: Wall Street Journal 10/2/2015

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“Banks may serve up more scares than treats for investors when they announce earnings later this month.” WSJ 10/2/15

Pinnacle Building for the Future

Lower, longer rate forecast Credit leverage slows Margin compression continues Cost cutting jeopardizes future earnings and core deposits Mortgage revenues slow Energy lending concerns Robust banking markets Organic growth creates operating leverage despite aggressively hiring Continued investment for future growth:

  • M&A: CapitalMark, Magna, BHG
  • Organic: Accelerating hiring, CRE,

Capital markets Intense focus on building a valuable Tennessee franchise

3Q15 Bank Industry Trends 3Q15 Pinnacle Trends

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(1) - Calculation excludes net gains and losses on the sale of investment securities and in the second quarter of 2013 noncredit related loan losses (2) - Calculation excludes OREO expense, FHLB prepayment charges and merger related expenses. Noninterest expense for 2Q13 includes the impact of the reversal of a $2.0 million allowance for off-balance sheet commitments

  • -- : Reflects targets resulting from the annual corporate strategic planning process for the then current period.

Changes to long-term targets reflect PNFP operating environment

Pinnacle Building for the Future

2.52% 2.38% 2.37% 2.30% 2.00% 2.10% 2.20% 2.30% 2.40% 2.50% 2.60% 2.70% Noninterest Expense / Average Assets (2) 0.29% 0.15% 0.09% 0.20% 0.00% 0.05% 0.10% 0.15% 0.20% 0.25% 0.30% 0.35% 0.40% 0.45% 0.50%

Net Chargeoff Ratio

0.94% 1.13% 1.27% 1.35%

0.00% 0.20% 0.40% 0.60% 0.80% 1.00% 1.20% 1.40% 1.60%

ROA (2)

3.80% 3.70% 3.76% 3.66% 3.50% 3.55% 3.60% 3.65% 3.70% 3.75% 3.80% 3.85% 3.90% 3.95%

Net Interest Margin

0.89% 0.92% 0.97% 1.13% 0.70% 0.80% 0.90% 1.00% 1.10% 1.20% 1.30%

Noninterest Income / Average Assets (1)

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Mergers on Track to Hit Targets

Pinnacle Building for the Future

Aggregate Amounts Closing Consideration PNFP share price PNFP shares 4,677,901 Stock option value Cash consideration Total transaction value 309,467,000 $ SBLF redemption 36,562,000 $ Purchase Accounting Loan mark 2.50% (20,500,000) $ 2.47% (21,621,000) $ 2.00% (9,700,000) $ 2.18% (10,009,000) $ (31,630,000) $ ORE mark 30% (1,100,000) $ 0%

  • $

25% (800,000) $ 0%

  • $
  • $

Core deposit intangible 1.50% 8,622,000 $ 1.43% 6,195,000 $ 1.50% 5,400,000 $ 0.98% 3,170,000 $ 9,365,000 $ Cost Savings Aggregate cost saves 30% 25% EPS Accretion 3Q15 0.0% 0.0%

  • Approx. $0.02/share

4Q15 0.0% 0.0% 2016 2.5% 3.4% 2017 4.5% 4.4% Tangible Book Value Dilution 2.5% Neutral Less than 1% Note: Purchase accounting adjustments should be considered preliminary and subject to change. Loan mark excludes impact of ALLL reversal. 18,212,000 $ 187,000,000 $ 23,179,000 $ 30,429,000 $ 1,957,000 $ CapitalMark Updated as of Sept. 30, 2015 1-Sep-15 46.32 $ Late 3Q/Early 4Q 2015 Late 3Q 2015 53.09 $ 46.66 $ 44.61 $ 90% Stock, 10% Cash No change anticipated No change anticipated 225,629,000 $ 31-Jul-15 As of announcement date April 7, 2015 Updated as of Sept. 30, 2015 1,371,717 1,325,000 18,774,000 $ 18,350,000 $ 82,556,000 $ 3,306,184 19,675,000 $ 18,212,000 $ 3,305,000 16,380,000 $ 19,453,000 $ 18,350,000 $ 83,838,000 $ As of announcement date April 28, 2015 Magna 847,000 $ 75% Stock, 25% Cash

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15

Revenue growth provides capacity to accelerate hiring

Pinnacle Building for the Future

FTE's Dec. 31, 2014 New hires Trans / Retire / Terms Acquired franchises Synergy case impact FTE's Sept. 30, 2015

Client advisory units Nashville 112.0 13.0 (3.5)

  • 121.5

Knoxville 26.0 6.0 (1.0)

  • 31.0

Chattanooga

  • 1.0
  • 29.0
  • 30.0

Memphis

  • 8.0
  • 19.0
  • 27.0

Wealth management 34.0 4.0

  • 38.0

Residential mortgage 22.0 2.0 (1.0) 21.0

  • 44.0

Support units Client advisory support 133.0 17.0 (6.5) 39.0 (2.0) 180.5 Branch support 179.0 21.0 (12.0) 41.0 (4.0) 225.0 Operations and admin 259.0 26.5 (10.0) 103.0 (2.0) 376.5 764.0 98.5 (34.0) 252.0 (8.0) 1,073.5

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Future Growth Initiatives are Moving Forward

Pinnacle Building for the Future

Expanding our CRE Capacity

Target Markets A. Top-tier owners and developers in Tennessee B. FHLMC Small Balance Loan program Product Offering A. Traditional bank balance sheet products B. Brokerage of long-term mortgages off balance sheet to insurance companies and conduits

$- $500,000,000 $1,000,000,000 $1,500,000,000 $2,000,000,000 $2,500,000,000

CRE Investment Portfolio

Outstanding Commitments

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Future Growth Initiatives are Moving Forward

Pinnacle Building for the Future

Entering Capital Markets Segment

Pinnacle Subsidiary PNFP Capital Markets

  • SEC registration completed on October 6, 2015.
  • FINRA registration completed on October 6, 2015.
  • State of TN authorization on October 13, 2015

Target Markets

  • Focused on commercial middle market companies with revenue between

$20-$300 mm approximately 6,500* targets

  • Owner-managed businesses considering ownership transition in next 5

years (we estimate to be 30-50% of target market) Product Offerings

  • M&A Advisory: Sell-side/Buy-side
  • Private Placements of Debt and Equity
  • Advisory services:
  • Capital Structure
  • Exit-strategy
  • Valuation
  • Client derivative consulting

*Per FactSet $- $200 $400 $600 $800 Q1 Q2 Q3 Q4

Loan Swap Income, net

2014 2015

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Pinnacle Building for the Future

18

Significant Regional Bank Competitors

Memphis Nashville Chattanooga Knoxville

Loans – 3Q15 $450.8 mm $4.116 billion $671.5 mm $1.098 billion Deposits and customer repurchase accounts – 3Q15 $466.2 mm $4.826 billion $640.7 mm $736.2 mm Pro forma deposit market share 2Q15 1.7% - 11th 9.2% - 4th 6.6% - 4th 4.9% - 6th Long-term deposit target $2.5 billion $7.5 billion $2.5 billion $2.5 billion Primary competitors First Horizon Regions SunTrust Bank of America Regions SunTrust First Horizon SunTrust Regions First Horizon SunTrust Regions

PNFP is positioned for meaningful growth in Tennessee’s Urban Markets

Source: Internal records, FDIC market share information.

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Q&A –

Third Quarter 2015 Investor Call

19

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Supplemental Information

Third Quarter 2015 Investor Call

20

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Supplemental Information

21

Chart

  • Balance Sheet

22

  • Asset Quality

32

  • Income Statement

36

  • Pinnacle Financial Partners profile 41
  • Economic and Market Conditions 47
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Balance Sheet Supplemental Information

22

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Loan portfolio well diversified

Balance Sheet

23

Amts. 3Q15 %’s(*) 3Q15 Amts. 2Q15 %’s(*) 2Q15

Amts. 3Q14 %’s 3Q14 Amts. 3Q13 %’s 3Q13 C&D and Land $674.9 10.7% $372.0 7.7% $322.1 7.3% $320.0 8.1% Consumer RE 1,044.3 16.5% 740.6 15.3% 706.8 16.0% 687.3 17.3% CRE – Owner Occ. 1,124.9 17.8% 807.0 16.7% 728.1 16.5% 638.2 16.1% CRE – Investment 842.1 13.3% 672.6 13.9% 582.4 13.2% 535.1 13.5% Other RE loans 225.2 3.4% 192.2 4.0% 168.4 3.8% 153.5 3.9% Total real estate 3,911.4 61.7% 2,784.4 57.6% 2,507.8 56.8% 2,334.1 58.8% C&I 2,178.5 34.4% 1,819.6 37.7% 1,724.1 39.0% 1,513.6 38.1% Other loans 246.0 3.9% 226.4 4.7% 189.4 4.2% 121.6 3.1% Total loans $6,335.9 100.0% $4,830.4 100.0% $4,421.3 100.0% $3,969.3 100.0%

(*) as a percentage of total loans

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(*) as a percentage of total loans

Balance Sheet

24

Construction portfolio reflects quality growth

Amts. 3Q15 %’s(*) 3Q15 Amts. 2Q15 %’s(*) 2Q15 Amts. 3Q14 %’s(*) 3Q14 Amts. 3Q13 %’s(*) 3Q13 Residential – Spec $102.1 1.6% $48.4 1.0% $39.3 0.9% $24.3 0.6% Residential – Custom 44.5 0.7% 44.9 0.9% 31.5 0.7% 29.7 0.8% Residential – Condo 3.5 0.1% 3.3 0.1% 0.1 0.0% 3.6 0.1% Commercial Construct. 352.1 5.6% 154.2 3.2% 134.1 3.0% 124.6 3.1% Land Dev– Residential 72.6 1.2% 72.8 1.5% 61.1 1.4% 65.0 1.6% Land Dev – Commercial 99.1 1.6% 47.4 1.0% 55.1 1.3% 71.5 1.8% Land – Unimproved 1.0 0.0% 1.0 0.0% 0.9 0.0% 1.3 0.0% Total C&D $674.9 10.7% $372.0 7.7% $322.1 7.3% $320.0 8.1%

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Balance Sheet

The C&I loan portfolio is highly diversified

25

NAICS Sector Description 3Q15 3Q14 Health Care and Social Assistance 13.74% 14.26% Finance and Insurance 10.28% 11.11% Real Estate and Rental and Leasing 9.87% 8.74% Manufacturing 8.67% 7.20% Consumer 7.68% 7.21% Transportation and Warehousing 7.43% 7.27% Wholesale Trade 7.07% 7.71% Retail Trade 6.49% 6.15% Construction 4.82% 5.54% Accommodation and Food Services 4.61% 3.37% Professional, Scientific, and Technical Services 4.31% 4.77% Public Administration 3.67% 3.99%

  • Admin. & Support and Waste Mgt. and Remediation

2.91% 3.52% Information 2.39% 2.90% Other Services (except Public Administration) 2.31% 2.80% Educational Services 1.68% 1.56% Arts, Entertainment, and Recreation 1.40% 0.91% Management of Companies and Enterprises 0.46% 0.68% Agriculture, Forestry, Fishing and Hunting 0.14% 0.02% Utilities 0.07% 0.10% Mining, Quarrying, and Oil and Gas Extraction 0.02% 0.19% Total C&I Portfolio 100.00% 100.00%

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$0 $100 $200 $300 $400 $500

Loan Volumes ($ millions)

Quarterly Pay Offs/ Pay Downs

26

Source: Pinnacle internal records. New loans include new fundings to new and existing clients as well as net changes in lines of credit. Pay

  • ffs and pay downs include amortization and pay offs of existing loans.

Balance Sheet

$0 $100 $200 $300 $400 $500 $600 $700

Loan Volumes ($ millions)

Quarterly New Loan Originations

$- $100 $200 $300 $400 $500

Loan Volumes ($ millions)

Annual Net Loan Growth

$446 $434 $421 $414

Consistent annual loan growth despite significant payoffs in legacy PNFP

$0 $50 $100 $150 $200

Loan Volumes ($ millions)

Quarterly Net Loan Growth

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Balance Sheet

27

PNFP maintains limited dependence on non-relationship funding

9/30/2015 Percent 9/30/2014 Percent Core Funding: Non-interest bearing deposits 1,876,910 25.51% 1,357,934 26.95% Interest-bearing deposits 1,275,496 17.34% 847,629 16.82% Money Market accounts 2,320,094 31.54% 1,712,430 33.98% Time deposits less than $250,000 417,812 5.68% 342,634 6.80% Total Core Funding 5,890,312 80.07% 4,260,627 84.55% Relationship based non-core funding: Reciprocal NOW deposits 17,751 0.24% 13,152 0.26% Reciprocal MMDA deposits 371,125 5.04% 270,807 5.37% Time deposits Reciprocal time deposits 82,553 1.12% 45,469 0.90% Other time deposits 216,842 2.95% 72,276 1.43% Securities sold under agreements to repurchase 68,077 0.93% 64,773 1.29% Total relationship based non-core funding 756,348 10.28% 466,477 9.26% Wholesale funding: Time deposits greater than $250,000 Public funds 14,808 0.20%

  • 0.00%

Brokered deposits 7,288 0.10%

  • 0.00%

FHLB advances 545,330 7.41% 215,524 4.28% Federal funds purchased

  • 0.00%
  • 0.00%

Other borrowings

  • 0.00%

14,307 0.28% Subordinated debt 142,476 1.94% 82,476 1.64% Total wholesale funding 709,902 9.65% 312,307 6.20% Total non-core funding 1,466,250 19.93% 778,784 15.45% Totals 7,356,562 100.00% 5,039,411 100.00%

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$957 $959 $1,000 $975 $1,009 $1,054 $1,055 $1,138 $1,105 $1,166 $1,190 $1,216 $1,247 $1,349 $1,375 $1,376 $1,440 $1,538 $2,087 $747 $715 $685 $779 $808 $787 $815 $865 $941 $926 $989 $1,024 $1,028 $1,046 $1,131 $1,177 $1,221 $1,372 $2,407 56.15% 46.40%

20% 30% 40% 50% 60% 70% $0 $1,000 $2,000 $3,000 $4,000 $5,000

Funded % Total Commitments

(millions)

Net active balance Unfunded Commitments Funded %

Line utilization drops with acquisitions

28

Note: Excludes HELOCS and credit cards

Balance Sheet

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29

Balance Sheet

The securities book is maintained at a minimal level

3.58% 2.51% 20.75% 12.32% 0.00% 5.00% 10.00% 15.00% 20.00% 25.00% 30.00% 35.00% 40.00% 0.00% 0.50% 1.00% 1.50% 2.00% 2.50% 3.00% 3.50% 4.00% Bond Yields % of Avg. Assets

slide-30
SLIDE 30

Conservative bond portfolio

Balance Sheet

30

Portfolio: September 30, 2015

Total Investments $1.004 billion Unrealized Gain (Loss) $ 12.0 million QTD Purchases $ 82.8 million QTD Sales $ 91.7 million Duration Avg Yield – TE 3Q15 2.8% 2.6% 2Q15 2.9% 2.6% 1Q15 2.9% 2.8% 4Q14 2.8% 2.8% 3Q14 3.0% 2.9% 2Q14 3.1% 2.9% 13.8% 1.2% 51.2% 7.6% 7.4% 18.8%

Agency Corporates MBS Asset Backed CMOs Municipals

As of 9/30/2015 Book Yield Avg Life (yrs) Agency 2.27% 8.0 Asset Backed 1.34% 4.8 Corporates 4.11% 3.5 CMOs 1.57% 3.9 MBS 2.23% 4.5 Municipals 4.68% 3.7 Total 2.60% 4.7

  • Repositioned $90.0 million of acquired bond

portfolios to accelerate asset sensitivity

  • Investment portfolio at $1.004 billion, up $175

million vs Dec 2014

  • Increase due to Magna/CMBT purchase
  • MBS sector at 51% of portfolio
  • Duration stable at low levels
  • Purchases focused on reducing extension risk
  • Investments to Total Assets of 11.8% as of 9/30
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SLIDE 31

77% 23% Muni Allocation % General Obligation Bonds Revenue Bonds

The municipal portfolio contains minimal risk

Balance Sheet

31 Location # of Issuances Market Value % Tennessee 73 $40,903 21.2% Michigan 7 3,773 2.0% Illinois 20 15,202 7.8% Other – 30 states 193 133,466 69.0% Totals 293 $193,344 100.0% As of September 30, 2015 Municipal Bond Portfolio Statistics 3Q15 3Q14 Weighted Average Life 3.7 years 3.6 years Tax equivalent yield 4.68% 4.57% FMV as % of Cost 103.7% 104.7%

All municipals are “A” rated or better.

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SLIDE 32

Supplemental Information

Asset Quality

32

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SLIDE 33

33

Past due loans remain very low

Asset Quality

(*) > 30 days past due

(000’s)

  • Sept. 30,

2015 As a % of total loans June 30, 2015 As a % of total loans

  • Sept. 30,

2014 As a %

  • f total

loans Past Due Loans (*) Nonaccrual loans $8,349 0.13% $ 5,991 0.12% $6,069 0.14% Accruing loans 21,830 0.34% 18,117 0.38% 14,099 0.32% Total past due $30,179 0.48% $24,108 0.50% $20,168 0.46%

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SLIDE 34

34

NPLs and loans >90 days past due & accruing remain very low

Asset Quality

(000’s) PNFP NPLs and >90 days

  • Sept. 30,

2015 As a % of total loans June 30, 2015 As a % of total loans

  • Sept. 30,

2014 As a % of total loans

  • Const. and land development

$8,837 0.14% $3,454 0.07% $5,475 0.12% CRE – Owner Occupied 4,880 0.08% 3,546 0.07% 7,486 0.17% CRE – Investment 2,965 0.05% 2,000 0.04%

  • 0.00%

Total real estate 28,140 0.44% 13,680 0.28% 19,208 0.43% C&I 1,236 0.02% 1,191 0.02% 2,023 0.05% Total loans $35,413 0.56% $18,033 0.37% $21,734 0.49% NPLs Expressed as a % of Total Loans within each Category

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SLIDE 35

35

Asset Quality

Classified assets remain low

(in thousands) Balances

  • Sept. 30, 2015

Balances June 30, 2015 Balances

  • Sept. 30, 2014

Classified loans and ORE:

  • Substandard commercial loans

$94,801 $107,359 $110,389

  • Doubtful commercial loans
  • Other impaired loans

22,490 7,428 5,660

  • 90 days past due and accruing (*)

5,364 483 83

  • Other real estate

4,773 6,793 12,329

  • Other repossessed assets

1,022 1,446 413 Total $128,450 $123,508 $128,874 Pinnacle Bank classified asset ratio 17.1% 19.0% 20.0%

(*) Includes loans 90 days past due and accruing not included elsewhere

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SLIDE 36

Income Statement Supplemental Information

36

slide-37
SLIDE 37

Income Statement

Mortgage volumes experience growth in “purchase money” transactions

37 1.59% 2.19% 1.25% 1.50% 1.75% 2.00% 2.25% 2.50% 2.75% 3.00% 20,000 40,000 60,000 80,000 100,000 120,000 140,000 160,000 Purchase Money Refinance Gross fees as a % of loans originated

slide-38
SLIDE 38

Income Statement

38 3Q15 2Q15 1Q15 4Q14 3Q14 Net interest income $62,059 $51,831 $51,269 $50,313 $49,537 Total non-interest income $21,410 $20,128 $18,493 $14,384 $12,888 Less: Securities (gains) losses

  • (556)

(6)

  • (29)

Non-interest income, excluding the impact of net gains (losses) on sale of investment securities $21,410 $19,572 $18,487 $14,384 $12,859 Total non-interest expense $45,107 $36,747 $36,831 $34,391 $34,360 Less: ORE expenses (686) 115 (395) 630 (417) FHLB prepayment charges

  • 479
  • Merger related expenses

2,249 59

  • Non-Interest expense, excluding ORE expense

$43,544 $36,324 $36,436 $35,021 $33,943 Adjusted pre-tax pre-provision income $39,925 $34,970 $33,320 $29,676 $28,453 Efficiency ratio** 52.2% 51.1% 52.2% 54.1% 54.4%

PNFP efficiency ratio reflects excellent operating leverage

**: Excluding ORE expense, FHLB prepayment charges, merger related expenses and securities gains and losses

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SLIDE 39

Income Statement

39 3Q15 2Q15 1Q15 4Q14 3Q14 Total non-interest income $21,410 $20,128 $18,493 $14,384 $12,888 Less: Securities (gains) losses

  • (556)

(6)

  • (29)

Non-interest income, excluding the impact of net gains (losses) on sale of investment securities $21,410 $19,572 $18,487 $14,384 $12,859 Total non-interest expense $45,107 $36,747 $36,831 $34,391 $34,360 Less: ORE expenses (686) 115 (395) 630 (417) FHLB prepayment charges

  • 479
  • Merger related expenses

2,249 59

  • Non-Interest expense, excluding ORE expense

$43,544 $36,324 $36,436 $35,021 $33,943 Adjusted pre-tax pre-provision income $39,925 $34,970 $33,320 $29,676 $28,453 Total Assets (Quarterly Average)

$7,514,633 $6,319,712 $6,102,523 $5,855,421 $5,752,776

Noninterest income, excluding the impact of net gains (losses) on sale of investment securities/Average Assets 1.13% 1.27% 1.23% 0.97% 0.89% Non-interest expense, excluding ORE expense, FHLB prepayment charges and merger related expenses 2.30% 2.31% 2.42% 2.37% 2.34%

Reconciliation of Non-GAAP measures

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SLIDE 40

Income Statement

40 3Q15 2Q15 1Q15 4Q14 3Q14 Net income $24,149 $22,664 $21,843 $18,737 $18,197 Merger related expenses 2,249 59

  • Tax effect on merger related expenses

(882) (23)

  • Net income less merger related expenses

$25,515 $22,746 $21,843 $18,737 $18,197 Basic earnings per share $0.64 $0.65 $0.62 $0.54 $0.52 Adjustment to basic earnings per share due to merger related expenses 0.04

  • Basic earnings per share excluding merger related expenses

$0.67 $0.65 $0.62 $0.54 $0.52 Diluted earnings per share excluding merger related expenses $0.62 $0.64 $0.62 $0.53 $0.52 Adjustment to diluted earnings per share due to merger related expenses 0.04

  • Diluted earnings per share excluding merger related

expenses $0.66 $0.64 $0.62 $0.53 $0.52

Reconciliation of Non-GAAP measures

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SLIDE 41

Pinnacle Financial Partners Profile Supplemental Information

41

slide-42
SLIDE 42

PNFP Profile

42

Headquarters: Nashville, TN Founded: 2000 Total assets: $ 8.545 Billion (9/30/15) Shareholders’ equity: $ 1.134 Billion (9/30/15) Offices: 29 in 8 Middle-TN counties 10 in 5 East-TN counties 5 in West-TN

  • Avg. daily trading volume **: 162,931 shares

% Institutional ownership: 72.16% (6/30/15)

Recently completed acquisitions will position firm in four great banking markets

**: 50 day average daily volume per NASDAQ.com PNFP CapitalMark Magna

slide-43
SLIDE 43

PNFP Profile

43

Name Title Age Years in Banking Industry Years at Pinnacle

  • M. Terry Turner

President and Chief Executive Officer 60 36 15 Robert A. McCabe, Jr. Chairman of the Board 65 38 15 Hugh M. Queener Chief Administrative Officer 59 39 15 Harold R. Carpenter, Jr. Chief Financial Officer 56 33 15

  • J. Harvey White

Chief Credit Officer/ Knoxville Regional Executive 65 40 6 Joanne B. Jackson Manager, Client Services Group – Nashville 57 39 15

  • D. Kim Jenny

Risk Management Officer 60 40 9 William S. Jones Rutherford County Area Executive 55 32 9*

  • J. Edward White

Manager, Client Advisory Group – Nashville 62 40 15 Craig Holley Chattanooga Chairman 58 31 ** Kirk Bailey Memphis Chairman 60 35 **

* - Mr. Jones was an executive with Cavalry Bancorp which was acquired by Pinnacle in 2006. ** - Mr. Holley and Mr. Bailey both joined Pinnacle in mid-2015 following the acquisitions of CapitalMark Bank & Trust and Magna Bank, respectively.

PNFP has an extraordinarily experienced management team

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SLIDE 44

PNFP Profile

  • Pinnacle Financial Partners (PNFP)
  • Bank of the Ozarks (OZRK)
  • Brookline Bancorp, Inc. (BRKL)
  • Columbia Banking System, Inc.

(COLB)

  • CVB Financial Corp. (CVBF)
  • Eagle Bancorp, Inc. (EGBN)
  • FCB Financial Holdings, Inc. (FCB)
  • First Financial Bancorp. (FFBC)
  • First Midwest Bancorp (FMBI)
  • Hilltop Holdings Inc. (HTH)
  • Independent Bank Corp. (INDB)
  • Legacy Texas Financial Group, Inc.

(LXTB)

  • MB Financial (MBFI)
  • National Penn Bancshares, Inc.

(NPBC)

  • Renasant Corporation (RNST)
  • South State Bank (SSB)
  • Sterling Bancorp (STL)
  • Trustmark Corporation (TRMK)
  • Union First Market Bkshs Co (UBSH)
  • United Bankshares, Inc. (UBSI)
  • United Community Banks, Inc.

(UCBI)

  • Western Alliance Bancorporation

(WAL)

44

PNFP compares favorably to high performing peers

slide-45
SLIDE 45

PNFP Profile

45 Nashville-Davidson-Rutherford MSA Knoxville MSA

Top 10 Market Share Rank Holding Company Market Share 6/30/15 Market Share 6/30/00 (1) % Change in Share Top 10 Market Share Rank Holding Company Market Share 6/30/15 Market Share 6/30/07 (1) Change in Share 4 Pinnacle Financial Partners 9.19% 1.74% 7.45% 6 Pinnacle Financial Partners 4.86% 0.03% 4.83% 1 Bank of America Corp 17.29% 14.59% 2.70% 8 Bank of America Corp. 3.26% 2.00% 1.26% 5 First Horizon National Corp. 6.23% 5.13% 1.10% 9 Clayton HC Inc. 2.06% 1.10% 0.96% 7 Wilson Bank Holding Co. 3.27% 2.34% 0.93% 5 BB&T Corp. 6.37% 6.19% 0.18% 10 Wells Fargo & Co. 2.70% 2.05% 0.65% 2 SunTrust Banks Inc. 16.28% 16.19% 0.09% 9 Fifth Third Bancorp 2.93% 2.29% 0.64% 10 Twin Cities Financial Services Inc. 1.76% 1.96% (0.20)% 8 Franklin Financial Network Inc. 3.11%

  • 4

Home Federal Bank of TN 10.31% 10.87% (0.56)% 6 U.S. Bancorp 3.41% 7.35% (3.94)% 1 First Horizon 17.44% 19.11% (1.67)% 3 SunTrust Banks Inc. 12.31% 18.60% (6.29)% 7 United Community Banks Inc. 3.42% 5.30 (1.88)% 2 Regions Financial Corp. 14.25% 29.06% (14.81)% 3 Regions 14.69% 18.25 (3.56)% Other 25.31% 16.87% 8.44% Other 19.56% 19.03% 0.53% Total 100% 100% Total 100% 100%

PNFP has a track record for “best-in-market” share movement

Source: FDIC Summary of Deposits 2015; Amounts reflect aggregation of previously merged banks. (1): First year Pinnacle’s deposits were reflected in FDIC Summary of Deposits data. Market share at 6/30/00 for Nashville reflects impact of Cavalry Bancorp, Inc. which was acquired by Pinnacle in March of 2006.

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SLIDE 46

PNFP Profile

46 Chattanooga TN-GA MSA Memphis, TN-MS-AR MSA

Top 10 Market Share Rank Holding Company Market Share 6/30/15 Market Share 6/30/14 % Change in Share Top 10 Market Share Rank Holding Company Market Share 6/30/15 Market Share 6/30/14 % Change in Share 6 Bank of America Corp. 3.75% 2.67% 40.45% 4 Bank of America Corp. 4.10% 3.45% 18.84% 4 Pinnacle Financial Partners 6.59% 6.01% 9.65% 3 SunTrust Banks Inc. 10.20% 8.77% 16.31% 9 BankCap Equity Fund LLC 3.50% 3.23% 8.36% 1 First Horizon National Corp. 29.87% 26.06% 14.62% 2 SunTrust Banks Inc. 19.42% 18.74% 3.63% 8 Landmark Community Bank 2.04% 1.87% 9.09% 10 Sequatchie Valley Bancshares Inc. 3.27% 3.27% 0.0% 6 Trustmark Corp. 2.85% 2.90% (1.72%) 5 First Volunteer Corp. 4.74% 4.89% (3.07%) 9 Metropolitan BancGroup Inc. 1.98% 2.09% (5.26%) 1 First Horizon National Corp. 23.46% 24.23% (3.18%) 7 Independent Holdings Inc. 2.83% 3.09% (8.41%) 3 Regions Financial Corp. 13.13% 13.58% (3.31%) 2 Regions Financial Corp. 16.14% 18.36% (12.09%) 7 SmartFinancial Inc. 3.68% 3.90% (5.64%) 5 BancorpSouth Inc. 3.36% 3.90% (13.85%) 8 First South Bancorp Inc. 3.67% 4.32% (15.05%) 10 Wells Fargo & Co. 1.72% 2.01% (14.43%) Other 14.79% 15.15% (2.4%) 11 Pinnacle Financial Partners 1.65% 1.77% (6.78%) Total 100% 100.% Other 23.25% 25.74% (9.67%) Total 100%

PNFP has a track record for “best-in-market” share movement

Source: FDIC Summary of Deposits 2015; Amounts reflect aggregation of previously merged banks.

(1): Market share at 6/30/14 for Chattanooga and Memphis reflects impact of the recently completed acquisitions of CapitalMark Bank & Trust and Magna Bank, respectively.

slide-47
SLIDE 47

Economic & Market Conditions Supplemental Information

47

slide-48
SLIDE 48

PNFP operates in advantaged markets

48

Source: SNL Financial Note: Deposit data is a 2016 ProForma Tennessee Market Demographics 2016 -2021E 2016 -2021E Top 20 MSAs Total Deposits ($Ms) Current Population (000s) Population Growth (%) Current Median HHI ($) Median HHI Growth (%) Nashville-Davidson-Murfreesboro-Franklin TN 48,022 1,840 6.87% 55,922 9.41% Memphis TN-MS-AR 27,064 1,347 2% 49,103 7.88% Knoxville TN 13,585 865 3.35% 47,037 7% Chattanooga TN-GA 8,947 550 3.70% 48,594 7.45% Kingsport-Bristol-Bristol TN-VA 4,404 308 1.15% 41,845 6.39% Clarksville TN-KY 3,356 284 5.62% 50,193 8.67% Johnson City TN 2,610 202 2.07% 38,455 2.09% Jackson TN 2,124 130 1.18% 42,483 5.37% Cookeville TN 2,115 108 2.82% 34,718 8.66% Sevierville TN 1,976 97 5.89% 44,098 4.66% Cleveland TN 1,674 121 4.23% 44,748 13.42% Tullahoma-Manchester TN 1,458 102 2.60% 42,097 5.95% Morristown TN 1,417 116 2.44% 42,092 5.85% Union City TN-KY 1,085 37

  • 2.05%

37,825 1.55% Athens TN 918 53 2.12% 40,955 5.15% Crossville TN 915 59 4.18% 39,897 7.66% McMinnville TN 806 40 1.81% 37,017 10.19% Greeneville TN 736 68 0.74% 36,872 5.81% Dyersburg TN 648 38 0.13% 43,718 10.99% Shelbyville TN 620 47 4.96% 43,522 5.77% Tennessee 128,539 6,624 3.82% 46,781 7.13% United States 9,228,740 322,431 3.69% 55,551 7.77%

slide-49
SLIDE 49

PNFP operates in advantaged markets

49 TENNESSEE

  • Tennessee named top state in the U.S. for economic development for second consecutive year

Business Facilities

  • Tennessee ranked top state in the nation for auto manufacturing

Business Facilities

  • Tennessee named No. 8 most fiscally healthy state in the nation

Mercatus Center NASHVILLE Nashville has achieved “it city” status, landing on several major national publications’ lists of hot spots. Nashville’s diverse economy, thriving cultural base and strong business community are major attractions for corporations. The accolades continued in the third quarter of 2015:

  • Nashville No. 5 on list of cities Americans are “flocking to”

Forbes

  • Nashville now nation’s No. 8 housing market

Freddie Mac

  • Nashville ranked the fourth-best city to be a millennial entrepreneur

Thumbtack.com

  • Nashville named No. 7 of markets to watch in ‘Emerging Trends in Real Estate 2016’

MarketWatch KNOXVILLE Knoxville also enjoys a very healthy and diverse economy with an excellent transportation and technology infrastructure. The Knoxville metropolitan area was the third fastest MSA in the country to fully recover from jobs lost in the 2007-2010 recession and currently enjoys the lowest unemployment rate of Tennessee’s metro areas. Good news in the third quarter of 2015 includes:

  • Knoxville 4th best city to start a business

SmartAsset

  • Knoxville No. 5 in “10 Best Cities for Small Businesses”

CNN Money

  • Tourism spending in Knox County grew 6.2 percent compared with 2013, generating $50 million

Knoxville News Sentinel in state and $23.5 million in local tax revenues

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SLIDE 50

PNFP operates in advantaged markets

50 MEMPHIS Memphis offers a diverse, metropolitan workforce. Over the past three decades, the presence of companies like FedEx and the region’s superior distribution infrastructure have earned Memphis the title, “America’s Distribution Center.”

  • Memphis named the 7th “Best City to Start a Business

WalletHub

  • Memphis ranked No. 18 in “25 Best Cities for Jobs” list

Glassdoor CHATTANOOGA Chattanooga is Tennessee’s fourth-largest MSA as measured by both population and deposits. National publications have declared Chattanooga a tech hub and manufacturing magnet. Economic drivers include:

  • Chattanooga Chamber Named a “Best to Invest” Top Economic Development Group

Site Selection

  • Volkswagen Chattanooga expansion named a “Top North American Deal” with an investment by

Site Selection the company of $600 million and the creation of more than 2,000 jobs

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SLIDE 51

51

PNFP operates in advantaged markets

Consistent job growth occurring in all four markets

Source: BERC – Middle Tennessee State University & Bureau of Labor Statistics, Greater Nashville Area Realtors

800,000 749,100 908,100

650,000 700,000 750,000 800,000 850,000 900,000 950,000

Nashville MSA Nonfarm Payrolls- SA (thru August 2015)

374,900 353,700 386,800

330,000 340,000 350,000 360,000 370,000 380,000 390,000 400,000

Knoxville MSA Nonfarm Payrolls- SA (thru August 2015)

210,000 215,000 220,000 225,000 230,000 235,000 240,000 245,000 250,000 255,000

Chattanooga MSA Nonfarm Payrolls- SA (thru August 2015)

560,000 570,000 580,000 590,000 600,000 610,000 620,000 630,000 640,000 650,000

Memphis MSA Nonfarm Payrolls- SA (thru August 2015)

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SLIDE 52

52

PNFP operates in advantaged markets

Rapid job growth leads to rapid real estate absorption

Source: BERC – Middle Tennessee State University & Bureau of Labor Statistics, GNAR, GCAR, MAAR, and KAAR

Home Sales

Nashville Knoxville Memphis Chattanooga 3Q15 % Change from PY 3Q15 % Change from PY 3Q15 % Change from PY 3Q15 % Change from PY

  • Avg. Qtrly. Median

Home Price $235.6 8.5% $160.0 3.2% $128.3 (2.4%) $156.9 7.5% Quarterly Closings 9,236 16.2% 4,309 22.3% 4,592 4.8% 2,418 10.9% Quarter end Inventory 8,729 (12.0%) 9,283 (9.0%) 6,404 (4.6%) 4,221 (31.7%) Months of Inventory* 3.1 (21.3%) 6.6 (25.6%) 4.5 5.5% 5.5 (39.5%)

*: Calculated as quarter end inventory divided by monthly closings

0.00 2.00 4.00 6.00 8.00 10.00 12.00

Unemployment Rates Seasonally Adjusted (thru August 2015)

Nashville Knoxville Chattanooga Memphis US

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SLIDE 53

Nashville’s commercial vacancy rates indicate a healthy market

PNFP Operates in Advantaged Markets

53

Source: Costar

CRE Vacancy Rates Nashville Knoxville Chattanooga Memphis National 3Q15 % Change from PY 3Q15 % Change from PY 3Q15 % Change from PY 3Q15 % Change from PY 3Q15 % Change from PY Industrial / Warehouse 6.1% (15.3%) 8.7% (4.4%) 9.1% (33.6%) 10.1% (17.2%) 7.1% (1.4%) Multifamily 3.7% 15.6% 7.9% 75.6% 7.0% 45.8% 6.6% (22.4%) 8.1%

unavailable

Retail 6.0% (10.4%) 7.3% 5.8% 7.0% (12.5%) 7.3% (19.8%) 6.4% 1.6% Office 5.4% (22.9%) 7.9% (10.2%) 8.5% (19.0%) 9.7% (21.1%) 6.7% (40.2%)

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SLIDE 54

Third Quarter 2015 Investor Call

  • M. Terry Turner, President and CEO

Harold R. Carpenter, EVP and CFO October 21, 2015