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8-K

Associated Banc-Corp (ASB)

8-K 2021-07-22 For: 2021-07-22
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Added on April 06, 2026
UNITED STATES<br>SECURITIES AND EXCHANGE COMMISSION<br>WASHINGTON, DC 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 OR 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) July 22, 2021
--- --- Associated Banc-Corp
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(Exact name of registrant as specified in its chapter) Wisconsin 001-31343 39-1098068
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(State or other jurisdiction of incorporation) (Commission File Number) (IRS Employer Identification No.) 433 Main Street Green Bay Wisconsin 54301
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(Address of principal executive offices) (Zip code) Registrant’s telephone number, including area code 920 491-7500
--- --- --- (Former name or former address, if changed since last report)
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Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities Registered Pursuant to Section 12(b) of the act:

Title of each class Trading symbol Name of each exchange on which registered
Common stock, par value $0.01 per share ASB New York Stock Exchange
Depositary Shrs, each representing 1/40th intrst in a shr of 5.375% Non-Cum. Perp Pref Stock, Srs D ASB PrD New York Stock Exchange
Depositary Shrs, each representing 1/40th intrst in a shr of 5.875% Non-Cum. Perp Pref Stock, Srs E ASB PrE New York Stock Exchange
Depositary Shrs, each representing 1/40th intrst in a shr of 5.625% Non-Cum. Perp Pref Stock, Srs F ASB PrF New York Stock Exchange Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
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☐ Emerging growth company
☐ If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.
Item 2.02 Results of Operations and Financial Condition.
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On July 22, 2021, Associated Banc-Corp announced its earnings for the quarter ended June 30, 2021. A copy of the registrant’s press release containing this information and the slide presentation discussed on the conference call for investors and analysts on July 22, 2021, are being furnished as Exhibit 99.1 and Exhibit 99.2, respectively, to this Report on Form 8-K and are incorporated herein by reference.
Item 9.01 Financial Statements and Exhibits.
(d)  Exhibits.
The following exhibits are furnished as part of this Report on Form 8-K:
99.1    Press release of the registrant datedJuly22, 2021, containing financial information for the quarter endedJune30, 2021.
99.2    Slide presentation discussed on the conference call for investors and analysts onJuly22, 2021.
SIGNATURES
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Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
Associated Banc-Corp
(Registrant)
Date: July 22, 2021 By: /s/ Christopher J. Del Moral-Niles
Christopher J. Del Moral-Niles
Chief Financial Officer

Document

Exhibit 99.1

NEWS RELEASE<br><br>Investor Contact:<br><br>Ben McCarville, Vice President, Director of Investor Relations<br><br>920-491-7059<br><br>Media Contact:<br><br>Jennifer Kaminski, Vice President, Public Relations Senior Manager<br><br>920-491-7576

Associated Banc-Corp Reports Second Quarter 2021 Net Income Available to Common Equity of $86 million, or $0.56 Per Common Share.

Results driven by improving credit dynamics, growing net interest income and continued expense discipline.

GREEN BAY, Wis. -- July 22, 2021 -- Associated Banc-Corp (NYSE: ASB) ("Associated" or "Company") today reported net income available to common equity ("earnings") of $86 million, or $0.56 per common share, for the quarter ended June 30, 2021. These amounts compare to earnings of $145 million in the quarter ended June 30, 2020, or $0.94 per common share, including the net gain recognized on the sale of Associated Benefits and Risk Consulting (“ABRC”). Excluding the gain on ABRC, second quarter 2020 earnings per share were $0.26 per common share1. Second quarter 2021 results also compare to earnings of $89 million, or $0.58 per common share for the quarter ended March 31, 2021.

"Our second quarter results were driven by continuing improvement in our loan portfolios,” remarked President and CEO Andy Harmening. “Our credit metrics continued to improve, our C&I and CRE customers began to modestly borrow on their lines, and we saw accelerating PPP pay downs - all of which are indicators of an improving economic backdrop. We also saw signs of increased business and consumer confidence; evidenced by rising spending and payments activity. We remain optimistic about the unfolding recovery in our regional footprint and are proactively pursuing various initiatives to lean into the growth we expect to see in our markets. We look forward to updating investors on these initiatives, later this quarter."

Second Quarter 2021 Highlights (all comparisons to the first quarter of 2021)

•Period-end loans (excluding PPP) were up $216 million, to $23.5 billion

•Period-end deposits were down $413 million, to $27.3 billion

•Net interest income was up $4 million, to $180 million

•Fee-based revenue1 was up $2 million, to $53 million

•Noninterest expense was down $1 million, to $174 million

•Provision for credit losses was negative $35 million, compared to negative $23 million

•Net income available to common equity was down $3 million, to $86 million

•Earnings per common share were down $0.02, to $0.56

•Tangible book value per share was up $0.40, to $17.35

1This is a non-GAAP financial measure. Management believes these measures are meaningful because they reflect adjustments commonly made by management, investors, regulators, and analysts to evaluate the adequacy of earnings per common share, provide greater understanding of ongoing operations and enhance comparability of results with prior periods. See page 10 of the attached tables for a reconciliation of GAAP financial measures to non-GAAP financial measures.

Loans

Second quarter 2021 average total loans of $24.1 billion were down 1%, or $365 million from the prior quarter and were down 4%, or $1.1 billion from the same period last year. Excluding PPP, average total loans of $23.4 billion were down 1%, or $259 million from the prior quarter and were down 4%, or $945 million from the same period last year. With respect to second quarter 2021 average balances by loan category:

•Commercial and business lending (excluding PPP) decreased $100 million from the prior quarter and decreased $755 million compared to the same period last year to $8.4 billion.

•Commercial real estate lending decreased $11 million from the prior quarter and increased $439 million from the same period last year to $6.2 billion.

•Consumer lending was $8.8 billion, down $148 million from the prior quarter and down $629 million from the same period last year.

•PPP loans decreased $105 million from the prior quarter and decreased $147 million from the same period last year to $701 million.

Second quarter 2021 period-end total loans of $23.9 billion were down 1%, or $215 million from the prior quarter and were down 4%, or $885 million from the same period last year. Excluding PPP, period-end total loans of $23.5 billion were up 1%, or $216 million from the prior quarter and were down 1%, or $279 million from the same period last year. With respect to second quarter 2021 period-end balances by loan category:

•Commercial and business lending (excluding PPP) increased $242 million from the prior quarter and decreased $93 million from the same period last year to $8.8 billion.

•Commercial real estate lending increased $39 million from the prior quarter and increased $299 million from the same period last year to $6.2 billion.

•Consumer lending was $8.6 billion, down $64 million from the prior quarter and down $485 million from the same period last year.

•PPP loans decreased by $431 million from the prior quarter and decreased $607 million from the same period last year to $405 million.

We continue to expect full-year commercial loan growth, excluding PPP, of 2% to 4% in 2021, driven by an expected 4% to 6% increase in CRE balances and an expected 1% to 2% increase in commercial and business lending outstandings.

Deposits

Second quarter 2021 average deposits of $27.5 billion were up 2%, or $666 million compared to the prior quarter and were up 5%, or $1.3 billion from the same period last year. With respect to second quarter 2021 average balances by deposit category:

•Noninterest-bearing demand deposits increased $403 million from the prior quarter and increased $1.1 billion from the same period last year to $8.1 billion.

•Savings increased $311 million from the prior quarter and increased $862 million from the same period last year to $4.1 billion.

•Interest-bearing demand deposits increased $166 million from the prior quarter and increased $434 million from the same period last year to $5.9 billion.

•Money market deposits increased $106 million from the prior quarter and increased $485 million from the same period last year to $7.0 billion.

•Network transaction deposits decreased $171 million from the prior quarter and decreased $636 million from the same period last year to $909 million.

•Time deposits decreased $149 million from the prior quarter and decreased $960 million from the same period last year to $1.5 billion.

Second quarter 2021 period-end deposits of $27.3 billion were down 1%, or $413 million compared to the prior quarter and were up 3%, or $713 million from the same period last year. Low-cost core deposits (interest-bearing demand, noninterest-bearing demand and savings) made up 66% of deposit balances as of June 30, 2021. With respect to second quarter 2021 period-end balances by deposit category:

•Noninterest-bearing demand deposits decreased $497 million from the prior quarter and increased $425 million from the same period last year to $8.0 billion.

•Savings increased $150 million from the prior quarter and increased $788 million from the same period last year to $4.2 billion.

•Interest-bearing demand deposits increased $221 million from the prior quarter and increased $122 million from the same period last year to $6.0 billion.

•Money market deposits decreased $198 million from the prior quarter and increased $155 million from the same period last year to $7.6 billion.

•Time deposits (excluding brokered CDs) decreased $89 million from the prior quarter and decreased $772 million from the same period last year to $1.5 billion.

•Network transaction deposits (included in money market and interest-bearing deposits) decreased $183 million from the prior quarter and decreased $625 million from the same period last year to $872 million.

Net Interest Income and Net Interest Margin

Second quarter 2021 net interest income of $180 million was up 2%, or $4 million from the prior quarter and the net interest margin decreased 2 basis points from the prior quarter to 2.37%. Compared to the same period last year, net interest income decreased 5%, or $10 million, and the net interest margin decreased 12 basis points.

•The average yield on total loans for the second quarter of 2021 increased 2 basis points from the prior quarter and decreased 16 basis points from the same period last year to 2.90%.

•The average cost of total interest-bearing liabilities for the second quarter of 2021 decreased 4 basis points from the prior quarter and decreased 24 basis points from the same period last year to 0.36%.

•The net free funds benefit for the second quarter of 2021 decreased one basis point from the prior quarter and compressed 4 basis points compared to the same period last year to 0.11%.

We expect the full year margin for 2021 to be between 2.45% and 2.55%.

Noninterest Income

Second quarter 2021 total noninterest income of $73 million decreased $22 million from the prior quarter and decreased by $181 million from the same period last year, driven by the gain recognized last year on the sale of Associated Benefits and Risk Consulting in the second quarter of 2020 and the decrease in ABRC-related income.

With respect to second quarter 2021 noninterest income line items:

•Service charges and deposit account fees increased $1 million from the prior quarter and increased $4 million from the same period last year.

•Card-based fees increased $1 million from the prior quarter and increased $2 million from the same period last year.

•Mortgage Banking, net was $8 million for the second quarter, down $16 million from the prior quarter, driven by declining gain on sale margins and no additional mortgage servicing rights recoveries. Relative to the prior-year period, Mortgage Banking was down $4 million, principally due to lower gain on sale margins, offset by an $8 million MSR impairment in the prior-year period.

We expect noninterest income of between $315 million and $325 million in 2021.

Noninterest Expense

Second quarter 2021 total noninterest expense of $174 million decreased $1 million from the prior quarter and decreased $9 million compared to the same period last year.

With respect to second quarter 2021 noninterest expense line items:

•Personnel expense increased $3 million from the prior quarter and decreased $4 million from the same period last year.

•Other expense decreased $2 million from the prior quarter and $4 million from the same period last year.

We are withdrawing our prior 2021 total expense guidance. Total expense for 2021 will reflect incremental growth and efficiency initiatives which are under development and expected to be announced later in the third quarter. Before the impact of such initiatives, we expect total expense for 2021 would be approximately $695 million to $700 million.

Taxes

The second quarter 2021 tax expense was $22 million compared to $25 million of tax expense in the prior quarter and $51 million of tax expense in the same period last year. The effective tax rate for second quarter 2021 was 19.8% compared to an effective tax rate of 20.7% in the prior quarter and an effective tax rate of 25.6% in the same period last year, which was driven by the sale of ABRC.

We expect the annual 2021 tax rate to be between 19% and 21%, assuming no change in the corporate tax rate.

Credit

The second quarter 2021 provision for credit losses was negative $35 million, compared to a negative $23 million in the prior quarter and provision of $61 million in the same period last year.

With respect to second quarter 2021 credit quality:

•Potential problem loans of $196 million were down $68 million, or 26%, from the prior quarter and down $111 million, or 36%, from the same period last year.

•Nonaccrual loans of $147 million were down $16 million, or 10%, from the prior quarter and down $24 million, or 14% from the same period last year. The nonaccrual loans to total loans ratio was 0.61% in the second quarter, down from 0.68% in the prior quarter and down from 0.69% in the same period last year.

•Net charge offs of $5 million were down 3% from the prior quarter and down $22 million, or 83%, from the same period last year.

•The allowance for credit losses on loans (ACLL) of $364 million was down $40 million from the prior quarter and down $64 million compared to the same period last year. The ACLL to total loans ratio was 1.52% in the second quarter, down from 1.67% in the prior quarter and down from 1.73% in the same period last year.

We continue to experience positive credit trends due to economic conditions and expect our provision to adjust with changes to risk grade, other indications of credit quality, and loan volume.

Capital

The Company’s capital position remains strong, with a CET1 capital ratio of 10.7% at June 30, 2021. The Company’s capital ratios continue to be in excess of the Basel III “well-capitalized” regulatory benchmarks on a fully phased in basis.

SECOND QUARTER 2021 EARNINGS RELEASE CONFERENCE CALL

The Company will host a conference call for investors and analysts at 4:00 p.m. Central Time (CT) today, July 22, 2021. Interested parties can access the live webcast of the call through the Investor Relations section of the Company's website, http://investor.associatedbank.com. Parties may also dial into the call at 877-407-8037 (domestic) or 201-689-8037 (international) and request the Associated Banc-Corp second quarter 2021 earnings call. The second quarter 2021 financial tables with an accompanying slide presentation will be available on the Company's website just prior to the call. An audio archive of the webcast will be available on the Company's website approximately fifteen minutes after the call is over.

ABOUT ASSOCIATED BANC-CORP

Associated Banc-Corp (NYSE: ASB) has total assets of $34 billion and is Wisconsin's largest bank holding company. Headquartered in Green Bay, Wisconsin, Associated is a leading Midwest banking franchise, offering a full range of financial products and services from more than 220 banking locations serving more than 120 communities throughout Wisconsin, Illinois and Minnesota, and commercial financial services in Indiana, Michigan, Missouri, Ohio and Texas. Associated Bank, N.A. is an Equal Housing Lender, Equal Opportunity Lender and Member FDIC. More information about Associated Banc-Corp is available at www.associatedbank.com.

FORWARD-LOOKING STATEMENTS

Statements made in this document 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,” "target," “outlook,” "guidance," 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.

NON-GAAP FINANCIAL MEASURES

This press release and related materials may contain references to measures which are not defined in generally accepted accounting principles (“GAAP”). Information concerning these non-GAAP financial measures can be found in the financial tables. Management believes these measures are meaningful because they reflect adjustments commonly made by management, investors, regulators, and analysts to evaluate the adequacy of earnings per common share, provide a greater understanding of ongoing operations and enhance comparability of results with prior periods.

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Associated Banc-Corp<br>Consolidated Balance Sheets (Unaudited)
($ in thousands) June 30, 2021 March 31, 2021 Seql Qtr Change December 31, 2020 September 30, 2020 June 30, 2020 Comp Qtr Change
Assets
Cash and due from banks $ 406,994 $ 356,285 $ 416,154 $ 401,151 $ 443,500
Interest-bearing deposits in other financial institutions 1,340,385 1,590,494 (250,109) 298,759 712,416 1,569,006 (228,621)
Federal funds sold and securities purchased under agreements to resell 25,000 — 25,000 1,135 95 185 24,815
Investment securities available for sale, at fair value 3,323,346 3,356,949 (33,603) 3,085,441 3,258,360 3,149,773 173,573
Investment securities held to maturity, net, at amortized cost 1,799,834 1,857,087 (57,253) 1,878,938 1,990,870 2,077,225 (277,391)
Equity securities 17,144 15,673 1,471 15,106 15,090 15,091 2,053
Federal Home Loan Bank and Federal Reserve Bank stocks, at cost 168,281 168,281 — 168,280 168,280 206,281 (38,000)
Residential loans held for sale 160,547 153,151 7,396 129,158 130,139 196,673 (36,126)
Commercial loans held for sale — — — — 19,360 3,565 (3,565)
Loans 23,947,536 24,162,328 (214,792) 24,451,724 25,003,753 24,832,671 (885,135)
Allowance for loan losses (318,811) (352,938) 34,127 (383,702) (384,711) (363,803) 44,992
Loans, net 23,628,725 23,809,389 (180,664) 24,068,022 24,619,041 24,468,868 (840,143)
Tax credit and other investments 294,220 303,701 (9,481) 297,232 314,066 303,132 (8,912)
Premises and equipment, net 398,050 398,671 (621) 418,914 422,222 434,042 (35,992)
Bank and corporate owned life insurance 682,709 680,831 1,878 679,647 679,257 676,196 6,513
Goodwill 1,104,992 1,104,992 — 1,109,300 1,107,902 1,107,902 (2,910)
Other intangible assets, net 62,498 64,701 (2,203) 68,254 70,507 72,759 (10,261)
Mortgage servicing rights, net 48,335 49,500 (1,165) 41,961 45,261 49,403 (1,068)
Interest receivable 81,797 86,466 (4,669) 90,263 91,612 87,097 (5,300)
Other assets 609,766 579,084 30,682 653,219 653,117 640,765 (30,999)
Total assets $ 34,152,625 $ 34,575,255 $ 33,419,783 $ 34,698,746 $ 35,501,464
Liabilities and stockholders’ equity
Noninterest-bearing demand deposits $ 7,999,143 $ 8,496,194 $ 7,661,728 $ 7,489,048 $ 7,573,942
Interest-bearing deposits 19,265,157 19,180,972 84,185 18,820,753 19,223,500 18,977,502 287,655
Total deposits 27,264,299 27,677,166 (412,867) 26,482,481 26,712,547 26,551,444 712,855
Federal funds purchased and securities sold under agreements to repurchase 170,419 138,507 31,912 192,971 155,329 142,293 28,126
Commercial paper 55,785 51,171 4,614 59,346 50,987 39,535 16,250
PPPLF — — — — 1,022,217 1,009,760 (1,009,760)
FHLB advances 1,619,826 1,629,966 (10,140) 1,632,723 1,706,763 2,657,016 (1,037,190)
Other long-term funding 549,024 549,729 (705) 549,465 549,201 548,937 87
Allowance for unfunded commitments 45,276 50,776 (5,500) 47,776 57,276 64,776 (19,500)
Accrued expenses and other liabilities 337,942 350,160 (12,218) 364,088 398,991 463,245 (125,303)
Total liabilities 30,042,573 30,447,474 (404,901) 29,328,850 30,653,313 31,477,007 (1,434,434)
Stockholders’ equity
Preferred equity 290,200 353,512 (63,312) 353,512 353,637 353,846 (63,646)
Common equity 3,819,852 3,774,268 45,584 3,737,421 3,691,796 3,670,612 149,240
Total stockholders’ equity 4,110,052 4,127,780 (17,728) 4,090,933 4,045,433 4,024,457 85,595
Total liabilities and stockholders’ equity $ 34,152,625 $ 34,575,255 $ 33,419,783 $ 34,698,746 $ 35,501,464

All values are in US Dollars.

Numbers may not sum due to rounding.

Associated Banc-Corp<br>Consolidated Statements of Income (Unaudited) Comp Qtr YTD YTD Comp YTD
($ in thousands, except per share data) 2Q21 2Q20 Change % Change Jun 2021 Jun 2020 Change % Change
Interest income
Interest and fees on loans $ 174,228 $ 191,895 (9) % $ 348,277 $ 416,681 (16) %
Interest and dividends on investment securities
Taxable 8,840 16,103 (7,263) (45) % 15,855 36,375 (20,520) (56) %
Tax-exempt 14,366 14,616 (250) (2) % 28,528 29,498 (970) (3) %
Other interest 1,826 2,231 (405) (18) % 3,521 5,535 (2,014) (36) %
Total interest income 199,260 224,845 (25,585) (11) % 396,180 488,090 (91,910) (19) %
Interest expense
Interest on deposits 4,609 13,178 (8,569) (65) % 10,519 49,844 (39,325) (79) %
Interest on federal funds purchased and securities sold under agreements to repurchase 30 51 (21) (41) % 55 420 (365) (87) %
Interest on other short-term funding 7 5 2 40 % 13 40 (27) (68) %
Interest on PPPLF — 676 (676) (100) % — 676 (676) (100) %
Interest on FHLB Advances 9,524 15,470 (5,946) (38) % 19,017 33,096 (14,079) (43) %
Interest on long-term funding 5,575 5,593 (18) — % 11,160 11,200 (40) — %
Total interest expense 19,745 34,973 (15,228) (44) % 40,764 95,276 (54,512) (57) %
Net interest income 179,515 189,872 (10,357) (5) % 355,416 392,814 (37,398) (10) %
Provision for credit losses (35,004) 61,000 (96,004) N/M (58,009) 114,001 (172,010) N/M
Net interest income after provision for credit losses 214,519 128,872 85,647 66 % 413,425 278,813 134,612 48 %
Noninterest income
Wealth management fees 22,706 20,916 1,790 9 % 45,120 41,732 3,388 8 %
Service charges and deposit account fees 15,549 11,484 4,065 35 % 30,404 26,706 3,698 14 %
Card-based fees 10,982 8,893 2,089 23 % 20,725 18,490 2,235 12 %
Other fee-based revenue 4,244 4,774 (530) (11) % 8,840 9,272 (432) (5) %
Capital markets, net 5,696 6,910 (1,214) (18) % 13,814 14,845 (1,031) (7) %
Mortgage banking, net 8,128 12,263 (4,135) (34) % 32,054 18,407 13,647 74 %
Bank and corporate owned life insurance 3,088 3,625 (537) (15) % 5,791 6,719 (928) (14) %
Insurance commissions and fees 86 22,430 (22,344) (100) % 161 45,038 (44,877) (100) %
Asset gains (losses), net(a) (14) 157,361 (157,375) N/M 4,796 157,284 (152,488) (97) %
Investment securities gains (losses), net 24 3,096 (3,072) (99) % (16) 9,214 (9,230) N/M
Gains (losses) on sale of branches, net(b) 36 — 36 N/M 1,038 — 1,038 N/M
Other 2,918 2,737 181 7 % 6,059 5,090 969 19 %
Total noninterest income 73,443 254,490 (181,047) (71) % 168,786 352,796 (184,010) (52) %
Noninterest expense
Personnel 106,994 111,350 (4,356) (4) % 211,020 225,551 (14,531) (6) %
Technology 20,236 21,174 (938) (4) % 40,975 41,973 (998) (2) %
Occupancy 14,679 14,464 215 1 % 30,835 30,532 303 1 %
Business development and advertising 4,970 3,556 1,414 40 % 9,366 9,382 (16) — %
Equipment 5,481 5,312 169 3 % 10,999 10,751 248 2 %
Legal and professional 6,661 5,058 1,603 32 % 13,191 10,217 2,974 29 %
Loan and foreclosure costs 2,671 3,605 (934) (26) % 4,891 6,725 (1,834) (27) %
FDIC assessment 3,600 5,250 (1,650) (31) % 8,350 10,750 (2,400) (22) %
Other intangible amortization 2,203 2,872 (669) (23) % 4,439 5,686 (1,247) (22) %
Other 6,979 10,766 (3,787) (35) % 15,755 24,030 (8,275) (34) %
Total noninterest expense 174,475 183,407 (8,932) (5) % 349,821 375,598 (25,777) (7) %
Income (loss) before income taxes 113,487 199,955 (86,468) (43) % 232,389 256,012 (23,623) (9) %
Income tax expense (benefit) 22,480 51,238 (28,758) (56) % 47,082 61,457 (14,375) (23) %
Net income 91,007 148,718 (57,711) (39) % 185,307 194,555 (9,248) (5) %
Preferred stock dividends 4,875 4,144 731 18 % 10,082 7,945 2,137 27 %
Net income available to common equity $ 86,131 $ 144,573 (40) % $ 175,226 $ 186,611 (6) %
Earnings per common share
Basic $ 0.56 $ 0.94 (40) % $ 1.14 $ 1.21 (6) %
Diluted $ 0.56 $ 0.94 (40) % $ 1.13 $ 1.20 (6) %
Average common shares outstanding
Basic 152,042 152,393 (351) — % 152,198 153,547 (1,349) (1) %
Diluted 153,381 153,150 231 — % 153,473 154,360 (887) (1) %

All values are in US Dollars.

N/M = Not meaningful

Numbers may not sum due to rounding.

(a) 2Q20 and YTD 2020 include a gain of $163 million from the sale of Associated Benefits & Risk Consulting.

(b) Includes the deposit premium on the sale of branches net of miscellaneous costs to sell.

Associated Banc-CorpConsolidated Statements of Income (Unaudited) - Quarterly Trend
( in thousands, except per share data)
1Q21 Change % Change 4Q20 3Q20 2Q20 Change % Change
Interest income
Interest and fees on loans $ 174,228 $ 174,049 179 — % $ 185,934 $ 182,625 $ 191,895 (17,667) (9) %
Interest and dividends on investment securities
Taxable 8,840 7,014 26 % 9,746 13,689 16,103 (45) %
Tax-exempt 14,366 14,162 1 % 14,296 14,523 14,616 (2) %
Other interest 1,826 1,694 8 % 1,699 2,238 2,231 (18) %
Total interest income 199,260 196,920 1 % 211,675 213,075 224,845 (11) %
Interest expense
Interest on deposits 4,609 5,909 (22) % 7,762 10,033 13,178 (65) %
Interest on federal funds purchased and securities sold under agreements to repurchase 30 26 15 % 32 34 51 (41) %
Interest on other short-term funding 7 6 17 % 5 5 5 40 %
Interest on PPPLF — — N/M 410 899 676 (100)
Interest on FHLB Advances 9,524 9,493 — % 9,888 14,375 15,470 (38) %
Interest on long-term funding 5,575 5,585 — % 5,585 5,580 5,593 — %
Total interest expense 19,745 21,018 (6) % 23,682 30,925 34,973 (44) %
Net interest income 179,515 175,902 2 % 187,993 182,150 189,872 (5) %
Provision for credit losses (35,004) (23,004) 52 % 16,997 43,009 61,000 N/M
Net interest income after provision for credit losses 214,519 198,906 8 % 170,996 139,141 128,872 66 %
Noninterest income
Wealth management fees 22,706 22,414 1 % 22,073 21,152 20,916 9 %
Service charges and deposit account fees 15,549 14,855 5 % 15,318 14,283 11,484 35 %
Card-based fees 10,982 9,743 13 % 9,848 10,195 8,893 23 %
Other fee-based revenue 4,244 4,596 (8) % 4,998 4,968 4,774 (11) %
Capital markets, net 5,696 8,118 (30) % 5,898 7,222 6,910 (18) %
Mortgage banking, net 8,128 23,925 (66) % 14,537 12,636 12,263 (34) %
Bank and corporate owned life insurance 3,088 2,702 14 % 3,978 3,074 3,625 (15) %
Insurance commissions and fees 86 76 13 % 92 114 22,430 (100) %
Asset gains (losses), net(a) (14) 4,809 N/M (1,356) (339) 157,361 N/M
Investment securities gains (losses), net 24 (39) N/M — 7 3,096 (99) %
Gains on sale of branches, net(b) 36 1,002 (96) % 7,449 — — N/M
Other 2,918 3,141 (7) % 2,879 2,232 2,737 7 %
Total noninterest income 73,443 95,343 (23) % 85,714 75,545 254,490 (71) %
Noninterest expense
Personnel 106,994 104,026 3 % 98,033 108,567 111,350 (4) %
Technology 20,236 20,740 (2) % 19,574 19,666 21,174 (4) %
Occupancy 14,679 16,156 (9) % 15,678 17,854 14,464 1 %
Business development and advertising 4,970 4,395 13 % 5,421 3,626 3,556 40 %
Equipment 5,481 5,518 (1) % 5,555 5,399 5,312 3 %
Legal and professional 6,661 6,530 2 % 5,737 5,591 5,058 32 %
Loan and foreclosure costs 2,671 2,220 20 % 3,758 2,118 3,605 (26) %
FDIC assessment 3,600 4,750 (24) % 5,700 3,900 5,250 (31) %
Other intangible amortization 2,203 2,236 (1) % 2,253 2,253 2,872 (23) %
Loss on prepayments of FHLB advances — — N/M — 44,650 — N/M
Other 6,979 8,775 (20) % 11,141 13,963 10,766 (35) %
Total noninterest expense 174,475 175,347 — % 172,850 227,587 183,407 (5) %
Income (loss) before income taxes 113,487 118,903 (5) % 83,860 (12,900) 199,955 (43) %
Income tax expense (benefit) 22,480 24,602 (9) % 16,858 (58,114) 51,238 (56) %
Net income 91,007 94,301 (3) % 67,002 45,214 148,718 (39) %
Preferred stock dividends 4,875 5,207 (6) % 5,207 5,207 4,144 18 %
Net income available to common equity $ 86,131 $ 89,094 (2,963) (3) % $ 61,795 $ 40,007 $ 144,573 (58,442) (40) %
Earnings per common share
Basic $ 0.56 $ 0.58 (0.02) (3) % $ 0.40 $ 0.26 $ 0.94 (0.38) (40) %
Diluted $ 0.56 $ 0.58 (0.02) (3) % $ 0.40 $ 0.26 $ 0.94 (0.38) (40) %
Average common shares outstanding
Basic 152,042 152,355 — % 152,497 152,440 152,393 — %
Diluted 153,381 153,688 — % 153,262 153,194 153,150 — %

All values are in US Dollars.

N/M = Not meaningful

Numbers may not sum due to rounding.

(a) 2Q20 includes a gain of $163 million from the sale of Associated Benefits & Risk Consulting.

(b) Includes the deposit premium on the sale of branches net of miscellaneous costs to sell

Associated Banc-CorpSelected Quarterly Information
( in millions except per share data and COVID-19 loan forbearances; shares repurchased and outstanding in thousands) YTD<br>Jun 2020 2Q21 1Q21 4Q20 3Q20 2Q20
Per common share data
Dividends 0.36 $ 0.36 $ 0.18 $ 0.18 $ 0.18 $ 0.18 $ 0.18
Market value:
High 21.94 23.33 23.14 17.17 14.25 17.03
Low 10.85 20.36 17.20 12.68 11.86 11.48
Close 20.48 21.34 17.05 12.62 13.68
Book value 24.99 24.56 24.34 24.04 23.89
Tangible book value / share 17.35 16.95 16.67 16.37 16.21
Performance ratios (annualized)
Return on average assets % 1.16 % 1.06 % 1.14 % 0.78 % 0.51 % 1.72 %
Noninterest expense / average assets % 2.24 % 2.04 % 2.11 % 2.02 % 2.55 % 2.12 %
Effective tax rate % 24.01 % 19.81 % 20.69 % 20.10 % N/M 25.62 %
Dividend payout ratio(a) % 29.75 % 32.14 % 31.03 % 45.00 % 69.23 % 19.15 %
Net interest margin % 2.66 % 2.37 % 2.39 % 2.49 % 2.31 % 2.49 %
Selected trend information
Average full time equivalent employees(b) 4,666 3,990 4,020 4,134 4,374 4,701
Branch count 224 227 228 249 249
Assets under management, at market value(c) $ 13,141 $ 12,553 $ 13,314 $ 12,195 $ 11,755
Mortgage loans originated for sale during period 889 $ 861 $ 477 $ 413 $ 323 $ 458 $ 550
Mortgage loan settlements during period 885 $ 1,022 $ 484 $ 400 $ 339 $ 599 $ 725
Mortgage portfolio loans transferred to held for sale during period — $ 200 $ — $ — $ — $ 70 $ —
Mortgage portfolio serviced for others $ 7,150 $ 7,313 $ 7,744 $ 8,219 $ 8,454
Mortgage servicing rights, net / mortgage portfolio serviced for others 0.68 % 0.68 % 0.54 % 0.55 % 0.58 %
Shares repurchased during period(d) 4,264 1,314 966 — — —
Shares outstanding, end of period 152,865 153,685 153,540 153,552 153,616
Paycheck Protection Program fees, net
Deferred fees, beginning of period 12 $ — $ 18 $ 12 $ 21 $ 24 $ —
Fees received 27 6 12 — 1 27
Fees recognized (3) (8) (7) (9) (4) (3)
Deferred fees, end of period 15 $ 24 $ 15 $ 18 $ 12 $ 21 $ 24
COVID-19 impacted loans in forbearances ( in thousands)
Total commercial 15,185 17,636 30,744 310,377 863,090
Total consumer 4,376 19,724 47,835 375,794 724,921
Total COVID-19 impacted loans in forbearance $ 19,561 $ 37,360 $ 78,579 $ 686,171 $ 1,588,011
Selected quarterly ratios
Loans / deposits 87.83 % 87.30 % 92.33 % 93.60 % 93.53 %
Stockholders’ equity / assets 12.03 % 11.94 % 12.24 % 11.66 % 11.34 %
Risk-based capital(e)(f)
Total risk-weighted assets $ 26,073 $ 25,640 $ 25,903 $ 26,142 $ 25,864
Common equity Tier 1 $ 2,790 $ 2,759 $ 2,706 $ 2,672 $ 2,651
Common equity Tier 1 capital ratio 10.70 % 10.76 % 10.45 % 10.22 % 10.25 %
Tier 1 capital ratio 11.81 % 12.14 % 11.81 % 11.57 % 11.62 %
Total capital ratio 14.02 % 14.36 % 14.02 % 13.78 % 13.83 %
Tier 1 leverage ratio 9.23 % 9.53 % 9.37 % 9.02 % 9.08 %
Mortgage banking, net
Mortgage servicing fees, net(g) (2) $ 1 $ — $ (1) $ (1) $ (1) $ (1)
Gains (losses) and fair value adjustments on loans held for sale 31 9 15 15 15 21
Fair value adjustment on portfolio loans transferred to held for sale 3 — — — 1 —
Mortgage servicing rights (impairment) recovery (17) — 11 1 (1) (8)
Mortgage banking, net 32 $ 18 $ 8 $ 24 $ 15 $ 13 $ 12

All values are in US Dollars.

N/M = Not meaningful

Numbers may not sum due to rounding.

(a)Ratio is based upon basic earnings per common share.

(b)Average full time equivalent employees without overtime.

(c)Excludes assets held in brokerage accounts.

(d)Does not include repurchases related to tax withholding on equity compensation.

(e)The Federal Reserve establishes regulatory capital requirements, including well-capitalized standards for the Corporation. The regulatory capital requirements effective for the Corporation follow Basel III, subject to certain transition provisions.

(f)June 30, 2021 data is estimated.

(g)Includes mortgage origination and servicing fees, net of mortgage servicing rights amortization.

Associated Banc-Corp<br>Selected Asset Quality Information
($ in thousands) Jun 30, 2021 Mar 31, 2021 Seql Qtr %<br>Change Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Comp Qtr %<br>Change
Allowance for loan losses
Balance at beginning of period $ 352,938 $ 383,702 (8) % $ 384,711 $ 363,803 337,793 4 %
Provision for loan losses (29,500) (26,000) 13 % 26,500 50,500 52,500 N/M
Charge offs (7,681) (13,174) (42) % (30,315) (34,079) (28,351) (73) %
Recoveries 3,054 8,410 (64) % 2,805 4,488 1,861 64 %
Net charge offs (4,628) (4,764) (3) % (27,510) (29,592) (26,490) (83) %
Balance at end of period $ 318,811 $ 352,938 (10) % $ 383,702 $ 384,711 (12) %
Allowance for unfunded commitments
Balance at beginning of period $ 50,776 $ 47,776 6 % $ 57,276 $ 64,776 (10) %
Provision for unfunded commitments (5,500) 3,000 N/M (9,500) (7,500) 8,500 N/M
Balance at end of period $ 45,276 $ 50,776 (11) % $ 47,776 $ 57,276 (30) %
Allowance for credit losses on loans (ACLL) $ 364,087 $ 403,714 (10) % $ 431,478 $ 441,988 (15) %
Provision for credit losses on loans $ (35,000) $ (23,000) 52 % $ 17,000 $ 43,000 N/M
($ in thousands) Jun 30, 2021 Mar 31, 2021 Seql Qtr % Change Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Comp Qtr %<br>Change
Net (charge offs) recoveries
PPP Loans $ — $ — N/M $ — $ — N/M
Commercial and industrial 1,333 1,367 (2) % (8,514) (24,834) (24,919) N/M
Commercial real estate—owner occupied 5 4 25 % 143 (416) 1 N/M
Commercial and business lending 1,338 1,370 (2) % (8,371) (25,249) (24,919) N/M
Commercial real estate—investor (5,589) (5,886) (5) % (18,696) (3,609) 28 N/M
Real estate construction 23 29 (21) % 43 (21) (3) N/M
Commercial real estate lending (5,566) (5,857) (5) % (18,653) (3,630) 25 N/M
Total commercial (4,228) (4,487) (6) % (27,024) (28,879) (24,893) (83) %
Residential mortgage (223) (109) 105 % (162) (79) (215) 4 %
Home equity 337 344 (2) % 335 156 (303) N/M
Other consumer (514) (511) 1 % (659) (790) (1,078) (52) %
Total consumer (400) (277) 44 % (486) (712) (1,596) (75) %
Total net (charge offs) recoveries $ (4,628) $ (4,764) (3) % $ (27,510) $ (29,592) (83) %
(In basis points) Jun 30, 2021 Mar 31, 2021 Dec 31, 2020 Sep 30, 2020 Jun 30, 2020
Net charge offs to average loans (annualized)
PPP Loans — — — — —
Commercial and industrial 7 7 (45) (126) (121)
Commercial real estate—owner occupied — — 6 (18) —
Commercial and business lending 6 6 (35) (103) (100)
Commercial real estate—investor (52) (55) (173) (34) —
Real estate construction 1 1 1 — —
Commercial real estate lending (36) (38) (121) (24) —
Total commercial (11) (12) (69) (73) (64)
Residential mortgage (1) (1) (1) — (1)
Home equity 21 21 18 8 (15)
Other consumer (69) (68) (83) (98) (128)
Total consumer (2) (1) (2) (3) (7)
Total net charge offs (8) (8) (44) (47) (42)
($ in thousands) Jun 30, 2021 Mar 31, 2021 Seql Qtr %<br>Change Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Comp Qtr %<br>Change
Credit Quality
Nonaccrual loans $ 147,135 $ 163,292 (10) % $ 210,854 $ 231,590 (14) %
Other real estate owned (OREO) 24,000 24,588 (2) % 14,269 18,983 20,264 18 %
Other nonperforming assets — — N/M — 909 909 (100) %
Total nonperforming assets $ 171,135 $ 187,880 (9) % $ 225,123 $ 251,481 (11) %
Loans 90 or more days past due and still accruing $ 1,302 $ 1,675 (22) % $ 1,598 $ 1,854 (11) %
Allowance for credit losses on loans to total loans 1.52 % 1.67 % 1.76 % 1.77 % 1.73 %
Allowance for credit losses on loans to nonaccrual loans 247.45 % 247.23 % 204.63 % 190.85 % 249.74 %
Nonaccrual loans to total loans 0.61 % 0.68 % 0.86 % 0.93 % 0.69 %
Nonperforming assets to total loans plus OREO 0.71 % 0.78 % 0.92 % 1.01 % 0.78 %
Nonperforming assets to total assets 0.50 % 0.54 % 0.67 % 0.72 % 0.54 %
Year-to-date net charge offs to year-to-date average loans (annualized) 0.08 % 0.08 % 0.41 % 0.40 % 0.36 %

All values are in US Dollars.

N/M = Not meaningful

Associated Banc-Corp<br>Selected Asset Quality Information (continued)
(In thousands) Jun 30, 2021 Mar 31, 2021 Seql Qtr %<br>Change Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Comp Qtr %<br>Change
Nonaccrual loans
Commercial and industrial $ 18,380 $ 33,192 (45) % $ 61,859 $ 105,899 $ 80,239 (77) %
Commercial real estate—owner occupied 7 7 — % 1,058 2,043 1,932 (100) %
Commercial and business lending 18,387 33,200 (45) % 62,917 107,941 82,171 (78) %
Commercial real estate—investor 63,003 58,485 8 % 78,220 50,458 11,172 N/M
Real estate construction 247 327 (24) % 353 392 503 (51) %
Commercial real estate lending 63,250 58,813 8 % 78,573 50,850 11,675 N/M
Total commercial 81,637 92,012 (11) % 141,490 158,792 93,846 (13) %
Residential mortgage 56,795 61,256 (7) % 59,337 62,331 66,656 (15) %
Home equity 8,517 9,792 (13) % 9,888 10,277 10,829 (21) %
Other consumer 186 231 (19) % 140 190 276 (33) %
Total consumer 65,498 71,280 (8) % 69,364 72,798 77,761 (16) %
Total nonaccrual loans $ 147,135 $ 163,292 (10) % $ 210,854 $ 231,590 $ 171,607 (14) %
Jun 30, 2021 Mar 31, 2021 Seql Qtr %<br>Change Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Comp Qtr %<br>Change
Restructured loans (accruing)(a)
Commercial and industrial $ 11,569 $ 11,985 (3) % $ 12,713 $ 16,002 $ 16,321 (29) %
Commercial real estate—owner occupied 1,225 1,488 (18) % 1,711 1,389 1,441 (15) %
Commercial and business lending 12,794 13,473 (5) % 14,424 17,391 17,762 (28) %
Commercial real estate—investor 13,306 13,627 (2) % 26,435 635 114 N/M
Real estate construction 253 256 (1) % 260 382 313 (19) %
Commercial real estate lending 13,559 13,884 (2) % 26,695 1,016 427 N/M
Total commercial 26,353 27,356 (4) % 41,119 18,407 18,189 45 %
Residential mortgage 12,227 10,462 17 % 7,825 5,378 4,178 193 %
Home equity 2,451 1,929 27 % 1,957 1,889 1,717 43 %
Other consumer 904 1,073 (16) % 1,191 1,218 1,219 (26) %
Total consumer 15,582 13,464 16 % 10,973 8,485 7,114 119 %
Total restructured loans (accruing) $ 41,935 $ 40,820 3 % $ 52,092 $ 26,891 $ 25,303 66 %
Nonaccrual restructured loans (included in nonaccrual loans) $ 17,237 $ 17,624 (2) % $ 20,190 $ 23,844 $ 25,362 (32) %
Jun 30, 2021 Mar 31, 2021 Seql Qtr %<br>Change Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Comp Qtr %<br>Change
Accruing Loans 30-89 Days Past Due
Commercial and industrial $ 258 $ 526 (51) % $ 6,119 $ 298 $ 716 (64) %
Commercial real estate—owner occupied 47 — N/M 373 870 199 (76) %
Commercial and business lending 306 526 (42) % 6,492 1,167 916 (67) %
Commercial real estate—investor 391 5,999 (93) % 12,793 409 13,874 (97) %
Real estate construction 117 977 (88) % 991 111 385 (70) %
Commercial real estate lending 509 6,976 (93) % 13,784 520 14,260 (96) %
Total commercial 814 7,502 (89) % 20,276 1,687 15,175 (95) %
Residential mortgage 5,015 3,973 26 % 10,385 6,185 3,023 66 %
Home equity 2,472 2,352 5 % 4,802 5,609 3,108 (20) %
Other consumer 1,075 1,270 (15) % 1,599 1,351 1,482 (27) %
Total consumer 8,562 7,594 13 % 16,786 13,144 7,613 12 %
Total accruing loans 30-89 days past due $ 9,376 $ 15,097 (38) % $ 37,062 $ 14,831 $ 22,788 (59) %
Jun 30, 2021 Mar 31, 2021 Seql Qtr %<br>Change Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Comp Qtr %<br>Change
Potential Problem Loans
PPP Loans(b) $ 8,695 $ 22,398 (61) % $ 18,002 $ 19,161 $ 19,161 (55) %
Commercial and industrial 77,064 122,143 (37) % 121,487 144,159 176,270 (56) %
Commercial real estate—owner occupied 17,828 15,965 12 % 26,179 22,808 15,919 12 %
Commercial and business lending 103,587 160,506 (35) % 165,668 186,129 211,350 (51) %
Commercial real estate—investor 71,613 85,752 (16) % 91,396 100,459 88,237 (19) %
Real estate construction 16,465 13,977 18 % 19,046 2,178 2,170 N/M
Commercial real estate lending 88,078 99,728 (12) % 110,442 102,637 90,407 (3) %
Total commercial 191,665 260,234 (26) % 276,111 288,766 301,758 (36) %
Residential mortgage 3,024 2,524 20 % 3,749 2,396 3,157 (4) %
Home equity 1,558 1,729 (10) % 2,068 1,632 1,921 (19) %
Total consumer 4,583 4,254 8 % 5,817 4,028 5,078 (10) %
Total potential problem loans $ 196,248 $ 264,488 (26) % $ 281,928 $ 292,794 $ 306,836 (36) %

N/M = Not meaningful

Numbers may not sum due to rounding.

(a) Does not include any restructured loans related to the COVID-19 pandemic in accordance with Section 4013 of the CARES Act.

(b) The Corporation's policy is to assign risk ratings at the borrower level. PPP loans are 100% guaranteed by the SBA and therefore the Corporation considers these loans to have a risk profile similar to pass rated loans.

Associated Banc-Corp<br>Net Interest Income Analysis - Fully Tax-Equivalent Basis - Sequential and Comparable Quarter
Three Months Ended
June 30, 2021 March 31, 2021 June 30, 2020
($ in thousands) Average<br>Balance Interest<br>Income /Expense Average<br>Yield /Rate Average<br>Balance Interest<br>Income /Expense Average<br>Yield /Rate Average<br>Balance Interest<br>Income /Expense Average<br>Yield /Rate
Assets
Earning assets
Loans (a) (b) (c)
Commercial PPP lending $ 701,440 $ 10,048 5.75 % $ 806,699 $ 8,900 4.47 % $ 848,761 $ 4,841 2.29 %
Commercial and business lending (excl PPP loans) 8,437,624 53,886 2.56 % 8,537,301 54,091 2.57 % 9,192,910 64,097 2.80 %
Commercial real estate lending 6,159,728 44,139 2.87 % 6,171,202 44,315 2.91 % 5,720,262 46,057 3.24 %
Total commercial 15,298,792 108,073 2.83 % 15,515,202 107,307 2.80 % 15,761,933 114,995 2.93 %
Residential mortgage 7,861,139 55,337 2.82 % 7,962,691 55,504 2.79 % 8,271,757 62,860 3.04 %
Retail 938,682 11,197 4.78 % 985,456 11,630 4.75 % 1,157,116 14,368 4.98 %
Total loans 24,098,614 174,607 2.90 % 24,463,349 174,442 2.88 % 25,190,806 192,223 3.06 %
Investment securities
Taxable 3,220,825 8,840 1.10 % 2,976,469 7,014 0.94 % 3,129,113 16,103 2.06 %
Tax-exempt(a) 1,953,696 18,101 3.71 % 1,900,346 17,844 3.76 % 1,922,392 18,270 3.80 %
Other short-term investments 1,766,615 1,826 0.41 % 991,844 1,694 0.69 % 1,016,976 2,231 0.88 %
Investments and other 6,941,135 28,767 1.66 % 5,868,659 26,553 1.81 % 6,068,481 36,604 2.41 %
Total earning assets 31,039,749 $ 203,375 2.62 % 30,332,008 $ 200,994 2.67 % 31,259,287 $ 228,826 2.94 %
Other assets, net 3,339,898 3,352,135 3,586,656
Total assets $ 34,379,647 $ 33,684,143 $ 34,845,943
Liabilities and stockholders' equity
Interest-bearing liabilities
Interest-bearing deposits
Savings $ 4,121,553 $ 357 0.03 % $ 3,810,321 $ 332 0.04 % $ 3,260,040 $ 429 0.05 %
Interest-bearing demand 5,879,173 1,057 0.07 % 5,713,270 1,178 0.08 % 5,445,267 1,442 0.11 %
Money market 6,981,482 1,023 0.06 % 6,875,730 1,059 0.06 % 6,496,841 1,902 0.12 %
Network transaction deposits 908,869 264 0.12 % 1,080,109 327 0.12 % 1,544,737 539 0.14 %
Time deposits 1,509,705 1,909 0.51 % 1,658,568 3,014 0.74 % 2,469,899 8,866 1.44 %
Total interest-bearing deposits 19,400,781 4,609 0.10 % 19,137,998 5,909 0.13 % 19,216,785 13,178 0.28 %
Federal funds purchased and securities sold under agreements to repurchase 157,619 30 0.08 % 136,144 26 0.08 % 204,548 51 0.10 %
Commercial Paper 55,209 7 0.05 % 42,774 6 0.05 % 37,526 5 0.05 %
PPPLF — — — % — — — % 774,500 676 0.35 %
FHLB advances 1,620,397 9,524 2.36 % 1,631,895 9,493 2.36 % 2,810,867 15,470 2.21 %
Long-term funding 549,222 5,575 4.06 % 549,585 5,585 4.07 % 548,757 5,593 4.08 %
Total short and long-term funding 2,382,446 15,136 2.55 % 2,360,397 15,109 2.58 % 4,376,199 21,795 2.00 %
Total interest-bearing liabilities 21,783,227 $ 19,745 0.36 % 21,498,395 $ 21,018 0.40 % 23,592,983 $ 34,973 0.60 %
Noninterest-bearing demand deposits 8,069,851 7,666,561 6,926,401
Other liabilities 395,950 415,195 480,041
Stockholders’ equity 4,130,618 4,103,991 3,846,517
Total liabilities and stockholders’ equity $ 34,379,647 $ 33,684,143 $ 34,845,943
Interest rate spread 2.26 % 2.27 % 2.34 %
Net free funds 0.11 % 0.12 % 0.15 %
Fully tax-equivalent net interest income and net interest margin ("NIM") $ 183,629 2.37 % $ 179,976 2.39 % $ 193,853 2.49 %
Fully tax-equivalent adjustment 4,115 4,074 3,981
Net interest income $ 179,515 $ 175,902 $ 189,872

Numbers may not sum due to rounding.

(a)The yield on tax-exempt loans and securities is computed on a fully tax-equivalent basis using a tax rate of 21% and is net of the effects of certain disallowed interest deductions.

(b)Nonaccrual loans and loans held for sale have been included in the average balances.

(c)Interest income includes amortization of net deferred loan origination costs and net accreted purchase loan discount.

Associated Banc-Corp<br>Net Interest Income Analysis - Fully Tax-Equivalent Basis - Year Over Year
Six Months Ended June 30,
2021 2020
($ in thousands) Average<br>Balance Interest<br>Income /Expense Average<br>Yield / Rate Average<br>Balance Interest<br>Income /Expense Average<br>Yield / Rate
Assets
Earning assets
Loans (a) (b) (c)
Commercial PPP lending $ 753,778 $ 18,949 5.07 % $ 424,380 $ 4,841 2.29 %
Commercial and business lending (excl PPP loans) 8,487,187 107,977 2.56 % 8,786,511 144,314 3.30 %
Commercial real estate lending 6,165,433 88,455 2.89 % 5,524,915 103,556 3.77 %
Total commercial 15,406,399 215,380 2.82 % 14,735,807 252,711 3.45 %
Residential mortgage 7,911,635 110,841 2.80 % 8,338,054 132,821 3.19 %
Retail 961,940 22,827 4.76 % 1,175,851 31,841 5.43 %
Total loans 24,279,974 349,049 2.89 % 24,249,712 417,372 3.45 %
Investment securities
Taxable 3,099,322 15,855 1.02 % 3,294,669 36,375 2.21 %
Tax-exempt (a) 1,927,169 35,945 3.73 % 1,948,320 36,873 3.79 %
Other short-term investments 1,381,370 3,521 0.51 % 745,290 5,535 1.49 %
Investments and other 6,407,860 55,320 1.73 % 5,988,278 78,783 2.63 %
Total earning assets 30,687,834 $ 404,369 2.65 % 30,237,990 $ 496,155 3.29 %
Other assets, net 3,345,982 3,473,484
Total assets $ 34,033,816 $ 33,711,474
Liabilities and stockholders' equity
Interest-bearing liabilities
Interest-bearing deposits
Savings $ 3,966,797 $ 689 0.04 % $ 3,064,440 $ 2,228 0.15 %
Interest-bearing demand 5,796,680 2,234 0.08 % 5,376,249 10,197 0.38 %
Money market 6,928,898 2,082 0.06 % 6,517,749 12,708 0.39 %
Network transaction deposits 994,016 591 0.12 % 1,489,433 5,141 0.69 %
Time deposits 1,583,725 4,923 0.63 % 2,553,065 19,569 1.54 %
Total interest-bearing deposits 19,270,116 10,519 0.11 % 19,000,936 49,844 0.53 %
Federal funds purchased and securities sold under agreements to repurchase 146,941 55 0.08 % 199,477 420 0.42 %
Commercial Paper 49,026 13 0.05 % 35,904 30 0.17 %
PPPLF — — — % 387,250 676 0.35 %
Other short-term funding — — — % 8,498 11 0.25 %
FHLB advances 1,626,114 19,017 2.36 % 3,021,433 33,096 2.20 %
Long-term funding 549,402 11,160 4.06 % 549,111 11,200 4.08 %
Total short and long-term funding 2,371,483 30,245 2.56 % 4,201,674 45,432 2.17 %
Total interest-bearing liabilities 21,641,598 $ 40,764 0.38 % 23,202,610 $ 95,276 0.83 %
Noninterest-bearing demand deposits 7,869,320 6,216,631
Other liabilities 405,519 448,074
Stockholders’ equity 4,117,378 3,844,158
Total liabilities and stockholders’ equity $ 34,033,816 $ 33,711,474
Interest rate spread 2.27 % 2.46 %
Net free funds 0.11 % 0.20 %
Fully tax-equivalent net interest income and net interest margin ("NIM") $ 363,605 2.38 % $ 400,879 2.66 %
Fully tax-equivalent adjustment 8,189 8,066
Net interest income $ 355,416 $ 392,814

Numbers may not sum due to rounding.

(a)The yield on tax-exempt loans and securities is computed on a fully tax-equivalent basis using a tax rate of 21% and is net of the effects of certain disallowed interest deductions.

(b)Nonaccrual loans and loans held for sale have been included in the average balances.

(c)Interest income includes amortization of net deferred loan origination costs and net accreted purchase loan discount.

Associated Banc-Corp Loan and Deposit Composition
( in thousands)
Period end loan composition Mar 31, 2021 Seql Qtr % Change Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Comp Qtr % Change
PPP Loans 405,482 $ 836,566 (52) % $ 767,757 $ 1,022,217 $ 1,012,033 (60) %
Commercial and industrial 7,664,501 3 % 7,701,422 7,933,404 7,968,709 (1) %
Commercial real estate—owner occupied 883,237 — % 900,912 904,997 914,385 (4) %
Commercial and business lending 9,384,303 (2) % 9,370,091 9,860,618 9,895,127 (7) %
Commercial real estate—investor 4,260,706 1 % 4,342,584 4,320,926 4,174,125 3 %
Real estate construction 1,882,299 — % 1,840,417 1,859,609 1,708,189 10 %
Commercial real estate lending 6,143,004 1 % 6,183,001 6,180,536 5,882,314 5 %
Total commercial 15,527,307 (1) % 15,553,091 16,041,154 15,777,441 (3) %
Residential mortgage 7,685,218 (1) % 7,878,324 7,885,523 7,933,518 (4) %
Home equity 651,647 (3) % 707,255 761,593 795,671 (21) %
Other consumer 298,156 1 % 313,054 315,483 326,040 (8) %
Total consumer 8,635,020 (1) % 8,898,632 8,962,599 9,055,230 (5) %
Total loans 23,947,536 $ 24,162,328 (1) % $ 24,451,724 $ 25,003,753 $ 24,832,671 (4) %
Period end deposit and customer funding composition Mar 31, 2021 Seql Qtr % Change Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Comp Qtr % Change
Noninterest-bearing demand 7,999,143 $ 8,496,194 (6) % $ 7,661,728 $ 7,489,048 $ 7,573,942 6 %
Savings 4,032,830 4 % 3,650,085 3,529,423 3,394,930 23 %
Interest-bearing demand 5,748,353 4 % 6,090,869 5,979,449 5,847,349 2 %
Money market 7,838,437 (3) % 7,322,769 7,687,775 7,486,319 2 %
Time deposits (excluding brokered CDs) 1,561,352 (6) % 1,757,030 2,026,852 2,244,680 (34) %
Brokered CDs — N/M — — 4,225 (100) %
Total deposits 27,677,166 (1) % 26,482,481 26,712,547 26,551,444 3 %
Customer funding(a) 182,228 24 % 245,247 198,741 178,398 27 %
Total deposits and customer funding 27,490,459 $ 27,859,394 (1) % $ 26,727,727 $ 26,911,289 $ 26,729,842 3 %
Network transaction deposits(b) 871,603 $ 1,054,634 (17) % $ 1,197,093 $ 1,390,778 $ 1,496,958 (42) %
Net deposits and customer funding (Total deposits and customer funding, excluding Brokered CDs and network transaction deposits) 26,618,856 $ 26,804,761 (1) % $ 25,530,634 $ 25,520,511 $ 25,228,660 6 %
Quarter average loan composition Mar 31, 2021 Seql Qtr % Change Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Comp Qtr % Change
PPP Loans 701,440 $ 806,699 (13) % $ 929,859 $ 1,019,808 $ 848,761 (17) %
Commercial and industrial 7,631,274 (1) % 7,609,185 7,844,209 8,263,270 (9) %
Commercial real estate—owner occupied 906,027 (3) % 904,565 906,874 929,640 (5) %
Commercial and business lending 9,344,000 (2) % 9,443,609 9,770,891 10,041,671 (9) %
Commercial real estate—investor 4,303,365 — % 4,289,703 4,255,473 4,113,895 5 %
Real estate construction 1,867,836 (2) % 1,867,919 1,776,835 1,606,367 14 %
Commercial real estate lending 6,171,202 — % 6,157,622 6,032,308 5,720,262 8 %
Total commercial 15,515,202 (1) % 15,601,230 15,803,199 15,761,933 (3) %
Residential mortgage 7,962,691 (1) % 8,029,585 8,058,283 8,271,757 (5) %
Home equity 680,738 (6) % 736,059 780,202 819,680 (22) %
Other consumer 304,718 (2) % 314,963 321,387 337,436 (12) %
Total consumer 8,948,147 (2) % 9,080,607 9,159,872 9,428,873 (7) %
Total loans(c) 24,098,614 $ 24,463,349 (1) % $ 24,681,837 $ 24,963,071 $ 25,190,806 (4) %
Quarter average deposit composition Mar 31, 2021 Seql Qtr % Change Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Comp Qtr % Change
Noninterest-bearing demand 8,069,851 $ 7,666,561 5 % $ 7,677,003 $ 7,412,186 $ 6,926,401 17 %
Savings 3,810,321 8 % 3,628,458 3,462,942 3,260,040 26 %
Interest-bearing demand 5,713,270 3 % 5,739,983 5,835,597 5,445,267 8 %
Money market 6,875,730 2 % 6,539,583 6,464,784 6,496,841 7 %
Network transaction deposits 1,080,109 (16) % 1,265,748 1,528,199 1,544,737 (41) %
Time deposits 1,658,568 (9) % 1,888,074 2,135,870 2,469,899 (39) %
Total deposits 27,470,633 $ 26,804,559 2 % $ 26,738,850 $ 26,839,578 $ 26,143,186 5 %

All values are in US Dollars.

N/M = Not meaningful

Numbers may not sum due to rounding.

(a)Includes repurchase agreements and commercial paper.

(b)Included above in interest-bearing demand and money market.

(c)Nonaccrual loans and loans held for sale have been included in the average balances.

Associated Banc-Corp<br>Non-GAAP Financial Measures Reconciliation YTD YTD
($ in millions, except per share data) Jun 2021 Jun 2020 2Q21 1Q21 4Q20 3Q20 2Q20
Tangible common equity reconciliation(a)
Common equity $ 3,820 $ 3,774 $ 3,737 $ 3,692 $ 3,671
Goodwill and other intangible assets, net (1,167) (1,170) (1,178) (1,178) (1,181)
Tangible common equity $ 2,652 $ 2,605 $ 2,560 $ 2,513 $ 2,490
Tangible assets reconciliation(a)
Total assets $ 34,153 $ 34,575 $ 33,420 $ 34,699 $ 35,501
Goodwill and other intangible assets, net (1,167) (1,170) (1,178) (1,178) (1,181)
Tangible assets $ 32,985 $ 33,406 $ 32,242 $ 33,520 $ 34,321
Average tangible common equity and average common equity tier 1 reconciliation(a)
Common equity $ 3,769 $ 3,576 $ 3,788 $ 3,750 $ 3,700 $ 3,681 $ 3,566
Goodwill and other intangible assets, net (1,172) (1,277) (1,169) (1,175) (1,178) (1,180) (1,281)
Tangible common equity 2,598 2,299 2,619 2,576 2,522 2,501 2,285
Modified CECL transitional amount 111 109 106 116 123 120 115
Accumulated other comprehensive loss (income) (4) 9 (3) (5) (4) (4) 8
Deferred tax assets (liabilities), net 40 46 40 41 42 42 45
Average common equity tier 1 $ 2,745 $ 2,462 $ 2,762 $ 2,727 $ 2,683 $ 2,660 $ 2,453
Average tangible assets reconciliation(a)
Total assets $ 34,034 $ 33,711 $ 34,380 $ 33,684 $ 34,076 $ 35,550 $ 34,846
Goodwill and other intangible assets, net (1,172) (1,277) (1,169) (1,175) (1,178) (1,180) (1,281)
Tangible assets $ 32,862 $ 32,435 $ 33,211 $ 32,510 $ 32,898 $ 34,371 $ 33,565
Selected trend information(b)
Wealth management fees $ 45 $ 42 $ 23 $ 22 $ 22 $ 21 $ 21
Service charges and deposit account fees 30 27 16 15 15 14 11
Card-based fees 21 18 11 10 10 10 9
Other fee-based revenue 9 9 4 5 5 5 5
Fee-based revenue 105 96 53 52 52 51 46
Other 64 257 20 44 33 25 208
Total noninterest income $ 169 $ 353 $ 73 $ 95 $ 86 $ 76 $ 254
Pre-tax pre-provision income(c)
Income before income taxes $ 232 $ 256 $ 113 $ 119 $ 84 $ (13) $ 200
Provision for credit losses (58) 114 (35) (23) 17 43 61
Pre-tax pre-provision income $ 174 $ 370 $ 78 $ 96 $ 101 $ 30 $ 261
Selected equity and performance ratios(a)(d)
Tangible common equity / tangible assets 8.04 % 7.80 % 7.94 % 7.50 % 7.25 %
Return on average equity 9.08 % 10.18 % 8.84 % 9.32 % 6.58 % 4.46 % 15.55 %
Return on average tangible common equity 13.60 % 16.32 % 13.19 % 14.03 % 9.75 % 6.36 % 25.45 %
Return on average common equity Tier 1 12.87 % 15.24 % 12.51 % 13.25 % 9.16 % 5.98 % 23.71 %
Return on average tangible assets 1.14 % 1.21 % 1.10 % 1.18 % 0.81 % 0.52 % 1.78 %
Efficiency ratio reconciliation(e)
Federal Reserve efficiency ratio 66.26 % 54.26 % 66.81 % 65.74 % 59.68 % 85.41 % 43.49 %
Fully tax-equivalent adjustment (1.02) % (0.59) % (1.07) % (0.97) % (0.84) % (1.29) % (0.39) %
Other intangible amortization (0.85) % (0.77) % (0.87) % (0.82) % (0.82) % (0.87) % (0.65) %
Fully tax-equivalent efficiency ratio 64.40 % 52.91 % 64.88 % 63.96 % 58.02 % 83.25 % 42.46 %
Acquisition related costs adjustment (0.01) % (0.30) % — % (0.01) % — % (0.08) % (0.12) %
Provision for unfunded commitments adjustment 0.47 % (3.22) % 2.14 % (1.09) % 3.42 % 2.87 % (1.91) %
Asset gains (losses), net adjustment 0.59 % 13.23 % — % 1.12 % (0.30) % (0.11) % 22.10 %
Branch sales 0.13 % — % 0.01 % 0.24 % 1.68 % — % — %
3Q 2020 initiatives — % — % — % — % — % (22.90) % — %
Adjusted efficiency ratio 65.58 % 62.62 % 67.02 % 64.21 % 62.83 % 63.02 % 62.53 %
Gain on sale of ABRC (net of tax)(c) 2Q20 2Q20 per share data(f)
GAAP Earnings $ 145 $ 0.94
Gain on sale of ABRC, net of tax 104 0.68
Earnings, excluding gain on sale of ABRC $ 40 $ 0.26

Numbers may not sum due to rounding.

(a)The ratio tangible common equity to tangible assets excludes goodwill and other intangible assets, net. This financial measure has been included as it is considered to be a critical metric with which to analyze and evaluate financial condition and capital strength.

(b)These financial measures have been included as they provide meaningful supplemental information to assess trends in the Corporation’s results of operations.

(c)Management believes these measures are meaningful because they reflect adjustments commonly made by management, investors, regulators, and analysts to evaluate the adequacy of earnings and provide greater understanding of ongoing operations and enhanced comparability of results with prior periods.

(d)These capital measurements are used by management, regulators, investors, and analysts to assess, monitor and compare the quality and composition of our capital with the capital of other financial services companies.

(e)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 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. The adjusted efficiency ratio is noninterest expense, which excludes the provision for unfunded commitments, other intangible amortization, acquisition related costs, and 3Q 2020 initiatives, divided by the sum of fully tax-equivalent net interest income plus noninterest income, excluding investment securities gains (losses), net, acquisition related costs, asset gains (losses), net, and gain on sale of branches, net. Management believes the adjusted efficiency ratio is a meaningful measure as it enhances the comparability of net interest income arising from taxable and tax-exempt sources and provides a better measure as to how the Corporation is managing its expenses by adjusting for acquisition related costs, provision for unfunded commitments, asset gains (losses), net, branch sales, and 3Q 2020 initiatives.

(f)Diluted earnings and per share data presented after-tax.

10

asb2q21earningspresentat

Second Quarter 2021 Earnings Presentation JULY 22, 2021 Exhibit 99.2

1 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,” "target,“ “outlook,” “guidance,” 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 Form 10-Qs and other SEC filings, and 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. Presentation: Within the charts and tables presented, certain segments, columns and rows may not sum to totals shown due to rounding. Non-GAAP Measures: This presentation includes certain non-GAAP financial measures. These non-GAAP measures are provided in addition to, and not as substitutes for, measures of our financial performance determined in accordance with GAAP. Our calculation of these non-GAAP measures may not be comparable to similarly titled measures of other companies due to potential differences between companies in the method of calculation. As a result, the use of these non-GAAP measures has limitations and should not be considered superior to, in isolation from, or as a substitute for, related GAAP measures. Reconciliations of these non-GAAP financial measures to the most directly comparable GAAP financial measures can be found at the end of this presentation.

2 ▪ Leveraging key learnings to refine our priorities into a strategic vision for Associated Bank’s future ▪ Continuing to seek input from stakeholders to ensure success ▪ Expect to publicly announce initiatives and related financial impacts on or before September 13, 2021 ▪ New leadership and focus on digital strategies: Promoted Doug Peacock to lead our digital strategy ▪ New leadership and focus for our Wealth Management teams: Promoted John Thayer, CFA to lead the team ▪ Centralized our FP&A functions for greater emphasis on execution of growth initiatives ▪ Gaining perspectives of colleagues, customers, community members and shareholders through a 100 Days of Listening Tour ▪ Key Takeaways: ▪ 175+ listening sessions ▪ Participation from hundreds of colleagues, representing multiple teams, groups and committees ▪ New priorities and tangible growth opportunities identified First 100 Days New President & CEO Andrew J. Harmening joined Associated Banc-Corp on April 28, 2021 Actively Listening Realigning Leadership Formulating Next Steps

3 Growing Core Commercial Loan Portfolio ▪ EOP loan metrics: ▪ Commercial & Business Lending loan growth (excluding PPP) of $242 million, or nearly 3% QoQ ▪ CRE loan portfolio growth of nearly 1% QoQ ▪ PPP portfolio continued to pay down as expected Contributing to Strong Profitability and Capital Trends ▪ ROATCE of 13.19% ▪ ROATA of 1.10% ▪ Repurchased $30 million of common stock in 2Q ▪ Increasing tangible book value per share; $17.35 at 6/30/21 Improving Credit Dynamics ▪ Nonaccrual loans down 10% from 1Q 2021 ▪ Net charge offs of $5 million ▪ Negative provision of $35 million ▪ Net reserve release of $40 million ▪ Well-reserved with ACLL to loan ratio of 1.52% at the end of 2Q 2021 ▪ Net interest income up $4 million QoQ ▪ Continued reductions in the cost of interest-bearing liabilities ▪ Deposit and card fees up $2 million QoQ 2Q 2021 results reflect positive loan growth trends, growing consumer fees and improving credit Associated Banc-Corp Reports Second Quarter 2021 net income available to common equity of $86 million, or $0.56 per common share 2021 Second Quarter Update Growing Net Interest Income and Consumer Fees

4 $1.2 $1.1 $1.1 $1.0 $0.9 $8.3 $8.1 $8.0 $8.0 $7.9 $5.7 $6.0 $6.2 $6.2 $6.2 $9.2 $8.8 $8.5 $8.5 $8.4 $0.8 $1.0 $0.9 $0.8 $0.7 $25.2 $25.0 $24.7 $24.5 $24.1 2Q 2020 3Q 2020 4Q 2020 1Q 2021 2Q 2021 $(63) $(47) $(18) $(1) $10 $26 $40 $55 $96 $118 Quarterly Loan Trends CRE Investor Residential Mortgage Home Equity & Other Consumer General Commercial REIT Power & Utilities ($ in millions) Oil & Gas EOP loans reflect positive Commercial and CRE trends (excl. PPP and Oil & Gas, which are both in runoff) CRE Construction Average Quarterly Loans ($ in billions) EOP Loan Change (1Q 2021 to 2Q 2021) Commercial & Business Lending Commercial Real Estate Residential Mortgage Home Equity & Other Consumer PPP Mortgage Warehouse PPP$(431) Other Specialized

5 EOP Commercial Loan Growth Walk-Forward ($ in millions) Excluding PPP, 2Q total commercial loan growth of ~2% was in line with our expectations Commercial and Business Lending (excl. PPP) ($ in millions) Commercial Real Estate +2.8% +0.6%

6 $1.5 $1.5 $1.3 $1.1 $0.9 $2.5 $2.1 $1.9 $1.7 $1.5 $6.5 $6.5 $6.5 $6.9 $7.0 $3.3 $3.5 $3.6 $3.8 $4.1 $5.4 $5.8 $5.7 $5.7 $5.9 $6.9 $7.4 $7.7 $7.7 $8.1 $26.1 $26.8 $26.7 $26.8 $27.5 2Q 2020 3Q 2020 4Q 2020 1Q 2021 2Q 2021 Quarterly Funding Trends ($ in billions) Average Quarterly Deposits Time Deposits Savings Money Market EOP Wholesale Funding Trends Network Transaction Deposits We continue to improve the mix of low-cost, core customer funding and reduce our higher-cost liabilities Noninterest-Bearing Demand Interest-Bearing Demand ($ in billions) EOP Low-Cost Deposit Mix Trend 13% 13% 14% 15% 15% 20% 22% 21% 20% 21% 29% 28% 29% 31% 29% 61% 63% 64% 65% 66% 2Q 2020 3Q 2020 4Q 2020 1Q 2021 2Q 2021 PPPLF / FHLB Advances Other Long-Term Funding $3.7 $2.7 $1.6 $1.6 $1.6 $1.5 $1.4 $1.2 $1.1 $0.9 $0.5 $0.5 $0.5 $0.5 $0.5 $5.7 $4.7 $3.4 $3.2 $3.0 2Q 2020 3Q 2020 4Q 2020 1Q 2021 2Q 2021

7 2Q 2021 Pre-Tax Pre-Provision Income1 Walk-Forward 2Q PTPP pressured by MSR impairment, lower asset sales despite increased NII, lower expenses 1Q 2021 PTPP Other Noninterest Income Change Asset Gains / Branch Sales Change 1Q MSR Write-Up Lower ExpensesNet Interest Income Increase 2Q 2021 PTPP $1 ($ in millions) $78 1 A non-GAAP measure. Please refer to the appendix for a reconciliation of pre-tax pre-provision income to income before income taxes. Given the adoption of CECL last year and the volatility of provision during the pandemic, we believe pre-tax pre-provision income provides meaningful disclosure to investors regarding the Company’s operations. Other Mortgage Banking Change

8 Net Interest Income and Yield Trends NII and NIM Trends 3.24% 2.93% 2.88% 2.91% 2.87% 2.80% 2.59% 2.69% 2.57% 2.56% 3.04% 3.06% 3.00% 2.79% 2.82% 2.41% 1.90% 1.94% 1.81% 1.66% 0.60% 0.52% 0.43% 0.40% 0.36% 0.10% 0.08% 0.07% 0.07% 0.06% 1.44% 1.21% 0.97% 0.74% 0.51% 2Q 2020 3Q 2020 4Q 2020 1Q 2021 2Q 2021 $182 $188 $176 $180 2.35% 2.56% 2.36% 2.45% 2.31% 2.49% 2.39% 2.37% July Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Average Yields ($ in millions) 2Q NII grew as refinance activity slowed and liability costs continued to be managed downward Total Residential Mortgage loans Commercial and Business Lending loans excluding PPP Commercial Real Estate loans Total Interest- Bearing Liabilities Time Deposits Quarterly Net Interest Income Monthly Net Interest Margin Total Interest-Bearing Deposits excluding Time 3Q 2020 4Q 2020 1Q 2021 2Q 2021 Investments Quarterly Net Interest Margin

9 Net Interest Income Walk-Forward Declining mortgage refinance activity, accelerated PPP recognition and lower deposit costs boosted 2Q NII Declining refinance activity contributed to slower prepayment rates on mortgages and mortgage-backed securities, driving mortgage margins higher and investment income higher QoQ PPP income recognition accelerated relative to 1Q 2021 1Q 2021 NII Mortgage Refinance Activity Accelerated PPP Pay Downs Lower Deposit Costs 2Q 2021 NII ($ in millions) Continued downward momentum in overall deposit costs (particularly time deposits) QoQ

10 $21 $15 $15 $15 $9 $12 $13 $15 $24 $8 2Q 2020 3Q 2020 4Q 2020 1Q 2021 2Q 2021 $46 $51 $52 $52 $53 $12 $13 $15 $24 $8 $7 $7 $6 $8 $6 $3 $5 $13 $12 $6 $73 2Q 2020 3Q 2020 4Q 2020 1Q 2021 2Q 2021 $254 $186 $76 $86 $95 Noninterest Income Trends Net Mortgage Banking IncomeNoninterest Income Trend ($ in millions) ($ in millions) ($ in millions) Deposit and Card Fees 2Q income pressured by lower net mortgage banking income despite a $2M increase in deposit & card fees Fee-Based Revenue2 Capital Markets, net Mortgage Banking, net Other Net Mortgage Banking IncomeGross Gains3 $11 $14 $15 $15 $16 $9 $10 $10 $10 $11 2Q 2020 3Q 2020 4Q 2020 1Q 2021 2Q 2021 1 1 Includes a gain of $163 million from the sale of Associated Benefits & Risk Consulting. 2 A non-GAAP financial measure. Please refer to the Appendix for fee-based revenue trend information. 3 Mortgage banking gains and fair value adjustments on loans held for sale. ABRC-Related Income Card-Based FeesService Charges and Deposit Account Fees $20 $24 $25 $25 $27

11 $111 $109 $98 $104 $107 $72 $69 $75 $71 $67 $50 $183 $228 $173 $175 $174 2Q 2020 3Q 2020 4Q 2020 1Q 2021 2Q 2021 Noninterest Expense Trends Adjusted Efficiency Ratio3Noninterest Expense Trend 1 Annualized. 2 Personnel expense includes $10 million of severance. 3 A non-GAAP financial measure. Please refer to the Appendix for a reconciliation of the adjusted efficiency ratio to the Federal Reserve efficiency ratio. ($ in millions) Noninterest expense down 5% YoY, 4% YoY improvement in noninterest expense to average assets ratio1 Personnel expense Other Restructuring costs (FHLB & Real estate expenses) 2 Federal Reserve efficiency ratio 63% 63% 63% 64% 67% 43% 85% 60% 66% 67% 2Q 2020 3Q 2020 4Q 2020 1Q 2021 2Q 2021 Adjusted efficiency ratio3 Noninterest Expense / Average Assets1 ($ in millions) 2.12% 2.55% 2.02% 2.11% 2.04% 2Q 2020 3Q 2020 4Q 2020 1Q 2021 2Q 2021

12 7.25% 10.25% 11.62% 13.83% 8.04% 10.70% 11.81% 14.02% TCE Ratio Common Equity Tier 1 Capital Tier 1 Capital Total Capital 1 Tangible common equity / tangible assets. This is a non-GAAP financial measure. See Appendix for a reconciliation of non-GAAP financial measures to GAAP financial measures. Capital Ratios 2Q 2020 Tangible Book Value has increased 7% from 2Q 2020 through 2Q 2021 2Q 2021 Strong Capital Position Tangible Book Value / Share $16.21 $16.37 $16.67 $16.95 $17.35 2Q 2020 3Q 2020 4Q 2020 1Q 2021 2Q 2021 1

13 Second Quarter 2021 ACLL ▪ Allowance for credit losses on loans (ACLL) decreased $40 million at the end of 2Q 2021 from 1Q 2021 ▪ Net Charge-Offs of only $5 million; or 0.08% of average loans ▪ 2Q 2021 provision of negative $35 million, compared to negative $23 million in 1Q 2021 and provision of $61 million in 2Q 2020 ▪ CECL forward looking assumptions based on Moody’s June 2021 Baseline forecast 1 Includes funded and unfunded reserve for loans, excludes reserve for HTM securities. ($ in thousands) ACLL / Total Loans Net Reserve Release of $40 million, reflecting improving dynamics in every portfolio category Allowance Update 0.98% 1.55% 1.62% 1.73% 1.77% 1.76% 1.67% 1.52% 12/31/19 CECL Day 1 3/31/20 6/30/20 9/30/20 12/31/20 3/31/21 6/30/21 ACLL 1 ACLL 1 / Loans ACLL 1 ACLL 1 / Loans ACLL 1 ACLL 1 / Loans Loan Category C&BL (excl. Oil & Gas and PPP Loans) 92,203$ 1.19% 118,841$ 1.43% 106,682$ 1.24% C&BL Oil & Gas 68,687 14.08% 42,683$ 16.52% 31,505$ 16.15% PPP Loans - - 607$ 0.07% 232$ 0.06% CRE - Investor 43,331 1.14% 89,894$ 2.11% 84,093$ 1.96% CRE - Construction 58,261 4.10% 73,552$ 3.91% 66,842$ 3.55% Residential Mortgage 50,175 0.62% 45,215$ 0.59% 43,230$ 0.57% Other Consumer 41,768 3.47% 32,921$ 3.47% 31,501$ 3.38% Total 354,425$ 1.55% 403,714$ 1.67% 364,087$ 1.52% Total (excl. PPP Loans) 354,425$ 1.55% 403,107$ 1.73% 363,854$ 1.55% CECL Day 1 3/31/2021 6/30/2021

14 Credit Quality Trends $110 $145 $97 $72 $66 $50 $8 $37 $32 $18 $11 $79 $77 $59 $63 $172 $232 $211 $163 $147 2Q 2020 3Q 2020 4Q 2020 1Q 2021 2Q 2021 $186 $162 $141 $114 $84 $63 $60 $41 $46 $24 $58 $72 $100 $104 $88 $307 $293 $282 $264 $196 2Q 2020 3Q 2020 4Q 2020 1Q 2021 2Q 2021 Credit metrics continued to improve during 2Q 2021 ($ in millions) ($ in millions) ($ in millions) 1 Please see Appendix for more detail on our Key COVID Commercial Loan Exposures. Potential Problem Loans Nonaccrual Loans Active Loan DeferralsNet Charge Offs and Provision Oil and gas All other loansOther COVID1 Oil and gas All other loansOther COVID1 $1,588 $686 $79 $37 $20 2Q 2020 3Q 2020 4Q 2020 1Q 2021 2Q 2021 Commercial Consumer ($ in millions) $26 $30 $28 $5 $5 $61 $43 $17 $(23) $(35) 2Q 2020 3Q 2020 4Q 2020 1Q 2021 2Q 2021 Total Net Charge Offs Provision for Credit Losses

15 Balance Sheet Management ▪ Commercial loan growth, excluding PPP, of 2-4% ▪ Full-year margin of 2.45% to 2.55% ▪ Target investments / total assets ratio of 15% Fee Businesses ▪ Noninterest income of $315 million to $325 million, reflecting strong mortgage activity in the first half and continued Wealth Management strength over the course of the year Expense Management ▪ We are withdrawing our prior 2021 total expense guidance ▪ Total expense for 2021 will reflect growth and efficiency initiatives which are under development and expected to be announced later in 3Q ▪ Before the impact of such initiatives, we expect total expense for 2021 would be approximately $695 million to $700 million ▪ Full-year expected effective tax rate of 19% to 21%, assuming no change in the corporate tax rate Capital & Credit Management ▪ Target TCE at or above 7.5% ▪ Target CET1 at or above 9.5% ▪ Provision expected to adjust with changes to risk grade, economic conditions, other indications of credit quality, and loan volume We continue to expect loan growth in the second half of the year Updated 2021 Full-Year Outlook

Appendix

17 Total Loans Outstanding Balances as of June 30, 2021 Well-diversified $24 billion loan portfolio ($ in millions) 6/30/2021 1 % of Total Loans 6/30/2021 1 % of Total Loans C&BL (by NAICS 2 ) CRE (by property type) Utilities 1,695$ 7.1% Multi-Family 2,038$ 8.5% Wholesale/Manufacturing 1,575 6.6% Office/Mixed 1,283 5.4% Mortgage Warehouse 1,404 5.9% Industrial 1,032 4.3% Real Estate (includes REITs) 1,287 5.4% Retail 861 3.6% Construction 379 1.6% Single Family Construction 391 1.6% Finance & Insurance 350 1.5% Hotel/Motel 222 0.9% Retail Trade 325 1.4% Land 101 0.4% Health Care and Social Assistance 318 1.3% Parking Lots and Garages 73 0.3% Rental and Leasing Services 252 1.1% Mobile Home Parks 31 0.1% Mining 3 238 1.0% Other 150 0.6% Professional, Scientific, and Tech. Serv. 211 0.9% Total CRE 6,182$ 25.8% Waste Management 179 0.7% Transportation and Warehousing 171 0.7% Consumer Accommodation and Food Services 140 0.6% Residential Mortgage 7,638$ 31.9% Financial Investments & Related Activities 120 0.5% Home Equity 632 2.6% Management of Companies & Enterprises 73 0.3% Student Loans 112 0.5% Arts, Entertainment, and Recreation 70 0.3% Credit Cards 104 0.4% Information 63 0.3% Other Consumer 85 0.4% Educational Services 54 0.2% Total Consumer 8,571$ 35.8% Public Administration 27 0.1% Agriculture, Forestry, Fishing and Hunting 3 0.0% Other 263 1.1% Total C&BL 9,195$ 38.4% Total Loans 23,948$ 100.0% 1 All values as of period end. 2 North American Industry Classification System. 3 Includes oil & gas loans.

18 1 As of 6/30/2021. Excludes $195 million Oil & Gas portfolio. 2 C&BL excludes grocers, convenience stores, vehicle dealers, auto parts and tire dealers, direct and mail order retailers, and building material dealers; CRE excludes properties primarily anchored by grocers, self-storage facilities, and vehicle dealers. Key COVID commercial loan exposures are spread across multiple industries without large concentrations ($ in millions) Key COVID Commercial Loan Exposures1 C&BL Utilization CRE Utilization Total % of total loans Retailers/Shopping Centers 2 Retailers 75.3$ 39% 662.8$ 91% 738.1$ 3.08% Retail REITs 186.0 48% 58.6 100% 244.6 1.02% Subtotal 261.3 45% 721.4 92% 982.7 4.10% Hotels, Amusement & Related Hotels 0.5 49% 221.8 92% 222.3 0.93% Parking Lots and Garages 20.9 63% 95.5 90% 116.4 0.49% Casinos 23.9 100% - - 23.9 0.10% Recreation & Entertainment 24.8 26% 5.6 95% 30.4 0.13% Movie Theaters 11.4 36% - - 11.4 0.05% Subtotal 81.6 44% 322.9 91% 404.5 1.69% Restaurants Full-Service 48.5 66% 13.6 100% 62.1 0.26% Limited-Service & Other 17.2 91% 6.1 71% 23.3 0.10% Subtotal 65.7 71% 19.7 89% 85.4 0.36% Transportation & Other Transportation Services 49.2 78% - - 49.2 0.21% Fracking Sand Mining - - - - - - Subtotal 49.2 78% - - 49.2 0.21% Total 457.8$ 50% 1,064.0$ 91% 1,521.8$ 6.35%

19 Manufacturing & Wholesale Trade 17% Real Estate 14% Power & Utilities 18% Mortgage Warehouse 15% 1 Excludes Other Consumer portfolio. 2 Other Midwest includes Missouri, Indiana, Ohio, Michigan and Iowa. 3 Principally reflects the oil and gas portfolio. C&BL by Geography $9.2 billion CRE by Geography $6.2 billion Multi-Family 33% Retail 14% Office / Mixed Use 21% Industrial 17% 1-4 Family Construction 6%Hotel / Motel 4% Other 6% Wind 44% Natural Gas 35% Solar 17% Transmission, Control and Distribution 3% Other 1% Wisconsin 24% Illinois 15% Minnesota 8% Texas 6% Other Midwest 10% Other 38% Wisconsin 25% Illinois 16% Minnesota 9% Other Midwest2 22% Texas 9%Other 19% Total Loans1 Wisconsin 29% Illinois 24% Minnesota 10% Other Midwest 13% Texas 5% Other 20% C&BL by Industry $9.2 billion Power & Utilities Lending $1.7 billion CRE by Property Type $6.2 billion 3 2 2 Loan Stratification Outstandings as of 6/30/2021

20 Reconciliation and Definitions of Non-GAAP Items ($ in millions) 1 This is a non-GAAP financial measure. Management believes these measures are meaningful because they reflect adjustments commonly made by management, investors, regulators, and analysts to evaluate the adequacy of earnings per common share, provide greater understanding of ongoing operations and enhance comparability of results with prior periods. 2 The ratio tangible common equity to tangible assets excludes goodwill and other intangible assets, net. This financial measure has been included as it is considered to be a critical metric with which to analyze and evaluate financial condition and capital strength. 3 These financial measures have been included as they provide meaningful supplemental information to assess trends in the Corporation’s results of operations. Pre-tax Pre-Provision Income Reconciliation1 1Q 2021 2Q 2021 Pre-tax pre-provision income Income (loss) before income taxes $119 $113 Provision for credit losses (23) (35) Pre-tax pre-provision income $96 $78 Tangible Common Equity and Tangible Assets Reconciliation2 2Q 2020 2Q 2021 Common equity $3,671 $3,820 Goodwill and other intangible assets, net (1,181) (1,167) Tangible common equity $2,490 $2,652 Total assets $35,501 $34,153 Goodwill and other intangible assets, net (1,181) (1,167) Tangible assets $34,321 $32,985 Selected Trend Information3 2Q 2020 3Q 2020 4Q 2020 1Q 2021 2Q 2021 Wealth management fees $21 $21 $22 $22 $23 Service charges and deposit account fees 11 14 15 15 16 Card-based fees 9 10 10 10 11 Other fee-based revenue 5 5 5 5 4 Fee-based revenue 46 51 52 52 53 Other 208 25 33 44 20 Total noninterest income $254 $76 $86 $95 $73

21 Reconciliation and Definitions of Non-GAAP Items 1 This is a non-GAAP financial measure. Management believes these measures are meaningful because they reflect adjustments commonly made by management, investors, regulators, and analysts to evaluate the adequacy of earnings per common share, provide greater understanding of ongoing operations and enhance comparability of results with prior periods. Efficiency Ratio Reconciliation 2Q 2020 3Q 2020 4Q 2020 1Q 2021 2Q 2021 Federal Reserve efficiency ratio 43.49% 85.41% 59.68% 65.74% 66.81% Fully tax-equivalent adjustment (0.39)% (1.29)% (0.84)% (0.97)% (1.07)% Other intangible amortization (0.65)% (0.87)% (0.82)% (0.82)% (0.87)% Fully tax-equivalent efficiency ratio 42.26% 83.25% 58.02% 63.96% 64.88% Acquisition related costs adjustment (0.12)% (0.08)% --% (0.01)% --% Provision for unfunded commitments adjustment (1.91)% 2.87% 3.42% (1.09)% 2.14% Asset gains (losses), net adjustment 22.10% (0.11)% (0.30)% 1.12% --% Branch sales --% --% 1.68% 0.24% 0.01% 3Q 2020 initiatives --% (22.90)% --% --% --% Adjusted efficiency ratio1 62.53% 63.02% 62.83% 64.21% 67.02% 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 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. The adjusted efficiency ratio is noninterest expense, which excludes the provision for unfunded commitments, other intangible amortization, acquisition related costs, and 3Q20 initiatives, divided by the sum of fully tax-equivalent net interest income plus noninterest income, excluding investment securities gains (losses), net, acquisition related costs, asset gains (losses), net and gain on sale of branches. Management believes the adjusted efficiency ratio is a meaningful measure as it enhances the comparability of net interest income arising from taxable and tax-exempt sources and provides a better measure as to how the Corporation is managing its expenses by adjusting for acquisition related costs, provision for unfunded commitments, asset gains (losses), net, branch sales, and 3Q 2020 initiatives.

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