Equibles

8-K

HANCOCK WHITNEY CORP (HWC)

8-K 2020-10-20 For: 2020-10-20
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Added on April 07, 2026

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

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): October 20, 2020

________________

HANCOCK WHITNEY CORPORATION
(Exact Name of Registrant as Specified in Charter)<br><br><br>________________
Mississippi 001-36872 64-0693170
(State or Other Jurisdiction<br><br><br>of Incorporation) (Commission File Number) (IRS Employer<br><br><br>Identification No.)
Hancock Whitney Plaza<br><br><br>2510 14th Street<br><br><br>Gulfport, Mississippi<br><br><br>(Address of Principal Executive Offices) 39501<br><br><br>(Zip Code)
Registrant’s telephone number, including area code: (228) 868-4000
___________________

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:

☐ 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 communication pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act (17 CFR 230.405) or Rule 12b-2 of the Exchange Act (17 CFR 240.12b-2)

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. ☐

Securities registered pursuant to Section 12(b) of the Act:

Title of each class Trading<br><br><br>Symbol(s) Name of each exchange on which registered
Common stock, par value $3.33 per share HWC The NASDAQ Stock Market, LLC

Item 2.02Results of Operations and Financial Condition.

On October 20, 2020, Hancock Whitney Corporation (the “Company”) announced financial results for its third quarter ended September 30, 2020. A copy of this press release and the accompanying financial statements are attached hereto as Exhibit 99.1 and is incorporated by reference into this Item 2.02. The press release is available on the Company’s website.



The information provided in Item 2.02 of this report, including Exhibit 99.1, shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended.



Item 7.01Regulation FD Disclosure.



On October 20, 2020 at 4:00 p.m. (Central Time), the Company intends to hold an investor call and webcast to discuss financial results for the quarter ended September 30, 2020, including the press release.  Additional presentation materials relating to such call are furnished hereto as Exhibit 99.2 and are, along with the press release and financial statements, incorporated herein by reference. All information in the press release and presentation materials speak as of the date thereof and the Company does not assume any obligation to update said information in the future. In addition, the Company disclaims any inferences regarding the materiality of such information which otherwise may arise as a result of it furnishing such information under Item 2.02 or Item 7.01 of this Form 8-K.



In accordance with the General Instruction B.2 of Form 8-K, the information presented herein pursuant to Item 2.02, “Results of Operations,” and Item 7.01, “Regulation FD,” shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), nor shall the information be deemed incorporated by reference in any filing under the Exchange Act or the Securities Act of 1933, as amended, except as expressly set forth by specific reference in such filing.



Item 9.01Financial Statements and Exhibits.

(d)  Exhibits.

Exhibit Number Description
99.1 Press Release dated October 20, 2020 for Quarter Ended September 30, 2020.
99.2 Presentation Slides dated October 20, 2020 (furnished with the Commission as part of this Form 8-K).
104 Cover Page Interactive Data File (embedded within the inline XBRL document)

SIGNATURE

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.

HANCOCK WHITNEY CORPORATION
October 20, 2020 By: /s/ Michael M. Achary
Michael M. Achary
Chief Financial Officer

hwc-ex991_6.htm

Exhibit 99.1

FOR IMMEDIATE RELEASE<br><br><br>October 20, 2020

For more information

Trisha Voltz Carlson, EVP, Investor Relations Manager

504.299.5208 or trisha.carlson@hancockwhitney.com

Hancock Whitney reports third quarter 2020 EPS of $.90

GULFPORT, Miss. (October 20, 2020) — Hancock Whitney Corporation (Nasdaq: HWC) today announced its financial results for the third quarter of 2020. Net income for the third quarter of 2020 was $79.4 million, or $0.90 per diluted common share (EPS), compared to a net loss of $117.1 million, or ($1.36) per diluted common share, in the second quarter of 2020. Net income for the third quarter of 2019 was $67.8 million, or $0.77 per diluted common share. The net loss for the second quarter of 2020 reflected a provision for credit losses of $306.9 million that included both a special provision related to the sale of $497 million in energy loans and an additional build in the reserve for credit losses related to COVID-19. The third quarter of 2019 included $28.8 million ($0.26 per share impact) of merger costs associated with the September 2019 acquisition of MidSouth Bancorp, Inc.

On July 21, 2020, the Company sold $497 million in energy loans that included reserve-based (RBL), midstream and nondrilling service credits. The company received proceeds of $257.5 million from the sale of these loans. All loans included in the transaction were re-classified as held for sale as of June 30, 2020, and second quarter of 2020 earnings results included a special provision for credit losses of approximately $160 million (pre-tax), or $1.47 per diluted share (21% tax rate), related to the energy loan sale.

“I am very pleased to report a return to profitability this quarter,” said John M. Hairston, President and CEO. “The de-risking strategies implemented in the first half of 2020 positioned us for better results moving forward, as exhibited by performance in the third quarter. While still impacted by the pandemic-related economy, we reported solid results and began rebuilding capital.  Pre-provision net revenue was up 7% linked quarter, provision for credit losses returned to a more normalized level and our CET1 ratio improved to 10.29%. Last quarter we stated an expectation that our actions through the first half of 2020 would provide a stronger reserve with less risk in the balance sheet, which in turn should lead to improved returns for our shareholders; 3Q20 results reflect the execution of our strategy.”

Third Quarter 2020 Highlights

• Pre-provision net revenue (PPNR) totaled $126.3 million, up $7.8 million, or 7%, linked-quarter
• Provision totaled $25 million, ACL remains strong at 2.16%, or 2.40% excluding PPP loans
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• NIM stable at 3.23%
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• Improving capital levels; CET1 ratio of 10.29%, up 51 bps TCE ratio 7.53%, up 20 bps
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• Nonperforming loans declined $13 million, or 7%
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• Criticized commercial loans increased $64 million, or 18%, reflecting the impact of COVID-19
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• Loans declined $388 million from June 30, 2020 reflecting the current economic environment
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• Core deposits resilient, decline in total deposits mainly reflects a reduction in brokered CD funding
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Loans

Loans totaled $22.2 billion at September 30, 2020, down $388 million, or 2%, linked-quarter. Average loans totaled $22.4 billion for the third quarter of 2020, down 2% linked-quarter, mainly reflecting last quarter’s energy loan sale.

The contraction in loan balances in the third quarter was related to limited demand throughout our footprint in light of the current economic environment as a result of COVID-19. The decline was driven by decreases in mortgage, indirect and consumer loans, as well as a reduction of $14 million in energy loans and another $153 million in payoffs, paydowns and charge-offs of nonenergy commercial loans.

Management’s expectations for loan growth through the remainder of the year are tempered given today’s economic environment and continued contraction in total loans is expected for the fourth quarter of 2020.

Deposits

Total deposits at September 30, 2020 were $27.0 billion, down $292 million, or 1%, from June 30, 2020. A decrease of $631 million in time deposits was the largest driver of the decrease, partly offset by increases in DDAs and interest-bearing transaction and savings accounts.

DDAs totaled $11.9 billion at September 30, 2020, up $122 million, or 1%, from June 30, 2020 and comprised 44% of total period-end deposits at September 30, 2020. Interest-bearing transaction and savings deposits totaled $10.0 billion at the end of the third quarter of 2020, up $367 million, or 4%, linked-quarter. Compared to June 30, 2020, time deposits of $2.0 billion were down $631 million, or 24%, split between decreases in both retail and brokered CDs. Interest-bearing public fund deposits decreased $150 million, or 5%, to $3.2 billion.

Average deposits for the third quarter of 2020 were $26.8 billion, up $61.2 million, or less than 1%, linked-quarter.

Asset Quality

The total allowance for credit losses (ACL) was $480.2 million at September 30, 2020, virtually unchanged from June 30, 2020. During the third quarter of 2020, the company recorded a total provision for credit losses of $25.0 million, compared to $306.9 million in the second quarter of 2020. The second quarter of 2020 provision for credit losses included approximately $146.8 million related to the COVID-19 recessionary environment, with an additional $160.1 million provision related to the previously mentioned energy loan sale.

Net charge-offs totaled $24.0 million in the third quarter of 2020, or 0.43% of average total loans on an annualized basis, down from $302.7 million, or 5.30% of average total loans in the second quarter of 2020. Included in this quarter’s charge-offs are $17.3 million of healthcare-dependent credits, $6.0 million of various other commercial credits and no energy-related charge-offs. Included in the second quarter’s total were $243 million of charge-offs related to the energy loan sale and $26 million in other energy-related charge-offs.

The ratio of ACL to period-end loans was 2.16% (2.40% excluding PPP loans) at September 30, 2020, compared to 2.12% (2.36% excluding PPP loans) at June 30, 2020. The allowance for credits in the remaining energy portfolio totaled $21.4 million, or 6.3% of funded energy loans, at September 30, 2020. The allowance for credits in the nonenergy portfolio totaled $458.8 million, or 2.09% of funded nonenergy loans (2.33% excluding PPP loans), at September 30, 2020.

Beginning in the first quarter of 2020, the company began offering loan deferrals to customers impacted by COVID-19. Deferrals peaked in May 2020 with 9,252 notes totaling $3.6 billion of outstandings. Deferrals began expiring

in late June 2020, and as of September 30, 2020 there were 761 notes deferred, totaling $284 million, compared to 6,954 notes deferred, totaling $2.7 billion as of June 30, 2020.

Nonperforming assets (NPAs) totaled $192.2 million at September 30, 2020, down $20.3 million, or 10%, from June 30, 2020. During the third quarter of 2020, total nonperforming loans decreased $13.3 million, or 7%, while ORE and foreclosed assets declined $7.1 million, or 38%. Nonperforming assets as a percent of total loans, ORE and other foreclosed assets was 0.86% at September 30, 2020, down 8 bps from June 30, 2020.

Net Interest Income and Net Interest Margin (NIM)

Net interest income (TE) for the third quarter of 2020 was $238.4 million, down $2.7 million from the second quarter of 2020. The decrease from 2Q20 reflects a variety of factors including a lower level of purchase accounting accretion, lower levels of earning assets and yields, partially offset by growth in DDAs and aggressive deposit pricing.

The net interest margin (TE) was 3.23% for the third quarter of 2020, unchanged linked-quarter. Headwinds from the impact of lower earning asset yields and a full quarter’s impact of the subordinated debt issued in June of 2020, were offset by a reduction in excess liquidity and a lower cost of deposits.

Average earning assets were $29.4 billion for the third quarter of 2020, down $602 million, or 2%, from the second quarter of 2020.

Noninterest Income

Noninterest income totaled $83.7 million for the third quarter of 2020, up $9.8 million, or 13%, from the second quarter of 2020. Improvement was noted across all fee categories as the economy began to re-open and consumer activity rebounded, though not to pre-pandemic levels. Low interest rates supported continued mortgage refinance activity, and certain specialty income categories contributed to growth in the third quarter. Similar levels of mortgage and specialty income are not expected in the fourth quarter of 2020.

Increased activity was noted in service charges on deposits, up $2.9 million, or 19%, from the second quarter of 2020, bank card and ATM fees, up $1.3 million, or 8%, from the second quarter and investment and annuity income and insurance fees, up $0.6 million, or 12%, linked-quarter.

Fees from secondary mortgage operations totaled $12.9 million for the third quarter of 2020, up $3.1 million, or 31% linked-quarter.

Other noninterest income totaled $14.8 million, up $1.7 million, or 13%, from the second quarter of 2020. The increase in other noninterest income is primarily due to increases in specialty income (BOLI).

Noninterest Expense & Taxes

Noninterest expense totaled $195.8 million, down $0.8 million, or less than 1% linked-quarter. A focus on expense control in today’s environment and offsetting nonrecurring items led to a slightly lower level of expense linked-quarter.

Total personnel expense was $117.9 million in the third quarter of 2020, down $2.6 million, or 2%, from the second quarter of 2020. The decrease was mostly related to lower incentive pay and payroll taxes, partly offset by severance related to closures of 12 branches in Louisiana and Mississippi scheduled for late October 2020 and the closure of two trust offices in New York and New Jersey. Personnel expense is expected to be lower in the fourth quarter related to these items and the overall lower level of FTE headcount (down 138) compared to June 30, 2020.

Occupancy and equipment expense totaled $18.5 million in the third quarter of 2020, up $0.2 million, or 1%, from the second quarter of 2020. Amortization of intangibles totaled $4.8 million for the third quarter of 2020, down $0.4 million, or 7%, linked-quarter. Gains on sales of ORE and other foreclosed assets (OFA) exceeded expenses by $0.5 million in both the second and third quarters of 2020.

Other operating expense totaled $55.1 million in the third quarter of 2020, up $2.0 million, or 4%, from the second quarter of 2020, primarily attributed to professional services related to the SBA’s PPP forgiveness program.

The effective income tax rate for the third quarter of 2020 was 19%. The company expects the tax rate to be lower in the fourth quarter of 2020 as tax strategies are evaluated and implemented. The effective income tax rate continues to be less than the statutory rate due primarily to tax-exempt income and tax credits.

Capital

Common stockholders’ equity at September 30, 2020 totaled $3.4 billion, up $59.5 million, or 2%, from June 30, 2020. The tangible common equity (TCE) ratio was 7.53%, up 20 bps from June 30, 2020, as the company began rebuilding capital after de-risking strategies were implemented in the first half of 2020. A full reconciliation of the quarterly change is included in our slide presentation. The company remains well capitalized, with both bank and holding company capital levels in excess of required regulatory minimums. The company’s CET1 ratio is estimated to be 10.29% at September 30, 2020. The company intends to pay its next quarterly dividend and is in consultation with its examiners, while the Board reviews the dividend payout policy quarterly.

Conference Call and Slide Presentation

Management will host a conference call for analysts and investors at 4:00 p.m. Central Time on Tuesday, October 20, 2020 to review the results. A live listen-only webcast of the call will be available under the Investor Relations section of Hancock Whitney’s website at www.investors.hancockwhitney.com. A link to the release with additional financial tables, and a link to a slide presentation related to third quarter results are also posted as part of the webcast link. To participate in the Q&A portion of the call, dial (877) 564-1219 or (973) 638-3429.

An audio archive of the conference call will be available under the Investor Relations section of our website. A replay of the call will also be available through October 27, 2020 by dialing (855) 859-2056 or (404) 537-3406, passcode 6553289.

About Hancock Whitney

Since the late 1800s, Hancock Whitney has embodied core values of Honor & Integrity, Strength & Stability, Commitment to Service, Teamwork, and Personal Responsibility. Hancock Whitney offices and financial centers in Mississippi, Alabama, Florida, Louisiana, and Texas offer comprehensive financial products and services, including traditional and online banking; commercial and small business banking; private banking; trust and investment services; healthcare banking; certain insurance services; and mortgage services. The company also operates a loan production office in Nashville, Tennessee. BauerFinancial, Inc., the nation’s leading independent bank rating and analysis firm, consistently recommends Hancock Whitney as one of America’s most financially sound banks. More information is available at www.hancockwhitney.com.

Non-GAAP Financial Measures

This news release includes non-GAAP financial measures to describe Hancock Whitney’s performance. These non-GAAP financial measures should not be considered alternatives to GAAP-basis financial statements and other bank holding companies may define or calculate these non-GAAP measures or similar measures differently. The reconciliations of those measures to GAAP measures are provided either in the financial tables or in Appendix A thereto.

Consistent with Securities and Exchange Commission Industry Guide 3, the company presents net interest income, net interest margin and efficiency ratios on a fully taxable equivalent (“TE”) basis. The TE basis adjusts for the tax-favored status of net interest income from certain loans and investments using the statutory federal tax rate to increase tax-exempt interest income to a taxable equivalent basis. The company believes this measure to be the preferred industry measurement of net interest income and it enhances comparability of net interest income arising from taxable and tax-exempt sources.

The company presents certain additional non-GAAP financial measures to assist the reader with a better understanding of the company’s performance period over period, as well as to provide investors with assistance in understanding the success management has experienced in executing its strategic initiatives. These non-GAAP measures may reference the concept “operating.” The company uses the term “operating” to describe a financial measure that excludes income or expense considered to be nonoperating in nature. Items identified as nonoperating are those that, when excluded from a reported financial measure, provide management or the reader with a measure that may be more indicative of forward-looking trends in the company’s business.

Important Cautionary Statement about Forward-Looking Statements

This news release contains 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. Forward-looking statements that we may make include statements regarding our expectations regarding our performance and financial condition, balance sheet and revenue growth, the provision for credit losses, loan growth expectations, management’s predictions about charge-offs for loans, including energy-related credits, the impact of significant decreases in oil and gas prices on our energy portfolio, the impact of COVID-19 on the economy and our operations, the adequacy of our enterprise risk management framework, the impact of the MidSouth acquisition, or future business combinations on our performance and financial condition, including our ability to successfully integrate the businesses, success of revenue-generating initiatives, the effectiveness of derivative financial instruments and hedging activities to manage risks, projected tax rates, increased cybersecurity risks, including potential business disruptions or financial losses, the adequacy of our internal controls over financial reporting, the financial impact of regulatory requirements and tax reform legislation (including potential future legislation enacted as a result of the upcoming 2020 election), the impact of the referenced rate reform, deposit trends, credit quality trends, the impact of PPP loans on our results, changes in interest rates, net interest margin trends, future expense levels, future profitability, improvements in expense to revenue (efficiency) ratio, purchase accounting impacts, accretion levels and expected returns.

Given the many unknowns and risks being heavily weighted to the downside, our forward-looking statements are subject to the risk that conditions will be substantially different than we are currently expecting. If efforts to contain COVID-19 are unsuccessful and restrictions on movement last into the fourth quarter or beyond, the recession would be much longer and much more severe. Ineffective fiscal stimulus, or an extended delay in implementing it, are also major downside risks. The deeper the recession is, and the longer it lasts, the more it will damage consumer fundamentals and sentiment. This could both prolong the recession, and/or make any recovery weaker. Similarly, the recession could damage business fundamentals, and an extended global recession due to COVID-19 would weaken the U.S. recovery. As a result, the outbreak and its consequences, including responsive measures to manage it, have had and are likely to continue to have an adverse effect, possibly materially, on our business and financial performance by adversely affecting, possibly materially, the demand and profitability of our products and services, the valuation of assets and our ability to meet the needs of our customers.

In addition, any statement that does not describe historical or current facts is a forward-looking statement. These statements often include the words “believes,” “expects,” “anticipates,” “estimates,” “intends,” “plans,” “forecast,” “goals,” “targets,” “initiatives,” “focus,” “potentially,” “probably,” “projects,” “outlook", or similar expressions or future conditional verbs such as “may,” “will,” “should,” “would,” and “could.” Forward-looking statements are

based upon the current beliefs and expectations of management and on information currently available to management. Our statements speak as of the date hereof, and we do not assume any obligation to update these statements or to update the reasons why actual results could differ from those contained in such statements in light of new information or future events. Forward-looking statements are subject to significant risks and uncertainties. Any forward-looking statement made in this release is subject to the safe harbor protections set forth in the Private Securities Litigation Reform Act of 1995. Investors are cautioned against placing undue reliance on such statements. Actual results may differ materially from those set forth in the forward-looking statements. Additional factors that could cause actual results to differ materially from those described in the forward-looking statements can be found in Part I, “Item 1A. Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2019, in Part II, “Item 1A. Risk Factors” in our Quarterly Report on Form 10-Q for the quarter ended June 30, 2020 and in other periodic reports that we file with the SEC.

HANCOCK WHITNEY CORPORATION
FINANCIAL HIGHLIGHTS
(Unaudited)
Three Months Ended Nine Months Ended
(dollars and common share data in thousands, except per share amounts) 9/30/2020 6/30/2020 9/30/2019 9/30/2020 9/30/2019
NET INCOME
Net interest income $ 235,183 $ 237,866 $ 222,939 $ 704,237 $ 662,061
Net interest income (TE) (a) 238,372 241,114 226,591 714,122 673,255
Provision for credit losses 24,999 306,898 12,421 578,690 38,552
Noninterest income 83,748 73,943 83,230 242,078 232,983
Noninterest expense 195,774 196,539 213,554 595,648 572,821
Income tax expense (benefit) 18,802 (74,556 ) 12,387 (79,274 ) 48,423
Net income (loss) $ 79,356 $ (117,072 ) $ 67,807 $ (148,749 ) $ 235,248
For informational purposes - included above, pre-tax
Provision for credit loss associated with energy loan sale $ — $ 160,101 $ — $ 160,101 $ —
Nonoperating merger-related expenses — — 28,810 — 28,810
PERIOD-END BALANCE SHEET DATA
Loans $ 22,240,204 $ 22,628,377 $ 21,035,952 $ 22,240,204 $ 21,035,952
Securities 7,056,276 6,381,803 6,404,719 7,056,276 6,404,719
Earning assets 30,179,103 30,134,790 27,565,973 30,179,103 27,565,973
Total assets 33,193,324 33,215,400 30,543,549 33,193,324 30,543,549
Noninterest-bearing deposits 11,881,548 11,759,085 8,686,383 11,881,548 8,686,383
Total deposits 27,030,659 27,322,268 24,201,299 27,030,659 24,201,299
Common stockholders' equity 3,375,644 3,316,157 3,586,380 3,375,644 3,586,380
AVERAGE BALANCE SHEET DATA
Loans $ 22,407,825 $ 22,957,032 $ 20,197,114 $ 22,200,385 $ 20,158,313
Securities (b) 6,389,214 6,129,616 6,004,688 6,223,361 5,750,530
Earning assets 29,412,261 30,013,829 26,437,613 29,020,349 26,151,846
Total assets 32,685,430 33,136,706 29,148,106 32,163,823 28,715,039
Noninterest-bearing deposits 11,585,617 10,989,921 8,092,482 10,450,457 8,139,439
Total deposits 26,763,795 26,702,622 23,091,355 25,934,258 23,114,269
Common stockholders' equity 3,351,593 3,465,617 3,383,738 3,441,981 3,245,071
COMMON SHARE DATA
Earnings (loss) per share - diluted $ 0.90 $ (1.36 ) $ 0.77 $ (1.73 ) $ 2.69
Cash dividends per share 0.27 0.27 0.27 0.81 0.81
Book value per share (period-end) 39.07 38.41 39.49 39.07 39.49
Tangible book value per share (period-end) 28.11 27.38 28.73 28.11 28.73
Weighted average number of shares - diluted 86,400 86,301 86,462 86,614 86,010
Period-end number of shares 86,400 86,342 90,822 86,400 90,822
Market data
High sales price $ 22.23 $ 28.50 $ 42.11 $ 44.24 $ 44.74
Low sales price 17.42 14.88 33.63 14.32 33.63
Period-end closing price 18.81 21.20 38.30 18.81 38.30
Trading volume 32,139 48,174 29,038 130,703 85,037
PERFORMANCE RATIOS
Return on average assets 0.97 % (1.42 )% 0.92 % (0.62 )% 1.10 %
Return on average common equity 9.42 % (13.59 )% 7.95 % (5.77 )% 9.69 %
Return on average tangible common equity 13.14 % (18.75 )% 10.77 % (7.99 )% 13.32 %
Tangible common equity ratio (c) 7.53 % 7.33 % 8.82 % 7.53 % 8.82 %
Net interest margin (TE) 3.23 % 3.23 % 3.41 % 3.29 % 3.44 %
Noninterest income as a percent of total revenue (TE) 26.00 % 23.47 % 26.86 % 25.32 % 25.71 %
Efficiency ratio (d) 59.29 % 60.74 % 58.05 % 60.69 % 58.37 %
Average loan/deposit ratio 83.72 % 85.97 % 87.47 % 85.61 % 87.21 %
Allowance for loan losses as a percentage of period-end loans 2.02 % 1.96 % 0.93 % 2.02 % 0.93 %
Allowance for credit losses as a percent of period-end loans (e) 2.16 % 2.12 % 0.93 % 2.16 % 0.93 %
Annualized net charge-offs to average loans 0.43 % 5.30 % 0.25 % 2.23 % 0.25 %
Allowance for loan losses to nonperforming loans + accruing loans 90 days past due 234.89 % 222.37 % 67.06 % 234.89 % 67.06 %
FTE headcount 4,058 4,196 4,222 4,058 4,222

(a) Taxable equivalent (TE) amounts are calculated using a federal income tax rate of 21%.

(b) Average securities does not include unrealized holding gains/losses on available for sale securities.

(c) The tangible common equity ratio is common shareholders' equity less intangible assets divided by total assets less intangible assets.

(d) The efficiency ratio is noninterest expense to total net interest income (TE) and noninterest income, excluding amortization of purchased intangibles and nonoperating items.

(e) The allowance for credit losses includes the allowance for loan and lease losses and the reserve for unfunded lending commitments.

HANCOCK WHITNEY CORPORATION
QUARTERLY FINANCIAL HIGHLIGHTS
(Unaudited)
Three Months Ended
(dollars and common share data in thousands, except per share amounts) 9/30/2020 6/30/2020 3/31/2020 12/31/2019 9/30/2019
NET INCOME
Net interest income $ 235,183 $ 237,866 $ 231,188 $ 233,156 $ 222,939
Net interest income (TE) (a) 238,372 241,114 234,636 236,736 226,591
Provision for credit losses 24,999 306,898 246,793 9,156 12,421
Noninterest income 83,748 73,943 84,387 82,924 83,230
Noninterest expense 195,774 196,539 203,335 197,856 213,554
Income tax expense (benefit) 18,802 (74,556 ) (23,520 ) 16,936 12,387
Net income (loss) $ 79,356 $ (117,072 ) $ (111,033 ) $ 92,132 $ 67,807
For informational purposes - included above, pre-tax
Provision for credit loss associated with energy loan sale $ — $ 160,101 $ — $ — $ —
Nonoperating merger-related expenses — — — 3,856 28,810
PERIOD-END BALANCE SHEET DATA
Loans $ 22,240,204 $ 22,628,377 $ 21,515,681 $ 21,212,755 $ 21,035,952
Securities 7,056,276 6,381,803 6,374,490 6,243,313 6,404,719
Earning assets 30,179,103 30,134,790 28,834,072 27,622,161 27,565,973
Total assets 33,193,324 33,215,400 31,761,693 30,600,757 30,543,549
Noninterest-bearing deposits 11,881,548 11,759,085 9,204,631 8,775,632 8,686,383
Total deposits 27,030,659 27,322,268 25,008,496 23,803,575 24,201,299
Common stockholders' equity 3,375,644 3,316,157 3,421,064 3,467,685 3,586,380
AVERAGE BALANCE SHEET DATA
Loans $ 22,407,825 $ 22,957,032 $ 21,234,016 $ 21,037,942 $ 20,197,114
Securities (b) 6,389,214 6,129,616 6,149,432 6,201,612 6,004,688
Earning assets 29,412,261 30,013,829 27,630,652 27,441,459 26,437,613
Total assets 32,685,430 33,136,706 30,663,601 30,343,293 29,148,106
Noninterest-bearing deposits 11,585,617 10,989,921 8,763,359 8,601,323 8,092,482
Total deposits 26,763,795 26,702,622 24,327,242 23,848,374 23,091,355
Common stockholders' equity 3,351,593 3,465,617 3,509,727 3,473,693 3,383,738
COMMON SHARE DATA
Earnings (loss) per share - diluted $ 0.90 $ (1.36 ) $ (1.28 ) $ 1.03 $ 0.77
Cash dividends per share 0.27 0.27 0.27 0.27 0.27
Book value per share (period-end) 39.07 38.41 39.65 39.62 39.49
Tangible book value per share (period-end) 28.11 27.38 28.56 28.63 28.73
Weighted average number of shares - diluted 86,400 86,301 87,186 88,315 86,462
Period-end number of shares 86,400 86,342 86,275 87,515 90,822
Market data
High sales price $ 22.23 $ 28.50 $ 44.24 $ 44.42 $ 42.11
Low sales price 17.42 14.88 14.32 35.45 33.63
Period-end closing price 18.81 21.20 19.52 43.88 38.30
Trading volume 32,139 48,174 50,390 30,850 29,038
PERFORMANCE RATIOS
Return on average assets 0.97 % (1.42 )% (1.46 )% 1.20 % 0.92 %
Return on average common equity 9.42 % (13.59 )% (12.72 )% 10.52 % 7.95 %
Return on average tangible common equity 13.14 % (18.75 )% (17.51 )% 14.62 % 10.77 %
Tangible common equity ratio (c) 7.53 % 7.33 % 8.00 % 8.45 % 8.82 %
Net interest margin (TE) 3.23 % 3.23 % 3.41 % 3.43 % 3.41 %
Noninterest income as a percentage of total revenue (TE) 26.00 % 23.47 % 26.45 % 25.94 % 26.86 %
Efficiency ratio (d) 59.29 % 60.74 % 62.06 % 58.88 % 58.05 %
Average loan/deposit ratio 83.72 % 85.97 % 87.28 % 88.22 % 87.47 %
Allowance for loan losses as a percent of period-end loans 2.02 % 1.96 % 1.98 % 0.90 % 0.93 %
Allowance for credit losses as a percent of period-end loans (e) 2.16 % 2.12 % 2.21 % 0.92 % 0.93 %
Annualized net charge-offs to average loans 0.43 % 5.30 % 0.83 % 0.18 % 0.25 %
Allowance for loan losses to nonperforming loans +<br><br><br>accruing loans 90 days past due 234.89 % 222.37 % 139.17 % 60.97 % 67.06 %
FTE headcount 4,058 4,196 4,148 4,136 4,222

(a) Taxable equivalent (TE) amounts are calculated using a federal income tax rate of 21%.

(b) Average securities does not include unrealized holding gains/losses on available for sale securities.

(c) The tangible common equity ratio is common shareholders' equity less intangible assets divided by total assets less intangible assets.

(d) The efficiency ratio is noninterest expense to total net interest income (TE) and noninterest income, excluding amortization of purchased intangibles and nonoperating items.

(e) The allowance for credit losses includes the allowance for loan and lease losses and the reserve for unfunded lending commitments.

HANCOCK WHITNEY CORPORATION
INCOME STATEMENT
(Unaudited)
Three Months Ended Nine Months Ended
(dollars in thousands, except per share data) 9/30/2020 6/30/2020 9/30/2019 9/30/2020 9/30/2019
NET INCOME
Interest income $ 257,043 $ 266,342 $ 283,164 $ 800,728 $ 839,825
Interest income (TE) (f) 260,232 269,590 286,816 810,613 851,019
Interest expense 21,860 28,476 60,225 96,491 177,764
Net interest income (TE) 238,372 241,114 226,591 714,122 673,255
Provision for credit losses 24,999 306,898 12,421 578,690 38,552
Noninterest income 83,748 73,943 83,230 242,078 232,983
Noninterest expense 195,774 196,539 213,554 595,648 572,821
Income (loss) before income taxes 98,158 (191,628 ) 80,194 (228,023 ) 283,671
Income tax expense (benefit) 18,802 (74,556 ) 12,387 (79,274 ) 48,423
Net income (loss) $ 79,356 $ (117,072 ) $ 67,807 $ (148,749 ) $ 235,248
For informational purposes - included above, pre-tax
Provision for credit loss associated with energy loan sale $ — $ 160,101 $ — $ 160,101 $ —
Nonoperating merger-related expenses — — 28,810 — 28,810
NONINTEREST INCOME
Service charges on deposit accounts $ 18,440 $ 15,518 $ 21,892 $ 56,795 $ 62,982
Trust fees 14,424 14,160 15,098 43,390 46,126
Bank card and ATM fees 17,222 15,957 17,154 50,541 49,063
Insurance and investment commissions,<br><br><br>and annuity fees 5,988 5,366 7,048 18,504 20,167
Secondary mortgage market operations 12,875 9,808 5,713 28,736 13,872
Other income 14,799 13,134 16,325 44,112 40,773
Total noninterest income $ 83,748 $ 73,943 $ 83,230 $ 242,078 $ 232,983
NONINTEREST EXPENSE
Personnel expense $ 117,856 $ 120,409 $ 112,480 $ 351,814 $ 322,813
Net occupancy and equipment expense 18,546 18,311 17,841 53,996 51,807
Other real estate and foreclosed assets (income) expense, net (482 ) (460 ) 2,055 9,188 1,459
Other operating expense 55,066 53,110 76,289 165,348 181,668
Amortization of intangibles 4,788 5,169 4,889 15,302 15,074
Total noninterest expense $ 195,774 $ 196,539 $ 213,554 $ 595,648 $ 572,821
Nonoperating noninterest expense $ — $ — $ 28,810 $ — $ 28,810
COMMON SHARE DATA
Earnings (loss) per share:
Basic $ 0.90 $ (1.36 ) $ 0.77 $ (1.73 ) $ 2.69
Diluted 0.90 (1.36 ) 0.77 (1.73 ) 2.69

(f) Taxable equivalent (TE) amounts are calculated using a federal income tax rate of 21%.

HANCOCK WHITNEY CORPORATION
INCOME STATEMENT
(Unaudited)
Three Months Ended
(dollars in thousands, except per share data) 9/30/2020 6/30/2020 3/31/2020 12/31/2019 9/30/2019
NET INCOME
Interest income $ 257,043 $ 266,342 $ 277,343 $ 285,957 $ 283,164
Interest income (TE) (f) 260,232 269,590 280,791 289,537 286,816
Interest expense 21,860 28,476 46,155 52,801 60,225
Net interest income (TE) 238,372 241,114 234,636 236,736 226,591
Provision for credit losses 24,999 306,898 246,793 9,156 12,421
Noninterest income 83,748 73,943 84,387 82,924 83,230
Noninterest expense 195,774 196,539 203,335 197,856 213,554
Income (loss) before income taxes 98,158 (191,628 ) (134,553 ) 109,068 80,194
Income tax expense (benefit) 18,802 (74,556 ) (23,520 ) 16,936 12,387
Net income (loss) $ 79,356 $ (117,072 ) $ (111,033 ) $ 92,132 $ 67,807
For informational purposes - included above, pre-tax
Provision for credit loss associated with energy loan sale $ — $ 160,101 $ — $ — $ —
Nonoperating merger-related expenses — — — 3,856 28,810
NONINTEREST INCOME
Service charges on deposit accounts $ 18,440 $ 15,518 $ 22,837 $ 23,382 $ 21,892
Trust fees 14,424 14,160 14,806 15,483 15,098
Bank card and ATM fees 17,222 15,957 17,362 17,913 17,154
Investment and insurance commissions, and annuity fees 5,988 5,366 7,150 6,407 7,048
Secondary mortgage market operations 12,875 9,808 6,053 5,981 5,713
Other income 14,799 13,134 16,179 13,758 16,325
Total noninterest income $ 83,748 $ 73,943 $ 84,387 $ 82,924 $ 83,230
NONINTEREST EXPENSE
Personnel expense $ 117,856 $ 120,409 $ 113,549 $ 117,066 $ 112,480
Net occupancy and equipment expense 18,546 18,311 17,139 17,522 17,841
Other real estate and foreclosed assets (income) expense (482 ) (460 ) 10,130 (788 ) 2,055
Other operating expense 55,066 53,110 57,172 58,286 76,289
Amortization of intangibles 4,788 5,169 5,345 5,770 4,889
Total noninterest expense $ 195,774 $ 196,539 $ 203,335 $ 197,856 $ 213,554
Nonoperating noninterest expense $ — $ — $ — $ 3,856 $ 28,810
COMMON SHARE DATA
Earnings (loss) per share:
Basic $ 0.90 $ (1.36 ) $ (1.28 ) $ 1.03 $ 0.77
Diluted 0.90 (1.36 ) (1.28 ) 1.03 0.77

(f) Taxable equivalent (TE) amounts are calculated using a federal income tax rate of 21%.

HANCOCK WHITNEY CORPORATION

PERIOD-END BALANCE SHEET

(Unaudited)

(dollars in thousands) 9/30/2020 6/30/2020 3/31/2020 12/31/2019 9/30/2019
ASSETS
Commercial non-real estate loans $ 10,257,788 $ 10,465,280 $ 9,321,340 $ 9,166,947 $ 8,893,004
Commercial real estate - owner occupied 2,779,407 2,762,259 2,731,320 2,738,460 2,734,379
Total commercial and industrial loans 13,037,195 13,227,539 12,052,660 11,905,407 11,627,383
Commercial real estate - income producing 3,406,554 3,350,299 3,232,783 2,994,448 3,060,568
Construction and land development loans 1,096,149 1,128,959 1,098,726 1,157,451 1,190,718
Residential mortgage loans 2,754,388 2,877,316 2,979,985 2,990,631 3,004,958
Consumer loans 1,945,918 2,044,264 2,151,527 2,164,818 2,152,325
Total loans 22,240,204 22,628,377 21,515,681 21,212,755 21,035,952
Loans held for sale 103,566 364,416 67,587 55,864 75,789
Securities 7,056,276 6,381,803 6,374,490 6,243,313 6,404,719
Short-term investments 779,057 760,194 876,314 110,229 49,513
Earning assets 30,179,103 30,134,790 28,834,072 27,622,161 27,565,973
Allowance for loan losses (448,674 ) (442,638 ) (426,003 ) (191,251 ) (195,572 )
Goodwill and other intangible assets 946,958 951,746 956,916 962,260 977,369
Other assets 2,515,937 2,571,502 2,396,708 2,207,587 2,195,779
Total assets $ 33,193,324 $ 33,215,400 $ 31,761,693 $ 30,600,757 $ 30,543,549
LIABILITIES
Noninterest-bearing deposits $ 11,881,548 $ 11,759,085 $ 9,204,631 $ 8,775,632 $ 8,686,383
Interest-bearing transaction and savings deposits 9,971,869 9,605,254 8,931,192 8,845,097 8,758,993
Interest-bearing public fund deposits 3,176,225 3,326,033 3,251,445 3,364,416 2,954,966
Time deposits 2,001,017 2,631,896 3,621,228 2,818,430 3,800,957
Total interest-bearing deposits 15,149,111 15,563,183 15,803,865 15,027,943 15,514,916
Total deposits 27,030,659 27,322,268 25,008,496 23,803,575 24,201,299
Short-term borrowings 1,906,895 1,754,875 2,673,283 2,714,872 2,108,815
Long-term debt 385,887 386,269 225,606 233,462 246,641
Other liabilities 494,239 435,831 433,244 381,163 400,414
Total liabilities 29,817,680 29,899,243 28,340,629 27,133,072 26,957,169
COMMON STOCKHOLDERS'<br><br><br>EQUITY
Common stock net of treasury and capital surplus 2,064,828 2,057,153 2,050,669 2,046,177 2,229,353
Retained earnings 1,211,878 1,156,278 1,297,129 1,476,232 1,408,183
Accumulated other comprehensive income (loss) 98,938 102,726 73,266 (54,724 ) (51,156 )
Total common stockholders' equity 3,375,644 3,316,157 3,421,064 3,467,685 3,586,380
Total liabilities & stockholders' equity $ 33,193,324 $ 33,215,400 $ 31,761,693 $ 30,600,757 $ 30,543,549
For informational purposes only - included above
SBA Paycheck Protection Program (PPP) loans $ 2,323,691 $ 2,286,963 $ — $ — $ —
CAPITAL RATIOS
Tangible common equity $ 2,428,686 $ 2,364,411 $ 2,464,148 $ 2,505,425 $ 2,609,011
Tier 1 capital (g) 2,446,247 2,377,935 2,506,217 2,584,162 2,530,919
Common equity as a percentage of total assets 10.17 % 9.98 % 10.77 % 11.33 % 11.74 %
Tangible common equity ratio 7.53 % 7.33 % 8.00 % 8.45 % 8.82 %
Leverage (Tier 1) ratio (g) 7.70 % 7.37 % 8.40 % 8.76 % 9.49 %
Common equity tier 1 (CET1) ratio (g) 10.29 % 9.78 % 10.02 % 10.50 % 11.02 %
Tier 1 risk-based capital ratio (g) 10.29 % 9.78 % 10.02 % 10.50 % 11.02 %
Total risk-based capital ratio (g) 12.90 % 12.36 % 11.87 % 11.90 % 12.43 %

(g) Estimated for most recent period-end. Regulatory capital ratios at September 30, 2020, June 30, 2020 and March 31, 2020 reflect the election to use the five-year transition rules for the adoption of ASC 326, commonly referred to as Current Expected Credit Loss, or CECL.

HANCOCK WHITNEY CORPORATION

AVERAGE BALANCE SHEET

(Unaudited)

Three Months Ended Nine Months Ended
(in thousands) 9/30/2020 6/30/2020 9/30/2019 9/30/2020 9/30/2019
ASSETS
Commercial non-real estate loans $ 10,366,814 $ 10,791,206 $ 8,595,854 $ 10,102,798 $ 8,609,330
Commercial real estate - owner occupied 2,744,372 2,767,291 2,537,712 2,748,817 2,520,592
Total commercial and industrial loans 13,111,186 13,558,497 11,133,566 12,851,615 11,129,922
Commercial real estate - income producing 3,374,446 3,240,564 2,855,381 3,240,865 2,683,288
Construction and land development loans 1,121,554 1,132,744 1,137,113 1,124,998 1,277,060
Residential mortgage loans 2,807,568 2,923,247 2,978,712 2,899,588 2,963,751
Consumer loans 1,993,071 2,101,980 2,092,342 2,083,319 2,104,292
Total loans 22,407,825 22,957,032 20,197,114 22,200,385 20,158,313
Loans held for sale 112,230 89,935 55,348 80,942 34,740
Securities (h) 6,389,214 6,129,616 6,004,688 6,223,361 5,750,530
Short-term investments 502,992 837,246 180,463 515,661 208,263
Earning assets 29,412,261 30,013,829 26,437,613 29,020,349 26,151,846
Allowance for loan losses (446,901 ) (425,844 ) (197,259 ) (371,646 ) (196,297 )
Goodwill and other intangible assets 949,287 954,252 886,868 954,328 884,254
Other assets 2,770,783 2,594,469 2,020,884 2,560,792 1,875,236
Total assets $ 32,685,430 $ 33,136,706 $ 29,148,106 $ 32,163,823 $ 28,715,039
LIABILITIES AND COMMON STOCKHOLDERS' EQUITY
Noninterest-bearing deposits $ 11,585,617 $ 10,989,921 $ 8,092,482 $ 10,450,457 $ 8,139,439
Interest-bearing transaction and savings deposits 9,806,826 9,387,292 8,179,240 9,332,604 8,096,299
Interest-bearing public fund deposits 3,196,767 3,320,338 2,979,494 3,256,228 3,077,760
Time deposits 2,174,585 3,005,071 3,840,139 2,894,969 3,800,771
Total interest-bearing deposits 15,178,178 15,712,701 14,998,873 15,483,801 14,974,830
Total deposits 26,763,795 26,702,622 23,091,355 25,934,258 23,114,269
Short-term borrowings 1,733,298 2,254,731 2,063,335 2,044,923 1,790,058
Long-term debt 386,015 276,891 234,240 298,436 230,528
Other liabilities 450,729 436,845 375,438 444,225 335,113
Common stockholders' equity 3,351,593 3,465,617 3,383,738 3,441,981 3,245,071
Total liabilities & stockholders' equity $ 32,685,430 $ 33,136,706 $ 29,148,106 $ 32,163,823 $ 28,715,039
For informational purposes only - included above
SBA Paycheck Protection Program (PPP) loans $ 2,308,021 $ 1,727,797 $ — $ 1,348,786 $ —

(h) Average securities does not include unrealized holding gains/losses on available for sale securities.

HANCOCK WHITNEY CORPORATION

AVERAGE BALANCE AND NET INTEREST MARGIN SUMMARY

(Unaudited)

Three Months Ended
9/30/2020 6/30/2020 9/30/2019
(dollars in millions) Average<br><br><br>Balance Interest Rate Average<br><br><br>Balance Interest Rate Average<br><br><br>Balance Interest Rate
AVERAGE EARNING ASSETS
Commercial & real estate loans (TE) (i) $ 17,607.2 $ 155.6 3.52 % $ 17,931.8 $ 165.3 3.71 % $ 15,126.1 $ 185.5 4.87 %
Residential mortgage loans 2,807.5 27.5 3.92 % 2,923.2 28.4 3.89 % 2,978.7 30.1 4.05 %
Consumer loans 1,993.1 24.0 4.79 % 2,102.0 25.3 4.85 % 2,092.3 30.4 5.76 %
Loan fees & late charges — 15.2 0.00 % — 11.8 0.00 % — 0.1 0.00 %
Total loans (TE) (j) (k) 22,407.8 222.3 3.95 % 22,957.0 230.8 4.04 % 20,197.1 246.1 4.84 %
Loans held for sale 112.2 0.8 2.96 % 90.0 0.6 2.89 % 55.3 0.6 4.26 %
US Treasury and government<br><br><br>agency securities 165.6 0.8 1.99 % 127.1 0.8 2.31 % 141.6 0.8 2.33 %
CMOs and mortgage backed securities 5,326.2 29.4 2.21 % 5,128.2 30.4 2.37 % 4,966.5 31.4 2.53 %
Municipals (TE) 889.5 6.7 3.01 % 866.3 6.6 3.06 % 893.1 6.9 3.08 %
Other securities 8.0 0.1 4.33 % 8.0 0.1 4.31 % 3.5 0.0 3.61 %
Total securities (TE) (l) 6,389.3 37.0 2.31 % 6,129.6 37.9 2.47 % 6,004.7 39.1 2.61 %
Total short-term investments 503.0 0.1 0.10 % 837.2 0.3 0.11 % 180.5 1.0 2.01 %
Average earning assets yield (TE) $ 29,412.3 $ 260.2 3.53 % $ 30,013.8 $ 269.6 3.61 % $ 26,437.6 $ 286.8 4.31 %
INTEREST-BEARING LIABILITIES
Interest-bearing transaction and savings deposits $ 9,806.8 $ 4.2 0.17 % $ 9,387.3 $ 4.4 0.19 % $ 8,179.3 $ 15.7 0.76 %
Time deposits 2,174.6 6.0 1.09 % 3,005.1 11.9 1.60 % 3,840.1 20.0 2.07 %
Public funds 3,196.8 4.6 0.57 % 3,320.3 6.3 0.76 % 2,979.5 13.5 1.80 %
Total interest-bearing deposits 15,178.2 14.8 0.39 % 15,712.7 22.6 0.58 % 14,998.9 49.2 1.30 %
Short-term borrowings 1,733.3 1.6 0.39 % 2,254.7 2.3 0.40 % 2,063.3 8.1 1.57 %
Long-term debt 386.0 5.4 5.60 % 276.9 3.6 5.19 % 234.3 2.9 4.82 %
Total borrowings 2,119.3 7.0 1.33 % 2,531.6 5.9 0.93 % 2,297.6 11.0 1.90 %
Total interest-bearing liabilities cost 17,297.5 21.8 0.50 % 18,244.3 28.5 0.63 % 17,296.5 60.2 1.38 %
Net interest-free funding sources 12,114.8 11,769.5 9,141.1
Total cost of funds 29,412.3 21.8 0.30 % 30,013.8 28.5 0.38 % 26,437.6 60.2 0.90 %
Net Interest Spread (TE) $ 238.4 3.02 % $ 241.1 2.98 % $ 226.6 2.93 %
Net Interest Margin (TE) $ 29,412.3 $ 238.4 3.23 % $ 30,013.8 $ 241.1 3.23 % $ 26,437.6 $ 226.6 3.41 %

(i) Taxable equivalent (TE) amounts are calculated using a federal income tax rate of 21%.

(j) Includes nonaccrual loans.

(k) Included in interest income is net purchase accounting accretion of $3.2 million, $3.7 million and $4.6 million for the three months ended September 30, 2020, June 30, 2020 and September 30, 2019, respectively.

(l) Average securities does not include unrealized holding gains/losses on available for sale securities.

HANCOCK WHITNEY CORPORATION
AVERAGE BALANCE AND NET INTEREST MARGIN SUMMARY
(Unaudited)
Nine Months Ended
9/30/2020 9/30/2019
(dollars in millions) Average<br><br><br>Balance Interest Rate Average<br><br><br>Balance Interest Rate
AVERAGE EARNING ASSETS
Commercial & real estate loans (TE) (i) $ 17,217.5 $ 503.5 3.91 % $ 15,090.3 $ 551.3 4.88 %
Residential mortgage loans 2,899.6 85.4 3.93 % 2,963.7 91.4 4.11 %
Consumer loans 2,083.3 78.7 5.05 % 2,104.3 90.6 5.76 %
Loan fees & late charges — 26.4 0.00 % — (0.9 ) 0.00 %
Total loans (TE) (j) (k) 22,200.4 694.0 4.17 % 20,158.3 732.4 4.86 %
Loans held for sale 80.9 2.1 3.47 % 34.7 1.2 4.57 %
US Treasury and government agency<br><br><br>securities 139.2 2.3 2.20 % 130.5 2.2 2.30 %
CMOs and mortgage backed securities 5,198.4 91.1 2.34 % 4,706.7 90.3 2.56 %
Municipals (TE) 877.7 20.0 3.05 % 909.8 21.4 3.13 %
Other securities 8.0 0.3 4.31 % 3.5 0.1 3.33 %
Total securities (TE) (l) 6,223.3 113.7 2.44 % 5,750.5 114.0 2.64 %
Total short-term investments 515.7 0.8 0.21 % 208.3 3.4 2.20 %
Average earning assets yield (TE) $ 29,020.3 $ 810.6 3.73 % $ 26,151.8 $ 851.1 4.35 %
INTEREST-BEARING LIABILITIES
Interest-bearing transaction and savings deposits $ 9,332.6 $ 21.4 0.31 % $ 8,096.3 $ 45.6 0.75 %
Time deposits 2,895.0 33.3 1.54 % 3,800.8 57.4 2.02 %
Public funds 3,256.2 21.6 0.89 % 3,077.7 42.1 1.83 %
Total interest-bearing deposits 15,483.8 76.3 0.66 % 14,974.8 145.2 1.30 %
Short-term borrowings 2,044.9 8.4 0.55 % 1,790.1 24.1 1.93 %
Long-term debt 298.5 11.8 5.25 % 230.5 8.5 3.22 %
Total borrowings 2,343.4 20.2 1.15 % 2,020.6 32.6 2.15 %
Total interest-bearing liabilities cost 17,827.2 96.5 0.72 % 16,995.4 177.8 1.40 %
Net interest-free funding sources 11,193.1 9,156.4
Total cost of funds 29,020.3 96.5 0.44 % 26,151.8 177.8 0.91 %
Net Interest Spread (TE) $ 714.1 3.01 % $ 673.3 2.95 %
Net Interest Margin (TE) $ 29,020.3 $ 714.1 3.29 % $ 26,151.8 $ 673.3 3.44 %

(i) Taxable equivalent (TE) amounts are calculated using a federal income tax rate of 21%.

(j) Includes nonaccrual loans.

(k) Included in interest income is net purchase accounting accretion of $13.1 million and $14.4 million for the nine months ended September 30, 2020 and 2019, respectively.

(l) Average securities does not include unrealized holding gains/losses on available for sale securities.

HANCOCK WHITNEY CORPORATION

ASSET QUALITY INFORMATION

(Unaudited)

Three Months Ended Nine Months Ended
(dollars in thousands) 9/30/2020 6/30/2020 9/30/2019 9/30/2020 9/30/2019
Nonaccrual loans (m) (n) $ 171,462 $ 183,979 $ 222,860 $ 171,462 $ 222,860
Restructured loans - still accruing 9,115 9,848 60,897 9,115 60,897
Total nonperforming loans 180,577 193,827 283,757 180,577 283,757
ORE and foreclosed assets 11,640 18,724 30,955 11,640 30,955
Total nonperforming assets $ 192,217 $ 212,551 $ 314,712 $ 192,217 $ 314,712
Nonperforming assets as a percent of loans,<br><br><br>ORE and foreclosed assets 0.86 % 0.94 % 1.49 % 0.86 % 1.49 %
Accruing loans 90 days past due (o) $ 10,439 $ 5,230 $ 7,872 $ 10,439 $ 7,872
Accruing loans 90 days past due as a percent<br><br><br>of loans 0.05 % 0.02 % 0.04 % 0.05 % 0.04 %
Nonperforming assets + accuring loans 90 days past due to loans, ORE and foreclosed assets 0.91 % 0.96 % 1.53 % 0.91 % 1.53 %
PROVISION AND ALLOWANCE FOR CREDIT LOSSES
Allowance for Loan Losses:
Beginning balance $ 442,638 $ 426,003 $ 195,625 $ 191,251 $ 194,514
Cumulative effect of change in accounting principle (p) — — — 49,411 —
Provision for loan losses 30,044 319,319 12,421 578,468 38,552
Charge-offs (28,324 ) (305,917 ) (17,025 ) (381,979 ) (47,365 )
Recoveries 4,316 3,233 4,551 11,523 9,871
Net charge-offs (24,008 ) (302,684 ) (12,474 ) (370,456 ) (37,494 )
Ending Balance $ 448,674 $ 442,638 $ 195,572 $ 448,674 $ 195,572
Reserve for Unfunded Lending Commitments:
Beginning balance $ 36,571 $ 48,992 $ — $ 3,974 $ —
Cumulative effect of change in accounting principle (o) — — — 27,330 —
Provision for losses on unfunded lending commitments (5,045 ) (12,421 ) — 222 —
Ending Balance $ 31,526 $ 36,571 $ — $ 31,526 $ —
Total Allowance for Credit Losses $ 480,200 $ 479,209 $ 195,572 $ 480,200 $ 195,572
Total Provision for Credit Losses $ 24,999 $ 306,898 $ 12,421 $ 578,690 $ 38,552
Allowance for loan losses as a percent of<br><br><br>period-end loans 2.02 % 1.96 % 0.93 % 2.02 % 0.93 %
Allowance for credit losses as a percent of<br><br><br>period-end loans 2.16 % 2.12 % 0.93 % 2.16 % 0.93 %
Allowance for loan losses to nonperforming<br><br><br>loans + accruing loans 90 days past due 234.89 % 222.37 % 67.06 % 234.89 % 67.06 %
NET CHARGE-OFF INFORMATION
Net charge-offs (recoveries)
Commercial & real estate loans $ 23,210 $ 299,365 $ 8,281 $ 362,084 $ 26,965
Residential mortgage loans (288 ) (549 ) 54 (908 ) 227
Consumer loans 1,086 3,868 4,139 9,280 10,302
Total net charge-offs $ 24,008 $ 302,684 $ 12,474 $ 370,456 $ 37,494
Net charge-offs (recoveries) as a percentage<br><br><br>of average loans
Commercial & real estate loans 0.52 % 6.71 % 0.22 % 2.81 % 0.24 %
Residential mortgage loans (0.04 )% (0.08 )% 0.01 % (0.04 )% 0.01 %
Consumer loans 0.22 % 0.74 % 0.78 % 0.60 % 0.65 %
Total net charge-offs as a percentage of<br><br><br>average loans 0.43 % 5.30 % 0.25 % 2.23 % 0.25 %
For informational purposes - included above
Provision for credit loss associated with energy loan sale $ — $ 160,101 $ — $ 160,101 $ —
Charge-offs associated with energy loan sale — 242,628 — 242,628 —

(m) Included in nonaccrual loans are nonaccruing restructured loans totaling $39.9 million, $55.2 million and $101.1 million at 9/30/2020, 6/30/2020 and 9/30/2019, respectively.

(n) Nonaccrual loans do not include purchased credit impaired loans accounted for under ASC 310-30 that would have otherwise been considered nonperforming, totaling $17.8 million at 9/30/2019. Effective 1/1/2020, with the Adoption of ASC 326, such metrics include both originated and acquired balances.

(o) Loans past due 90 days or more do not include purchased credit impaired loans accounted for under ASC 310-30 that would have otherwise been considered delinquent, totaling $8.2 million at 9/30/2019.  Effective 1/1/2020, with the Adoption of ASC 326, such metrics include both originated and acquired balances.

(p) Represents the increase in the allowance upon the 1/1/20 adoption of ASC 326, commonly referred to as Current Expected Credit Losses, or CECL.

HANCOCK WHITNEY CORPORATION

ASSET QUALITY INFORMATION

(Unaudited)

Three Months Ended
(dollars in thousands) 9/30/2020 6/30/2020 3/31/2020 12/31/2019 9/30/2019
Nonaccrual loans (m) (n) $ 171,462 $ 183,979 $ 254,058 $ 245,833 $ 222,860
Restructured loans - still accruing 9,115 9,848 34,251 61,265 60,897
Total nonperforming loans 180,577 193,827 288,309 307,098 283,757
ORE and foreclosed assets 11,640 18,724 18,460 30,405 30,955
Total nonperforming assets $ 192,217 $ 212,551 $ 306,769 $ 337,503 $ 314,712
Nonperforming assets as a percent of<br><br><br>loans, ORE and foreclosed assets 0.86 % 0.94 % 1.42 % 1.59 % 1.49 %
Accruing loans 90 days past due (o) $ 10,439 $ 5,230 $ 17,790 $ 6,582 $ 7,872
Accruing loans 90 days past due as a<br><br><br>percent of loans 0.05 % 0.02 % 0.08 % 0.03 % 0.04 %
Nonperforming assets + accruing loans 90 days past due to loans, ORE and foreclosed assets 0.91 % 0.96 % 1.51 % 1.62 % 1.53 %
PROVISION AND ALLOWANCE FOR CREDIT LOSSES:
Allowance for loan losses $ 448,674 $ 442,638 $ 426,003 $ 191,251 $ 195,572
Reserve for unfunded lending commitments 31,526 36,571 48,992 3,974 —
Total allowance for credit losses $ 480,200 $ 479,209 $ 474,995 $ 195,225 $ 195,572
Total provision for credit losses $ 24,999 $ 306,898 $ 246,793 $ 9,156 $ 12,421
Allowance for loan losses as<br><br><br>a percentage of period-end loans 2.02 % 1.96 % 1.98 % 0.90 % 0.93 %
Allowance for credit losses as a percentage of period-end loans 2.16 % 2.12 % 2.21 % 0.92 % 0.93 %
Allowance for loan losses to nonperforming loans + accruing loans 90 days past due 234.89 % 222.37 % 139.17 % 60.97 % 67.06 %
NET CHARGE-OFF INFORMATION
Net charge-offs (recoveries)
Commercial & real estate loans $ 23,210 $ 299,365 $ 39,509 $ 4,856 $ 8,281
Residential mortgage loans (288 ) (549 ) (71 ) 140 54
Consumer loans 1,086 3,868 4,326 4,507 4,139
Total net charge-offs $ 24,008 $ 302,684 $ 43,764 $ 9,503 $ 12,474
Net charge-offs (recoveries) as a<br><br><br>percentage of average loans
Commercial & real estate loans 0.52 % 6.71 % 0.99 % 0.12 % 0.22 %
Residential mortgage loans (0.04 )% (0.08 )% (0.01 )% 0.02 % 0.01 %
Consumer loans 0.22 % 0.74 % 0.81 % 0.83 % 0.78 %
Total net charge-offs as a<br><br><br>percentage of average loans 0.43 % 5.30 % 0.83 % 0.18 % 0.25 %
AVERAGE LOANS
Commercial & real estate loans $ 17,607,186 $ 17,931,805 $ 16,109,162 $ 15,881,272 $ 15,126,060
Residential mortgage loans 2,807,568 2,923,247 2,968,962 3,004,784 2,978,712
Consumer loans 1,993,071 2,101,980 2,155,892 2,151,886 2,092,342
Total average loans $ 22,407,825 $ 22,957,032 $ 21,234,016 $ 21,037,942 $ 20,197,114
For informational purposes - included above
Provision for credit loss associated with energy loan sale $ — $ 160,101 $ — $ — $ —
Charge-offs associated with energy loan sale — 242,628 — — —

(m) Included in nonaccrual loans are nonaccruing restructured loans totaling $39.9 million, $55.2 million, $117.9 million, $132.5 million and $101.1 million at 9/30/2020, 6/30/2020, 3/31/2020, 12/31/2019 and 9/30/2019, respectively.

(n) Nonaccrual loans do not include purchased credit impaired loans accounted for under ASC 310-30 that would have otherwise been considered nonperforming, totaling $17.5 million and $17.8 million at 12/31/2019 and 9/30/2019, respectively. Effective 1/1/2020, with the Adoption of ASC 326, such metrics include both originated and acquired balances.

(o) Loans past due 90 days or more do not include purchased credit impaired loans accounted for under ASC 310-30 that would have otherwise been considered delinquent, totaling $8.3 million and $8.2 million at 12/31/2019 and 9/30/2019, respectively.  Effective 1/1/2020, with the Adoption of ASC 326, such metrics include both originated and acquired balances.

HANCOCK WHITNEY CORPORATION

Appendix A to the Earnings Release

Reconciliation of Non-GAAP Measures

TOTAL REVENUE (TE) AND OPERATING PRE-PROVISION NET REVENUE (TE)

Three Months Ended Nine Months Ended
(in thousands) 9/30/2020 6/30/2020 3/31/2020 12/31/2019 9/30/2019 9/30/2020 9/30/2019
Net interest income $ 235,183 $ 237,866 $ 231,188 $ 233,156 $ 222,939 $ 704,237 $ 662,061
Noninterest income 83,748 73,943 84,387 82,924 83,230 242,078 232,983
Total revenue $ 318,931 $ 311,809 $ 315,575 $ 316,080 $ 306,169 $ 946,315 $ 895,044
Taxable equivalent adjustment (q) 3,189 3,248 3,448 3,580 3,652 9,885 11,194
Total revenue (TE) $ 322,120 $ 315,057 $ 319,023 $ 319,660 $ 309,821 $ 956,200 $ 906,238
Noninterest expense (195,774 ) (196,539 ) (203,335 ) (197,856 ) (213,554 ) (595,648 ) (572,821 )
Nonoperating expense — — — 3,856 28,810 — 28,810
Operating pre-provision net revenue (TE) $ 126,346 $ 118,518 $ 115,688 $ 125,660 $ 125,077 $ 360,552 $ 362,227

OPERATING EARNINGS (LOSS) PER SHARE - DILUTED

Three Months Ended Nine Months Ended
(in thousands, except per share amounts) 9/30/2020 6/30/2020 3/31/2020 12/31/2019 9/30/2019 9/30/2020 9/30/2019
Net income (loss) $ 79,356 $ (117,072 ) $ (111,033 ) $ 92,132 $ 67,807 $ (148,749 ) $ 235,248
Net income and dividends allocated to participating securities (1,436 ) (422 ) (427 ) (1,566 ) (1,141 ) (1,278 ) (3,980 )
Net income (loss) available to common shareholders 77,920 (117,494 ) (111,460 ) 90,566 66,666 (150,027 ) 231,268
Nonoperating items, net of income tax — — — 3,046 22,760 — 30,726
Nonoperating items allocated to participating securities — — — (52 ) (383 ) — (517 )
Operating earnings (loss) available to common shareholders $ 77,920 $ (117,494 ) $ (111,460 ) $ 93,560 $ 89,043 $ (150,027 ) $ 261,477
Weighted average common shares - diluted 86,400 86,301 87,186 88,315 86,462 86,614 86,010
Earnings (loss) per share - diluted $ 0.90 $ (1.36 ) $ (1.28 ) $ 1.03 $ 0.77 $ (1.73 ) $ 2.69
Operating earnings (loss) per share - diluted $ 0.90 $ (1.36 ) $ (1.28 ) $ 1.06 $ 1.03 $ (1.73 ) $ 3.04

QUARTER EARNINGS PER SHARE - DILUTED, IMPACT OF ENERGY LOAN SALE

Three Months Ended
(in thousands, except per share amounts) 6/30/2020
1
Provision for credit losses attributable to the sale of energy loans $ 160,101
Income tax benefit at a 21% rate (33,621 )
Impact of energy loan sale, net of income tax $ 126,480
Weighted average common shares - diluted 86,323
Impact of energy loan sale per share - diluted $ (1.47 )

(q) Taxable equivalent (TE) amounts are calculated using a federal income tax rate of 21%.

17

hwc-ex992_7.pptx.htm

Slide 1

Third Quarter 2020 Earnings Conference Call 10/20/2020 Exhibit 99.2

Slide 2

This presentation contains 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. Forward-looking statements that we may make include statements regarding our expectations regarding our performance and financial condition, balance sheet and revenue growth, the provision for credit losses, loan growth expectations, management’s predictions about charge-offs for loans, including energy-related credits, the impact of significant decreases in oil and gas prices on our energy portfolio, the impact of the COVID-19 pandemic on the economy and our operations, the adequacy of our enterprise risk management framework, the impact of the MidSouth acquisition or future business combinations on our performance and financial condition, including our ability to successfully integrate the businesses, success of revenue-generating initiatives, the effectiveness of derivative financial instruments and hedging activities to manage risks, projected tax rates, increased cybersecurity risks, including potential business disruptions or financial losses, the adequacy of our internal controls over financial reporting, the financial impact of regulatory requirements and tax reform legislation (including potential future legislation enacted as a result of the upcoming 2020 election), the impact of the change in the referenced rate reform, deposit trends, credit quality trends, the impact of PPP loans on our results, changes in interest rates, net interest margin trends, future expense levels, future profitability, improvements in expense to revenue (efficiency) ratio, purchase accounting impacts, accretion levels and expected returns. Also, any statement that does not describe historical or current facts is a forward-looking statement. These statements often include the words “believes,” “expects,” “anticipates,” “estimates,” “intends,” “plans,” “forecast,” “goals,” “targets,” “initiatives,” “focus,” “potentially,” “probably,” “projects,” “outlook," or similar expressions or future conditional verbs such as “may,” “will,” “should,” “would,” and “could.” Forward-looking statements are based upon the current beliefs and expectations of management and on information currently available to management. Our statements speak as of the date hereof, and we do not assume any obligation to update these statements or to update the reasons why actual results could differ from those contained in such statements in light of new information or future events. Given the many unknowns and risks being heavily weighted to the downside, our forward-looking statements are subject to the risk that conditions will be substantially different than we are currently expecting. If efforts to contain COVID-19 are unsuccessful and restrictions on movement last into the fourth quarter or beyond, the recession would be much longer and much more severe. Ineffective fiscal stimulus, or an extended delay in implementing it, are also major downside risks. The deeper the recession is, and the longer it lasts, the more it will damage consumer fundamentals and sentiment. This could both prolong the recession, and/or make any recovery weaker. Similarly, the recession could damage business fundamentals, and an extended global recession due to COVID-19 would weaken the U.S. recovery. As a result, the outbreak and its consequences, including responsive measures to manage it, have had and are likely to continue to have an adverse effect, possibly materially, on our business and financial performance by adversely affecting, possibly materially, the demand and profitability of our products and services, the valuation of assets and our ability to meet the needs of our customers. Forward-looking statements are subject to significant risks and uncertainties. Any forward-looking statement made in this release is subject to the safe harbor protections set forth in the Private Securities Litigation Reform Act of 1995. Investors are cautioned against placing undue reliance on such statements. Actual results may differ materially from those set forth in the forward-looking statements. Additional factors that could cause actual results to differ materially from those described in the forward-looking statements can be found in Part I, “Item 1A. Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2019, in Part II, “Item 1A. Risk Factors” in our Quarterly Report on Form 10-Q for the quarter ended June 30, 2020 and in other periodic reports that we file with the SEC. Important cautionary statement about forward-looking statements

Slide 3

Non-GAAP Reconciliations & Glossary of Terms Throughout this presentation we may use non-GAAP numbers to supplement the evaluation of our performance. The items noted below with an asterisk, "*", are considered non-GAAP. These non-GAAP financial measures should not be considered alternatives to GAAP-basis financial statements, and other bank holding companies may define or calculate these non-GAAP measures or similar measures differently. Reconciliations of those non-GAAP measures to the comparable GAAP measure are included in the appendix to this presentation. The earnings release, financial tables and supporting slide presentation can be found on the company’s Investor Relations website at investors.hancockwhitney.com. 1H20 – First Half of 2020 1Q20 – First Quarter of 2020 1Q21 – First Quarter of 2021 2H20 – Second Half of 2020 2Q20 – Second Quarter of 2020 3Q19 – Third Quarter of 2019 3Q20 – Third Quarter of 2020 4Q20 – Fourth Quarter of 2020 AFS – Available for sale securities ACL – Allowance for credit losses Annualized – Calculated to reflect a rate based on a full year bps – basis points BOLI – Bank-owned life insurance CCB – Capital Conservation Buffer C&D – Construction and land development loans C&I – Commercial and industrial loans CDI – Core Deposit Intangible CECL – Current Expected Credit Losses (new accounting standard effective 1/1/2020) CET1 – Common Equity Tier 1 Ratio COVID-19 – Pandemic related virus CRE – Commercial real estate CSO – Corporate strategic objective DDA – Noninterest-bearing demand deposit accounts DP – Data processing (e) - Estimated *Efficiency ratio – noninterest expense to total net interest (TE) and noninterest income, excluding amortization of purchased intangibles and nonoperating items Energy Cycle – Refers to the energy cycle beginning in November of 2014 EOP – End of period EPS – Earnings per share FTE – Full time equivalent HFS – Held for sale HTM – Held to maturity securities ICRE – Income-producing commercial real estate IRR – Interest rate risk LIBOR – London Inter-Bank Offered Rate Linked-quarter (LQ) – current quarter compared to previous quarter LOB – Line of Business LQA – Linked-quarter annualized M&A – Mergers and acquisitions MM – Dollars in millions MSL – MidSouth Bancorp, Inc. NII – Net interest income *NIM – Net interest margin (TE) NPA – Nonperforming assets NPL – Nonperforming loans O&G – Oil and gas OCI – Other comprehensive income OFA – Other foreclosed assets *Operating – Financial measure excluding nonoperating items *Operating Leverage – Operating revenue (TE) less operating expense ORE – Other real estate PAA – Purchase accounting adjustments from business combinations; including loan accretion, offset by any amortization of a bond portfolio premium, amortization of an indemnification asset and amortization of intangibles *PPNR – Pre-provision net revenue PPP – SBA’s Paycheck Protection Program related to COVID-19 RBL – Reserve-based lending ROA – Return on average assets ROTCE – Return on tangible common equity SBA – Small Business Administration S1 – Stronger Near-term Growth S2 – Slower Near-term Growth S3 – Moderate Recession S4 – Protracted Slump TCE – Tangible common equity ratio (common shareholders’ equity less intangible assets divided by total assets less intangible assets) TDR – Troubled Debt Restructuring TE – Taxable equivalent (calculated using the current statutory federal tax rate) Y-o-Y – Year over year

Slide 4

Corporate Profile (as of September 30, 2020) $33.2 billion in Total Assets $22.2 billion in Total Loans (includes $2.3 billion in PPP loans) $27.0 billion in Total Deposits CET1 ratio 10.29%(e); Tangible Common Equity (TCE) ratio 7.53% $1.6 billion in Market Capitalization Over 200 banking locations and nearly 300 ATMs across our footprint Approximately 4,050 (FTE) employees corporate-wide Moody’s long-term issuer rating: Baa3 S&P long-term issuer rating: BBB Named one of America’s Best Midsize Employers by Forbes Rated among the strongest, safest financial institutions in the country by BauerFinancial, Inc. for 124 consecutive quarters Earned top customer service marks with Greenwich Excellence Awards

Slide 5

Third Quarter 2020 Net income of $79.4 million, or $.90 per diluted share, compared to a loss of $117.1 million, or ($1.36), in 2Q20 2Q20 included energy loan sale provision of $160.1 million, or ($1.47), and COVID-19 provision of $146.8 million, or ($1.34) Pre-provision net revenue (PPNR) totaled $126.3 million, up $7.8 million, or 7%, linked-quarter 3Q20 provision totaled $25 million, net charge-offs totaled $24 million; ACL remains strong at 2.40% (excluding PPP loans) NIM stable at 3.23% Nonperforming loans declined $13 million, or 7%, linked-quarter Criticized commercial loans increased $64 million, or 18%, linked quarter, reflecting the economic impact of COVID-19 on many clients CET1 ratio 10.29%, up 51 bps; TCE ratio 7.53%, up 20 bps Loans declined $388 million linked-quarter, reflecting the current economic environment Deposits decreased $292 million linked-quarter, mainly reflecting a reduction in brokered CD funding *Non-GAAP measures. See slides 31-33 for non-GAAP reconciliations. ($s in millions; except per share data) 3Q20 2Q20 3Q19 Net Income (loss) $79.4 ($117.1) $67.8 Provision for credit losses excluding loan sale $25.0 $146.8 $12.4 Provision related to energy loan sale -— $160.1 -— Merger-related costs -— -— 28.8 Earnings Per Share – diluted $0.90 ($1.36) $0.77 Return on Assets (%) (ROA) 0.97 (1.42) 0.92 Return on Tangible Common Equity (%) (ROTCE) 13.14 (18.75) 10.77 Net Interest Margin (%) 3.23 3.23 3.41 Net Charge-offs (%) 0.43 5.30 0.25 CET1 Ratio (%) 10.29 9.78 11.02 Tangible Common Equity (%) 7.53 7.33 8.82 Pre-Provision Net Revenue (TE)* $126.3 $118.5 $125.1 Efficiency Ratio (%) 59.3 60.7 58.1

Slide 6

2020 Hurricane Season Impact Hurricane Laura Hurricane Sally Hurricane Delta Hurricane Delta made landfall in Southwest Louisiana October 9 29 banking locations in hurricane impacted areas Hurricane Sally made landfall September 16 in Gulf Shores, AL 7 banking locations in hurricane impacted areas Hurricane Laura made landfall in Southwest Louisiana August 26-27, about 70 miles from the LA/TX border 29 banking locations in hurricane impacted areas The overactive hurricane season impacted several of our Gulf Coast markets, including Southwest Louisiana, Alabama and the Florida Panhandle No material provision expense is expected from the impact of the hurricanes Mobile banking units and ATMS were deployed to affected areas Provided 55,000 hot meals to impacted families

Slide 7

Loans totaled $22.2 billion, down $388 million, net, linked-quarter Lack of quarterly loan growth reflects limited demand throughout the footprint Mortgage, indirect and consumer loans are main drivers of decline Energy portfolio down $14 million linked-quarter Nonenergy commercial loans down $153 million from June 30, 2020 related to payoffs, paydowns and charge-offs Loan growth expectations tempered through the end of 2020 3Q Loan Decline Reflects Current Economic Environment

Slide 8

PPP Loans The company originated more than 13,000 PPP loans totaling $2.4 billion in rounds 1 and 2 of the program, with 11,874 loans, or $785 million, in loans less than $350K (see chart below) Total fees approximate $75 million Effective yield on PPP loans approximately 4% based on current expectations Impact of PPP loans will continue to be significant through 4Q20 then begin to decline as forgiveness ramps up PPP Loans by Market $2.4 billion Originated PPP Loan Data Loan Size # of Loans $ of Loans (billions) SBA Fee % $ Fee (millions) <$350k 11,874 $0.8 5.00% $39.2 $350k -$2mm 1,259 $1.0 3.00% $29.3 >$2mm 170 $0.6 1.00% $6.0 Total 13,303 $2.4 3.15% $74.5

Slide 9

Commercial Loans (C&I, CRE, C&D)* *Excludes $2.3 billion in net PPP loans As of September 30, 2020 Total Commercial Loans Outstanding % of Total Loans Commitment ($s in millions) Real Estate, Rental and Leasing $3,299 16.6% $4,164 Retail Trade 1,767 8.9% 2,128 Health Care and Social Assistance 1,588 8.0% 2,099 Hospitality 1,162 5.8% 1,288 Manufacturing 969 4.9% 1,607 Construction 838 4.2% 1,703 Transportation and Warehousing 833 4.2% 1,048 Public Administration 697 3.5% 720 Wholesale Trade 683 3.4% 1,201 Finance and Insurance 659 3.3% 1,123 Professional, Scientific, and Technical Services 495 2.5% 868 Other Services (except Public Administration) 454 2.3% 550 Educational Services 340 1.7% 513 Energy 338 1.7% 509 Other (less than 1% individually) 1,094 5.5% 2,202 Grand Total $15,216 76.4% $21,723

Slide 10

Retail – 8.9% of Total Loans* Retail ICRE portfolio is fairly segmented and primarily comprised of national anchored centers, single credit tenant facilities, and unanchored centers Retail goods and services is diversified across numerous subsectors with the larger concentrations in convenience stores, automobile dealerships and food/beverage stores Excludes $193 million in PPP loans $33 million in active deferrals as of 9-30-20 East (MS, AL, FL, TN); Central (Greater N.O., SELA); West (SWLA, TX) *Excludes PPP loans $ in Millions East Central West Other Total Commitment $ NPL % NPL $ Criticized % Criticized $ Deferrals % Deferrals Retail - ICRE $149 $312 $210 — $671 $721 -— -— $1 — $7 1% Gasoline Stations 67 204 99 8 378 452 1 — 1 — 9 2% Motor Vehicle and Parts Dealers 108 96 77 — 281 373 1 — 1 — 13 5% Food and Beverage Stores 17 58 16 42 132 155 — — 1 1% — — Furniture and Home Furnishings Stores 36 2 33 — 71 113 4 6% 4 6% — — Nonstore Retailers 7 1 2 51 61 68 — — — — — 1% Building Material and Garden Equipment and Supplies Dealers 43 15 5 — 62 83 — — 5 8% 2 3% Health and Personal Care Stores 22 6 2 — 30 43 — — 1 3% — — Miscellaneous Store Retailers 8 15 4 — 27 48 — — — — 1 2% Clothing and Clothing Accessories Stores 14 5 5 — 24 29 — — — — — — General Merchandise 23 — — — 23 30 — — — — — — Sporting Goods, Hobby, Book, and Music Stores 2 2 — — 4 8 — — — — — — Electronics and Appliance Stores 1 — — — 2 4 — — — — — — TOTAL RETAIL $498 $716 $452 $101 $1,767 $2,128 $6 — $14 1% $33 2%

Slide 11

Healthcare – 8.0% of Total Loans* Healthcare predominantly includes doctors’ offices, nursing/long-term care and hospitals and represents 8.0% of total loans Approximately half of the healthcare outstandings are in our Nashville market managed by our dedicated healthcare lending team, while the remaining represents regional relationships and real estate loans to customers in our footprint Excludes $311 million in PPP loans $9 million in active deferrals as of 9-30-20 East (MS, AL, FL, TN); Central (Greater N.O., SELA); West (SWLA, TX) *Excludes PPP loans $ in Millions East Central West Other Total Commitment $ NPL % NPL $ Criticized % Criticized $ Deferrals % Deferrals Offices of Physicians & Dentists $285 $114 $66 12 $478 $601 $1 — $3 1% $8 2% Assisted Living (ICRE) 222 56 94 — 372 435 — — 10 3% — — Hospitals 94 112 74 8 288 439 1 1% 1 1% — — Assisted Living (non-ICRE) 114 62 31 — 207 238 14 7% 15 7% — — Ambulatory Healthcare Services 112 24 44 7 188 314 — — 24 13% — — Social Assistance 21 15 14 5 54 71 — — — — 1 2% TOTAL HEALTHCARE $848 $383 $324 $33 $1,588 $2,099 $17 1% $54 3% $9 1%

Slide 12

Hospitality – 5.8% of Total Loans* As a result of COVID-19, business, leisure and international travel has generally ceased and is likely to be significantly curtailed in the near term Hospitality is comprised of Accommodation & Food Service and Arts, Entertainment & Recreation and represents 5.8% of total loans Excludes $223 million in PPP loans $125 million in active deferrals as of 9-30-20 East (MS, AL, FL, TN); Central (Greater N.O., SELA); West (SWLA, TX) *Excludes PPP loans $ in Millions East Central West Other Total Commitment $ NPL % NPL $ Criticized % Criticized $ Deferrals % Deferrals Hotel $173 $250 $100 — $523 $557 $1 — $17 3% $79 15% Restaurants Full Service, Casual Dining and Bars 116 193 61 — 370 407 2 — 21 6% 39 11% Entertainment 30 99 18 — 147 175 1 — 12 8% 6 4% Restaurants Limited Service 31 24 66 — 121 149 — — 1 1% 2 1% TOTAL HOSPITALITY $350 $566 $246 --- $1,162 $1,288 $3 — $52 4% $125 11%

Slide 13

Energy loans totaled $338 million, or 1.7% of total loans, down $14 million, or 4%, linked-quarter As a result of the energy loan sale - closed July 21, 2020 and included in 2Q20 results - our remaining energy portfolio is comprised mostly of support services credits Energy ACL at September 30, 2020 was 6.3% $2 million in active deferrals as of 9-30-20 Energy – 1.7% of Total Loans* *Excludes PPP loans $ in Millions East Central West Other Total Commitment $ NPL % NPL $ Criticized % Criticized $ Deferrals % Deferrals Support Nondrilling $1 $190 $57 — $248 $335 $16 7% $58 23% $2 1% Upstream — 1 — — 1 2 — --- — --- — — Midstream — — 2 — 2 5 — — 1 43% — — Support Drilling 1 7 79 — 88 139 — — 22 25% 1 1% Downstream — — — — — — — — — --- — — TOTAL ENERGY $2 $198 $138 -— $338 $481 $16 5% $81 24% $2 1%

Slide 14

3Q20 Sectors Under Focus* *Excludes PPP loans As of September 30, 2020 $ in million Loans $ NPL % NPL $ Criticized % Criticized $ Deferrals % Deferrals Health Care and Social Assistance               Hospitals 288 1 1% 1 1% — — Offices of Physicians & Dentists 478 1 — 3 1% 8 2% Assisted Living (ICRE) 372 — — 10 3% — — Assisted Living (non-ICRE) 207 14 7% 15 7% — — All other Health Care 242 — — 24 10% 1 — Total Health Care and Social Assistance 1,588 17 1% 54 3% 9 1% Hospitality               Hotel 523 1 — 17 3% 79 15% Restaurants Full Service, Casual Dining and Bars 370 2 — 21 6% 39 11% Restaurants Limited Service 121 — — 1 1% 2 1% Entertainment 147 1 — 12 8% 6 4% Total Hospitality 1,162 3 — 52 4% 125 11% Retail               Retail - ICRE 671 — — 1 — 7 1% Retail Goods and Services 1,096 6 1% 13 1% 26 2% Total Retail Trade 1,767 6 — 14 1% 33 2% Energy 338 16 5% 81 24% 2 1% GRAND TOTAL 4,855 42 1% 200 4% 170 4%

Slide 15

Deferrals peaked on 5/14/20 at $3.6 billion of outstandings; totaled $284 million at 9-30-20 Approximately $157 million of deferrals expired during the month of September We expect certain clients will need extended deferrals and some will need a structured solution Most COVID-19 Related Deferrals Return to Paying Status $s in billions Total Deferrals - $3.6B Expired Deferrals - $3.3 billion Active Deferrals - $284 million Paying/Paid Off – $3.0 billion* (91% of Expired Deferrals) Pending Payment - $328 million Commercial $211 million Consumer $73 million * Includes $222 million in Structured Solutions

Slide 16

NPLs Lower; Criticized Loans Begin to Show Impact of COVID-19 Nonperforming loans totaled $181 million at September 30, 2020, down $13 million, or 7%, linked-quarter Total nonperforming loans $284 $307 $288 $194 $181 % of total loans* 1.35% 1.45% 1.34% 0.95% 0.91% % of total loans* *Excludes PPP loans Criticized commercial loans totaled $412 million at September 30, 2020, up $64 million, or 18%, linked-quarter Total criticized commercial loans $659 $581 $530 $348 $412 % of total commercial loans* 4.15% 3.62% 3.24% 2.26% 2.70%

Slide 17

Provision for Credit Losses Provision for the third quarter of 2020 totaled $25.0 million, including charge-offs of $24.0 million and a reserve build of $1.0 million Weighting applied to Moody's September 2020 economic scenarios was consistent with the prior quarter Additional provisions may be required if the economy deteriorates beyond current forecasts Significant assumptions in economic forecasts incorporate a second pandemic wave not significant enough to shut down the economy, an anticipated widely distributed COVID-19 vaccine in early to mid 2021 and an additional government stimulus in late 2020/early 2021 Net charge-offs included $17.3 million from healthcare-dependent credits, $6.0 million of various other commercial credits and no charge-offs from energy credits Expect 4Q20 provision to remain in line with 3Q20 provision and approximate net charge-offs  ($s in millions) Charge-Offs Reserve Build (Release) Total Provision Commercial Nonenergy $23.2 $6.8 $30.0 Energy - 1.5 1.5 Residential Mortgage (0.3) (5.6) (5.9) Consumer 1.1 (1.7) (0.6) Total $24.0 $1.0 $25.0

Slide 18

Total ACL (including the reserve for unfunded commitments) as a percentage of total loans at September 30, 2020 was 6.33% for the energy portfolio and 2.09% for the nonenergy portfolio At June 30, 2020, the ACL percentage to total loans was 5.66% for the energy portfolio and 2.06% for the nonenergy portfolio Allowance for Credit Losses (ACL) 9/30/2020 6/30/2020 Portfolio ($ in millions) Amount % of Loan and Leases Outstanding Amount % of Loan and Leases Outstanding Commercial Nonenergy $326 2.19% $317 2.10% Energy 20 5.93% 18 5.30% Residential Mortgage 52 1.88% 57 2.02% Consumer 49 2.49% 50 2.43% PPP Loans 2 0.10%  --- --- Allowance for Loan and Lease Losses $449 2.02% $442 1.96% Reserve for Unfunded Lending Commitments 31 ---  37 ---  Allowance for Credit Losses $480 2.16% $479 2.12% Allowance for Credit Losses – Excluding PPP Loans $478 2.40% $479 2.36%

Slide 19

Securities Portfolio Conservative with Minimal Risk Portfolio totaled $6.8 billion, up $671 million, or 11%, linked-quarter due to reinvestment of excess liquidity 100% fixed rate, no credit impairment MBS and CMO holdings are all US Agency backed securities or direct obligations of the US government CMBS have prepayment protection and principal is fully guaranteed by the US Agencies Municipal portfolio credit quality is strong with 100% of the portfolio either investment grade, pre-refunded, or has a AA insured underlying rating Premium amortization totaled $11.5 million, up $1.5 million linked-quarter Yield 2.31%, down 16 bps linked-quarter Unrealized net gain of $236.8 million on AFS up slightly from June 30, 2020 21% HTM, 79% AFS Duration 4.00 years compared to 3.79 years at June 30, 2020

Slide 20

Higher Core Deposits Reflects Resiliency Total deposits of $27.0 billion, down $292 million, or 1%, linked-quarter Noninterest-bearing demand deposits (DDAs) increased $122 million Interest-bearing transaction and savings deposits increased $367 million Time deposits (retail) decreased $239 million Time deposits (brokered) decreased $392 million Interest-bearing public fund deposits decreased $150 million DDAs comprised 44% of total period-end deposits September cost of deposits 20 bps, down 46 bps from year-end and down 9 bps from June 2020

Slide 21

Strong Liquidity $18 Billion in Available Sources $ in millions Total Available Amount Used Net Availability Internal Sources       Free Securities and other $4,719 $— $4,719 External Sources     Federal Home Loan Bank (FHLB) 6,248 2,591 3,657 Federal Reserve Bank (FRB) 4,567 — 4,567 Brokered Deposits 4,055 105 3,950 Other 1,244 — 1,244 TOTAL LIQUIDITY $20,833 $2,696 $18,137 * Includes PPP loans

Slide 22

Net interest margin (NIM) stable at 3.23%; net interest income (TE) down $2.7 million 3Q20 Headwinds: Impact of lower securities yield Lower accretion levels related to MSL acquisition Full quarter impact of subdebt (issued June 2020) Anemic loan growth 3Q20 Tailwinds: Focus on lower cost of deposits Impact of PPP loans (approximately 4% effective yield) Reduction of surplus liquidity related to COVID-19 Proactive deposit pricing helped offset the impact from a lower rate environment Expect 4Q20 NIM to remain relatively stable NIM to Remain Relatively Stable in 2020 Cost of Deposits

Slide 23

Loans, excluding PPP, totaled $19.9 billion at September 30, 2020 Loan portfolio 54% ($11 billion) variable at September 30, 2020 (excludes PPP) 59% ($6.3 billion) of variable loans are LIBOR-based (32% of total loan portfolio) 98% of the LIBOR loans are tied to 1 month LIBOR; 2% of the LIBOR loans are tied to 3 month LIBOR 31% ($3.3 billion) tied to Wall Street Journal Prime Approximately 35% ($3.4 billion) of variable rate loans are at or below their floor (excludes mortgage and credit cards) Majority of floors are struck at a Fed Funds level of 1.00%, with $1.7B in loans striking floors at this level; once rates increase above 1%, the majority of these floored loans will convert back to floating $1.2 billion of receive fixed/pay variable swaps on the balance sheet (receive 217 bps, pay 1 month Libor) IRR Sensitivity

Slide 24

Improvement in Fee Income; Some Nonrecurring Noninterest income totaled $83.7 million, up $9.8 million, or 13% linked-quarter Service charges and bank card & ATM fees up primarily due to increased activity, although lower than pre-pandemic levels Secondary mortgage fees impacted by favorable rate environment Other income increase related to higher levels of specialty income (BOLI) in 3Q20 Similar levels of mortgage and specialty income not expected in 4Q20

Slide 25

A Focus on Expense Control; More Initiatives Underway Noninterest expense totaled $195.8 million, down $0.8 million, or less than 1% linked-quarter Personnel expense decrease mostly related to lower incentive pay and payroll taxes Professional services increase related to consulting fees associated with PPP forgiveness Expect a lower level of expense in 4Q20 related to the impact of the following initiatives implemented in 3Q20 and a continued focus on expense control: Closed 2 NY/NJ trust offices in mid-September Closing 12 branch locations in LA and MS in late October 2020 FTE headcount down 138 from June 30, 2020 due in part to higher vacancy and attrition levels, as well as other cost reduction measures

Slide 26

Rebuilding Capital After 1H20 De-Risking Activities TCE ratio 7.53%, up 20 bps linked-quarter (8.12% excluding PPP loans) Tangible net earnings +26 bps Dividends -7 bps Change in OCI & other +1 bp CET1 ratio 10.29%, up 51 bps linked-quarter Issued $172.5 million of tier 2 capital (subdebt) in June of 2020 Intend to pay quarterly dividend in consultation with examiners; board reviews dividend policy quarterly Buybacks on hold Expect reported TCE to approximate 8% by year-end 2020 Tangible Common Equity Ratio Leverage (Tier 1) Ratio CET1 Ratio and Tier 1 Risked-Based Capital Ratio Total Risk-Based Capital Ratio September 30, 2020 7.53% 7.70%(e) 10.29%(e) 12.90%(e) June 30, 2020 7.33% 7.37% 9.78% 12.36% March 31, 2020 8.00% 8.40% 10.02% 11.87% December 31, 2019 8.45% 8.76% 10.50% 11.90% September 30, 2019 8.82% 9.49% 11.02% 12.43% (e) Estimated for most recent period-end; effective March 31, 2020 regulatory capital ratios reflect the election to use the five-year CECL transition rules

Slide 27

Solid Capital In Excess of Regulatory Minimums (1) Regulatory minimum with Capital Conservation Buffer (CCB) must be met in order for a bank holding company to engage in certain capital activities including, but not limited to, paying shareholder dividends. Leverage ratio does not have a CCB requirement. September 30, 2020 estimated regulatory capital ratios reflect the election to use the five-year CECL transition rules. Estimated Regulatory Capital as of September 30, 2020 $s in millions Common Equity Tier 1 Tier 1 Capital Total Risk-based Capital Tier 1 Leverage Ratio Total Asset Base $23,781 $23,781 $23,781 $31,772 Total Capital 2,446 2,446 3,067 2,446 Capital Ratio 10.29% 10.29% 12.90% 7.70% Regulatory Minimum $ with CCB (1) 1,665 2,021 2,497 1,271 Regulatory Minimum with CCB (1) 7.00% 8.50% 10.50% 4.00% Capital in excess of Regulatory 782 425 570 1,175 minimum with CCB 3.29% 1.79% 2.40% 3.70%

Slide 28

Appendix and Non-GAAP Reconciliations

Slide 29

Results *Non-GAAP measures. See slides 31-33 for non-GAAP reconciliations   3Q19 4Q19 1Q20 2Q20 3Q20 Operating PPNR (TE)* ($000) 125,077 125,660 115,688 118,518 126,346 Net Interest Income (TE)* ($000) 226,591 236,736 234,636 241,114 238,372 Net Interest Margin (TE)* 3.41% 3.43% 3.41% 3.23% 3.23% Noninterest Income ($000) 83,230 82,924 84,387 73,943 83,748 Operating Expense* ($000) 184,744 194,000 203,335 196,539 195,774 Efficiency Ratio* 58.05% 58.88% 62.06% 60.74% 59.29%

Slide 30

Balance Sheet Summary   3Q19 4Q19 1Q20 2Q20 3Q20 Average Loans ($MM) 20,197 21,038 21,234 22,957 22,408 Average Total Securities ($MM) 6,005 6,202 6,149 6,130 6,389 Average Deposits ($MM) 23,091 23,848 24,327 26,703 26,764 Loan Yield (TE) 4.84% 4.69% 4.56% 4.04% 3.95% Cost of Interest Bearing Deposits 1.30% 1.11% 1.01% 0.58% 0.39% Tangible Common Equity Ratio 8.82% 8.45% 8.00% 7.33% 7.53%

Slide 31

Operating Earnings & EPS Non-GAAP to GAAP Reconciliations   Three Months Ended (in thousands, except per share amounts) 9/30/2020 6/30/2020 3/31/2020 12/31/2019 9/30/2019 Net Income (loss) $79,356 ($117,072) ($111,033) $92,132 $67,807 Net income or dividends allocated to participating securities (1,436) (422) (427) (1,566) (1,141) Net income (loss) available to common shareholders $77,920 ($117,494) ($111,460) $90,566 $66,666 Nonoperating items, net of income tax — — — 3,046 22,760 Nonoperating items allocated to participating securities — — — (52) (383) Operating earnings available to common shareholders $77,920 ($117,494) ($111,460) $93,560 $89,043             Weighted average common shares – diluted 86,400 86,301 87,186 88,315 86,462             Earnings per share – diluted $0.90 ($1.36) ($1.28) $1.03 $0.77 Operating earnings per share - diluted $0.90 ($1.36) ($1.28) $1.06 $1.03

Slide 32

Operating ROA, ROE & ROTCE Reconciliations   Three Months Ended (dollars in thousands) 9/30/2020 6/30/2020 3/31/2020 12/31/2019 9/30/2019 Net Income $79,356 ($117,072) ($111,033) $92,132 $67,807 Nonoperating items, net of income tax — — — 3,046 22,760 Operating earnings $79,356 ($ 117,072) ($111,033) $95,178 $90,567             Average Assets $32,685,430 $33,136,706 $30,663,601 $30,343,293 $29,148,106 Average Equity $3,351,593 $3,465,617 $3,509,727 $3,473,693 $3,383,738 Average Tangible Common Equity 2,402,306 2,511,365 2,550,227 2,500,092 2,496,870             Return on average assets - operating 0.97% (1.42)% (1.46)% 1.24% 1.23% Return on average equity - operating 9.42% (13.59)% (12.72)% 10.87% 10.62% Return on average tangible common equity - operating 13.14% (18.75)% (17.51)% 15.10% 14.39%

Slide 33

Operating Revenue (TE), Operating PPNR (TE) Reconciliations Taxable equivalent (TE) amounts are calculated using a federal income tax rate of 21%.   Three Months Ended (in thousands) 9/30/2020 6/30/2020 3/31/2020 12/31/2019 9/30/2019 Net interest income $235,183 $237,866 $231,188 $233,156 $222,939 Noninterest income 83,748 73,943 84,387 82,924 83,230 Total revenue $318,931 $311,809 $315,575 $316,080 $306,169 Taxable equivalent adjustment 3,189 3,248 3,448 3,580 3,652 Operating revenue (TE) $322,120 $315,057 $319,023 $319,660 $309,821 Noninterest expense (195,774) (196,539) (203,335) (197,856) (213,554) Nonoperating expense — — — 3,856 28,810 Operating pre-provision net revenue $126,346 $118,518 $115,688 $125,660 $125,077

Slide 34

Third Quarter 2020 Earnings Conference Call 10/20/2020

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