Citizens Financial Group (CFG) investor relations material

Consumer bank transformation and strategy

• Over the past decade, the consumer bank shifted from a fragmented, low-margin operation to a top-tier performer in deposit growth and efficiency, now ranking in the top third nationally for deposit costs.

• Focus has moved to higher-return, relationship-based lending, with a pivot away from lower-return assets like auto loans toward products such as HELOCs and credit cards.

• Wealth management within the retail bank has grown, now accounting for 70% of wealth fees, offering higher margins than the private bank.

• Strategy targets mass affluent customers, with investments in digital capabilities and a new mobile app to enhance customer experience and drive durable revenue.

Branch network optimization and market expansion

• Branch count reduced from 1,400 to about 1,000, creating one of the most efficient networks in the U.S. by focusing on core markets and pruning less strategic locations.

• Expansion in new markets is focused on private and commercial banking rather than retail, with organic branch densification planned for New York City and New Jersey over a 10-year period.

• Staffing investments target specialty roles in affluent areas to deepen relationships and drive deposit growth.

M&A and organic growth focus

• Despite a favorable regulatory environment, the current strategy prioritizes organic growth due to strong momentum and differentiated opportunities, with no near-term plans for acquisitions.