Synovus Financial (SNV) investor relations material

Merger overview and strategic vision

• Two regional banks are combining in an all-stock transaction, creating a $116 billion asset institution focused on Southeast growth markets, with expectations for top-quartile revenue and net income growth through 2027.

• Shareholder votes showed strong support: 93% approval from one side and about 70% from the other, with high participation rates.

• Minimal employee and client attrition since the merger announcement, with retention rates around 95%.

• Both organizations continue to add revenue producers, even in overlapping markets, maintaining hiring momentum.

• The merger is positioned as a revenue-driven deal, not primarily focused on cost synergies.

Integration, culture, and organizational structure

• Leadership teams have prioritized early and transparent communication, with most employees already informed of their future roles.

• The operating model is being aligned, with a focus on maintaining the Pinnacle go-to-market strategy and empowering local teams.

• Both sides are receptive to adopting each other's strengths: Pinnacle's empowerment and geographic model, Synovus's technology and product innovation.

• Compensation for revenue producers will shift to a company-wide performance model, increasing base pay and aligning incentives with overall growth.

• Full proficiency in the new model is expected within about a year post-close, with visible growth ramping up in year two.

Operational and financial targets

• Operational conversion is planned for Q1 2027, with a deliberate approach to ensure client service quality and minimize disruption.

• Proforma annualized balance sheet growth is targeted at high single to low double digits, reflecting the combined historical performance and accelerated hiring.

• Cost synergies are estimated at $250 million (9% of expenses), with 50% realized in 2026, 75% by 2027, and the remainder in 2028; headcount reduction is modest at 5-6%.

• Revenue synergies are projected at $100–$130 million over several years, split between core growth (hiring, pricing, balance sheet) and cross-selling best-in-class products and services.

• Ample capital is expected post-close, with flexibility for share repurchases, though priority is on client growth.