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SunTrust Reports 2008 Profit of $2.13 Per Share

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Capital Purchase Program Fact Sheet

Fourth Quarter Loss Reflects Recession Impacts of Higher Charge-Offs and Reserve-Building. While Capital and Liquidity Remain Strong, Quarterly Dividend Reduced to $0.10 Reflecting Challenging Credit and Earnings Environment

ATLANTA, Jan. 22 /PRNewswire-FirstCall/ -- SunTrust Banks, Inc. (NYSE: STI) reported net income available to common shareholders of $746.9 million, or $2.13 per average common diluted share, for 2008 compared to $1,603.7 million, or $4.55 per average common diluted share in 2007. Net income available to common shareholders in the fourth quarter was a loss of $379.2 million, or $1.08 per average common diluted share, compared to $3.3 million, or $0.01 per average common diluted share, in the fourth quarter of 2007. The Company's 2008 and fourth quarter results were adversely impacted by credit-related charges that reflect the dramatic deterioration in the economy, especially during the fourth quarter.

"The fact that SunTrust is not alone in paying the price of a deteriorating economy on our business and our clients does not make today's results any less painful to report," said James M. Wells III, SunTrust Chairman and CEO. Mr. Wells noted that increased unemployment and continued declines in home values drove loan delinquencies significantly higher during the fourth quarter of 2008, resulting in higher than expected credit losses. "We are under no illusions as to the severity of this credit cycle," he added. "Managing successfully through it remains our number one priority."

Mr. Wells said the significant increase in the fourth quarter provision for loan losses from the prior quarter covered current loan charge-offs and also strengthened the Company's allowance for loan losses. He noted that the Company concluded 2008 "in a very strong regulatory capital position and with excellent liquidity." Mr. Wells further noted that, "despite our strong capital position, given the strain on earnings from increased credit costs and the challenging revenue environment, SunTrust's Board of Directors has decided to reduce the quarterly dividend to $0.10 per common share outstanding until the economic environment and earnings outlook improve."

"Through this cycle, we will continue to take the steps appropriate to maintain the Company's fundamental financial strength that is never more important than in a time of economic stress and uncertainty," said Mr. Wells. "At the same time, our people will continue to focus on serving our clients' needs, making good loans, generating core deposits, and running our business more efficiently. While understandably eclipsed right now by recession-related credit concerns, the positive momentum generated by these efforts will help us deliver the long-term shareholder value to which we remain committed."

Credit and Market Environment

The Company recorded provision for loan losses of $962.5 million, or $410.0 million in excess of net charge-offs, increasing the allowance for loan losses to 1.86% of total loans during the fourth quarter. Additionally, during the fourth quarter, the Company recorded $236.1 million in operating losses, which were primarily related to losses stemming from borrower misrepresentations and insurance claim denials, and $100.0 million related to mortgage reinsurance reserves.

The worsening economic conditions and resulting affect on asset values also continued to adversely impact the Company's assets carried at fair market value. During the fourth quarter, market valuation losses on loans and securities carried at fair value were approximately $145 million, of which $44.3 million related to the Company's public debt and related hedges carried at fair value.

Balance Sheet Growth

During the fourth quarter, the Company issued $4.85 billion of preferred stock and warrants to the U.S. Treasury under the Capital Purchase Plan, significantly increasing the Company's capital position. As of December 31, 2008, SunTrust's tangible equity to tangible assets ratio was 8.39%, and the estimated Tier 1 capital ratio was 10.85%. The Company also issued $3.0 billion of debt guaranteed by the FDIC under the Temporary Liquidity Guarantee Program. The additional capital and debt enhances SunTrust's solid capital and liquidity position, and improves, among other items, the Company's ability to meet the borrowing needs of clients and prospects throughout the economic downturn.

During the fourth quarter, average loans and consumer and commercial deposits increased 6.3% and 8.1%, respectively, on a sequential quarter annualized basis. Both consumer and commercial loan categories showed growth, which was partially offset by a decline in construction loans. Core deposit growth was particularly evident at the end of the quarter, and given the Company's strong liquidity position, brokered and foreign deposits were reduced by over 40% at year end as compared to September 30, 2008.

    Financial Highlights



                      4th       4th                 Full      Full
                     Quarter  Quarter               Year      Year
                      2008      2007    Change      2008      2007    Change
    Income Statement
    (Dollars in
     millions,
     except per
     share data)
    Net income/
     (loss)
     available
     to common
     shareholders $(379.2)      $3.3        NM    $746.9  $1,603.7   (53.4)%
    Net income/
     (loss) per
     average
     common
     diluted
     share          (1.08)      0.01        NM      2.13      4.55   (53.2)%
    Total
     revenue -
     fully
     taxable-
     equivalent    1,926.4   1,770.8      8.8%   9,210.6   8,250.9     11.6%
    Net
     interest
     income -
     fully
     taxable-
     equivalent    1,208.7   1,194.8      1.2%   4,737.1   4,822.2    (1.8%)
    Provision
     for loan
     losses          962.5     356.8    169.8%   2,474.2     664.9    272.1%
    Noninterest
     income          717.7     576.0     24.6%   4,473.5   3,428.7     30.5%
    Noninterest
     expense       1,588.6   1,455.3      9.2%   5,890.4   5,233.8     12.5%
    Net
     interest
     margin          3.14%     3.13%      1 bp     3.10%     3.11%    (1) bp

    Balance Sheet
    (Dollars in
     billions)
    Average loans   $127.6    $121.1      5.4%    $125.4    $120.1      4.5%
    Average
     consumer
     and
     commercial
     deposits        102.2      99.6      2.6%     101.3      98.0      3.4%

    Capital
    Tier 1
     capital
     ratio (1)      10.85%     6.93%
    Total
     average
     shareholders'
     equity to
     total
     average
     assets         11.17%    10.30%
    Tangible
     equity to
     tangible
     assets          8.39%     6.31%

    Asset Quality
    Net
     charge-offs
     to average
     loans
     (annualized)    1.72%     0.55%               1.24%     0.35%
    Nonperforming
     loans to
     total loans     3.10%     1.17%

    (1)  Current period Tier 1 capital ratio was estimated at the time of this
         earnings release.
    NM - Not meaningful.  Those changes over 1000% or where results change
         from positive to negative.
    bp - basis point

  • Increased credit-related expenses and net mark to market losses on illiquid financial instruments and the Company's public debt and related hedges carried at fair value adversely impacted fourth quarter income resulting in a net loss available to common shareholders of $379.2 million.
  • For the fourth quarter, fully taxable-equivalent total revenue increased $155.6 million, or 8.8%, over the comparable period in 2007. Growth in net interest income and lower net mark to market valuation losses in 2008 drove the increase over 2007.
  • Fully taxable-equivalent net interest income increased 1.2% in the fourth quarter over the same quarter in 2007, reflective of growth in average earning assets and customer deposits. Net interest margin was 3.14% for the fourth quarter of 2008, up seven basis points from the third quarter of 2008 and effectively flat compared to the same period in 2007.
  • Noninterest income in the fourth quarter increased $141.7 million, or 24.6%, as the impact of the net market valuation losses of approximately $555 million recorded in 2007 was reduced to approximately $145 million in 2008. Partially offsetting the benefit of lower mark to market losses was a real estate gain of $118.8 million recorded in 2007 and lower mortgage production income and trust and investment management revenue in 2008. As a result of the dramatic decline in mortgage interest rates in December, a $370.0 million impairment of mortgage servicing rights was recognized, which was offset by $411.1 million of securities gains related to the sale of securities available for sale that were acquired in conjunction with our risk management strategies associated with hedging the value of mortgage servicing rights.
  • Noninterest expense for the fourth quarter of 2008 increased 9.2% over the fourth quarter of 2007, as growth in credit-related expenses of approximately $334 million overshadowed the cost savings achieved from the Company's efficiency and productivity initiatives.
  • Total average loans in the fourth quarter increased 5.4% compared to the fourth quarter of 2007 and increased 6.3% on a sequential quarter annualized basis. Growth was concentrated in commercial loans and was partially offset by a decline in construction loans.
  • Total average consumer and commercial deposits increased $2.6 billion, or 2.6%, compared to the fourth quarter of 2007 and increased 8.1% on a sequential quarter annualized basis. The increase was primarily in money market and time deposit accounts. As of December 31, 2008, customer deposits totaled a record $105.4 billion.
  • The estimated Tier 1 capital, total average shareholders' equity to total average assets, and tangible equity to tangible asset ratios were 10.85%, 11.17%, and 8.39%, respectively, which compares to 6.93%, 10.30%, and 6.31%, respectively, as of December 31, 2007.
  • Annualized quarter net charge-offs were 1.72% of average loans for the fourth quarter of 2008, up from 0.55% in the fourth quarter of 2007 and 1.24% in the third quarter of 2008. The increase reflects further deterioration in consumer residential real estate and residential construction loans, as well as increases in commercial related charge-offs.
  • Nonperforming loans to total loans increased to 3.10% as of December 31, 2008, from 2.60% as of September 30, 2008 and 1.17% as December 31, 2007, due mainly to increased levels of nonperforming residential mortgage and construction loans.

    CONSOLIDATED FINANCIAL PERFORMANCE

    Revenue

Fully taxable-equivalent total revenue was $1,926.4 million for the fourth quarter of 2008, an increase of $155.6 million, or 8.8%, compared to the fourth quarter of 2007. The increase was primarily attributable to a decline in market valuation losses in 2008 as compared to 2007. In the fourth quarter of 2008, market valuation losses declined to $100.2 million from $639.5 million related to the write-down of certain asset-backed securities and mortgage loans as the investment in those assets has been substantially curtailed. The reduction in valuation losses was partially offset by an increase of approximately $129 million in net mark to market losses on the Company's debt and related hedges carried at fair value, due to tightening of the Company's credit spread, as well as declines in mortgage production income and trust and investment management income. The fourth quarter of 2007 also included a $118.8 million net gain from sale/leaseback of certain corporate real estate properties.

For the year ended December 31, 2008, fully taxable-equivalent total revenue was $9,210.6 million, an increase of $959.7 million, or 11.6%, over 2007. The increase was due to incremental securities gains, gains from the sale of non-strategic businesses, gain on Visa interest, lower net mark to market valuation losses, and increased fee income from core businesses. Partially offsetting these contributions to growth were declines in trust income, net interest income, and lower gains on sale/leaseback transactions.

Net Interest Income

For the fourth quarter of 2008, fully taxable-equivalent net interest income was $1,208.7 million, up $13.9 million, or 1.2%, compared to the prior year, and up $33.0 million, or 2.8%, compared to the prior quarter. Net interest income growth over the sequential quarter was due to growth in average earning assets, an improved mix of loans and deposits, an increase in consumer and commercial deposits, and a decrease in wholesale funding during the fourth quarter. Net interest margin for the fourth quarter of 2008 was 3.14%, an increase of one basis point and seven basis points over the fourth quarter of 2007 and third quarter of 2008, respectively. A 145 basis point decrease in rates paid on interest-bearing liabilities compared to a 124 basis point decrease in earning asset yields in the fourth quarter of 2008 contributed to the increase in net interest margin, which offset the negative impact of the increase in nonperforming loans in 2008.

For the year ended December 31, 2008, fully taxable-equivalent net interest income was $4,737.1 million, down $85.1 million, or 1.8%, compared to 2007. Net interest margin was 3.10% compared to 3.11% in 2007. The decline was driven by the increased level of nonperforming assets, partially offset by a reduction in higher cost funding sources.

Noninterest Income

Total noninterest income was $717.7 million for the fourth quarter of 2008, which was $141.7 million, or 24.6%, above prior year. The fourth quarter included securities gains of $411.1 million related to available for sale securities that were acquired in conjunction with risk management strategies associated with hedging the value of mortgage servicing rights. Volatility in interest rates and increased loan prepayment speed estimates during the quarter resulted in a $370.0 million impairment of mortgage servicing rights that were carried at amortized cost. Servicing related income in the fourth quarter of 2007 included a $19.2 million gain on the sale of servicing rights. Mortgage production income declined $50.1 million in the fourth quarter, as reserves for losses associated with repurchases of mortgage loans increased approximately $32 million and mortgage origination volume declined 44% compared to the fourth quarter of 2007. These elements were partially offset by a decrease in valuation losses on loans carried at fair value or held for sale. While fourth quarter origination income declined versus prior year and prior quarter, mortgage loan applications in the fourth quarter of 2008 were up 16% compared to the third quarter.

The fourth quarter of 2008 included net mark to market valuation losses in trading income of $43.6 million related to illiquid trading securities and loans carried at fair value, and losses of $44.3 million related to the tightening of credit spreads on the Company's public debt and related hedges carried at fair value. The fourth quarter of 2007 included losses of approximately $475 million related to market value declines in asset-backed securities, net of valuation gains on the Company's debt carried at fair value. Exposure to securities acquired in the fourth quarter 2007 has been reduced to approximately $250 million as of December 31, 2008, down from $3.5 billion at the end of 2007. Exclusive of core mark to market losses, trading income declined as compared to both the fourth quarter of 2007 and the third quarter of 2008 due to declines in derivatives, structured leasing and merchant banking revenues which were partially offset by growth in credit-related fees, fixed income and trading, and direct finance fees.

Trust and investment management income declined $44.4 million, or 26.0%, from the fourth quarter of 2007, as a result of the sale of certain trust related businesses earlier in 2008 and lower fee income that was attributable to the decline in the equity markets. Investment banking income increased $2.9 million, or 5.3%, over the fourth quarter of 2007. Other fee based revenues in the fourth quarter were essentially flat compared to the fourth quarter of 2007, as the impact of the slowing economy resulted in less transaction-related fees. The fourth quarter of 2008 also included a gain of $19.9 million related to the settlement of legal proceedings, and the Company recognized a net gain of $118.8 million from the sale/leaseback of branch and office properties in the fourth quarter of 2007.

For the year ended December 31, 2008, noninterest income was $4,473.5 million, which was $1,044.8 million, or 30.5%, over 2007. The most significant element of the increase was incremental gains on the sale of available for sale securities of $830.2 million, which were executed in conjunction with risk management strategies associated with hedging the value of mortgage servicing rights, and incremental gains on the sale of The Coca-Cola Company stock ("Coke"). During 2008, the Company recognized approximately $400 million in net market valuation losses related to certain illiquid trading assets, loans carried at fair value, auction rate securities, and other than temporary impairment on available for sale securities, net of valuation gains on the Company's public debt carried at fair value, as compared to approximately $700 million in comparable net losses during 2007. Gains on the Company's public debt carried at fair value in 2008 were $431.7 million as compared to $140.9 million during 2007. During 2008, the Company recorded gains on the following transactions:

  • $57.1 million incremental additional gain on sale of Lighthouse interests
  • $81.8 million gain on the sale of TransPlatinum
  • $29.6 million gain on sale of First Mercantile Trust
  • $86.3 million gain recorded on the Visa IPO

Further, the Company recognized a net gain of $37.0 million in the first quarter of 2008 and $118.8 million in the fourth quarter of 2007 from the sale/leaseback of branch and office properties. During 2008, SunTrust experienced approximately 10% growth in fee based categories such as service charges on deposit accounts, up $82.1 million, investment banking income, up $21.6 million, and credit card fees, up $27.7 million. Trust and investment management fees declined $92.7 million for the same reasons as indicated above. Mortgage servicing income decreased $407.3 million due to the $370.0 million impairment charge and higher gains from the sale of mortgage servicing rights in 2007. For 2008, mortgage production volume declined 37.6% to $36.4 billion compared to 2007; however, mortgage production-related income increased $80.4 million, or 88.4%, due to relatively lower valuation losses, particularly due to the elimination of Alt-A loans from the warehouse, increased margins, and the adoption of certain accounting standards in accordance with generally accepted accounting principles.

Noninterest Expense

For the fourth quarter of 2008, noninterest expense was $1,588.6 million, an increase of $133.3 million, or 9.2%, over the fourth quarter of 2007. The increase was primarily driven by a $334.3 million increase in credit-related expenses to $415.7 million in the quarter, which overshadowed the success achieved in reducing expenses through the Company's E2 efficiency and productivity program. Credit-related expenses include operating losses of $236.1 million, which includes increased reserves for borrower misrepresentations on mortgage loan documentation and insurance claim denials of $166.9 million, other real estate losses of $35.3 million, credit and collection costs of $44.3 million, and mortgage reinsurance reserves of $100.0 million. The fourth quarter also included a $14.3 million expense reversal related to Visa litigation, resulting from the recognition of the funding by Visa of its litigation escrow account, compared to a $76.9 million expense accrual for Visa litigation in the fourth quarter of 2007. In the fourth quarter of 2008, SunTrust recorded write-downs of $15.7 million related to Affordable Housing properties as compared to $57.7 million of related charges in the fourth quarter of 2007. Outside processing increased $38.5 million, or 36.5%, due to the outsourcing of certain back-office operations in the third quarter of 2008, which was more than offset by the corresponding decrease in employee compensation and benefits. Essentially all other categories of expense decreased compared to the fourth quarter of 2007.

For the year ended December 31, 2008, total noninterest expense was $5,890.4 million, an increase of $656.6 million, or 12.5%, over 2007. The items previously discussed were the primary drivers of the increase, particularly the credit-related costs, and the third quarter expense associated with the contribution of Coke stock to our charitable foundation recognized in marketing and customer development expense.

Provision for Income Taxes

For the fourth quarter, the Company recognized a tax benefit of $309.0 million compared to a tax benefit of $79.7 million recognized in the fourth quarter of 2007. For the year ended December 31, 2008, income taxes were a benefit of $67.3 million compared to a provision of $615.5 million in 2007. The income tax benefit for the year ended December 31, 2008, was due to the charitable contribution of the Coke stock, and other significant differences between generally accepted accounting principles and taxable income primarily related to non-taxable interest and dividends, state taxes, and federal tax credits.

Balance Sheet

As of December 31, 2008, SunTrust had total assets of $189.3 billion and shareholders' equity was $22.4 billion, representing 11.83% of total assets. Book value and tangible book value per common share were $48.42 and $28.36 as of December 31, 2008, respectively.

Loans

Average loans for the fourth quarter of 2008 were $127.6 billion, which was up 5.4% compared to the fourth quarter of 2007 and up $2.0 billion, or 6.3% on a sequential quarter annualized basis. The increase in average loans was concentrated in commercial loans. Average construction loans in the fourth quarter declined $4.3 billion, or 32.7%, from the fourth quarter of 2007, in conjunction with the Company's efforts to reduce its exposure to construction loans, as well as transfers to nonaccrual status. Average loans held for sale for the quarter declined $4.8 billion, or 54.8%, compared to the fourth quarter of 2007 as mortgage production levels declined.

Deposits

Average consumer and commercial deposits totaled $102.2 billion for the fourth quarter of 2008, an increase of $2.6 billion, or 2.6%, compared to the fourth quarter of 2007, and $2.0 billion, or 8.1% on a sequential quarter annualized basis. The 2008 fourth quarter increase in customer deposits was driven by growth in money market and time deposits, partially offset by declines in NOW and savings accounts, while demand deposit balances were relatively flat. Average balances for brokered deposits declined $1.8 billion in the fourth quarter of 2008 as compared to the third quarter of 2008, as lower cost deposits and short-term funding sources were utilized.

Capital

The estimated Tier 1 capital, total average shareholders' equity to total average assets, and tangible equity to tangible asset ratios at December 31, 2008, were 10.85%, 11.17%, and 8.39%, respectively, compared to 8.15%, 10.34%, and 6.40%, respectively, as of September 30, 2008. The $4.85 billion of preferred stock issued to the U.S. Treasury under the Capital Purchase Program qualifies as Tier 1 capital and increased SunTrust's already well capitalized status. Despite the Company's strong capital ratios, SunTrust's Board of Directors has decided to reduce the quarterly dividend from $0.54 to $0.10 per common share outstanding given the strain on earnings from increased credit costs and the challenging revenue environment. Under the terms of the agreement entered into with the U.S. Treasury, the Company has the latitude to return the dividend to its previous level of $0.54 per quarter.

Asset Quality

Nonaccrual loans, as of December 31, 2008, totaled $3,940.0 million compared to $3,289.5 million as of September 30, 2008 and $1,430.4 million as of December 31, 2007. Residential mortgage and construction loans were 47% and 32%, respectively, of total nonaccrual loans as of December 31, 2008. Net charge-offs for the fourth quarter were $552.5 million compared to $168.0 million for the fourth quarter in 2007. Annualized net charge-offs to average loans for the quarter ended December 31, 2008 was 1.72% compared to 1.24% for the quarter ended September 30, 2008 and 0.55% for the quarter ended December 31, 2007. The increase in net charge-offs was primarily related to consumer and residential real estate loans, as well as commercial related loans. Other real estate owned increased to $500.5 million, up 29.3% over September 30, 2008, as the Company foreclosed on the collateral securing nonperforming loans.

For the fourth quarter, the provision for loan losses exceeded net charge-offs by $410.0 million as the overall impact of the housing market and increased delinquencies impacted the allowance for loan losses, which totaled $2,351.0 million as of December 31, 2008 and was 1.86% of total loans. The allowance for loan losses was 1.05% of total loans as of December 31, 2007.

LINE OF BUSINESS FINANCIAL PERFORMANCE

The following discussion details results for SunTrust's four business lines: Retail and Commercial, Wholesale Banking, Mortgage, and Wealth and Investment Management. At the end of 2008, the Company announced certain management and organizational changes related to the lines of business. The Company's reporting segments could change after the organizational transitions are completed in 2009. All revenue is reported on a fully taxable-equivalent basis. For the lines of business, results include net interest income which is computed using matched-maturity funds transfer pricing. Further, provision for loan losses is represented by net charge-offs.

SunTrust also reports results for Corporate Other and Treasury, which includes the Treasury department as well as the residual expense associated with operational and support expense allocations. This segment also includes differences created between internal management accounting practices and generally accepted accounting principles, certain matched-maturity funds transfer pricing credits and charges, differences in provision expense compared to net charge-offs, as well as equity and its related impact.

    Retail and Commercial Banking

    Three Months Ended December 31, 2008 vs. 2007

Retail and Commercial Banking net income for the fourth quarter of 2008 was $18.5 million, a decrease of $154.1 million, or 89.3%, compared to the fourth quarter of 2007. This decrease was primarily the result of higher provision for loan losses due to home equity line, consumer, indirect, and commercial loan net charge-offs, lower deposit related net interest income and higher credit and fraud related noninterest expense, partially offset by growth in loan net interest income.

Net interest income decreased $16.9 million, or 2.5%, driven by a shift in deposit mix and compressed spreads due to increased competition for deposits. Average deposits increased $2.0 billion, or 2.5%, while deposit spreads decreased 12 basis points resulting in a $25.5 million decrease in net interest income. Low cost demand deposit and savings accounts decreased a combined $0.7 billion, or 4.0%, primarily driven by a decrease in savings. Higher cost products such as NOW and money market increased a combined $2.1 billion, or 5.9%. Certificates of deposit and IRA accounts increased $0.6 billion, or 2.2%. Net interest income from loans increased $10.3 million as average loan balances increased $1.0 billion, or 2.0%. Growth in commercial loans, equity lines, credit card, student loans, and loans acquired in conjunction with the GB&T transaction was partially offset by an approximately $0.9 billion decline in average loan balances related to the migration of middle market clients from Retail and Commercial to Wholesale Banking.

Provision for loan losses increased $184.1 million over the same period in 2007. The provision increase was most pronounced in home equity lines reflecting deterioration in the residential real estate market, while provision for loan losses on consumer, indirect, and commercial loans, primarily to commercial clients with annual revenues of less then $5 million, also increased.

Total noninterest income increased $1.1 million, or 0.3%, from the fourth quarter of 2007. This increase was driven primarily by a $2.2 million increase in interchange fees and a $2.8 million increase in ATM fees. Service charges on deposits declined by $2.7 million driven by higher uncollectible NSF fees and changes to the fee structure designed to encourage growth in checking accounts and balances.

Total noninterest expense increased $44.3 million, or 6.9%, from the fourth quarter of 2007. This increase was driven primarily by higher credit-related expenses including operating losses due to fraud, other real estate, and collections, as well as continued investment in the branch distribution network.

Twelve Months Ended December 31, 2008 vs. 2007

Retail and Commercial Banking net income for the twelve months ended December 31, 2008 was $306.6 million, a decrease of $483.9 million, or 61.2%, compared to the same period in 2007. This decrease was primarily the result of higher provision for loan losses due to home equity line, consumer, indirect, and commercial loan net charge-offs, lower net interest income related to deposit spreads and higher credit-related noninterest expense, partially offset by strong growth in service charges on deposits.

Net interest income decreased $217.9 million, or 7.7%, driven by a continued shift in deposit mix and decreased spreads, as deposit competition and the interest rate environment encouraged customers to migrate into higher yielding interest-bearing deposits. Average deposit balances increased $0.8 billion, or 1.0%, while deposit spreads decreased 26 basis points resulting in a $207.6 million decrease in net interest income. Low cost demand deposit and savings account average balances decreased a combined $1.6 billion, or 8.1%, primarily due to decreases in commercial demand and savings. Higher cost products such as NOW and money market increased a combined $2.3 billion, or 6.7%. Net interest income from loans decreased $14.3 million, or 1.4%, as average loan balances declined $0.1 billion, or 0.1%. Growth in commercial loans, equity lines, credit card, student loans, and loans acquired in conjunction with the GB&T transaction was offset by an approximately $1.8 billion decline in average loan balances related to the migration of middle market clients from Retail and Commercial to Wholesale Banking.

Provision for loan losses increased $593.1 million over the same period in 2007. The provision increase was most pronounced in home equity lines reflecting deterioration in the residential real estate market, while provision for loan losses on consumer, indirect, and commercial loans, primarily to commercial clients with annual revenues of less then $5 million, also increased.

Total noninterest income increased $102.6 million, or 8.2%, over the same period in 2007. This increase was driven primarily by a $66.5 million, or 9.1%, increase in service charges on both consumer and business deposit accounts, primarily due to growth in the number of accounts, higher NSF rates, and an increase in occurrences of NSF fees. Interchange fees increased $24.5 million, or 12.1%, and ATM revenue increased $9.9 million, or 8.3%.

Total noninterest expense increased $60.2 million, or 2.4%, from the same period in 2007. The continuing positive impact of expense savings initiatives and lower amortization of intangibles was offset by higher credit-related expenses including operating losses due to fraud, other real estate, and collections, as well as continued investments in the branch distribution network.

    Wholesale Banking

    Three Months Ended December 31, 2008 vs. 2007

Wholesale Banking's net income for the fourth quarter of 2008 was $12.3 million, compared to a loss of $42.0 million in the fourth quarter of 2007, an increase of $54.3 million. Lower market valuation trading losses, lower Affordable Housing related noninterest expenses and higher net interest income were partially offset by higher provision for loan losses.

Net interest income was $161.0 million, up $18.8 million, or 13.2%, from the prior year primarily driven by strong loan growth. Average loan balances increased $6.0 billion, or 19.2%, while the corresponding net interest income increased $6.4 million, or 5.6%. The increase in average loan balances was driven by double digit growth in large corporate, middle market, and leasing but was partially offset by reductions in the residential builder portfolio. The growth in net interest income due to volume was partially offset by overall portfolio spread compression caused by a shift in mix away from higher spread residential construction loans to lower spread commercial loans, as well as higher real estate-related nonaccrual loans. Trading assets net interest income increased $16.8 million, or 102.0%, primarily driven by improved spreads and higher volumes in the fixed income sales and trading business. Total average deposits were up $1.9 billion, or 25.5%, primarily in higher cost deposits. The net interest income on deposits declined $3.3 million, or 9.3%, as the additional volume was more than offset by lower credit for funds on demand deposits.

Provision for loan losses was $111.9 million, an increase of $98.8 million from the same period in 2007. The increase was primarily due to higher residential builder-related charge-offs and higher charge-offs from large corporate and middle market clients.

Total noninterest income was $132.7 million, an increase of $118.4 million compared to the fourth quarter of 2007. Lower market valuation trading losses primarily related to structured products, as well as higher revenues from credit-related fees, fixed income sales and trading, and direct finance, were in part offset by lower revenues in derivatives, structured leasing, merchant banking, and Affordable Housing.

Total noninterest expense was $214.4 million, a decrease of $32.1 million, or 13.0%. The migration of middle market clients from Retail and Commercial to Wholesale Banking accounted for an approximately $5.0 million increase in expense. The remainder of Wholesale Banking decreased $37.1 million, or 15.3%. The decrease was primarily driven by lower Affordable Housing expense, as SunTrust recorded $15.7 million of write-downs in the fourth quarter 2008 as compared to $57.7 million of related charges in the fourth quarter of 2007. Certain structural expenses also decreased partially offset by higher incentive-based compensation and higher other real estate expense.

Twelve Months Ended December 31, 2008 vs. 2007

Wholesale Banking's net income for the twelve months ended December 31, 2008 was $217.3 million, an increase of $21.2 million, or 10.8%, compared to the same period in 2007. Lower market valuation trading losses in structured products and Affordable Housing related noninterest expenses were partially offset by an increase in provision expense, lower merchant banking gains, and higher incentive-based compensation.

Net interest income was $564.7 million for the twelve months ended December 31, 2008, relatively unchanged from prior year. Average loan balances increased $4.8 billion, or 16.2%, while the corresponding net interest income declined $7.1 million, or 1.6%. The migration of middle market clients from Retail and Commercial to Wholesale Banking accounted for approximately $1.8 billion of the loan balances and $25.8 million of the loan-related net interest income increase. The remainder of Wholesale Banking increased $3.0 billion, or 10.4%, driven by increased corporate banking loans and lease financing which was partially offset by reductions in the residential builder portfolio. The corresponding net interest income declined $32.9 million, or 7.3%, due to a shift in mix away from higher spread residential construction loans to lower spread commercial loans, as well as an increase in residential construction nonaccrual loans. Total average deposits increased $3.5 billion, or 63.2%, primarily in higher cost interest-bearing deposits. Deposit-related net interest income decreased $8.9 million, or 6.6%, driven by the lower credit for funds on demand deposits partially offset by the increased volumes in higher cost deposit products.

Provision for loan losses was $167.4 million, an increase of $120.5 million over the prior year, resulting from higher residential builder related charge-offs as well as increased charge-offs on middle market clients partially offset by lower charge-offs in corporate banking.

Noninterest income increased $168.2 million, or 35.0%, primarily due to lower market valuation trading losses in structured products. In addition, increases in direct finance, loan syndications, credit-related fees, and fixed income sales and trading were partially offset by a reduction in merchant banking gains and lower revenues in structured leasing, derivatives, and Affordable Housing.

Noninterest expense increased $6.4 million, or 0.8%, primarily due to the transfer of the middle market business from Retail and Commercial to Wholesale Banking which accounted for approximately $24.9 million of the increase. The remainder of Wholesale Banking's noninterest expense decreased $18.4 million, or 2.3%, primarily due to a decrease in write-downs related to Affordable Housing properties offset in part by higher incentive-based compensation.

    Mortgage

    Three Months Ended December 31, 2008 vs. 2007

Mortgage had a net loss of $285.6 million for the fourth quarter of 2008, compared to a net loss of $30.4 million in fourth quarter 2007, a decrease of $255.2 million, principally due to higher credit-related costs.

Net interest income declined $34.3 million, or 26.6%. Average loans were down $0.8 billion, or 2.4%, while net interest income was down $30.9 million, or 34.6%. Nonaccrual loans accounted for $13.5 million of the net interest income decline as average nonaccruals increased $1.2 billion. Accruing loans declined $1.9 billion, or 6.2%, while net interest income decreased $17.4 million, or 18.2%. The decline in net interest income was influenced by compressed spreads due to a change in product mix as declines in construction-perm and Alt-A balances were replaced with lower yielding prime first lien mortgages.

Provision for loan losses increased $94.0 million to $140.2 million due to higher residential mortgage and residential construction net charge-offs.

Total noninterest income declined $33.7 million, or 33.5%. The decline was principally due to lower origination income and higher loan repurchase reserves, partially offset by securities gains in excess of mortgage servicing rights impairment. Mortgage production income declined $55.7 million, with loan repurchase reserves increasing $32.5 million, while income related to lower loan production drove the remainder of the decrease. Loan production of $7.2 billion was down $5.7 billion, or 44.2%, compared to the fourth quarter of 2007. Mortgage servicing income was down $393.5 million, driven by $370.0 million of impairment of mortgage servicing rights that were carried at amortized cost. Also, mortgage servicing income in the fourth quarter of 2007 included $19.2 million of gains from the sale of servicing rights, as compared to no sales in the fourth quarter of 2008. The mortgage servicing rights impairment expense was offset by $410.7 million of gains from the sale of available for sale securities that were acquired in conjunction with the Company's risk management strategies associated with economically hedging the value of mortgage servicing rights. Total loans serviced at December 31, 2008 were $162.0 billion, an increase of $12.2 billion, or 8.1%.

Total noninterest expense was up $254.6 million, or 106.7%, principally due to higher credit-related costs. Operating losses increased $165.1 million driven by fraud losses and reserves primarily related to borrower misrepresentation and insurance claim denials. Reserves for mortgage reinsurance losses increased $99.9 million and other real estate and collection services costs increased $25.1 million. Staff and commissions expense were down $23.8 million, or 22.5%, primarily due to lower loan production.

Twelve Months Ended December 31, 2008 vs. 2007

Mortgage reported a net loss for the twelve months ended December 31, 2008 of $561.8 million, compared to $5.4 million in net income in 2007, a decrease of $567.2 million, principally due to higher credit-related costs.

Net interest income declined $67.0 million, or 12.8%. Average loans increased $0.5 billion, or 1.7%, while the resulting net interest income declined $78.7 million. Nonaccrual loans accounted for $46.0 million of the net interest income decline as average nonaccrual loans increased $1.1 billion. Accruing loans declined $0.5 billion, or 1.8%, while net interest income decreased $32.7 million, or 8.5%. The decline in net interest income was influenced by a change in product mix as declines in construction-perm and Alt-A balances were replaced with lower yielding prime first lien mortgages. Average mortgage loans held for sale declined $5.5 billion; however, due to widening spreads, net interest income increased $25.4 million. Average investment securities were up $0.8 billion while net interest income increased $21.5 million primarily due to improved spreads. Total deposits increased $0.1 billion, or 4.8%, although net interest income on deposits and other liabilities decreased $17.7 million primarily due to lower short-term interest rates.

Provision for loan losses increased $410.1 million to $491.3 million due to higher residential mortgage and residential construction net charge-offs.

Total noninterest income increased $70.2 million, or 19.2%, due to reduced net valuation losses, increased production fee income, and securities gains in excess of mortgage servicing rights impairment, partially offset by higher repurchase reserves and lower gains from the sale of mortgage servicing rights. Total production income increased $83.2 million, or 85.5%, driven by reduced valuation losses associated with secondary market loans and the recognition of loan origination fees resulting from the Company's election to record certain mortgage loans at fair value beginning in May 2007. The increase in loan production income was partially offset by increased reserves for the repurchase of loans. Loan production of $36.4 billion was down $21.9 billion, or 37.6%. Mortgage servicing income declined $426.3 million from $193.6 million in 2007, to a net loss of $232.7 million in 2008. The decline was driven by $370.0 million in impairment of mortgage servicing rights that were carried at amortized cost, as well as lower gains from the sale of mortgage servicing rights. The mortgage servicing rights impairment was offset by $410.7 million of gains from the sale of available for sale securities that were acquired in conjunction with the Company's risk management strategies associated with economically hedging the value of mortgage servicing rights.

Total noninterest expense increased $509.1 million, or 61.8%, driven by increased credit-related expenses. Operating losses were up $266.9 million driven by fraud losses and reserves primarily related to borrower misrepresentation and insurance claim denials. Reserves for mortgage reinsurance losses increased $179.8 million while other real estate expense and collection services expense increased $95.9 million. Additionally, the recognition of loan origination costs resulting from the Company's election to record certain mortgage loans at fair value beginning in May 2007 increased noninterest expense compared with the prior year, offsetting significant reductions in staff and commissions expense related to lower loan production.

    Wealth and Investment Management

    Three Months Ended December 31, 2008 vs. 2007

Wealth and Investment Management's net income for the fourth quarter of 2008 was $34.0 million, an increase of $129.6 million compared to the fourth quarter of 2007. The increase in net income was primarily due to a $250.5 million market valuation loss recorded in the fourth quarter of 2007 related to securities purchased from the Company's RidgeWorth subsidiary.

Net interest income decreased $3.0 million, or 3.5%, primarily due to lower average deposits. Average deposits were down $0.8 billion, or 7.8%, while net interest income on deposits declined $1.6 million, or 2.9%, due to the lower average balance, as well as a lower credit for funds on demand deposits. Average loans increased $0.3 billion, or 4.3%, driven by a $179.2 million increase in commercial loans primarily in the professional specialty lending units.

Provision for loan losses increased $7.5 million primarily due to higher home equity lines, consumer, and mortgage net charge-offs.

Total noninterest income increased $170.7 million primarily due to a $250.5 million market valuation loss in the fourth quarter of 2007 on purchased securities partially offset by lower trust income. Trust income decreased $43.0 million, or 25.4%, primarily due to lower market valuations on managed equity assets and lower revenue as a result of the sale of Lighthouse Partners and First Mercantile Trust. As of December 31, 2008, assets under management were approximately $113.1 billion compared to $142.8 billion as of December 31, 2007. Assets under management include individually managed assets, the RidgeWorth Funds, managed institutional assets, and participant-directed retirement accounts. SunTrust's total assets under advisement were approximately $192.0 billion, which includes $113.1 billion in assets under management, $45.7 billion in non-managed trust assets, $31.2 billion in retail brokerage assets, and $2.0 billion in non-managed corporate trust assets.

Total noninterest expense decreased $43.2 million, or 17.3%, driven by lower staff and lower structural expense resulting from the sale of Lighthouse Partners and First Mercantile Trust. Employee compensation declined $17.3 million, or 14.4%, resulting from reduced headcount and lower incentive payments.

Twelve Months Ended December 31, 2008 vs. 2007

Wealth and Investment Management's net income for the twelve months ended December 31, 2008 was $186.9 million, an increase of $98.6 million compared to same period in 2007. The following transactions represented $141.7 million of the year-over-year increase:

    --  $39.4 million decrease due to the after-tax impact of the market
        valuation loss on Lehman bonds purchased from the Company's RidgeWorth
        subsidiary in the third quarter of 2008.
    --  $18.4 million increase due to the after-tax gain on the sale of First
        Mercantile Trust in the second quarter of 2008.
    --  $27.9 million decrease due to the after-tax impairment charge on a
        client-based intangible asset in the second quarter of 2008.
    --  $55.4 million increase due to the after-tax gain on sale of a minority
        interest in Lighthouse Investment Partners in the first quarter of
        2008.
    --  $155.3 million increase due to the after-tax impact of the market
        valuation losses in the fourth quarter of 2007 on securities purchased
        from the Company's RidgeWorth subsidiary.
    --  $20.1 million decrease due to the after-tax gain resulting from the
        sale upon merger of Lighthouse Partners into Lighthouse Investment
        Partners in the first quarter of 2007.

Net interest income decreased $20.3 million, or 5.8%, primarily due to a decline in deposit-related net interest income. Average deposits were down $0.2 billion, or 2.2%, while net interest income on deposits declined $14.4 million, or 6.5%, due to the decreased average balance, as well as a lower credit for funds on demand deposits. Average loans increased $0.1 billion, or 1.8%, while net interest income declined $5.0 million driven by growth in commercial loans in the professional specialty lending units at compressed spreads.

Provision for loan losses increased $18.4 million driven by higher home equity lines, personal credit lines, and consumer mortgage net charge-offs.

Total noninterest income increased $138.6 million, or 17.1%, compared to the twelve months ended December 31, 2007 driven by a decrease in market valuation losses. Additionally, gains on the sale of non-strategic businesses were offset by the corresponding loss of revenue and lower market valuations on managed equity assets. Trading gains and losses increased $168.4 million primarily due to a $250.5 million market valuation loss in 2007 related to securities purchased from the Company's RidgeWorth subsidiary as compared to a $63.5 million market valuation loss in 2008 related to Lehman bonds purchased from the Company's RidgeWorth subsidiary. A $29.6 million gain on sale of First Mercantile Trust in 2008 and $24.1 million of incremental noninterest income from the sale of the Company's Lighthouse Partners investment also increased income. Retail investment income increased $6.8 million, or 2.5%, due to higher annuity sales and higher recurring managed account fees. Trust income decreased $91.1 million, or 13.4%, primarily due to the aforementioned sales of Lighthouse Partners and First Mercantile Trust, which resulted in a $49.1 million decline in trust income as well as lower market valuations on managed equity assets.

Total noninterest expense decreased $52.8 million, or 5.2%, despite a $45.0 million impairment charge on a client based intangible in the second quarter of 2008. Noninterest expense before intangible amortization declined $91.0 million, or 9.2%, driven by lower staff, discretionary, and indirect expenses, as well as lower structural expense resulting from the sales of Lighthouse Partners and First Mercantile Trust.

    Corporate Other and Treasury

    Three Months Ended December 31, 2008 vs. 2007

Corporate Other and Treasury's net loss for the fourth quarter of 2008 was $126.8 million, compared to net income of $6.4 million in the fourth quarter of 2007, a decrease of $133.2 million, primarily due to a $221.3 million increase in provision for loan losses.

Net interest income increased $49.3 million, or 31.9%, over the same period in 2007 mainly due to increased gains on interest rate swaps employed as part of an overall interest rate risk management strategy. Total average assets decreased $3.6 billion, or 16.8%, mainly due to the reduction in the size of the investment portfolio in 2007 as part of the Company's overall balance sheet management strategy. Total average deposits decreased $3.7 billion, or 22.7%, mainly due to a decrease in brokered deposits, as the Company reduced its reliance on wholesale funding sources.

Provision for loan losses, which predominantly represents the difference between consolidated provision for loan losses and net charge-offs for the lines of business was $410.4 million, compared to $189.1 million in 2007, an increase of $221.3 million.

Total noninterest income declined $114.9 million compared to the same period in 2007. The decline is primarily related to $118.8 million gain on the sale/leaseback of real estate properties in 2007.

Total noninterest expense declined $90.3 million. The decrease was mainly due a $14.3 million expense reversal related to Visa litigation, resulting from the recognition of the funding by Visa of the litigation escrow account, compared to a $76.9 million accrual in the same period in 2007.

Twelve Months Ended December 31, 2008 vs. 2007

Corporate Other and Treasury's net income for the twelve months ended December 31, 2008 was $646.8 million, an increase of $93.1 million, or 16.8%, from the same period in 2007.

Net interest income increased $221.0 million, or 40.5%, over the same period in 2007 mainly due to increased gains on interest rate swaps employed as part of an overall interest rate risk management strategy. Total average assets decreased $5.5 billion, or 21.6%, mainly due to the reduction in the size of the investment portfolio in 2007 as part of the Company's overall balance sheet management strategy. Total average deposits decreased $8.0 billion, or 35.9%, mainly due to a decrease in brokered and foreign deposits as the Company reduced its reliance on wholesale funding sources.

Provision for loan losses, which predominantly represents the difference between consolidated provision for loan losses and net charge-offs for the lines of business, was $909.6 million in 2008, compared to $242.5 million in 2007, an increase of $667.1 million.

Total noninterest income increased $565.1 million compared to the same period in 2007 mainly due to increased gains on securities and the sale of non-strategic businesses. Securities gains increased $431.4 million primarily due to the sale of Coke stock, partially offset by market value impairment related to certain asset-backed securities that were estimated to be other-than-temporarily impaired. Trading gains and losses increased $40.2 million as gains on the Company's long-term debt carried at fair value were partially offset by losses on certain illiquid assets. Gains on the Company's public debt carried at fair value in 2008 were $431.7 million as compared to $140.9 million during 2007. The increase was also due to an $86.3 million gain on the Company's holdings of Visa in connection with its initial public offering and an $81.8 million gain on sale of TransPlatinum subsidiary were offset by an $81.8 million decrease in gains on the sale/leaseback of real estate properties.

Total noninterest expense increased $133.6 million from the same period in 2007. The increase in expense was mainly due to a $183.4 million contribution of Coke stock to the Company's charitable foundation recognized in marketing and customer development expense.

Corresponding Financial Tables and Information

Investors are encouraged to review the foregoing summary and discussion of SunTrust's earnings and financial condition in conjunction with the detailed financial tables and information which SunTrust has also published today and SunTrust's forthcoming quarterly report on Form 10-K. Detailed financial tables and other information are also available on the Company's Web site at www.suntrust.com in the Investor Relations section located under "About SunTrust." This information is also included in a current report on Form 8-K furnished with the SEC today.

This news release contains certain non-US GAAP financial measures to describe the Company's performance. The reconciliation of those measures to the most directly comparable US GAAP financial measures, and the reasons why SunTrust believes such financial measures may be useful to investors, can be found in the financial information contained in the appendices of this news release.

Conference Call

SunTrust management will host a conference call January 22, 2009, at 8:00 a.m. (Eastern Time) to discuss the earnings results and business trends. Individuals may call in beginning at 7:45 a.m. (Eastern Time) by dialing 1-888-972-7805 (Passcode: 4Q08). Individuals calling from outside the United States should dial 1-517-308-9091 (Passcode: 4Q08). A replay of the call will be available one hour after the call ends on January 22, 2009, and will remain available until February 5, 2009, dialing 1-888-277-9385 (domestic) or 1-402-998-0509 (international).

Alternatively, individuals may listen to the live webcast of the presentation by visiting the SunTrust Web site at www.suntrust.com. The webcast will be hosted under "Investor Relations," located under "About SunTrust," or may be accessed directly from the SunTrust home page by clicking on the earnings-related link, "4th Quarter Earnings Release." Beginning the afternoon of January 22, 2009, listeners may access an archived version of the webcast in the "Webcasts and Presentations" subsection found under "Investor Relations." This webcast will be archived and available for one year. A link to the Investor Relations page is also found in the footer of the SunTrust home page.

SunTrust Banks, Inc., headquartered in Atlanta, is one of the nation's largest banking organizations, serving a broad range of consumer, commercial, corporate and institutional clients. The Company operates an extensive branch and ATM network throughout the high-growth Southeast and Mid-Atlantic States and a full array of technology-based, 24-hour delivery channels. The Company also serves customers in selected markets nationally. Its primary businesses include deposit, credit, trust and investment services. Through various subsidiaries the Company provides mortgage banking, insurance, brokerage, investment management, equipment leasing and capital markets services. SunTrust's Internet address is www.suntrust.com.

Important Cautionary Statement About Forward-Looking Statements

This news release may contain forward-looking statements. Statements regarding future levels of charge-offs, provision expense, and income are forward-looking statements. Also, any statement that does not describe historical or current facts, including statements about beliefs and expectations, is a forward-looking statement. These statements often include the words "believes," "expects," "anticipates," "estimates," "intends," "plans," "targets," "initiatives," "potentially," "probably," "projects," "outlook" or similar expressions or future conditional verbs such as "may," "will," "should," "would," and "could." Such statements are based upon the current beliefs and expectations of management and on information currently available to management. Such statements speak as of the date hereof, and we do not assume any obligation to update the statements made herein 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. Investors are cautioned against placing undue reliance on such statements. Actual results may differ materially from those set forth in the forward-looking statements. Factors that could cause actual results to differ materially from those described in the forward-looking statements can be found in Exhibit 99.3 to our Current Reports on Form 8-K filed on October 23, 2008 with the Securities and Exchange Commission and available at the Securities and Exchange Commission's internet site (http://www.sec.gov). Those factors include: difficult market conditions have adversely affected our industry; current levels of market volatility are unprecedented; the soundness of other financial institutions could adversely affect us; there can be no assurance that recently enacted legislation will stabilize the U.S. financial system; the impact on us of recently enacted legislation, in particular the Emergency Economic Stabilization Act of 2008 and its implementing regulations, and actions by the FDIC, cannot be predicted at this time; credit risk; weakness in the economy and in the real estate market, including specific weakness within our geographic footprint, has adversely affected us and may continue to adversely affect us; weakness in the real estate market, including the secondary residential mortgage loan markets, has adversely affected us and may continue to adversely affect us; as a financial services company, adverse changes in general business or economic conditions could have a material adverse effect on our financial condition and results of operations; changes in market interest rates or capital markets could adversely affect our revenue and expense, the value of assets and obligations, and the availability and cost of capital or liquidity; the fiscal and monetary policies of the federal government and its agencies could have a material adverse effect on our earnings; we may be required to repurchase mortgage loans or indemnify mortgage loan purchasers as a result of breaches of representations and warranties, borrower fraud, or certain borrower defaults, which could harm our liquidity, results of operations and financial condition; clients could pursue alternatives to bank deposits, causing us to lose a relatively inexpensive source of funding; consumers may decide not to use banks to complete their financial transactions, which could affect net income; we have businesses other than banking which subject us to a variety of risks; hurricanes and other natural disasters may adversely affect loan portfolios and operations and increase the cost of doing business; negative public opinion could damage our reputation and adversely impact our business and revenues; we rely on other companies to provide key components of our business infrastructure; we rely on our systems, employees and certain counterparties, and certain failures could materially adversely affect our operations; we depend on the accuracy and completeness of information about clients and counterparties; regulation by federal and state agencies could adversely affect our business, revenue and profit margins; competition in the financial services industry is intense and could result in losing business or reducing margins; future legislation could harm our competitive position; maintaining or increasing market share depends on market acceptance and regulatory approval of new products and services; we may not pay dividends on our common stock; our ability to receive dividends from our subsidiaries accounts for most of our revenue and could affect our liquidity and ability to pay dividends; significant legal actions could subject us to substantial uninsured liabilities; recently declining values of residential real estate may increase our credit losses, which would negatively affect our financial results; deteriorating credit quality, particularly in real estate loans, has adversely impacted us and may continue to adversely impact us; disruptions in our ability to access global capital markets may negatively affect our capital resources and liquidity; any reduction in our credit rating could increase the cost of our funding from the capital markets; we have in the past and may in the future pursue acquisitions, which could affect costs and from which we may not be able to realize anticipated benefits; we depend on the expertise of key personnel; we may not be able to hire or retain additional qualified personnel and recruiting and compensation costs may increase as a result of turnover, both of which may increase costs and reduce profitability and may adversely impact our ability to implement our business strategy; our accounting policies and methods are key to how we report our financial condition and results of operations, and these require us to make estimates about matters that are uncertain; changes in our accounting policies or in accounting standards could materially affect how we report our financial results and condition; our stock price can be volatile; our disclosure controls and procedures may not prevent or detect all errors or acts of fraud; our financial instruments carried at fair value expose us to certain market risks; our revenues derived from our investment securities may be volatile and subject to a variety of risks; we may enter into transactions with off-balance sheet affiliates or our subsidiaries that could result in current or future gains or losses or the possible consolidation of those entities; and we are subject to market risk associated with our asset management and commercial paper conduit businesses.

SunTrust Banks, Inc. and Subsidiaries

FINANCIAL HIGHLIGHTS

(Dollars in millions, except per share data) (Unaudited)

                                             Three Months Ended
                                                December 31            %
                                              2008         2007    Change (4)
    EARNINGS & DIVIDENDS
    Net income/(loss)                      ($347.6)       $11.1          NM %

Net income/(loss) available to common

     shareholders                           (379.2)         3.3          NM

Total revenue -

     FTE (2)                               1,926.4      1,770.8         8.8

Total revenue - FTE excluding

securities (gains)/losses, net (1) 1,515.3 1,765.1 (14.2)

Net income/(loss) per average

common share

         Diluted                             (1.08)        0.01          NM
         Basic                               (1.08)        0.01          NM

Dividends paid per average

     common share                             0.54         0.73       (26.0)

CONDENSED BALANCE SHEETS

Selected Average Balances

-------------------------

    Total assets                          $177,047     $175,130         1.1%
    Earning assets                         153,188      151,541         1.1
    Loans                                  127,608      121,094         5.4
    Consumer and commercial deposits       102,238       99,649         2.6
    Brokered and foreign deposits           12,649       15,717       (19.5)
    Total shareholders' equity              19,778       18,033         9.7
    As of
    -----
    Total assets                           189,289      179,574         5.4
    Earning assets                         156,016      154,397         1.0
    Loans                                  126,998      122,319         3.8

Allowance for loan and lease losses 2,351 1,283 83.2

Consumer and commercial deposits 105,359 101,870 3.4

    Brokered and foreign deposits            8,053       15,973       (49.6)
    Total shareholders' equity              22,388       18,053        24.0

FINANCIAL RATIOS & OTHER DATA

    Return on average total assets           (0.78)%       0.03%         NM %

Return on average assets less net

unrealized

       securities gains (1)                  (1.39)       (0.01)         NM

Return on average common

     shareholders' equity                    (8.63)        0.07          NM

Return on average realized common

     shareholders' equity (1)               (15.54)       (0.33)         NM
    Net interest margin (2)                   3.14         3.13         0.3
    Efficiency ratio (2)                     82.47        82.19         0.3

Tangible efficiency

     ratio (1)                               81.57        80.86         0.9
    Effective tax rate/(benefit)            (47.06)     (116.22)      (59.5)
    Tier 1 capital ratio                     10.85 (3)     6.93        56.6
    Total capital ratio                      14.00 (3)    10.30        35.9
    Tier 1 leverage ratio                    10.40 (3)     6.90        50.7

Total average shareholders' equity to

     total average assets                    11.17        10.30         8.5
    Tangible equity to
     tangible assets (1)                      8.39 (5)     6.31        33.1
    Tangible common equity to
     tangible assets (1)                      5.53 (5)     6.02        (8.2)

Full-time equivalent employees 29,333 32,323 (9.3)

    Number of ATMs                           2,582        2,507         3.0
    Full service banking offices             1,692        1,682         0.6
         Traditional                         1,370        1,343         2.0
         In-store                              322          339        (5.0)

    Book value per common share             $48.42       $50.38        (3.9)
    Market price:
         High                                57.75        78.76       (26.7)
         Low                                 19.75        60.02       (67.1)
         Close                               29.54        62.49       (52.7)
    Market capitalization                   10,472       21,772       (51.9)

    Average common shares
     outstanding (000s)
         Diluted                           351,882      348,072         1.1
         Basic                             350,439      345,917         1.3


                                             Twelve Months Ended
                                                 December 31          %
                                              2008         2007    Change (4)
                                              ----         ----    ----------
    EARNINGS & DIVIDENDS
    Net income/(loss)                       $795.8     $1,634.0       (51.3)%

Net income/(loss) available to common

     shareholders                            746.9      1,603.7       (53.4)

Total revenue -

     FTE (2)                               9,210.6      8,250.9        11.6

Total revenue - FTE excluding

securities (gains)/losses, net (1) 8,137.3 8,007.8 1.6

Net income/(loss) per average

common share

         Diluted                              2.13         4.55       (53.2)
         Basic                                2.14         4.59       (53.4)

Dividends paid per average

     common share                             2.85         2.92        (2.4)

CONDENSED BALANCE SHEETS

Selected Average Balances

-------------------------

    Total assets                          $175,848     $177,796        (1.1)%
    Earning assets                         152,749      155,204        (1.6)
    Loans                                  125,433      120,081         4.5
    Consumer and commercial deposits       101,333       98,020         3.4
    Brokered and foreign deposits           14,743       21,856       (32.5)
    Total shareholders' equity              18,481       17,808         3.8
    As of
    -----
    Total assets
    Earning assets
    Loans

Allowance for loan and lease losses

Consumer and commercial deposits

Brokered and foreign deposits

Total shareholders' equity

FINANCIAL RATIOS & OTHER DATA

    Return on average total assets            0.45%        0.92%      (51.1)%

Return on average assets less net

unrealized

       securities gains (1)                   0.05         0.81       (93.8)

Return on average common

     shareholders' equity                     4.26         9.27       (54.0)

Return on average realized common

     shareholders' equity (1)                 0.19         8.65       (97.8)
    Net interest margin (2)                   3.10         3.11        (0.3)
    Efficiency ratio (2)                     63.95        63.43         0.8

Tangible efficiency

     ratio (1)                               62.64        62.26         0.6
    Effective tax rate/(benefit)             (9.23)       27.36          NM

Tier 1 capital ratio

Total capital ratio

Tier 1 leverage ratio

Total average shareholders' equity to

     total average assets                    10.51        10.02         4.9
    Tangible equity to
     tangible assets (1)
    Tangible common equity to
     tangible assets (1)

Full-time equivalent employees

Number of ATMs

Full service banking offices

Traditional

In-store

Book value per common share

    Market price:
         High                                70.00        94.18       (25.7)
         Low                                 19.75        60.02       (67.1)
         Close                               29.54        62.49       (52.7)
    Market capitalization

    Average common shares
     outstanding (000s)
         Diluted                           350,183      352,688        (0.7)
         Basic                             348,919      349,346        (0.1)

(1) See Appendix A and Appendix B for reconcilements of non-GAAP

performance measures.

(2) Total revenue, net interest margin, and efficiency ratios are

        presented on a fully taxable-equivalent ("FTE") basis.  The FTE basis
        adjusts for the tax-favored status of net interest income from
        certain loans and investments.   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.  Total revenue - FTE equals net
        interest income on a FTE basis plus noninterest income.

(3) Current period tier 1 capital, total capital and tier 1 leverage

ratios are estimated as of the earnings release date.

(4) "NM" - Not meaningful. Those changes over 100 percent were not

considered to be meaningful.

(5) Current period calculation excludes deferred tax amount associated

        with goodwill in conjunction with Federal Reserve guidance issued in
        the fourth quarter of 2008.


SunTrust Banks, Inc. and Subsidiaries

FIVE QUARTER FINANCIAL HIGHLIGHTS

(Dollars in millions, except per share data) (Unaudited)

                                              Three Months Ended
                          December    September     June      March   December
                             31          30          30         31       31
                            2008        2008        2008       2008     2007
    EARNINGS &
     DIVIDENDS
    Net income/(loss)     ($347.6)     $312.4      $540.4     $290.6    $11.1
    Net income/(loss)
     available to
     common
     shareholders          (379.2)      307.3       535.3      283.6      3.3
    Total revenue
     - FTE (2)            1,926.4     2,460.9     2,598.0    2,225.3  1,770.8
    Total revenue
     - FTE
     excluding
     securities
     (gains)/
     losses, net(1)       1,515.3     2,287.9     2,048.2    2,285.9  1,765.1
    Net income/
     (loss) per
     average common
     share
         Diluted            (1.08)       0.88        1.53       0.81     0.01
         Basic              (1.08)       0.88        1.53       0.82     0.01
    Dividends paid
     per average
     common share            0.54        0.77        0.77       0.77     0.73

    CONDENSED BALANCE
     SHEETS
    Selected Average
     Balances
    Total assets         $177,047    $173,888    $175,549   $176,917 $175,130
    Earning assets        153,188     152,320     152,483    153,004  151,541
    Loans                 127,608     125,642     125,192    123,263  121,094
    Consumer and
     commercial
     deposits             102,238     100,200     101,727    101,168   99,649
    Brokered and
     foreign deposits      12,649      15,800      15,068     15,469   15,717
    Total
     shareholders'
     equity                19,778      17,982      18,093     18,062   18,033

    As of
    Total assets          189,289     174,777     177,233    178,987  179,574
    Earning assets        156,016     152,904     154,716    152,715  154,397
    Loans                 126,998     126,718     125,825    123,713  122,319
    Allowance for
     loan and
     lease losses           2,351       1,941       1,829      1,545    1,283
    Consumer and
     commercial
     deposits             105,359     101,829     102,434    103,432  101,870
    Brokered and
     foreign deposits       8,053      14,083      17,146     12,747   15,973
    Total
     shareholders'
     equity                22,388      17,956      17,907     18,431   18,053

    FINANCIAL RATIOS
     & OTHER DATA
    Return on average
     total assets           (0.78)%      0.71%       1.24%      0.66%    0.03%
    Return on average
     assets less net
     unrealized
     securities
     gains (1)              (1.39)       0.45        0.42       0.72    (0.01)
    Return on average
     common
     shareholders'
     equity                 (8.63)       6.99       12.24       6.49     0.07
    Return on average
     realized common
     shareholders'
     equity (1)            (15.54)       4.55        4.36       7.69    (0.33)
    Net interest
     margin (2)              3.14        3.07        3.13       3.07     3.13
    Efficiency
     ratio (2)              82.47       67.78       53.06      56.40    82.19
    Tangible
     efficiency
     ratio (1)              81.57       67.03       50.57      55.47    80.86
    Effective tax
     rate/(benefit)        (47.06)     (20.32)      27.29      23.98  (116.22)
    Tier 1 capital
     ratio                  10.85 (3)    8.15        7.47       7.23     6.93
    Total capital
     ratio                  14.00 (3)   11.16       10.85      10.97    10.30
    Tier 1 leverage
     ratio                  10.40 (3)    7.98        7.54       7.22     6.90
    Total average
     shareholders'
     equity to total
     average assets         11.17       10.34       10.31      10.21    10.30
    Tangible
     equity to
     tangible
     assets (1)              8.39 (4)    6.40        6.27       6.56     6.31
    Tangible common
     equity to

tangible assets (1) 5.53 (4) 6.10 5.97 6.27 6.02

    Full-time
     equivalent
     employees             29,333      29,447      31,602     31,745   32,323
    Number of ATMs          2,582       2,506       2,506      2,509    2,507
    Full service
     banking offices        1,692       1,692       1,699      1,678    1,682
         Traditional        1,370       1,370       1,374      1,343    1,343
         In-store             322         322         325        335      339

    Book value per
     common share          $48.42      $49.32      $49.24     $51.26   $50.38
    Market price:
         High               57.75       64.00       60.80      70.00    78.76
         Low                19.75       25.60       32.34      52.94    60.02
         Close              29.54       44.99       36.22      55.14    62.49
    Market
     capitalization        10,472      15,925      12,805     19,290   21,772

    Average common
     shares

outstanding (000s)

Diluted 351,882 350,970 349,783 348,072 348,072

         Basic            350,439     349,916     348,714    346,581  345,917

(1) See Appendix A and Appendix B for reconcilements of non-GAAP

performance measures.

(2) Total revenue, net interest margin, and efficiency ratios are

        presented on a fully taxable-equivalent ("FTE") basis.  The FTE basis
        adjusts for the tax-favored status of net interest income from
        certain loans and investments.  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.  Total revenue - FTE equals net interest
        income on a FTE basis plus noninterest income.

(3) Current period tier 1 capital, total capital and tier 1 leverage

ratios are estimated as of the earnings release date.

(4) Current period calculation excludes deferred tax amount associated

        with goodwill in conjunction with Federal Reserve guidance issued in
        the fourth quarter of 2008.


SunTrust Banks, Inc. and Subsidiaries

CONSOLIDATED STATEMENTS OF INCOME

(Dollars in thousands, except per share data) (Unaudited)

                                            Three Months Ended
                                     December 31       Increase/(Decrease) (2)
                                  2008         2007       Amount       %

    Interest income           $1,985,371   $2,448,701    ($463,330)  (18.9)%
    Interest expense             808,511    1,281,188     (472,677)  (36.9)
    NET INTEREST INCOME        1,176,860    1,167,513        9,347     0.8

Provision for loan losses 962,494 356,781 605,713 NM

NET INTEREST INCOME AFTER

     PROVISION FOR LOAN
     LOSSES                      214,366      810,732     (596,366)  (73.6)

    NONINTEREST INCOME
    Service charges on
     deposit accounts            221,751      222,213         (462)   (0.2)
    Trust and investment
     management income           126,426      170,854      (44,428)  (26.0)
    Retail investment
     services                     70,238       71,650       (1,412)   (2.0)
    Other charges and fees       125,206      121,849        3,357     2.8

Investment banking income 57,962 55,041 2,921 5.3

Trading account profits/

(losses) and commissions (61,879) (437,162) 375,283 85.8

Card fees 77,909 77,481 428 0.6

Mortgage production

related income/(loss) (27,717) 22,366 (50,083) NM

Mortgage servicing

related income/(loss) (336,129) 57,364 (393,493) NM

Net gain/(loss) on sale

     of businesses                (2,711)           -       (2,711)     NM
    Gain on Visa IPO                   -            -            -       -

Net gain on sale/

     leaseback of premises             -      118,840     (118,840) (100.0)

Other noninterest income 55,620 89,827 (34,207) (38.1)

Securities gains/

(losses), net 411,053 5,694 405,359 NM

Total noninterest

          income                 717,729      576,017      141,712    24.6

NONINTEREST EXPENSE

Employee compensation

     and benefits                638,014      682,810      (44,796)   (6.6)

Net occupancy expense 86,620 92,705 (6,085) (6.6)

Outside processing and

     software                    143,880      105,407       38,473    36.5
    Equipment expense             47,892       51,734       (3,842)   (7.4)

Marketing and customer

     development                  51,636       59,115       (7,479)  (12.7)

Amortization/impairment

of intangible assets 17,259 23,414 (6,155) (26.3)

Net loss on

     extinguishment of debt            -            -            -       -
    Visa litigation              (14,345)      76,930      (91,275)     NM
    Operating losses             236,078       42,815      193,263      NM
    Mortgage reinsurance          99,999           79       99,920      NM

Other noninterest expense 281,605 320,332 (38,727) (12.1)

         Total noninterest
          expense              1,588,638    1,455,341      133,297     9.2

    INCOME/(LOSS) BEFORE
     PROVISION/(BENEFIT)
     FOR INCOME TAXES           (656,543)     (68,592)    (587,951)     NM
    Provision/(benefit) for
     income taxes               (308,956)     (79,716)    (229,240)     NM
         Net income/(loss)      (347,587)      11,124     (358,711)     NM
    Preferred dividends,
     Series A                      5,055        7,867       (2,812)  (35.7)
    U.S. Treasury preferred
     dividends                    26,579            -       26,579      NM

NET INCOME/(LOSS) AVAILABLE

     TO COMMON SHAREHOLDERS    ($379,221)      $3,257    ($382,478)     NM

    Net interest income -
     FTE (1)                  $1,208,650   $1,194,757      $13,893     1.2

    Net income/(loss) per
     average common share
      Diluted                      (1.08)        0.01        (1.09)     NM
      Basic                        (1.08)        0.01        (1.09)     NM

    Cash dividends paid per
     common share                   0.54         0.73        (0.19)  (26.0)
    Average common shares
     outstanding (000s)
      Diluted                    351,882      348,072        3,810     1.1
      Basic                      350,439      345,917        4,522     1.3


                                            Twelve Months Ended
                                    December 31        Increase/(Decrease) (2)
                                  2008         2007       Amount       %

    Interest income           $8,327,382  $10,035,920  ($1,708,538)  (17.0)%
    Interest expense           3,707,726    5,316,376   (1,608,650)  (30.3)
    NET INTEREST INCOME        4,619,656    4,719,544      (99,888)   (2.1)

Provision for loan losses 2,474,215 664,922 1,809,293 NM

NET INTEREST INCOME AFTER

     PROVISION FOR LOAN
     LOSSES                    2,145,441    4,054,622   (1,909,181)  (47.1)

    NONINTEREST INCOME
    Service charges on
     deposit accounts            904,127      822,031       82,096    10.0
    Trust and investment
     management income           592,324      685,034      (92,710)  (13.5)
    Retail investment
     services                    289,093      278,042       11,051     4.0
    Other charges and fees       510,794      479,074       31,720     6.6

Investment banking income 236,533 214,885 21,648 10.1

Trading account profits/

(losses) and commissions 38,169 (361,711) 399,880 NM

Card fees 308,374 280,706 27,668 9.9

Mortgage production

related income/(loss) 171,368 90,983 80,385 88.4

Mortgage servicing

related income/(loss) (211,829) 195,436 (407,265) NM

Net gain/(loss) on sale

     of businesses               198,140       32,340      165,800      NM
    Gain on Visa IPO              86,305            -       86,305      NM

Net gain on sale/

leaseback of premises 37,039 118,840 (81,801) (68.8)

Other noninterest income 239,726 349,907 (110,181) (31.5)

Securities gains/

(losses), net 1,073,300 243,117 830,183 NM

Total noninterest

          income               4,473,463    3,428,684    1,044,779    30.5

NONINTEREST EXPENSE

Employee compensation

     and benefits              2,761,264    2,770,188       (8,924)   (0.3)

Net occupancy expense 347,289 351,238 (3,949) (1.1)

Outside processing and

     software                    492,611      410,945       81,666    19.9
    Equipment expense            203,209      206,498       (3,289)   (1.6)

Marketing and customer

     development                 372,235      195,043      177,192    90.8

Amortization/impairment

of intangible assets 121,260 96,680 24,580 25.4

Net loss on

extinguishment of debt 11,723 9,800 1,923 19.6

    Visa litigation              (33,469)      76,930     (110,399)     NM
    Operating losses             446,178      134,028      312,150      NM

Mortgage reinsurance 179,927 174 179,753 NM

Other noninterest expense 988,174 982,253 5,921 0.6

         Total noninterest
          expense              5,890,401    5,233,777      656,624    12.5

    INCOME/(LOSS) BEFORE
     PROVISION/(BENEFIT)
     FOR INCOME TAXES            728,503    2,249,529   (1,521,026)  (67.6)
    Provision/(benefit) for
     income taxes                (67,271)     615,514     (682,785)     NM
         Net income/(loss)       795,774    1,634,015     (838,241)  (51.3)
    Preferred dividends,
     Series A                     22,255       30,275       (8,020)  (26.5)
    U.S. Treasury preferred
     dividends                    26,579            -       26,579      NM

NET INCOME/(LOSS) AVAILABLE

     TO COMMON SHAREHOLDERS     $746,940   $1,603,740    ($856,800)  (53.4)

    Net interest income -
     FTE (1)                  $4,737,143   $4,822,224     ($85,081)   (1.8)

    Net income/(loss) per
     average common share
      Diluted                       2.13         4.55        (2.42)  (53.2)
      Basic                         2.14         4.59        (2.45)  (53.4)

    Cash dividends paid per
     common share                   2.85         2.92        (0.07)   (2.4)
    Average common shares
     outstanding (000s)
      Diluted                    350,183      352,688       (2,505)   (0.7)
      Basic                      348,919      349,346         (427)   (0.1)

(1) Net interest income includes the effects of FTE adjustments using a

federal tax rate of 35% and state income taxes where applicable to

increase tax-exempt interest income to a taxable-equivalent basis.

(2) "NM" - Not meaningful. Those changes over 100 percent were not

considered to be meaningful.

SunTrust Banks, Inc. and Subsidiaries

FIVE QUARTER CONSOLIDATED STATEMENTS OF INCOME

(Dollars in thousands, except per share data) (Unaudited)

                                              Three Months Ended
                                     December 31    September 30    June 30
                                          2008           2008        2008

      Interest income                 $1,985,371     $2,017,314  $2,066,365
      Interest expense                   808,511        871,101     909,649
      NET INTEREST INCOME              1,176,860      1,146,213   1,156,716
      Provision for loan losses          962,494        503,672     448,027
      NET INTEREST INCOME AFTER
       PROVISION FOR LOAN LOSSES         214,366        642,541     708,689

      NONINTEREST INCOME
      Service charges on deposit
       accounts                          221,751        240,241     230,296
      Trust and investment
       management income                 126,426        147,477     157,319
      Retail investment services          70,238         72,791      73,764
      Other charges and fees             125,206        128,776     129,581
      Investment banking income           57,962         62,164      60,987
      Trading account profits/
       (losses) and commissions          (61,879)       121,136     (49,306)
      Card fees                           77,909         78,138      78,566
      Mortgage production related
       income/(loss)                     (27,717)        50,028      63,508
      Mortgage servicing related
       income/(loss)                    (336,129)        62,654      32,548
      Net gain/(loss) on sale of
       businesses                         (2,711)        81,813      29,648
      Gain on Visa IPO                         -              -           -
      Net gain on sale/leaseback
       of premises                             -              -           -
      Other noninterest income            55,620         66,958      56,312
      Securities gains/(losses),
       net                               411,053        173,046     549,787
           Total noninterest
            income                       717,729      1,285,222   1,413,010

      NONINTEREST EXPENSE
      Employee compensation and
       benefits                          638,014        696,210     711,957
      Net occupancy expense               86,620         88,745      85,483
      Outside processing and
       software                          143,880        132,361     107,205
      Equipment expense                   47,892         51,931      50,991
      Marketing and customer
       development                        51,636        217,693      47,203
      Amortization/impairment of
       intangible assets                  17,259         18,551      64,735
      Net loss on extinguishment
       of debt                                 -              -           -
      Visa litigation                    (14,345)        20,000           -
      Operating losses                   236,078        135,183      44,654
      Mortgage reinsurance                99,999         47,956      24,961
      Other noninterest expense          281,605        259,456     241,344
           Total noninterest
            expense                    1,588,638      1,668,086   1,378,533

      INCOME/(LOSS) BEFORE
       PROVISION/(BENEFIT)
       FOR INCOME TAXES                 (656,543)       259,677     743,166
      Provision/(benefit) for
       income taxes                     (308,956)       (52,767)    202,804
           Net income/(loss)            (347,587)       312,444     540,362
      Preferred dividends,
       Series A                            5,055          5,111       5,112
      U.S. Treasury preferred
       dividends                          26,579              -           -
      NET INCOME/(LOSS) AVAILABLE TO
       COMMON SHAREHOLDERS             ($379,221)      $307,333    $535,250

      Net interest income - FTE (1)   $1,208,650     $1,175,679  $1,184,972

      Net income/(loss) per average common share
        Diluted                            (1.08)          0.88        1.53
        Basic                              (1.08)          0.88        1.53

      Cash dividends paid per
       common share                         0.54           0.77        0.77
      Average common shares
       outstanding (000s)
        Diluted                          351,882        350,970     349,783
        Basic                            350,439        349,916     348,714



                                         Three Months Ended
                                       March 31     December 31
                                         2008           2007

      Interest income                 $2,258,332     $2,448,701
      Interest expense                 1,118,465      1,281,188
      NET INTEREST INCOME              1,139,867      1,167,513
      Provision for loan losses          560,022        356,781
      NET INTEREST INCOME AFTER
       PROVISION FOR LOAN LOSSES         579,845        810,732

      NONINTEREST INCOME
      Service charges on deposit
       accounts                          211,839        222,213
      Trust and investment
       management income                 161,102        170,854
      Retail investment services          72,300         71,650
      Other charges and fees             127,231        121,849
      Investment banking income           55,420         55,041
      Trading account profits/
       (losses) and commissions           28,218       (437,162)
      Card fees                           73,761         77,481
      Mortgage production related
       income/(loss)                      85,549         22,366
      Mortgage servicing related
       income/(loss)                      29,098         57,364
      Net gain/(loss) on sale of
       businesses                         89,390              -
      Gain on Visa IPO                    86,305              -
      Net gain on sale/leaseback
       of premises                        37,039        118,840
      Other noninterest income            60,836         89,827
      Securities gains/(losses), net     (60,586)         5,694
           Total noninterest
            income                     1,057,502        576,017

      NONINTEREST EXPENSE
      Employee compensation and
       benefits                          715,083        682,810
      Net occupancy expense               86,441         92,705
      Outside processing and
       software                          109,165        105,407
      Equipment expense                   52,395         51,734
      Marketing and customer
       development                        55,703         59,115
      Amortization/impairment of
       intangible assets                  20,715         23,414
      Net loss on extinguishment
       of debt                            11,723              -
      Visa litigation                    (39,124)        76,930
      Operating losses                    30,263         42,815
      Mortgage reinsurance                 7,011             79
      Other noninterest expense          205,769        320,332
           Total noninterest
            expense                    1,255,144      1,455,341

      INCOME/(LOSS) BEFORE
       PROVISION/(BENEFIT)
       FOR INCOME TAXES                  382,203        (68,592)
      Provision/(benefit) for
       income taxes                       91,648        (79,716)
           Net income/(loss)             290,555         11,124
      Preferred dividends, Series A        6,977          7,867
      U.S. Treasury preferred
       dividends                               -              -
      NET INCOME/(LOSS) AVAILABLE TO
       COMMON SHAREHOLDERS              $283,578         $3,257

      Net interest income - FTE 1     $1,167,842     $1,194,757

      Net income/(loss) per
       average common share
        Diluted                             0.81           0.01
        Basic                               0.82           0.01

      Cash dividends paid per
       common share                         0.77           0.73
      Average common shares
       outstanding (000s)
        Diluted                          348,072        348,072
        Basic                            346,581        345,917

(1) Net interest income includes the effects of FTE adjustments using a

        federal tax rate of 35% and state income taxes where applicable to
        increase tax-exempt interest income to a taxable-equivalent basis.


SunTrust Banks, Inc. and Subsidiaries

CONSOLIDATED BALANCE SHEETS

(Dollars in thousands) (Unaudited)

                                                              Increase/
                                  As of December 31         (Decrease) (3)
                                  2008          2007        Amount      %
    ASSETS
    Cash and due from
     banks                     $5,622,789    $4,270,917   $1,351,872   31.7%
    Interest-bearing
     deposits in other
     banks                         23,999        24,355         (356)  (1.5)
    Funds sold and
     securities
     purchased under
         agreements to
          resell                  990,614     1,347,329     (356,715) (26.5)
    Trading assets             10,431,091    10,518,379      (87,288)  (0.8)
    Securities
     available for
     sale (1)                  19,696,537    16,264,107    3,432,430   21.1
    Loans held for sale         4,032,128     8,851,695   (4,819,567) (54.4)
    Loans:
      Commercial               41,039,945    35,929,400    5,110,545   14.2
      Real estate:
        Home equity lines      16,454,382    14,911,598    1,542,784   10.3
        Construction            9,863,961    13,776,651   (3,912,690) (28.4)
        Residential
         mortgages             32,065,839    32,779,744     (713,905)  (2.2)
        Commercial real
         estate                14,957,082    12,609,543    2,347,539   18.6
      Consumer:
        Direct                  5,139,335     3,963,869    1,175,466   29.7
        Indirect                6,507,622     7,494,130     (986,508) (13.2)
      Credit card                 970,277       854,059      116,218   13.6
          Total loans         126,998,443   122,318,994    4,679,449    3.8
    Allowance for loan
     and lease losses          (2,350,996)   (1,282,504)   1,068,492   83.3
         Net loans            124,647,447   121,036,490    3,610,957    3.0
    Goodwill                    7,043,503     6,921,493      122,010    1.8
    Other intangible
     assets                     1,035,427     1,362,995     (327,568) (24.0)
    Other real estate
     owned                        500,481       183,753      316,728     NM
    Other assets               15,264,958     8,792,420    6,472,538   73.6

Total assets (2) $189,288,974 $179,573,933 $9,715,041 5.4

    LIABILITIES
    Noninterest-
     bearing
     consumer and
     commercial
     deposits                 $21,605,212   $21,083,234     $521,978    2.5%

Interest-bearing

consumer and

commercial

deposits:

         NOW accounts          21,349,609    22,558,374   (1,208,765)  (5.4)
         Money market
          accounts             28,744,308    24,522,640    4,221,668   17.2
         Savings                3,345,187     3,917,099     (571,912) (14.6)
         Consumer time         17,239,725    17,264,208      (24,483)  (0.1)
         Other time            13,074,857    12,524,470      550,387    4.4
              Total
               consumer and
               commercial
               deposits       105,358,898   101,870,025    3,488,873    3.4
    Brokered deposits           7,667,167    11,715,024   (4,047,857) (34.6)
    Foreign deposits              385,510     4,257,601   (3,872,091) (90.9)

         Total deposits       113,411,575   117,842,650   (4,431,075)  (3.8)
    Funds purchased             1,120,079     3,431,185   (2,311,106) (67.4)
    Securities sold
     under agreements
     to repurchase              3,193,311     5,748,277   (2,554,966) (44.4)
    Other short-term
     borrowings                 5,199,360     3,021,358    2,178,002   72.1
    Long-term debt             26,812,381    22,956,508    3,855,873   16.8
    Trading liabilities         3,275,606     2,160,385    1,115,221   51.6
    Other liabilities          13,888,553     6,361,052    7,527,501     NM

Total liabilities 166,900,865 161,521,415 5,379,450 3.3

    SHAREHOLDERS' EQUITY
    Preferred stock, no
     par value                  5,221,703       500,000    4,721,703     NM
    Common stock, $1.00
     par value                    372,799       370,578        2,221    0.6
    Additional paid in
     capital                    6,904,644     6,707,293      197,351    2.9
    Retained earnings          10,388,984    10,646,640     (257,656)  (2.4)
    Treasury stock, at
     cost, and other           (1,481,146)   (1,779,142)    (297,996) (16.7)
    Accumulated other
     comprehensive
     income, net of tax           981,125     1,607,149     (626,024) (39.0)
         Total shareholders'
          equity               22,388,109    18,052,518    4,335,591   24.0

         Total liabilities
          and shareholders'
          equity             $189,288,974  $179,573,933   $9,715,041    5.4

         Common shares
          outstanding         354,515,013   348,411,163    6,103,850    1.8
         Common shares
          authorized          750,000,000   750,000,000            -      -
         Preferred shares
          outstanding              53,500         5,000       48,500     NM
         Preferred shares
          authorized           50,000,000    50,000,000            -      -
         Treasury shares
          of common stock      18,284,356    22,167,235   (3,882,879) (17.5)

    (1) Includes net
     unrealized
     gains of                  $1,413,330    $2,724,643  ($1,311,313) (48.1)%
    (2) Includes earning
     assets of                156,016,463   154,397,231    1,619,232    1.0

(3) "NM" - Not meaningful. Those changes over 100 percent were not

considered to be meaningful.

SunTrust Banks, Inc. and Subsidiaries

FIVE QUARTER CONSOLIDATED BALANCE SHEETS

(Dollars in thousands) (Unaudited)

                                                      As of
                                      December 31   September 30    June 30
                                          2008          2008          2008
    ASSETS
    Cash and due from banks            $5,622,789    $3,065,268    $3,564,824

Interest-bearing deposits in

     other banks                           23,999        65,025        22,566

Funds sold and securities

purchased under

         agreements to resell             990,614     1,440,234     1,920,276
    Trading assets                     10,431,091     8,936,540    10,147,021

Securities available for

     sale (1)                          19,696,537    14,533,075    15,118,073
    Loans held for sale                 4,032,128     4,759,761     5,260,892
    Loans:
      Commercial                       41,039,945    40,084,729    38,800,537
      Real estate:
        Home equity lines              16,454,382    16,159,053    15,726,998
        Construction                    9,863,961    11,519,497    12,542,775
        Residential mortgages          32,065,839    32,382,111    32,509,029
        Commercial real estate         14,957,082    13,841,995    13,693,933
      Consumer:
        Direct                          5,139,335     4,930,531     4,528,576
        Indirect                        6,507,622     6,796,898     7,077,510
      Credit card                         970,277     1,003,581       945,446
          Total loans                 126,998,443   126,718,395   125,824,804

Allowance for loan and lease

     losses                            (2,350,996)   (1,941,000)   (1,829,400)
         Net loans                    124,647,447   124,777,395   123,995,404
    Goodwill                            7,043,503     7,062,869     7,056,015
    Other intangible assets             1,035,427     1,389,965     1,442,056
    Other real estate owned               500,481       387,037       334,519
    Other assets                       15,264,958     8,359,591     8,371,081
         Total assets (2)            $189,288,974  $174,776,760  $177,232,727

LIABILITIES

Noninterest-bearing consumer

and commercial deposits $21,605,212 $21,487,853 $22,184,774

Interest-bearing consumer and

commercial deposits:

         NOW accounts                  21,349,609    20,313,035    21,612,407
         Money market accounts         28,744,308    27,654,355    26,016,859
         Savings                        3,345,187     3,568,831     3,990,277
         Consumer time                 17,239,725    16,566,225    16,582,510
         Other time                    13,074,857    12,238,642    12,046,718
              Total consumer
               and commercial
               deposits               105,358,898   101,828,941   102,433,545
    Brokered deposits                   7,667,167     9,141,001    12,607,183
    Foreign deposits                      385,510     4,941,939     4,538,435
         Total deposits               113,411,575   115,911,881   119,579,163
    Funds purchased                     1,120,079     2,388,629     3,063,696

Securities sold under

     agreements to repurchase           3,193,311     4,090,085     5,156,986

Other short-term borrowings 5,199,360 2,728,307 2,682,808

    Long-term debt                     26,812,381    23,857,828    21,327,576
    Trading liabilities                 3,275,606     1,924,013     2,430,521
    Other liabilities                  13,888,553     5,919,992     5,084,825
         Total liabilities            166,900,865   156,820,735   159,325,575

SHAREHOLDERS' EQUITY

Preferred stock, no par value 5,221,703 500,000 500,000

Common stock, $1.00 par value 372,799 372,799 372,799

Additional paid in capital 6,904,644 6,783,976 6,799,935

    Retained earnings                  10,388,984    10,959,830    10,924,650

Treasury stock, at cost,

     and other                         (1,481,146)   (1,548,870)   (1,612,167)

Accumulated other

comprehensive income, net of

     tax                                  981,125       888,290       921,935
         Total shareholders'
          equity                       22,388,109    17,956,025    17,907,152

         Total liabilities and
          shareholders' equity       $189,288,974  $174,776,760  $177,232,727

         Common shares
          outstanding                 354,515,013   353,962,785   353,542,105
         Common shares authorized     750,000,000   750,000,000   750,000,000
         Preferred shares
          outstanding                      53,500         5,000         5,000
         Preferred shares
          authorized                   50,000,000    50,000,000    50,000,000
         Treasury shares of
          common stock                 18,284,356    18,836,584    19,257,264

(1) Includes net unrealized

     gains of                          $1,413,330    $1,519,449    $1,655,504

(2) Includes earning assets of 156,016,463 152,903,782 154,716,384


                                                    As of
                                            March 31      December 31
                                              2008           2007
    ASSETS
    Cash and due from banks                $3,994,267     $4,270,917

Interest-bearing deposits in other

     banks                                     21,283         24,355

Funds sold and securities purchased

     under agreements to resell             1,247,495      1,347,329
    Trading assets                         10,932,251     10,518,379

Securities available for sale (1) 15,882,088 16,264,107

    Loans held for sale                     6,977,289      8,851,695
    Loans:
      Commercial                           37,306,872     35,929,400
      Real estate:
        Home equity lines                  15,134,297     14,911,598
        Construction                       12,980,917     13,776,651
        Residential mortgages              33,092,433     32,779,744
        Commercial real estate             12,893,708     12,609,543
      Consumer:
        Direct                              4,192,168      3,963,869
        Indirect                            7,305,213      7,494,130
      Credit card                             807,587        854,059
          Total loans                     123,713,195    122,318,994

Allowance for loan and lease losses (1,545,340) (1,282,504)

         Net loans                        122,167,855    121,036,490
    Goodwill                                6,923,033      6,921,493
    Other intangible assets                 1,430,268      1,362,995
    Other real estate owned                   244,906        183,753
    Other assets                            9,166,212      8,792,420
         Total assets (2)                $178,986,947   $179,573,933

LIABILITIES

Noninterest-bearing consumer and

     commercial deposits                  $22,325,750    $21,083,234

Interest-bearing consumer and

commercial deposits:

         NOW accounts                      22,292,330     22,558,374
         Money market accounts             25,843,396     24,522,640
         Savings                            3,990,007      3,917,099
         Consumer time                     16,876,836     17,264,208
         Other time                        12,104,125     12,524,470
              Total consumer and
               commercial deposits        103,432,444    101,870,025
    Brokered deposits                      11,034,332     11,715,024
    Foreign deposits                        1,712,504      4,257,601
         Total deposits                   116,179,280    117,842,650
    Funds purchased                         3,795,641      3,431,185

Securities sold under agreements to

     repurchase                             5,446,204      5,748,277
    Other short-term borrowings             3,061,003      3,021,358
    Long-term debt                         23,602,919     22,956,508
    Trading liabilities                     2,356,037      2,160,385
    Other liabilities                       6,114,415      6,361,052
         Total liabilities                160,555,499    161,521,415

    SHAREHOLDERS' EQUITY
    Preferred stock, no par value             500,000        500,000
    Common stock, $1.00 par value             370,578        370,578
    Additional paid in capital              6,682,828      6,707,293
    Retained earnings                      10,661,250     10,646,640

Treasury stock, at cost, and other (1,692,117) (1,779,142)

Accumulated other comprehensive

     income, net of tax                     1,908,909      1,607,149
         Total shareholders' equity        18,431,448     18,052,518

         Total liabilities and
          shareholders' equity           $178,986,947   $179,573,933

         Common shares outstanding        349,832,264    348,411,163
         Common shares authorized         750,000,000    750,000,000
         Preferred shares outstanding           5,000          5,000
         Preferred shares authorized       50,000,000     50,000,000
         Treasury shares of common stock   20,746,134     22,167,235

(1) Includes net unrealized gains of $2,835,823 $2,724,643

(2) Includes earning assets of 152,714,700 154,397,231

SunTrust Banks, Inc. and Subsidiaries

CONSOLIDATED DAILY AVERAGE BALANCES,

AVERAGE YIELDS EARNED AND RATES PAID

(Dollars in millions; yields on taxable-equivalent basis) (Unaudited)


                                                  Three Months Ended
                                                  December 31, 2008
                                                        Interest
                                             Average     Income/   Yields/
                                             Balances    Expense    Rates
    ASSETS
    Loans:
      Real estate 1-4 family                 $31,006.9     $482.4    6.22%
      Real estate construction                 8,914.8      106.5    4.75
      Real estate home equity lines           15,803.1      173.8    4.38
      Real estate commercial                  14,736.8      202.2    5.46
      Commercial - FTE (1)                    40,463.8      540.5    5.31
      Credit card (consumer and
       commercial)                               999.0       16.9    6.76
      Consumer - direct                        5,009.4       65.3    5.18
      Consumer - indirect                      6,820.9      109.6    6.39
      Nonaccrual and restructured              3,853.2        5.1    0.53
        Total loans                          127,607.9    1,702.3    5.31

Securities available for sale:

      Taxable                                 13,071.2      183.8    5.63
      Tax-exempt - FTE (1)                     1,007.9       15.2    6.04

Total securities available for

         sale - FTE (1)                       14,079.1      199.0    5.65

Funds sold and securities purchased

     under agreements to resell                  963.2        1.9    0.77
    Loans held for sale                        3,968.3       53.5    5.39
    Interest-bearing deposits                     30.9        0.2    2.14
    Interest earning trading
     assets                                    6,538.5       60.3    3.67
        Total earning assets                 153,187.9    2,017.2    5.24

Allowance for loan and lease losses (1,997.9)

    Cash and due from banks                    3,218.6
    Other assets                              17,695.3

Noninterest earning trading

     assets                                    3,571.8

Unrealized gains on securities

     available for sale, net                   1,371.6
        Total assets                        $177,047.3

LIABILITIES AND SHAREHOLDERS' EQUITY

Interest-bearing deposits:

      NOW accounts                           $20,095.0      $32.6    0.65%
      Money market accounts                   27,968.7      126.3    1.80
      Savings                                  3,460.0        2.8    0.32
      Consumer time                           17,043.5      141.9    3.31
      Other time                              12,716.6      112.0    3.50
        Total interest-bearing consumer
              and commercial deposits         81,283.8      415.6    2.03
      Brokered deposits                        8,942.3       84.3    3.69
      Foreign deposits                         3,706.4        4.0    0.42
        Total interest-bearing deposits       93,932.5      503.9    2.13

Funds purchased 2,156.1 3.8 0.69

Securities sold under agreements

     to repurchase                             3,609.4        3.1    0.33
    Interest-bearing trading liabilities         585.9        5.7    3.87
    Other short-term borrowings                4,163.5        8.0    0.77
    Long-term debt                            24,037.8      284.0    4.70

Total interest-bearing liabilities 128,485.2 808.5 2.50

    Noninterest-bearing deposits              20,954.6
    Other liabilities                          5,237.7

Noninterest-bearing trading liabilities 2,591.8

    Shareholders' equity                      19,778.0

Total liabilities and

         shareholders' equity               $177,047.3

    Interest Rate Spread                                             2.74%

    Net Interest Income - FTE (1)                        $1,208.7

    Net Interest Margin (2)                                          3.14%

                                                  Three Months Ended
                                                  September 30, 2008
                                                        Interest
                                             Average     Income/   Yields/
                                             Balances    Expense    Rates
    ASSETS
    Loans:
      Real estate 1-4 family                 $31,486.5     $494.0    6.28%
      Real estate construction                10,501.9      130.0    4.92
      Real estate home equity lines           15,424.4      193.0    4.98
      Real estate commercial                  14,138.6      193.4    5.44
      Commercial - FTE (1)                    38,064.4      508.5    5.32
      Credit card (consumer and
       commercial)                               859.7        9.4    4.36
      Consumer - direct                        4,705.0       62.9    5.32
      Consumer - indirect                      7,152.3      114.0    6.34
      Nonaccrual and restructured              3,309.2        7.4    0.88
        Total loans                          125,642.0    1,712.6    5.42

Securities available for sale:

      Taxable                                 11,944.2      174.4    5.84
      Tax-exempt - FTE (1)                     1,017.2       15.5    6.07

Total securities available for

         sale - FTE (1)                       12,961.4      189.9    5.86

Funds sold and securities purchased

     under agreements to resell                1,649.7        7.5    1.79
    Loans held for sale                        4,459.3       65.0    5.82
    Interest-bearing deposits                     28.0        0.2    2.81
    Interest earning trading
     assets                                    7,579.4       71.6    3.76
        Total earning assets                 152,319.8    2,046.8    5.35

Allowance for loan and lease losses (2,035.8)

    Cash and due from banks                    2,918.1
    Other assets                              17,120.7

Noninterest earning trading

     assets                                    2,039.3

Unrealized gains on securities

     available for sale, net                   1,526.4
        Total assets                        $173,888.5

LIABILITIES AND SHAREHOLDERS' EQUITY

Interest-bearing deposits:

      NOW accounts                           $20,501.5      $55.9    1.08%
      Money market accounts                   26,897.1      122.5    1.81
      Savings                                  3,770.9        3.8    0.40
      Consumer time                           16,282.1      144.2    3.52
      Other time                              11,868.3      106.8    3.58
        Total interest-bearing consumer
              and commercial deposits         79,319.9      433.2    2.17
      Brokered deposits                       10,693.5       90.8    3.32
      Foreign deposits                         5,106.3       21.9    1.68
        Total interest-bearing deposits       95,119.7      545.9    2.28

Funds purchased 2,658.5 12.3 1.80

Securities sold under agreements

     to repurchase                             4,971.7       19.1    1.50
    Interest-bearing trading liabilities         994.5        8.8    3.53
    Other short-term borrowings                2,521.0       11.2    1.77
    Long-term debt                            22,419.4      273.8    4.86

Total interest-bearing liabilities 128,684.8 871.1 2.69

    Noninterest-bearing deposits              20,879.9
    Other liabilities                          4,961.1

Noninterest-bearing trading liabilities 1,380.8

    Shareholders' equity                      17,981.9

Total liabilities and

         shareholders' equity               $173,888.5

    Interest Rate Spread                                             2.66%

    Net Interest Income - FTE (1)                        $1,175.7

Net Interest Margin (2) 3.07%

(1) The fully taxable-equivalent ("FTE") basis adjusts for the

        tax-favored status of net interest income from certain loans and
        investments.  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.

(2) The net interest margin is calculated by dividing annualized net

interest income - FTE by average total earning assets.

SunTrust Banks, Inc. and Subsidiaries

CONSOLIDATED DAILY AVERAGE BALANCES,

AVERAGE YIELDS EARNED AND RATES PAID

(Dollars in millions; yields on taxable-equivalent basis) (Unaudited)


                                                    Three Months Ended
                                                      June 30, 2008
                                                          Interest
                                               Average     Income/   Yields/
                                               Balances    Expense    Rates
    ASSETS
    Loans:
      Real estate 1-4 family                   $32,113.4     $507.0    6.32%
      Real estate construction                  11,471.9      149.5    5.24
      Real estate home equity lines             14,980.1      195.8    5.26
      Real estate commercial                    13,876.7      192.8    5.59
      Commercial - FTE (1)                      37,600.1      501.4    5.36
      Credit card (consumer and
       commercial)                                 816.0        5.4    2.62
      Consumer - direct                          4,382.4       63.4    5.82
      Consumer - indirect                        7,437.2      115.9    6.27
      Nonaccrual and restructured                2,514.1        7.5    1.20
        Total loans                            125,191.9    1,738.7    5.59

Securities available for sale:

      Taxable                                   11,769.6      186.0    6.32
      Tax-exempt - FTE (1)                       1,057.5       16.0    6.05

Total securities available

         for sale - FTE (1)                     12,827.1      202.0    6.30

Funds sold and securities purchased under

     agreements to resell                        1,331.1        6.7    2.00
    Loans held for sale                          5,148.5       72.5    5.63
    Interest-bearing deposits                       21.4        0.2    3.77

Interest earning

     trading assets                              7,963.0       74.5    3.76
        Total earning assets                   152,483.0    2,094.6    5.52

Allowance for loan and lease losses (1,828.7)

    Cash and due from banks                      3,070.1
    Other assets                                17,186.1

Noninterest earning

     trading assets                              2,342.4

Unrealized gains on securities

     available for sale, net                     2,295.9
        Total assets                          $175,548.8

LIABILITIES AND SHAREHOLDERS' EQUITY

Interest-bearing deposits:

      NOW accounts                             $21,762.4      $62.5    1.15%
      Money market accounts                     26,031.8      116.7    1.80
      Savings                                    3,939.1        3.9    0.40
      Consumer time                             16,726.7      165.2    3.97
      Other time                                11,921.1      118.8    4.01
        Total interest-bearing consumer
         and commercial deposits                80,381.1      467.1    2.34
      Brokered deposits                         11,135.4       93.4    3.32
      Foreign deposits                           3,932.9       19.3    1.95
        Total interest-bearing deposits         95,449.4      579.8    2.44

Funds purchased 2,792.5 13.5 1.92

Securities sold under agreements to

     repurchase                                  5,388.4       21.8    1.60

Interest-bearing trading

     liabilities                                   849.2        6.6    3.12
    Other short-term borrowings                  2,650.6       13.1    1.99
    Long-term debt                              22,298.6      274.8    4.96

Total interest-bearing liabilities 129,428.7 909.6 2.83

    Noninterest-bearing deposits                21,345.9
    Other liabilities                            5,162.4

Noninterest-bearing trading liabilities 1,518.6

    Shareholders' equity                        18,093.2

Total liabilities and

         shareholders' equity                 $175,548.8

    Interest Rate Spread                                               2.69%

    Net Interest
     Income - FTE (1)                                      $1,185.0

    Net Interest Margin (2)                                            3.13%


                                                    Three Months Ended
                                                      March 31, 2008
                                                          Interest
                                               Average    Income/    Yields/
                                               Balances    Expense    Rates
    ASSETS
    Loans:
      Real estate 1-4 family                   $32,440.0     $521.3    6.43%
      Real estate construction                  12,450.2      189.8    6.13
      Real estate home equity lines             14,603.0      234.3    6.45
      Real estate commercial                    13,113.1      201.3    6.17
      Commercial - FTE (1)                      36,374.6      539.2    5.96
      Credit card (consumer and
       commercial)                                 774.4        2.9    1.52
      Consumer - direct                          4,063.4       62.5    6.19
      Consumer - indirect                        7,645.3      120.2    6.32
      Nonaccrual and restructured                1,799.0        5.4    1.21
        Total loans                            123,263.0    1,876.9    6.12

Securities available for sale:

      Taxable                                   12,087.1      186.8    6.18
      Tax-exempt - FTE (1)                       1,071.4       16.5    6.13

Total securities available

         for sale - FTE (1)                     13,158.5      203.3    6.18

Funds sold and securities purchased under

     agreements to resell                        1,326.9        8.9    2.67
    Loans held for sale                          6,865.7       99.0    5.77
    Interest-bearing deposits                       21.9        0.2    4.54

Interest earning

     trading assets                              8,367.6       98.0    4.71
        Total earning assets                   153,003.6    2,286.3    6.01

Allowance for loan and lease losses (1,393.1)

    Cash and due from banks                      3,166.5
    Other assets                                17,076.4

Noninterest earning

     trading assets                              2,609.5

Unrealized gains on securities

     available for sale, net                     2,454.0
        Total assets                          $176,916.9

LIABILITIES AND SHAREHOLDERS' EQUITY

Interest-bearing deposits:

      NOW accounts                             $21,981.1     $101.9    1.87%
      Money market accounts                     25,342.7      154.7    2.46
      Savings                                    3,917.0        5.7    0.59
      Consumer time                             17,030.8      187.8    4.43
      Other time                                12,280.5      141.1    4.62
        Total interest-bearing consumer
         and commercial deposits                80,552.1      591.2    2.95
      Brokered deposits                         11,216.4      123.0    4.34
      Foreign deposits                           4,252.2       33.6    3.13
        Total interest-bearing deposits         96,020.7      747.8    3.13

Funds purchased 2,885.7 21.9 3.00

Securities sold under agreements to

     repurchase                                  5,889.4       35.1    2.36

Interest-bearing trading

     liabilities                                   713.0        6.0    3.41
    Other short-term borrowings                  2,887.6       22.8    3.17
    Long-term debt                              22,808.3      284.9    5.02

Total interest-bearing liabilities 131,204.7 1,118.5 3.43

    Noninterest-bearing deposits                20,616.3
    Other liabilities                            5,347.4

Noninterest-bearing trading liabilities 1,686.8

    Shareholders' equity                        18,061.7

Total liabilities and

         shareholders' equity                 $176,916.9

    Interest Rate Spread                                               2.58%

    Net Interest
     Income - FTE (1)                                      $1,167.8

    Net Interest Margin (2)                                            3.07%


                                                    Three Months Ended
                                                    December 31, 2007
                                                          Interest
                                               Average    Income/    Yields/
                                               Balances    Expense    Rates
    ASSETS
    Loans:
      Real estate 1-4 family                   $31,990.3     $517.4    6.47%
      Real estate construction                  13,250.9      238.8    7.15
      Real estate home equity lines             14,394.8      268.1    7.39
      Real estate commercial                    12,891.6      221.2    6.81
      Commercial - FTE (1)                      34,879.3      564.9    6.43
      Credit card (consumer and
       commercial)                                 690.1        2.1    1.23
      Consumer - direct                          3,949.3       70.7    7.10
      Consumer - indirect                        7,877.3      125.7    6.33
      Nonaccrual and restructured                1,170.7        4.3    1.45
        Total loans                            121,094.3    2,013.2    6.60

Securities available for sale:

      Taxable                                   11,814.6      182.9    6.19
      Tax-exempt - FTE (1)                       1,054.0       16.0    6.07

Total securities available

         for sale - FTE (1)                     12,868.6      198.9    6.18

Funds sold and securities purchased under

     agreements to resell                        1,066.1       11.6    4.25
    Loans held for sale                          8,777.6      139.2    6.34
    Interest-bearing deposits                       18.2        0.3    6.22

Interest earning

     trading assets                              7,716.2      112.8    5.80
        Total earning assets                   151,541.0    2,476.0    6.48

Allowance for loan and lease losses (1,114.9)

    Cash and due from banks                      3,462.6
    Other assets                                17,172.3

Noninterest earning

     trading assets                              1,660.9

Unrealized gains on securities

         available for sale, net                 2,408.6
        Total assets                          $175,130.5

LIABILITIES AND SHAREHOLDERS' EQUITY

Interest-bearing deposits:

      NOW accounts                             $20,737.2     $121.0    2.32%
      Money market accounts                     24,261.5      177.7    2.91
      Savings                                    4,177.7       11.1    1.05
      Consumer time                             17,170.7      197.2    4.56
      Other time                                12,353.3      151.5    4.87
        Total interest-bearing consumer
         and commercial deposits                78,700.4      658.5    3.32
      Brokered deposits                         12,771.1      168.2    5.15
      Foreign deposits                           2,945.9       32.6    4.33
        Total interest-bearing deposits         94,417.4      859.3    3.61

Funds purchased 2,151.4 24.1 4.38

Securities sold under agreements to

     repurchase                                  5,706.7       55.2    3.78

Interest-bearing trading

     liabilities                                   504.2        3.5    2.75
    Other short-term borrowings                  3,202.8       37.4    4.63
    Long-term debt                              22,808.1      301.7    5.25

Total interest-bearing liabilities 128,790.6 1,281.2 3.95

    Noninterest-bearing deposits                20,948.1
    Other liabilities                            5,812.5

Noninterest-bearing trading liabilities 1,546.5

    Shareholders' equity                        18,032.8
        Total liabilities and
         shareholders' equity                 $175,130.5

    Interest Rate Spread                                               2.53%

    Net Interest
     Income - FTE (1)                                      $1,194.8

    Net Interest Margin (2)                                            3.13%

(1) The fully taxable-equivalent ("FTE") basis adjusts for the tax-favored

status of net interest income from certain loans and investments. 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.

(2) The net interest margin is calculated by dividing annualized net

interest income - FTE by average total earning assets.

SunTrust Banks, Inc. and Subsidiaries

CONSOLIDATED DAILY AVERAGE BALANCES,

AVERAGE YIELDS EARNED AND RATES PAID

(Dollars in millions; yields on taxable-equivalent basis) (Unaudited)


                                                 Twelve Months Ended
                                                  December 31, 2008
                                                        Interest
                                             Average     Income/   Yields/
                                             Balances    Expense    Rates
    ASSETS
    Loans:
      Real estate 1-4 family                 $31,758.9   $2,004.8    6.31%
      Real estate construction                10,828.5      575.8    5.32
      Real estate home equity lines           15,204.9      796.9    5.24
      Real estate commercial                  13,968.9      789.7    5.65
      Commercial - FTE (1)                    38,131.9    2,089.6    5.48
      Credit card (consumer and
       commercial)                               862.6       34.5    4.00
      Consumer - direct                        4,541.8      254.1    5.60
      Consumer - indirect                      7,262.5      459.8    6.33
      Nonaccrual and restructured              2,872.7       25.4    0.89
        Total loans                          125,432.7    7,030.6    5.61

Securities available for sale:

      Taxable                                 12,219.5      731.0    5.98
      Tax-exempt - FTE (1)                     1,038.4       63.1    6.07

Total securities available for

         sale - FTE (1)                       13,257.9      794.1    5.99
    Funds sold and securities
     purchased under
         agreement to resell                   1,317.7       25.1    1.91
    Loans held for sale                        5,105.6      289.9    5.68
    Interest-bearing
     deposits                                     25.6        0.8    3.18
    Interest earning trading assets            7,609.1      304.4    4.00
        Total earning assets                 152,748.6    8,444.9    5.53
    Allowance for loan and
     lease losses                             (1,815.0)
    Cash and due from banks                    3,093.2
    Other assets                              17,270.4

Noninterest earning trading assets 2,641.6

Unrealized gains on securities

     available for sale, net                   1,909.5
        Total assets                        $175,848.3

    LIABILITIES AND
     SHAREHOLDERS' EQUITY

Interest-bearing deposits:

      NOW accounts                           $21,080.7     $252.9    1.20%
      Money market accounts                   26,564.8      520.3    1.96
      Savings                                  3,770.9       16.3    0.43
      Consumer time                           16,770.2      639.1    3.81
      Other time                              12,197.2      478.6    3.92
        Total interest-bearing
         consumer
              and commercial deposits         80,383.8    1,907.2    2.37
      Brokered deposits                       10,493.2      391.5    3.73
      Foreign deposits                         4,250.3       78.8    1.85
        Total interest-bearing
         deposits                             95,127.3    2,377.5    2.50

Funds purchased 2,622.0 51.5 1.96

Securities sold under agreements to

     repurchase                                4,961.0       79.1    1.59
    Interest-bearing trading liabilities         785.7       27.1    3.46
    Other short-term borrowings                3,057.2       55.1    1.80
    Long-term debt                            22,892.9    1,117.4    4.88

Total interest-bearing

         liabilities                         129,446.1    3,707.7    2.86
    Noninterest-bearing deposits              20,949.0
    Other liabilities                          5,176.7

Noninterest-bearing trading liabilities 1,795.6

    Shareholders' equity                      18,480.9
    Total liabilities and
     shareholders' equity                   $175,848.3

    Interest Rate Spread                                             2.67%

    Net Interest Income -
     FTE (1)                                             $4,737.2

    Net Interest Margin (2)                                          3.10%


                                                  Twelve Months Ended
                                                   December 31, 2007
                                                        Interest
                                             Average     Income/   Yields/
                                             Balances    Expense    Rates
    ASSETS
    Loans:
      Real estate 1-4 family                 $31,951.0   $2,036.5    6.37%
      Real estate construction                13,519.4    1,011.0    7.48
      Real estate home equity lines           14,031.0    1,088.2    7.76
      Real estate commercial                  12,803.4      887.5    6.93
      Commercial - FTE (1)                    34,194.4    2,202.6    6.44
      Credit card (consumer and
       commercial)                               495.9       17.7    3.57
      Consumer - direct                        4,221.0      304.9    7.22
      Consumer - indirect                      8,017.5      495.4    6.18
      Nonaccrual and restructured                847.0       17.3    2.05
        Total loans                          120,080.6    8,061.1    6.71

Securities available for sale:

      Taxable                                 10,274.1      639.1    6.22
      Tax-exempt - FTE (1)                     1,043.8       62.2    5.96

Total securities available for

         sale - FTE (1)                       11,317.9      701.3    6.20
    Funds sold and securities
     purchased under
     agreement to resell                         995.6       48.8    4.91
    Loans held for sale                       10,786.7      668.9    6.20
    Interest-bearing
     deposits                                     24.0        1.3    5.44
    Interest earning trading assets           11,999.6      657.2    5.48
        Total earning assets                 155,204.4   10,138.6    6.53
    Allowance for loan and
     lease losses                             (1,065.7)
    Cash and due from banks                    3,456.6
    Other assets                              16,700.5

Noninterest earning trading assets 1,198.9

Unrealized gains on securities

     available for sale, net                   2,300.8
        Total assets                        $177,795.5

    LIABILITIES AND
     SHAREHOLDERS' EQUITY

Interest-bearing deposits:

      NOW accounts                           $20,042.8     $473.9    2.36%
      Money market accounts                   22,676.7      622.5    2.75
      Savings                                  4,608.7       55.5    1.20
      Consumer time                           16,941.3      764.2    4.51
      Other time                              12,073.5      586.3    4.86
        Total interest-bearing
         consumer
              and commercial deposits         76,343.0    2,502.4    3.28
      Brokered deposits                       16,091.9      861.2    5.35
      Foreign deposits                         5,764.5      297.2    5.16
        Total interest-bearing
         deposits                             98,199.4    3,660.8    3.73

Funds purchased 3,266.2 166.5 5.10

Securities sold under agreements to

     repurchase                                6,132.5      273.8    4.46
    Interest-bearing trading liabilities         430.2       15.6    3.62
    Other short-term borrowings                2,493.0      121.0    4.85
    Long-term debt                            20,692.9    1,078.7    5.21

Total interest-bearing

         liabilities                         131,214.2    5,316.4    4.05
    Noninterest-bearing deposits              21,677.2
    Other liabilities                          5,783.1

Noninterest-bearing trading liabilities 1,313.0

    Shareholders' equity                      17,808.0
    Total liabilities and
     shareholders' equity                   $177,795.5

    Interest Rate Spread                                             2.48%

    Net Interest Income -
     FTE (1)                                             $4,822.2

    Net Interest Margin (2)                                          3.11%

(1) The fully taxable-equivalent ("FTE") basis adjusts for the

        tax-favored status of net interest income from certain loans and
        investments.  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.

(2) The net interest margin is calculated by dividing net interest income

- FTE by average total earning assets.

SunTrust Banks, Inc. and Subsidiaries

OTHER FINANCIAL DATA

(Dollars in thousands) (Unaudited)

                                          Three Months Ended
                                   December 31           Increase/(Decrease)
                               2008          2007         Amount       %(1)
     CREDIT DATA
     Allowance for loan and
      lease losses -
      beginning           $1,941,000    $1,093,691      $847,309     77.5 %
     Provision for loan
      losses                 962,494       356,781       605,713       NM
     Allowance associated
      with loans at fair
      value(2)                     -             -             -        -
     Allowance from GB&T
      acquisition                  -             -             -        -
     Charge-offs
       Commercial            (93,556)      (37,917)       55,639       NM
       Real estate:
         Home equity
          lines             (136,949)      (46,842)       90,107       NM
         Construction        (84,194)       (7,616)       76,578       NM
         Residential
          mortgages         (156,397)      (59,319)       97,078       NM
         Commercial
          real estate        (23,548)         (299)       23,249       NM
         Consumer:
            Direct           (13,295)       (6,630)        6,665       NM
            Indirect         (65,666)      (32,448)       33,218       NM
            Credit cards      (8,962)         (322)        8,640       NM
              Total
               charge-offs  (582,567)     (191,393)      391,174       NM

     Recoveries
        Commercial             6,938         6,573           365      5.6
        Real estate:
          Home equity
           lines               4,480         2,182         2,298       NM
          Construction           802           705            97     13.8
          Residential
           mortgages           2,816         1,328         1,488       NM
          Commercial
           real estate           700           846          (146)   (17.3)
          Consumer:
            Direct             1,964         2,484          (520)   (20.9)
            Indirect          12,102         9,267         2,835     30.6
            Credit cards         267            40           227       NM
              Total
               recoveries     30,069        23,425         6,644     28.4
     Net charge-offs        (552,498)     (167,968)      384,530       NM
     Allowance for loan
      and lease losses -
      ending              $2,350,996    $1,282,504    $1,068,492     83.3
     Net charge-offs to
      average loans
      (annualized)
          Commercial            0.84 %        0.34 %        0.50 %     NM%
          Real estate:
            Home equity
             lines              3.33          1.23          2.10       NM
            Construction        3.29          0.20          3.09       NM
            Residential
             mortgages          1.86          0.70          1.16       NM
            Commercial
             real estate        0.61         (0.02)         0.63       NM
          Consumer:
            Direct              0.90          0.42          0.48       NM
            Indirect            3.12          1.16          1.96       NM
            Credit cards        7.00          0.48          6.52       NM
     Total net charge-offs
      to total average
      loans                     1.72          0.55          1.17       NM

     Period Ended
     Nonaccrual/
      nonperforming loans
          Commercial        $321,980       $74,463      $247,517       NM%
          Real estate:
            Home equity
             lines           272,577       135,700       136,877       NM
            Construction   1,276,847       295,335       981,512       NM
            Residential
             mortgages     1,846,999       841,376     1,005,623       NM
            Commercial
             real estate     176,578        44,502       132,076       NM
          Consumer loans      45,045        39,031         6,014     15.4
            Total
             nonaccrual/
             non-
             performing
             loans         3,940,026     1,430,407     2,509,619       NM
         Other real
          estate
          owned (OREO)       500,481       183,753       316,728       NM
         Other
          repossessed
          assets              15,866        11,536         4,330     37.5
     Total non-
      performing
      assets              $4,456,373    $1,625,696    $2,830,677       NM
     Restructured
      loans
      (accruing)(5)         $462,648       $29,851      $432,797       NM
     Total accruing
      loans past due

90 days or more $1,032,260 $611,003 $421,257 68.9%

     Total non-
      performing loans
      to total loans            3.10 %        1.17 %        1.93 %     NM%
     Total non-
      performing assets
      to total loans
      plus OREO and other
      repossessed assets        3.49          1.33          2.16       NM
     Allowance to period-
      end loans(3)              1.86          1.05          0.81     77.1
     Allowance to
      nonperforming loans(4)    61.7         101.9        (40.20)   (39.5)
     Allowance to
      annualized net
      charge-offs               1.07 x        1.92 x       (0.85)x  (44.4)


                                         Twelve Months Ended
                                 December 31           Increase/(Decrease)
                              2008          2007         Amount       % (1)

     CREDIT DATA
     Allowance for loan
      and lease losses -
      beginning            $1,282,504    $1,044,521      $237,983      22.8 %

Provision for loan

      losses                2,474,215       664,922     1,809,293         NM

Allowance associated

with loans at fair

      value(2)                      -        (4,100)       (4,100)   (100.0)

Allowance from GB&T

      acquisition             158,705             -       158,705         NM

Charge-offs

          Commercial         (232,493)     (140,494)       91,999      65.5
          Real estate:
               Home equity
                lines        (449,570)     (116,218)      333,352         NM
               Construction  (194,494)      (12,159)      182,335         NM
               Residential
                mortgages    (525,148)     (113,080)      412,068         NM
               Commercial
                real estate   (24,744)       (2,069)       22,675         NM
          Consumer:
               Direct         (41,868)      (23,509)       18,359      78.1
               Indirect      (192,905)     (106,454)       86,451      81.2
               Credit cards   (19,330)         (365)       18,965         NM
                 Total
                  charge-
                  offs     (1,680,552)     (514,348)    1,166,204         NM

     Recoveries
          Commercial           25,191        24,030         1,161       4.8
          Real estate:
               Home equity
                lines          16,401         7,789         8,612         NM
               Construction     2,848         1,150         1,698         NM
               Residential
                mortgages       7,766         5,462         2,304      42.2
               Commercial
                real estate     1,154         1,910          (756)    (39.6)
          Consumer:
               Direct           8,164         9,613        (1,449)    (15.1)
               Indirect        54,163        41,343        12,820      31.0
               Credit cards       437           212           225         NM
                 Total
                  recoveries  116,124        91,509        24,615      26.9
     Net charge-offs       (1,564,428)     (422,839)    1,141,589         NM
     Allowance for loan
      and lease losses -
      ending               $2,350,996    $1,282,504    $1,068,492      83.3

     Net charge-offs to
      average loans
      (annualized)
          Commercial             0.53  %       0.33  %       0.20 %    60.6 %
          Real estate:
               Home equity
                lines            2.85          0.77          2.08         NM
               Construction      1.63          0.08          1.55         NM
               Residential
                mortgages        1.56          0.33          1.23         NM
               Commercial
                real estate      0.17             -          0.17         NM
              Consumer:
               Direct            0.74          0.33          0.41         NM
               Indirect          1.91          0.81          1.10         NM
               Credit cards      5.05          0.18          4.87         NM
     Total net charge-offs
      to total average
      loans                      1.24          0.35          0.89         NM

     Period Ended
     Nonaccrual/
      nonperforming loans
          Commercial
          Real estate:
               Home equity
                lines
               Construction
               Residential
                mortgages
               Commercial
                real estate
          Consumer loans
                 Total
                  nonaccrual/
                  nonperforming
                  loans
          Other real estate
           owned (OREO)
          Other
           repossessed
           assets
     Total nonperforming
      assets

     Restructured loans
      (accruing)(5)
     Total accruing loans
      past due 90 days or
      more

     Total nonperforming
      loans to total loans
     Total nonperforming
      assets to total
      loans plus OREO
      and other repossessed
      assets
     Allowance to period-end
      loans(3)

Allowance to nonperforming

loans(4)

Allowance to annualized

net charge-offs

(1) "NM" - Not meaningful. Those changes over 100 percent were not

considered to be meaningful.

(2) Amount removed from the allowance for loan losses related to the

Company's election to record $4.1 billion of residential mortgages

at fair value.

(3) During the second quarter of 2008, the Company revised its method

        of calculating this ratio to include, within the period-end loan
        amount, only loans measured at amortized cost. Previously, period-
        end loans included loans measured at fair value or the lower of
        cost or market.  The Company believes this is an improved method of
        calculation due to the fact that the allowance for loan losses
        relates solely to the loans measured at amortized cost. Loans
        measured at fair value or the lower of cost or market that have
        been excluded from the prior period calculation were $392,259,
        which did not change the calculation by more than one basis point
        as of December 31, 2007.

(4) During the second quarter of 2008, the Company revised its method

        of calculating this ratio to include, within the nonperforming loan
        amount, only loans measured at amortized cost.  Previously, this
        calculation included nonperforming loans measured at fair value or
        the lower of cost or market. The Company believes this is an
        improved method of calculation due to the fact that the allowance
        for loan losses relates solely to the loans measured at amortized
        cost.  Nonperforming loans measured at fair value or the lower of
        cost or market that have been excluded from the prior period
        calculation were $171,475, which increased the calculation
        approximately 12 basis points as of December 31, 2007.

(5) During the third quarter of 2008, the Company revised its

        definition of nonperforming to exclude loans that have been
        restructured and remain on accruing status.  These loans are not
        considered to be nonperforming because they are performing in
        accordance with the restructured terms.  This change better aligns
        the Company's definition of nonperforming loans with the one used
        by peer institutions and therefore improves comparability of this
        measure across the industry.


SunTrust Banks, Inc. and Subsidiaries

FIVE QUARTER OTHER FINANCIAL DATA

(Dollars in thousands) (Unaudited)

                                             Three Months Ended
                             December 31   September 30  Increase/(Decrease)
                                 2008          2008        Amount      %(1)

     CREDIT DATA
     Allowance for loan and
      lease losses -
      beginning               $1,941,000    $1,829,400    $111,600      6.1 %
     Provision for loan
      losses                     962,494       503,672     458,822     91.1
     Allowance from GB&T
      acquisition                     -             -           -        -
     Charge-offs
          Commercial             (93,556)      (57,789)     35,767     61.9
          Real estate:
               Home equity
                lines           (136,949)     (119,162)     17,787     14.9
               Construction      (84,194)      (51,719)     32,475     62.8
               Residential
                mortgages       (156,397)     (133,510)     22,887     17.1
               Commercial
                real estate      (23,548)         (400)     23,148        NM
          Consumer:
               Direct            (13,295)      (10,406)      2,889     27.8
               Indirect          (65,666)      (41,249)     24,417     59.2
               Credit cards       (8,962)       (5,489)      3,473     63.3
                 Total
                  charge-offs   (582,567)     (419,724)    162,843     38.8
     Recoveries
         Commercial                6,938         5,360       1,578     29.4
          Real estate:
              Home equity
               lines               4,480         3,903         577     14.8
               Construction          802         1,786        (984)   (55.1)
               Residential
                mortgages          2,816         2,083         733     35.2
               Commercial
                real estate          700           257         443        NM
          Consumer:
               Direct              1,964         1,700         264     15.5
               Indirect           12,102        12,491        (389)    (3.1)
               Credit cards          267            72         195        NM
                 Total
                  recoveries      30,069        27,652       2,417      8.7
     Net charge-offs            (552,498)     (392,072)    160,426     40.9

Allowance for loan and

lease losses - ending $2,350,996 $1,941,000 $409,996 21.1

                                           -
     Net charge-offs to
      average loans
      (annualized)
          Commercial                0.84 %        0.54 %      0.30 %   55.6 %
          Real estate:
               Home equity
                lines               3.33          2.97        0.36     12.1
               Construction         3.29          1.73        1.56     90.2
               Residential
                mortgages           1.86          1.57        0.29     18.5
               Commercial
                real estate         0.61            -         0.61       NM
          Consumer:
               Direct               0.90          0.74        0.16     21.6
               Indirect             3.12          1.56        1.56    100.0
               Credit cards         7.00          5.80        1.20     20.7

Total net charge-offs to

      total average loans           1.72          1.24        0.48     38.7

Period Ended

Nonaccrual/nonperforming

      loans
          Commercial            $321,980      $257,343     $64,637     25.1 %
          Real estate:
               Home equity
                lines            272,577       232,904      39,673     17.0
               Construction    1,276,847     1,040,678     236,169     22.7
               Residential
                mortgages      1,846,999     1,548,955     298,044     19.2
               Commercial
                real estate      176,578       164,906      11,672      7.1
          Consumer loans          45,045        44,732         313      0.7
                 Total
                  nonaccrual/
                  nonperforming
                  loans        3,940,026     3,289,518     650,508     19.8
          Other real estate
           owned (OREO)          500,481       387,037     113,444     29.3
          Other repossessed
           assets                 15,866        13,714       2,152     15.7
     Total nonperforming
      assets                  $4,456,373    $3,690,269    $766,104     20.8

     Restructured loans
      (accruing)(4)             $462,648      $381,040     $81,608     21.4 %
     Total accruing loans
      past due 90 days or
      more                    $1,032,260      $772,132    $260,128     33.7 %

     Total nonperforming
      loans to total loans          3.10 %        2.60  %     0.50  %  19.2 %
     Total nonperforming
      assets to total loans
      plus OREO and other
      repossessed assets            3.49          2.90        0.59     20.3
     Allowance to period-end
      loans(2)                      1.86          1.54        0.32     20.8
     Allowance to
      nonperforming loans(3)        61.7          62.1       (0.42)    (0.7)
     Allowance to annualized
      net charge-offs               1.07 x        1.24  x    (0.18) x (14.9)


                                              Three Months Ended
                                      June 30       March 31    December 31
                                        2008          2008          2007

CREDIT DATA

Allowance for loan and lease

      losses - beginning             $1,545,340    $1,282,504    $1,093,691

Provision for loan losses 448,027 560,022 356,781

Allowance from GB&T acquisition 158,705 - -

Charge-offs

          Commercial                    (44,352)      (37,161)      (37,917)
          Real estate:
               Home equity lines        (94,857)      (98,602)      (46,842)
               Construction             (35,399)      (23,182)       (7,616)
               Residential mortgages   (126,055)     (109,186)      (59,319)
               Commercial real
                estate                     (563)         (233)         (299)
          Consumer:
               Direct                    (7,852)      (10,315)       (6,630)
               Indirect                 (43,101)      (42,889)      (32,448)
               Credit cards              (3,386)       (1,128)         (322)
                 Total charge-offs     (355,565)     (322,696)     (191,393)

Recoveries

          Commercial                      7,186         5,919         6,573
          Real estate:
               Home equity lines          5,650         2,368         2,182
               Construction                 182            78           705
               Residential mortgages      1,644         1,223         1,328
               Commercial real
                estate                       35           162           846
          Consumer:
               Direct                     2,119         2,381         2,484
               Indirect                  16,008        13,562         9,267
               Credit cards                  69          (183)           40
                 Total recoveries        32,893        25,510        23,425
     Net charge-offs                   (322,672)     (297,186)     (167,968)

Allowance for loan and lease

      losses - ending                $1,829,400    $1,545,340    $1,282,504

Net charge-offs to average

loans (annualized)

          Commercial                       0.39 %        0.34 %        0.34 %
          Real estate:
               Home equity lines           2.40          2.65          1.23
               Construction                1.16          0.72          0.20
               Residential mortgages       1.49          1.29          0.70
               Commercial real
                estate                     0.02            -          (0.02)
          Consumer:
               Direct                      0.53          0.79          0.42
               Indirect                    1.46          1.53          1.16
               Credit cards                4.09          1.74          0.48

Total net charge-offs to total

      average loans                        1.04          0.97          0.55

Period Ended

Nonaccrual/nonperforming loans

          Commercial                   $117,168       $97,930       $74,463
          Real estate:
               Home equity lines        216,839       193,153       135,700
               Construction             772,353       520,704       295,335
               Residential mortgages  1,356,710     1,115,071       841,376
               Commercial real
                estate                  124,523        64,251        44,502
          Consumer loans                 37,735        46,851        39,031
                 Total
                  nonaccrual/
                  nonperforming
                  loans               2,625,328     2,037,960     1,430,407
          Other real estate owned
           (OREO)                       334,519       244,906       183,753
          Other repossessed assets       13,203         6,340        11,536

Total nonperforming assets $2,973,050 $2,289,206 $1,625,696

Restructured loans (accruing)(4) $163,358 $30,787 $29,851

Total accruing loans past due

      90 days or more                  $753,558      $743,969      $611,003

Total nonperforming loans to

      total loans                          2.09 %        1.65 %        1.17 %

Total nonperforming assets to

total loans plus

OREO and other repossessed

           assets                          2.36          1.85          1.33

Allowance to period-end loans(2) 1.46 1.25 1.05

Allowance to nonperforming

      loans (3)                            77.0          82.9         101.9

Allowance to annualized net

      charge-offs                          1.41 x        1.28 x        1.92 x

(1) "NM" - Not meaningful. Those changes over 100 percent were not

considered to be meaningful.

(2) During the second quarter of 2008, the Company revised its method

        of calculating this ratio to include, within the period-end loan
        amount, only loans measured at amortized cost. Previously, period-
        end loans included loans measured at fair value or the lower of
        cost or market.  The Company believes this is an improved method of
        calculation due to the fact that the allowance for loan losses
        relates solely to the loans measured at amortized cost. Loans
        measured at fair value or the lower of cost or market that have
        been excluded from the prior periods calculation were $450,662 and
        $392,259 as of March 31, 2008 and December 31, 2007, respectively,
        which did not change the calculation by more than one basis
        point.

(3) During the second quarter of 2008, the Company revised its method

        of calculating this ratio to include, within the nonperforming loan
        amount, only loans measured at amortized cost.  Previously, this
        calculation included nonperforming loans measured at fair value or
        the lower of cost or market. The Company believes this is an
        improved method of calculation due to the fact that the allowance
        for loan losses relates solely to the loans measured at amortized
        cost.  Nonperforming loans measured at fair value or the lower of
        cost or market that have been excluded from the prior periods
        calculation were $173,752 and $171,475 as of March 31, 2008 and
        December 31, 2007, respectively, which increased the calculation
        approximately 7 and 12 basis points as of March 31, 2008 and
        December 31, 2007, respectively.

(4) During the third quarter of 2008, the Company revised its

        definition of nonperforming to exclude loans that have been
        restructured and remain on accruing status.  These loans are not
        considered to be nonperforming because they are performing in
        accordance with the restructured terms.  This change better aligns
        the Company's definition of nonperforming loans with the one used
        by peer institutions and therefore improves comparability of this
        measure across the industry.


SunTrust Banks, Inc. and Subsidiaries

OTHER FINANCIAL DATA (continued)

(Dollars and shares in thousands, except per share data) (Unaudited)

                                           Three Months Ended

                                               December 31

                                 Core      Mortgage
                                Deposit    Servicing
                              Intangible    Rights      Other      Total

    OTHER INTANGIBLE ASSET
     ROLLFORWARD
    Balance, beginning of
     period                     $188,372    $995,984  $142,704  $1,327,060
    Amortization                 (15,717)    (47,997)   (7,697)    (71,411)

Mortgage Servicing Rights

     ("MSRs") originated               -     142,100         -     142,100
    Purchase of GenSpring
     (formerly AMA, LLC)
      minority shares                  -           -         -           -
    Client relationship

intangible obtained from

GenSpring's

acquisition of TBK

       Investments, Inc.               -           -         -           -

Client relationship

intangible obtained from

GenSpring's

acquisition of Inlign

       Wealth Management               -           -     4,120       4,120

Alpha Equity Management

     revenue sharing
     intangible                        -           -     1,788       1,788
    Intangible assets
     obtained from sale
     upon merger of

Lighthouse Partners,

         LLC, net(1)                   -           -         -           -
    Sale/securitization
     of MSRs                           -     (40,662)        -     (40,662)

    Balance, December
     31, 2007                   $172,655  $1,049,425  $140,915  $1,362,995


    Balance, beginning of
     period                     $158,404  $1,150,013   $81,548  $1,389,965
    Amortization                 (13,093)    (58,546)   (4,166)    (75,805)
    MSRs originated                    -      89,007         -      89,007
    MSRs impairment reserve            -    (370,000)        -    (370,000)
    MSRs impairment recovery           -           -         -           -
    Sale of interest in
     Lighthouse Partners               -           -         -           -
    Sale of MSRs                       -           -         -           -
    Customer intangible
     impairment charge                 -           -         -           -
    Purchased credit card
     relationships                     -           -         -           -
    Acquisition of GB&T                -           -         -           -
    Sale of First Mercantile           -           -         -           -
    Other                              -           -     2,260       2,260

    Balance, December
     31, 2008                   $145,311    $810,474   $79,642  $1,035,427



                                           Twelve Months Ended

                                               December 31

                                Core      Mortgage
                               Deposit    Servicing
                             Intangible    Rights      Other        Total

OTHER INTANGIBLE ASSET

     ROLLFORWARD
    Balance, beginning
     of period                 $241,614    $810,509  $129,861    $1,181,984
    Amortization                (68,959)   (181,263)  (27,721)     (277,943)
    Mortgage Servicing
     Rights ("MSRs")
     originated                       -     639,158         -       639,158

Purchase of GenSpring

(formerly AMA, LLC)

      minority shares                 -           -     2,205         2,205

Client relationship

intangible obtained

from GenSpring's

acquisition of TBK

     Investments, Inc.                -           -     6,520         6,520

Client relationship

intangible obtained

from GenSpring's

acquisition of Inlign

       Wealth Management              -           -     4,120         4,120
    Alpha Equity
     Management revenue
     sharing intangible               -           -     1,788         1,788
    Intangible assets
     obtained from sale
     upon merger of

Lighthouse Partners,

         LLC, net(1)                  -           -    24,142        24,142
    Sale/securitization
     of MSRs                          -    (218,979)        -      (218,979)

    Balance, December
     31, 2007                  $172,655  $1,049,425  $140,915    $1,362,995


    Balance, beginning of
     period                    $172,655  $1,049,425  $140,915    $1,362,995
    Amortization                (56,854)   (223,092)  (19,406)     (299,352)
    MSRs originated                   -     485,597         -       485,597
    MSRs impairment reserve           -    (371,881)        -      (371,881)

MSRs impairment recovery - 1,881 - 1,881

    Sale of interest in
     Lighthouse Partners              -           -    (5,992)       (5,992)
    Sale of MSRs                      -    (131,456)        -      (131,456)
    Customer intangible
     impairment charge                -           -   (45,000)      (45,000)
    Purchased credit card
     relationships                    -           -     9,898         9,898
    Acquisition of GB&T          29,510           -         -        29,510
    Sale of First
     Mercantile                       -           -    (3,033)       (3,033)
    Other                             -           -     2,260         2,260

    Balance, December 31,
     2008                      $145,311    $810,474   $79,642    $1,035,427



                                           Three Months Ended

                              December  September  June    March  December
                                 31        30       30      31       31
                                2008      2008     2008    2008     2007


    COMMON SHARE
     ROLLFORWARD
    Beginning balance          353,963    353,542 349,832 348,411   348,074
    Common shares issued/
     exchanged for
     employee benefit
     plans, stock
     option,
     performance and
     restricted
     stock activity                552        421   1,489   1,421       337
    Common shares
     issued for
     acquisition
     of GB&T                         -          -   2,221       -         -

    Ending balance             354,515    353,963 353,542 349,832   348,411


    COMMON STOCK
     REPURCHASE ACTIVITY
    Number of common

shares repurchased (2) - - 2 17 12

Average price per share

of repurchased

     common shares                  $-         $-  $57.76  $62.38    $69.31

Maximum number of common

shares that may yet be

purchased

under repurchase

plans or programs 30,000 30,000 30,000 30,000 30,000

(1) During the first quarter of 2007, SunTrust merged its wholly-owned

        subsidiary, Lighthouse Partners, LLC, into Lighthouse Investment
        Partners, LLC in exchange for a minority interest in Lighthouse
        Investment Partners, LLC and a revenue-sharing agreement. This
        transaction resulted in a $7.9 million decrease in existing
        intangible assets and a new intangible asset of $32.0 million.

(2) This figure includes shares repurchased pursuant to SunTrust's

        employee stock option plans, pursuant to which participants may pay
        the exercise price upon exercise of SunTrust stock options by
        surrendering shares of SunTrust common stock which the participant
        already owns.


SunTrust Banks, Inc. and Subsidiaries

RECONCILEMENT OF NON-GAAP MEASURES

APPENDIX A TO THE EARNINGS RELEASE

(Dollars in thousands) (Unaudited)


                                             Three Months Ended
                               December 31     September 30      June 30
                                   2008            2008            2008

NON-GAAP MEASURES

PRESENTED IN THE EARNINGS

RELEASE

Net income/(loss) ($347,587) $312,444 $540,362

Securities (gains)/losses,

     net of tax                    (254,853)       (107,289)       (345,807)

Net income/(loss)

excluding net securities

     (gains)/losses, net of
     tax                           (602,440)        205,155         194,555
    The Coca-Cola Company
     stock dividend, net of
     tax                            (10,146)        (10,146)        (14,738)
    Net income/(loss)

excluding net securities

(gains)/losses and The

Coca-Cola Company

stock dividend, net

         of tax                    (612,586)        195,009         179,817

Less: Preferred dividends,

     Series A                         5,055           5,111           5,112
    Less: U.S. Treasury
     preferred dividends             26,579               -               -
    Net income/(loss)
     available to common
     shareholders excluding
     net securities
     (gains)/losses and The
     Coca-Cola Company
     stock dividend               ($644,220)       $189,898        $174,705

    Total average assets       $177,047,258    $173,888,490    $175,548,768
    Average net unrealized
     securities gains            (1,371,624)     (1,526,431)     (2,295,932)
    Average assets less net
     unrealized securities
     gains                     $175,675,634    $172,362,059    $173,252,836

    Total average common
     shareholders' equity       $17,487,081     $17,481,916     $17,593,229

Average accumulated other

comprehensive income (996,955) (871,413) (1,488,305)

Total average realized

common shareholders'

     equity                     $16,490,126     $16,610,503     $16,104,924

Return on average total

     assets                           (0.78)%          0.71 %          1.24 %

Impact of excluding net

realized and unrealized

securities (gains)/losses

     and The Coca-Cola
     Company stock dividend           (0.61)          (0.26)          (0.82)
    Return on average total
     assets less net
     unrealized
     securities gains (1)             (1.39)%          0.45 %          0.42 %

    Return on average common
     shareholders' equity             (8.63)%          6.99 %         12.24 %
    Impact of excluding net
     realized and unrealized
     securities (gains)/

losses and The Coca-Cola

Company stock dividend (6.91) (2.44) (7.88)

Return on average realized

     common shareholders'
     equity (2)                      (15.54)%          4.55 %          4.36 %

    Efficiency ratio (3)              82.47 %         67.78 %         53.06 %
    Impact of excluding

amortization/impairment

of intangible assets

    other than MSRs                   (0.90)          (0.75)          (2.49)

Tangible efficiency ratio (4) 81.57 % 67.03 % 50.57 %

Total shareholders' equity $22,388,109 $17,956,025 $17,907,152

    Goodwill                     (6,941,104)     (7,062,869)     (7,056,015)
    Other intangible assets
     including MSRs                (978,211)     (1,328,055)     (1,394,941)
    MSRs                            810,474       1,150,013       1,193,450
    Tangible equity              15,279,268      10,715,114      10,649,646
    Preferred stock              (5,221,703)       (500,000)       (500,000)
    Tangible common equity      $10,057,565     $10,215,114     $10,149,646

    Total assets               $189,288,974    $174,776,760    $177,232,727
    Goodwill                     (7,043,503)     (7,062,869)     (7,056,015)
    Other intangible assets
     including MSRs              (1,035,427)     (1,389,965)     (1,442,056)
    MSRs                            810,474       1,150,013       1,193,450
    Tangible assets            $182,020,518    $167,473,939    $169,928,106

    Tangible equity to
     tangible assets (5)               8.39 %          6.40 %          6.27 %

Tangible common equity to

     tangible assets(6)                5.53 %          6.10 %          5.97 %

    Net interest income          $1,176,860      $1,146,213      $1,156,716
    Taxable-equivalent
     adjustment                      31,790          29,466          28,256
    Net interest income - FTE     1,208,650       1,175,679       1,184,972
    Noninterest income              717,729       1,285,222       1,413,010
    Total revenue - FTE           1,926,379       2,460,901       2,597,982

Securities (gains)/losses,

     net                           (411,053)       (173,046)       (549,787)

Total revenue - FTE

excluding net securities

     (gains)/losses (7)          $1,515,326      $2,287,855      $2,048,195


                                                  Three Months Ended
                                               March 31        December 31
                                                 2008              2007

NON-GAAP MEASURES PRESENTED IN THE

EARNINGS RELEASE

    Net income/(loss)                           $290,555           $11,124
    Securities (gains)/losses, net of tax         37,563            (3,530)

Net income/(loss) excluding net

     securities (gains)/losses, net of tax       328,118             7,594

The Coca-Cola Company stock dividend,

     net of tax                                  (14,738)          (13,206)

Net income/(loss) excluding net

securities (gains)/losses and The

Coca-Cola Company stock dividend,

     net of tax                                  313,380            (5,612)

    Less: Preferred dividends, Series A            6,977             7,867

Less: U.S. Treasury preferred

     dividends                                         -                 -

Net income/(loss) available to common

shareholders excluding net

securities (gains)/losses and

The Coca-Cola Company stock dividend $306,403 ($13,479)

Total average assets $176,916,901 $175,130,464

Average net unrealized securities

     gains                                    (2,453,981)       (2,408,596)

Average assets less net unrealized

     securities gains                       $174,462,920      $172,721,868

Total average common shareholders'

     equity                                  $17,561,709       $17,532,786

Average accumulated other

     comprehensive income                     (1,533,427)       (1,292,785)

Total average realized common

     shareholders' equity                    $16,028,282       $16,240,001

    Return on average total assets                  0.66 %            0.03 %

Impact of excluding net realized and

unrealized securities

(gains)/losses and The Coca-Cola

     Company stock dividend                         0.06             (0.04)

Return on average total assets less

     net unrealized securities gains (1)            0.72 %           (0.01)%

Return on average common

     shareholders' equity                           6.49 %            0.07 %

Impact of excluding net realized and

unrealized securities (gains)/

losses and The Coca-Cola Company

     stock dividend                                 1.20             (0.40)

Return on average realized common

     shareholders' equity (2)                       7.69 %           (0.33)%

    Efficiency ratio (3)                           56.40 %           82.19 %

Impact of excluding

amortization/impairment of

intangible assets

     other than MSRs                               (0.93)            (1.33)
    Tangible efficiency ratio (4)                  55.47 %           80.86 %

    Total shareholders' equity               $18,431,448       $18,052,518
    Goodwill                                  (6,923,033)       (6,921,493)
    Other intangible assets including MSRs    (1,379,522)       (1,308,618)
    MSRs                                       1,143,405         1,049,426
    Tangible equity                           11,272,298        10,871,833
    Preferred stock                             (500,000)         (500,000)
    Tangible common equity                   $10,772,298       $10,371,833

    Total assets                            $178,986,947      $179,573,933
    Goodwill                                  (6,923,033)       (6,921,493)
    Other intangible assets including MSRs    (1,430,268)       (1,362,995)
    MSRs                                       1,143,405         1,049,425
    Tangible assets                         $171,777,051      $172,338,870

    Tangible equity to tangible assets (5)          6.56 %            6.31 %

Tangible common equity to tangible

     Assets (6)                                     6.27 %            6.02 %

    Net interest income                       $1,139,867        $1,167,513
    Taxable-equivalent adjustment                 27,975            27,244
    Net interest income - FTE                  1,167,842         1,194,757
    Noninterest income                         1,057,502           576,017
    Total revenue - FTE                        2,225,344         1,770,774
    Securities (gains)/losses, net                60,586            (5,694)

Total revenue - FTE excluding net

     securities (gains)/losses (7)            $2,285,930        $1,765,080


                                                  Twelve Months Ended
                                             December 31       December 31
                                                 2008              2007

NON-GAAP MEASURES PRESENTED IN THE

EARNINGS RELEASE

Net income/(loss) $795,774 $1,634,015

Securities (gains)/losses, net of tax (665,446) (150,733)

Net income/(loss) excluding net

securities (gains)/losses, net of tax 130,328 1,483,282

The Coca-Cola Company stock dividend,

     net of tax                                  (49,769)          (54,214)

Net income/(loss) excluding net

securities (gains)/losses and The

Coca-Cola Company stock dividend,

     net of tax                                   80,559         1,429,068

    Less: Preferred dividends, Series A           22,255            30,275

Less: U.S. Treasury preferred

     dividends                                    26,579                 -

Net income/(loss) available to common

shareholders excluding net

securities (gains)/losses and

The Coca-Cola Company stock dividend $31,725 $1,398,793

Total average assets $175,848,265 $177,795,518

Average net unrealized securities

     gains                                    (1,909,462)       (2,300,821)

Average assets less net unrealized

     securities gains                       $173,938,803      $175,494,697

Total average common shareholders'

     equity                                  $17,530,731       $17,308,013

Average accumulated other

     comprehensive income                     (1,220,949)       (1,143,284)

Total average realized common

     shareholders' equity                    $16,309,782       $16,164,729

    Return on average total assets                  0.45 %            0.92 %

Impact of excluding net realized and

unrealized securities (gains)/losses

and The Coca-Cola Company stock

     dividend                                      (0.40)            (0.11)

Return on average total assets less

     net unrealized securities gains (1)            0.05 %            0.81 %

Return on average common

     shareholders' equity                           4.26 %            9.27 %

Impact of excluding net realized and

unrealized securities (gains)/

losses and The Coca-Cola Company

     stock dividend                                (4.07)            (0.62)

Return on average realized common

     shareholders' equity (2)                       0.19 %            8.65 %

    Efficiency ratio (3)                           63.95 %           63.43 %

Impact of excluding

amortization/impairment of

     intangible assets other than MSRs             (1.31)            (1.17)
    Tangible efficiency ratio (4)                  62.64 %           62.26 %

Total shareholders' equity

Goodwill

Other intangible assets including MSRs

    MSRs
    Tangible equity
    Preferred stock
    Tangible common equity

    Total assets
    Goodwill

Other intangible assets including MSRs

MSRs

Tangible assets

Tangible equity to tangible assets (5)

Tangible common equity to tangible

Assets (6)

    Net interest income                       $4,619,656        $4,719,544
    Taxable-equivalent adjustment                117,487           102,680
    Net interest income - FTE                  4,737,143         4,822,224
    Noninterest income                         4,473,463         3,428,684
    Total revenue - FTE                        9,210,606         8,250,908
    Securities (gains)/losses, net            (1,073,300)         (243,117)

Total revenue - FTE excluding net

     securities (gains)/losses (7)            $8,137,306        $8,007,791

(1) SunTrust presents a return on average assets less net unrealized gains

        on securities.  The foregoing numbers primarily reflect adjustments to
        remove the effects of the securities portfolio which includes the
        ownership by the Company of 30.0 million shares of The Coca-Cola
        Company as of December 31, 2008.  The Company uses this information
        internally to gauge its actual performance in the industry.
        The Company believes that the return on average assets less the net
        unrealized securities gains is more indicative of the Company's return
        on assets because it more accurately reflects the return on the assets
        that are related to the Company's core businesses which are
        primarily customer relationship and customer transaction driven.  The
        return on average assets less net unrealized gains on
        securities is computed by dividing annualized net income, excluding
        securities gains/losses and The Coca-Cola Company dividend, net of
        tax, by average assets less net unrealized securities gains.

(2) The Company believes that the return on average realized common

        shareholders' equity is more indicative of the Company's return on
        equity because the excluded equity relates primarily to the holding of
        a specific security.  The return on average realized common
        shareholders' equity is computed by dividing annualized net income
        available to common shareholders, excluding securities gains/losses
        and The Coca -Cola Company dividend, net of tax, by average realized
        common shareholders' equity.

(3) Computed by dividing noninterest expense by total revenue - FTE. The

        efficiency ratios are presented on an FTE basis.  The FTE basis
        adjusts for the tax-favored status of net interest income from certain
        loans and investments.  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.

(4) SunTrust presents a tangible efficiency ratio which excludes the

        amortization/impairment of intangible assets other than MSRs.  The
        Company believes this measure is useful to investors because, by
        removing the effect of these intangible asset costs (the level of
        which may vary from company to company), it allows investors to more
        easily compare the Company's efficiency to other companies in the
        industry.  This measure is utilized by management to assess the
        efficiency of the Company and its lines of business.

(5) SunTrust presents a tangible equity to tangible assets ratio that

        excludes the after-tax impact of purchase accounting intangible
        assets. The Company believes this measure is useful to investors
        because, by removing the effect of intangible assets that result from
        merger and acquisition activity (the level of which may vary from
        company to company), it allows investors to more easily compare the
        Company's capital adequacy to other companies in the industry.  This
        measure is used by management to analyze capital adequacy.

(6) SunTrust presents a tangible common equity to tangible assets ratio

        that excludes preferred stock from tangible equity.   The Company
        believes this measure is useful to investors because, by removing the
        preferred stock (the level of which may vary from company to company),
        it allows investors to more easily compare the Company's capital
        adequacy to other companies in the industry who also use this measure.
        This measure is also used by management to analyze capital adequacy.

(7) SunTrust presents total revenue- FTE excluding realized securities

        (gains)/losses, net.  The Company believes noninterest income without
        Net securities (gains)/losses is more indicative of the Company's
        performance because it isolates income that is primarily customer
        relationship and customer transaction driven and is more indicative
        of normalized operations.


SunTrust Banks, Inc. and Subsidiaries

QUARTER-TO-QUARTER COMPARISON - ACTUAL

APPENDIX B TO THE EARNINGS RELEASE

(Dollars in thousands) (Unaudited)

                                            Three Months Ended
                                  December   September
                                    31          30     Increase/(Decrease)(2)
                                   2008        2008       Amount         %
    STATEMENTS OF INCOME

    NET INTEREST INCOME         $1,176,860  $1,146,213    $30,647       2.7 %

Provision for loan losses 962,494 503,672 458,822 91.1

NET INTEREST INCOME AFTER

PROVISION FOR LOAN LOSSES 214,366 642,541 (428,175) (66.6)

NONINTEREST INCOME

Service charges on deposit

     accounts                      221,751     240,241    (18,490)     (7.7)

Trust and investment

     management income             126,426     147,477    (21,051)    (14.3)

Retail investment services 70,238 72,791 (2,553) (3.5)

Other charges and fees 125,206 128,776 (3,570) (2.8)

Investment banking income 57,962 62,164 (4,202) (6.8)

Trading account

profits/(losses) and

     commissions                   (61,879)    121,136   (183,015)       NM
    Card fees                       77,909      78,138       (229)     (0.3)

Mortgage production related

     income/(loss)                 (27,717)     50,028    (77,745)       NM

Mortgage servicing related

     income/(loss)                (336,129)     62,654   (398,783)       NM

Gain/(loss) on sale of

     businesses                     (2,711)     81,813    (84,524)       NM

Net gain on sale/leaseback

     of premises                         -           -          -         -

Other noninterest income 55,620 66,958 (11,338) (16.9)

Securities gains/(losses),

     net                           411,053     173,046    238,007        NM
         Total noninterest
          income                   717,729   1,285,222   (567,493)    (44.2)

    NONINTEREST EXPENSE

Employee compensation and

     benefits                      638,014     696,210    (58,196)     (8.4)
    Net occupancy expense           86,620      88,745     (2,125)     (2.4)

Outside processing and

     software                      143,880     132,361     11,519       8.7
    Equipment expense               47,892      51,931     (4,039)     (7.8)

Marketing and customer

     development                    51,636     217,693   (166,057)    (76.3)

Amortization/impairment of

     intangible assets              17,259      18,551     (1,292)     (7.0)
    Visa litigation                (14,345)     20,000    (34,345)       NM
    Operating losses               236,078     135,183    100,895      74.6
    Mortgage reinsurance            99,999      48,956     51,043        NM

Other noninterest expense 281,605 258,456 23,149 9.0

Total noninterest

          expense                1,588,638   1,668,086    (79,448)     (4.8)

INCOME/(LOSS) BEFORE

PROVISION/(BENEFIT) FOR

     INCOME TAXES                 (656,543)    259,677   (916,220)       NM

Provision/(benefit) for

     income taxes                 (308,956)    (52,767)  (256,189)       NM
    NET INCOME/(LOSS)             (347,587)    312,444   (660,031)       NM

Preferred dividends,

     Series A                        5,055       5,111        (56)     (1.1)

U.S. Treasury preferred

     dividends                      26,579         -       26,579        NM

NET INCOME/(LOSS) AVAILABLE

     TO COMMON SHAREHOLDERS      ($379,221)   $307,333  ($686,554)       NM %

    REVENUE

    Net interest income         $1,176,860  $1,146,213    $30,647       2.7 %
    Taxable-equivalent
     adjustment                     31,790      29,466      2,324       7.9
    Net interest income - FTE    1,208,650   1,175,679     32,971       2.8
    Noninterest income             717,729   1,285,222   (567,493)    (44.2)
    Total revenue - FTE         $1,926,379  $2,460,901  ($534,522)    (21.7)

    SELECTED AVERAGE BALANCES
     (Dollars in millions)

    Average loans
    Commercial-FTE                 $40,464     $38,064     $2,400       6.3 %
    Real estate home equity
     lines                          15,803      15,424        379       2.5
    Real estate construction         8,915      10,502     (1,587)    (15.1)
    Real estate 1-4 family          31,007      31,486       (479)     (1.5)
    Real estate commercial          14,737      14,139        598       4.2
    Credit card                        999         860        139      16.2
    Consumer - direct                5,009       4,705        304       6.5
    Consumer - indirect              6,821       7,152       (331)     (4.6)
    Nonaccrual and restructured      3,853       3,309        544      16.4
         Total loans              $127,608    $125,641     $1,967       1.6 %

    Average deposits
    Noninterest bearing
     deposits                      $20,955     $20,880        $75       0.4 %
    NOW accounts                    20,095      20,501       (406)     (2.0)
    Money market accounts           27,969      26,897      1,072       4.0
    Savings                          3,460       3,771       (311)     (8.2)

Consumer and other time 29,760 28,150 1,610 5.7

Total consumer and

commercial deposits 102,239 100,199 2,040 2.0

    Brokered and foreign
     deposits                       12,648      15,800     (3,152)    (19.9)
         Total deposits           $114,887    $115,999    ($1,112)     (1.0)%

SELECTED CREDIT DATA

(Dollars in thousands)


    Nonaccrual loans             3,940,026  $3,289,518   $650,508      19.8 %

Other real estate owned

     (OREO)                        500,481     387,037    113,444      29.3

Other repossessed assets 15,866 13,714 2,152 15.7

Total nonperforming

          assets                $4,456,373  $3,690,269   $766,104      20.8 %

    Allowance for loan and
     lease losses               $2,350,996  $1,941,000   $409,996      21.1 %


                                                  Three Months Ended
                                          Sequential    December    December
                                         Annualized(1)     31          31
                                              %           2008        2007
    STATEMENTS OF INCOME

    NET INTEREST INCOME                        10.7 %  $1,176,860  $1,167,513

    Provision for loan losses                    NM       962,494     356,781

NET INTEREST INCOME AFTER PROVISION

     FOR LOAN LOSSES                             NM       214,366     810,732

NONINTEREST INCOME

Service charges on deposit accounts (30.8) 221,751 222,213

Trust and investment management income (57.1) 126,426 170,854

    Retail investment services                (14.0)       70,238      71,650
    Other charges and fees                    (11.1)      125,206     121,849
    Investment banking income                 (27.0)       57,962      55,041

Trading account profits/(losses) and

     commissions                                 NM       (61,879)   (437,162)
    Card fees                                  (1.2)       77,909      77,481

Mortgage production related

     income/(loss)                               NM       (27,717)     22,366

Mortgage servicing related

     income/(loss)                               NM      (336,129)     57,364
    Gain/(loss) on sale of businesses            NM        (2,711)          -
    Net gain on sale/leaseback of premises        -             -     118,840
    Other noninterest income                  (67.7)       55,620      89,827
    Securities gains/(losses), net               NM       411,053       5,694
         Total noninterest income                NM       717,729     576,017

NONINTEREST EXPENSE

Employee compensation and benefits (33.4) 638,014 682,810

    Net occupancy expense                      (9.6)       86,620      92,705
    Outside processing and software            34.8       143,880     105,407
    Equipment expense                         (31.1)       47,892      51,734
    Marketing and customer development           NM        51,636      59,115

Amortization/impairment of intangible

     assets                                   (27.9)       17,259      23,414
    Visa litigation                              NM       (14,345)     76,930
    Operating losses                             NM       236,078      42,815
    Mortgage reinsurance                         NM        99,999          79
    Other noninterest expense                  35.8       281,605     320,332
         Total noninterest expense            (19.1)    1,588,638   1,455,341

INCOME/(LOSS) BEFORE

PROVISION/(BENEFIT) FOR INCOME TAXES NM (656,543) (68,592)

Provision/(benefit) for income taxes NM (308,956) (79,716)

    NET INCOME/(LOSS)                            NM      (347,587)     11,124
    Preferred dividends, Series A              (4.4)        5,055       7,867
    U.S. Treasury preferred dividends            NM        26,579           -

NET INCOME/(LOSS) AVAILABLE TO COMMON

     SHAREHOLDERS                                NM %   ($379,221)     $3,257

    REVENUE

    Net interest income                        10.7 %  $1,176,860  $1,167,513
    Taxable-equivalent adjustment              31.5        31,790      27,244
    Net interest income - FTE                  11.2     1,208,650   1,194,757
    Noninterest income                           NM       717,729     576,017
    Total revenue - FTE                       (86.9)   $1,926,379  $1,770,774

SELECTED AVERAGE BALANCES (Dollars in

millions)

Average loans

    Commercial-FTE                             25.2 %     $40,464     $34,879
    Real estate home equity lines               9.8        15,803      14,395
    Real estate construction                  (60.5)        8,915      13,251
    Real estate 1-4 family                     (6.1)       31,007      31,990
    Real estate commercial                     16.9        14,737      12,892
    Credit card                                64.8           999         690
    Consumer - direct                          25.9         5,009       3,949
    Consumer - indirect                       (18.5)        6,821       7,877
    Nonaccrual and restructured                65.8         3,853       1,171
         Total loans                            6.3 %    $127,608    $121,094

Average deposits

    Noninterest bearing deposits                1.4 %     $20,955     $20,948
    NOW accounts                               (7.9)       20,095      20,737
    Money market accounts                      15.9        27,969      24,262
    Savings                                   (33.0)        3,460       4,178
    Consumer and other time                    22.9        29,760      29,524

Total consumer and commercial

        deposits                                8.1       102,239      99,649
    Brokered and foreign deposits             (79.8)       12,648      15,717
         Total deposits                        (3.8)%    $114,887    $115,366

SELECTED CREDIT DATA (Dollars in

thousands)


    Nonaccrual loans                           79.1 %  $3,940,026  $1,430,407
    Other real estate owned (OREO)               NM       500,481     183,753
    Other repossessed assets                   62.8        15,866      11,536
         Total nonperforming assets            83.0 %  $4,456,373  $1,625,696

Allowance for loan and lease losses 84.5 % $2,350,996 $1,282,504


                                                     Three Months Ended
                                                    Increase/(Decrease)(2)
                                                   Amount               %
    STATEMENTS OF INCOME

    NET INTEREST INCOME                             $9,347              0.8 %

Provision for loan losses 605,713 NM

NET INTEREST INCOME AFTER PROVISION

     FOR LOAN LOSSES                              (596,366)           (73.6)

NONINTEREST INCOME


    Service charges on deposit accounts               (462)            (0.2)

Trust and investment management

     income                                        (44,428)           (26.0)
    Retail investment services                      (1,412)            (2.0)
    Other charges and fees                           3,357              2.8
    Investment banking income                        2,921              5.3

Trading account profits/(losses) and

     commissions                                   375,283             85.8
    Card fees                                          428              0.6

Mortgage production related

     income/(loss)                                 (50,083)              NM

Mortgage servicing related

     income/(loss)                                (393,493)              NM
    Gain/(loss) on sale of businesses               (2,711)              NM

Net gain on sale/leaseback of

     premises                                     (118,840)          (100.0)
    Other noninterest income                       (34,207)           (38.1)
    Securities gains/(losses), net                 405,359               NM
         Total noninterest income                  141,712             24.6

NONINTEREST EXPENSE


    Employee compensation and benefits             (44,796)            (6.6)
    Net occupancy expense                           (6,085)            (6.6)
    Outside processing and software                 38,473             36.5
    Equipment expense                               (3,842)            (7.4)
    Marketing and customer development              (7,479)           (12.7)

Amortization/impairment of intangible

     assets                                         (6,155)           (26.3)
    Visa litigation                                (91,275)              NM
    Operating losses                               193,263               NM
    Mortgage reinsurance                            99,920               NM
    Other noninterest expense                      (38,727)           (12.1)
         Total noninterest expense                 133,297              9.2

INCOME/(LOSS) BEFORE

     PROVISION/(BENEFIT) FOR INCOME TAXES         (587,951)              NM
    Provision/(benefit) for income taxes          (229,240)              NM
    NET INCOME/(LOSS)                             (358,711)              NM
    Preferred dividends, Series A                   (2,812)           (35.7)
    U.S. Treasury preferred dividends               26,579               NM

NET INCOME/(LOSS) AVAILABLE TO COMMON

     SHAREHOLDERS                                ($382,478)              NM %


    REVENUE

    Net interest income                             $9,347              0.8 %
    Taxable-equivalent adjustment                    4,546             16.7
    Net interest income - FTE                       13,893              1.2
    Noninterest income                             141,712             24.6
    Total revenue - FTE                           $155,605              8.8

SELECTED AVERAGE BALANCES (Dollars in

millions)

Average loans

    Commercial-FTE                                  $5,585             16.0 %
    Real estate home equity lines                    1,408              9.8
    Real estate construction                        (4,336)           (32.7)
    Real estate 1-4 family                            (983)            (3.1)
    Real estate commercial                           1,845             14.3
    Credit card                                        309             44.8
    Consumer - direct                                1,060             26.8
    Consumer - indirect                             (1,056)           (13.4)
    Nonaccrual and restructured                      2,682               NM
         Total loans                                $6,514              5.4 %

Average deposits

    Noninterest bearing deposits                        $7              0.0 %
    NOW accounts                                      (642)            (3.1)
    Money market accounts                            3,707             15.3
    Savings                                           (718)           (17.2)
    Consumer and other time                            236              0.8

Total consumer and commercial

        deposits                                     2,590              2.6
    Brokered and foreign deposits                   (3,069)           (19.5)
         Total deposits                              ($479)            (0.4)%

SELECTED CREDIT DATA (Dollars in

thousands)


    Nonaccrual loans                            $2,509,619               NM %
    Other real estate owned (OREO)                 316,728               NM
    Other repossessed assets                         4,330             37.5
         Total nonperforming assets             $2,830,677               NM %

    Allowance for loan and lease losses         $1,068,492             83.3 %

(1) Multiply percentage change by 4 to calculate sequential annualized

change.

(2) "NM" - Not meaningful. Those changes over 100 percent were not

considered to be meaningful.

SunTrust Banks, Inc. and Subsidiaries

YEAR-TO-DATE COMPARISON - ACTUAL

APPENDIX B TO THE EARNINGS RELEASE, continued

(Dollars in thousands) (Unaudited)


                                        Twelve Months Ended
                         December 31  December 31   Increase/(Decrease)
                            2008         2007        Amount       %(1)

STATEMENTS OF INCOME

NET INTEREST INCOME $4,619,656 $4,719,544 ($99,888) (2.1)%

Provision for loan

     losses               2,474,215     664,922    1,809,293       NM

NET INTEREST INCOME

AFTER PROVISION

FOR LOAN LOSSES 2,145,441 4,054,622 (1,909,181) (47.1)

NONINTEREST INCOME

Service charges on

deposit accounts 904,127 822,031 82,096 10.0

Trust and investment

management income 592,324 685,034 (92,710) (13.5)

Retail investment

     services               289,093     278,042       11,051      4.0

Other charges and

     fees                   510,794     479,074       31,720      6.6

Investment banking

     income                 236,533     214,885       21,648     10.1

Trading account

profits/(losses)

and commissions 38,169 (361,711) 399,880 NM

    Card fees               308,374     280,706       27,668      9.9

Mortgage production

related income 171,368 90,983 80,385 88.4

Mortgage servicing

     related
     income/(loss)         (211,829)    195,436     (407,265)      NM
    Gain on sale of
     businesses             198,140      32,340      165,800       NM
    Gain on Visa IPO         86,305           -       86,305       NM
    Net gain on

sale/leaseback of

     premises                37,039     118,840      (81,801)   (68.8)

Other noninterest

     income                 239,726     349,907     (110,181)   (31.5)

Net securities gains 1,073,300 243,117 830,183 NM

Total

noninterest

income 4,473,463 3,428,684 1,044,779 30.5

NONINTEREST EXPENSE

Employee

compensation and

     benefits             2,761,264   2,770,188       (8,924)    (0.3)
    Net occupancy
     expense                347,289     351,238       (3,949)    (1.1)
    Outside processing
     and software           492,611     410,945       81,666     19.9
    Equipment expense       203,209     206,498       (3,289)    (1.6)
    Marketing and
     customer
     development            372,235     195,043      177,192     90.8
    Amortization/
     impairment of
     intangible assets      121,260      96,680       24,580     25.4
    Loss on
     extinguishment of
     debt                    11,723       9,800        1,923     19.6
    Visa litigation         (33,469)     76,930     (110,399)      NM
    Operating losses        446,178     134,028      312,150       NM
    Mortgage reinsurance    179,927         174      179,753       NM
    Other noninterest
     expense                988,174     982,253        5,921      0.6
         Total
          noninterest
          expense         5,890,401   5,233,777      656,624     12.5


    INCOME BEFORE
     PROVISION FOR
     INCOME TAXES           728,503   2,249,529   (1,521,026)   (67.6)

Provision/(benefit)

for income taxes (67,271) 615,514 (682,785) NM

    NET INCOME              795,774   1,634,015     (838,241)   (51.3)

Preferred dividends,

     Series A                22,255      30,275       (8,020)   (26.5)

U.S. Treasury

     preferred dividends     26,579           -       26,579       NM

NET INCOME AVAILABLE

     TO COMMON
     SHAREHOLDERS          $746,940  $1,603,740    ($856,800)   (53.4)%


    REVENUE

Net interest income $4,619,656 $4,719,544 ($99,888) (2.1)%

Taxable-equivalent

     adjustment             117,487     102,680       14,807     14.4

Net interest income

     - FTE                4,737,143   4,822,224      (85,081)    (1.8)

Noninterest income 4,473,463 3,428,684 1,044,779 30.5

Total revenue - FTE $9,210,606 $8,250,908 $959,698 11.6 %

    SELECTED AVERAGE
     BALANCES (Dollars
     in millions)

    Average loans
    Commercial-FTE          $38,132     $34,194       $3,938     11.5 %
    Real estate home
     equity lines            15,205      14,031        1,174      8.4
    Real estate
     construction            10,829      13,520       (2,693)   (19.9)
    Real estate 1-4
     family                  31,759      31,951         (192)    (0.6)
    Real estate
     commercial              13,969      12,803        1,164      9.1
    Credit card                 863         496          367     74.0
    Consumer - direct         4,542       4,221          321      7.6
    Consumer - indirect       7,262       8,018         (756)    (9.4)
    Nonaccrual and
     restructured             2,873         847        2,026       NM
         Total loans       $125,433    $120,081       $5,352      4.5 %

    Average deposits
    Noninterest bearing
     deposits               $20,949     $21,677        ($728)    (3.4)%
    NOW accounts             21,081      20,043        1,038      5.2
    Money market
     accounts                26,565      22,677        3,888     17.1
    Savings                   3,771       4,609         (838)   (18.2)
    Consumer and other
     time                    28,967      29,015          (48)    (0.2)
       Total consumer
        and commercial
        deposits            101,333      98,021        3,312      3.4
    Brokered and foreign
     deposits                14,743      21,856       (7,113)   (32.5)
         Total deposits    $116,076    $119,877      ($3,800)    (3.2)%

(1) "NM" - Not meaningful. Those changes over 100 percent were not

considered to be meaningful.

SunTrust Banks, Inc. and Subsidiaries

RETAIL AND COMMERCIAL LINE OF BUSINESS

    (Dollars in thousands)     (Unaudited)

                                                 Three Months Ended
                                         December 31    December 31      %
                                            2008           2007      Change(3)
    Statements of Income

    Net interest income(1)                 $657,287       $674,122     (2.5)%
    FTE adjustment                            8,858          8,885     (0.3)
    Net interest income - FTE               666,145        683,007     (2.5)
    Provision for loan losses(2)            290,020        105,898       NM

Net interest income after provision

     for loan losses - FTE                  376,125        577,109    (34.8)

Noninterest income before

     securities gains/(losses)              331,629        330,559      0.3
    Securities gains/(losses), net               (6)           -         -
    Total noninterest income                331,623        330,559      0.3

Noninterest expense before

amortization of intangible assets 670,452 623,865 7.5

Amortization of intangible assets 13,439 15,707 (14.4)

Total noninterest expense 683,891 639,572 6.9

Income before provision/(benefit)

     for income taxes                        23,857        268,096    (91.1)

Provision/(benefit) for income

     taxes                                   (3,512)        86,554       NM
    FTE adjustment                            8,858          8,885     (0.3)
    Net income                              $18,511       $172,657    (89.3)

    Total revenue - FTE                    $997,768     $1,013,566     (1.6)

    Selected Average Balances

    Total loans                         $51,462,734    $50,475,414      2.0 %
    Goodwill                              5,915,688      5,866,876      0.8

Other intangible assets excluding

     MSRs                                   161,713        177,747     (9.0)
    Total assets                         58,951,810     58,160,613      1.4
    Total deposits                       81,878,207     79,908,943      2.5


    Performance Ratios

    Efficiency ratio                          68.54 %        63.10 %

Impact of excluding amortization of

     intangible assets                        (5.89)         (5.42)
    Tangible efficiency ratio                 62.65 %        57.68 %


                                                 Twelve Months Ended
                                        December 31    December 31      %
                                           2008           2007       Change(3)
    Statements of Income

    Net interest income(1)               $2,582,613     $2,798,040     (7.7)%
    FTE adjustment                           34,404         36,910     (6.8)
    Net interest income - FTE             2,617,017      2,834,950     (7.7)

Provision for loan losses(2) 878,983 285,840 NM

Net interest income after provision

     for loan losses - FTE                1,738,034      2,549,110    (31.8)

Noninterest income before

     securities gains/(losses)            1,352,891      1,250,024      8.2
    Securities gains/(losses), net             (226)             3       NM
    Total noninterest income              1,352,665      1,250,027      8.2

Noninterest expense before

amortization of intangible assets 2,565,988 2,494,021 2.9

Amortization of intangible assets 57,169 68,917 (17.0)

Total noninterest expense 2,623,157 2,562,938 2.3

Income before provision/(benefit)

     for income taxes                       467,542      1,236,199    (62.2)

Provision/(benefit) for income

     taxes                                  126,513        408,795    (69.1)
    FTE adjustment                           34,404         36,910     (6.8)
    Net income                             $306,625       $790,494    (61.2)

    Total revenue - FTE                  $3,969,682     $4,084,977     (2.8)

    Selected Average Balances

    Total loans                         $51,147,782    $51,198,675     (0.1)%
    Goodwill                              5,852,562      5,860,859     (0.1)

Other intangible assets excluding

     MSRs                                   163,890        203,371    (19.4)
    Total assets                         58,603,247     58,591,299      0.0
    Total deposits                       80,943,903     80,153,021      1.0


    Performance Ratios

    Efficiency ratio                          66.08 %        62.74 %

Impact of excluding amortization of

     intangible assets                        (5.68)         (5.42)
    Tangible efficiency ratio                 60.40 %        57.32 %

(1) Net interest income does not include the funding benefit that would

result from holding shareholders' equity at the line of business

level due to the fact that shareholders' equity is not allocated to

the lines of business at this time.

(2) Provision for loan losses represents net charge-offs for the lines of

business.

(3) "NM" - Not meaningful. Those changes over 100 percent were not

considered to be meaningful.

SunTrust Banks, Inc. and Subsidiaries

WHOLESALE BANKING LINE OF BUSINESS

    (Dollars in thousands)     (Unaudited)

                                                  Three Months Ended
                                         December 31    December 31      %
                                            2008           2007      Change(3)
    Statements of Income

    Net interest income(1)                 $142,302       $128,586     10.7 %
    FTE adjustment                           18,661         13,622     37.0
    Net interest income - FTE               160,963        142,208     13.2
    Provision for loan losses(2)            111,859         13,058       NM

Net interest income after provision

     for loan losses - FTE                   49,104        129,150    (62.0)

Noninterest income before

     securities gains/(losses)              132,686         14,239       NM
    Securities gains/(losses), net                -              -        -
    Total noninterest income                132,686         14,239       NM

Noninterest expense before

amortization of intangible assets 214,327 246,473 (13.0)

    Amortization of intangible assets           122            122       -
    Total noninterest expense               214,449        246,595    (13.0)

Income/(loss) before

provision/(benefit) for income

     taxes                                  (32,659)      (103,206)   (68.4)

Provision/(benefit) for income

     taxes                                  (63,603)       (74,796)   (15.0)
    FTE adjustment                           18,661         13,622     37.0
    Net income/(loss)                       $12,283       ($42,032)      NM

    Total revenue - FTE                    $293,649       $156,447     87.7

    Selected Average Balances

    Total loans                         $37,258,126    $31,245,564     19.2 %
    Goodwill                                522,633        446,700     17.0

Other intangible assets excluding

     MSRs                                       430            919    (53.2)
    Total assets                         50,548,820     41,649,859     21.4
    Total deposits                        9,332,227      7,437,346     25.5

    Performance Ratios

    Efficiency ratio                          73.03 %       157.62 %

Impact of excluding amortization of

     intangible assets                        (1.56)         (5.00)
    Tangible efficiency ratio                 71.47 %       152.62 %


                                                  Twelve Months Ended
                                         December 31    December 31      %
                                            2008           2007      Change(3)

    Statements of Income

    Net interest income(1)                 $499,898       $517,752     (3.4)%
    FTE adjustment                           64,825         47,851     35.5
    Net interest income - FTE               564,723        565,603     (0.2)

Provision for loan losses(2) 167,429 46,923 NM

Net interest income after provision

     for loan losses - FTE                  397,294        518,680    (23.4)

Noninterest income before

     securities gains/(losses)              649,193        480,964     35.0
    Securities gains/(losses), net                -              -        -
    Total noninterest income                649,193        480,964     35.0

Noninterest expense before

amortization of intangible assets 818,382 811,946 0.8

    Amortization of intangible assets           488            488       -
    Total noninterest expense               818,870        812,434      0.8

Income/(loss) before

provision/(benefit) for income

     taxes                                  227,617        187,210     21.6

Provision/(benefit) for income

     taxes                                  (54,503)       (56,727)    (3.9)
    FTE adjustment                           64,825         47,851     35.5
    Net income/(loss)                      $217,295       $196,086     10.8

    Total revenue - FTE                  $1,213,916     $1,046,567     16.0

    Selected Average Balances

    Total loans                         $34,615,063    $29,789,871     16.2 %
    Goodwill                                523,621        446,706     17.2

Other intangible assets excluding

     MSRs                                       616          1,101    (44.1)
    Total assets                         46,454,855     39,421,580     17.8
    Total deposits                        9,059,997      5,552,618     63.2

    Performance Ratios

    Efficiency ratio                          67.46 %        77.63 %

Impact of excluding amortization of

     intangible assets                        (1.36)         (1.48)
    Tangible efficiency ratio                 66.10 %        76.15 %

(1) Net interest income does not include the funding benefit that would

result from holding shareholders' equity at the line of business

level due to the fact that shareholders' equity is not allocated

to the lines of business at this time.

(2) Provision for loan losses represents net charge-offs for the lines of

business.

(3) "NM" - Not meaningful. Those changes over 100 percent were not

considered to be meaningful.

SunTrust Banks, Inc. and Subsidiaries

    MORTGAGE LINE OF BUSINESS
    (Dollars in thousands)     (Unaudited)

                                                Three Months Ended
                                       December 31     December 31      %
                                          2008            2007      Change(3)
    Statements of Income

    Net interest income(1)                $94,527        $128,803     (26.6)%
    FTE adjustment                              -               -         -
    Net interest income - FTE              94,527         128,803     (26.6)

Provision for loan losses(2) 140,156 46,163 NM

Net interest income after

provision for loan losses - FTE (45,629) 82,640 NM

Noninterest income before

     securities gains/(losses)           (343,999)        100,389        NM
    Securities gains/(losses), net        410,737               -         -
    Total noninterest income               66,738         100,389     (33.5)

Noninterest expense before

amortization of intangible

     assets                               493,149         237,787        NM

Amortization of intangible

     assets                                    30             763     (96.1)
    Total noninterest expense             493,179         238,550        NM

Income/(loss) before

provision/(benefit) for income

     taxes                               (472,070)        (55,521)       NM

Provision/(benefit) for income

     taxes                               (186,441)        (25,103)       NM
    FTE adjustment                              -               -         -
    Net income/(loss)                   ($285,629)       ($30,418)       NM

    Total revenue - FTE                  $161,265        $229,192     (29.6)

    Selected Average Balances

    Total loans                       $30,578,302     $31,328,575      (2.4)%
    Goodwill                              279,295         276,598       1.0
    Other intangible assets
     excluding MSRs                           106           2,014     (94.7)
    Total assets                       40,602,117      44,819,241      (9.4)
    Total deposits                      2,125,512       2,048,331       3.8


    Performance Ratios

    Efficiency ratio                       305.82 %        104.08 %

Impact of excluding amortization

     of intangible assets                   (6.20)          (1.73)
    Tangible efficiency ratio              299.62 %        102.35 %

    Other Information

    Production Data
    Channel mix
    Retail                             $3,131,622      $4,937,847     (36.6)%
    Wholesale                           2,117,785       5,128,463     (58.7)
    Correspondent                       1,976,900       2,879,608     (31.3)
    Total production                   $7,226,307     $12,945,918     (44.2)

    Channel mix - percent
    Retail                                     43 %            38 %
    Wholesale                                  29              40
    Correspondent                              28              22
    Total production                          100 %           100 %

Purchase and refinance mix

    Refinance                          $3,077,888      $5,518,486     (44.2)
    Purchase                            4,148,419       7,427,432     (44.1)
    Total production                   $7,226,307     $12,945,918     (44.2)

Purchase and refinance mix -

     percent
    Refinance                                  43 %            43 %
    Purchase                                   57              57
    Total production                          100 %           100 %

    Applications                      $16,785,691     $21,676,536     (22.6)

Mortgage Servicing Data (End of

Period)

    Total loans serviced             $162,026,248    $149,857,226       8.1 %
    Total loans serviced for others   130,515,425     114,635,081      13.9
    Net carrying value of MSRs            810,474       1,049,426     (22.8)

Ratio of net carrying value of

MSRs to total loans serviced

     for others                             0.621 %         0.915 %



                                                Twelve Months Ended
                                         December 31    December 31      %
                                            2008           2007      Change(3)
    Statements of Income

    Net interest income(1)                 $456,268       $523,253    (12.8)%
    FTE adjustment                                -              -        -
    Net interest income - FTE               456,268        523,253    (12.8)

Provision for loan losses(2) 491,280 81,157 NM

Net interest income after provision

     for loan losses - FTE                  (35,012)       442,096       NM

Noninterest income before

     securities gains/(losses)               36,777        365,752    (89.9)
    Securities gains/(losses), net          399,177              -        -
    Total noninterest income                435,954        365,752     19.2

Noninterest expense before

amortization of intangible assets 1,331,562 820,893 62.2

Amortization of intangible assets 1,520 3,053 (50.2)

Total noninterest expense 1,333,082 823,946 61.8

Income/(loss) before

provision/(benefit) for income

     taxes                                 (932,140)       (16,098)      NM

Provision/(benefit) for income

     taxes                                 (370,360)       (21,539)      NM
    FTE adjustment                                -              -        -
    Net income/(loss)                     ($561,780)        $5,441       NM

    Total revenue - FTE                    $892,222       $889,005      0.4

    Selected Average Balances

    Total loans                         $31,342,036    $30,805,460      1.7 %
    Goodwill                                277,413        276,459      0.3

Other intangible assets excluding

     MSRs                                       527          3,151    (83.3)
    Total assets                         41,980,502     45,554,067     (7.8)
    Total deposits                        2,238,165      2,136,678      4.7


    Performance Ratios

    Efficiency ratio                         149.41 %        92.68 %

Impact of excluding amortization of

     intangible assets                        (2.29)         (1.60)
    Tangible efficiency ratio                147.12 %        91.08 %

    Other Information

    Production Data
    Channel mix
    Retail                              $17,019,652    $23,190,416    (26.6)%
    Wholesale                            12,130,940     21,604,003    (43.8)
    Correspondent                         7,279,578     13,552,369    (46.3)
    Total production                    $36,430,170    $58,346,788    (37.6)

    Channel mix - percent
    Retail                                       47 %           40 %
    Wholesale                                    33             37
    Correspondent                                20             23
    Total production                            100 %          100 %

Purchase and refinance mix

    Refinance                           $16,371,010    $25,073,101    (34.7)
    Purchase                             20,059,160     33,273,687    (39.7)
    Total production                    $36,430,170    $58,346,788    (37.6)

Purchase and refinance mix -

     percent
    Refinance                                    45 %           43 %
    Purchase                                     55             57
    Total production                            100 %          100 %

    Applications                        $68,558,868    $91,892,599    (25.4)

Mortgage Servicing Data (End of

Period)

Total loans serviced

Total loans serviced for others

Net carrying value of MSRs

Ratio of net carrying value of MSRs

to total loans serviced for others

(1) Net interest income does not include the funding benefit that would

result from holding shareholders' equity at the line of business

level due to the fact that shareholders' equity is not allocated to

the lines of business at this time.

(2) Provision for loan losses represents net charge-offs for the lines of

business.

(3) "NM" - Not meaningful. Those changes over 100 percent were not

considered to be meaningful.

SunTrust Banks, Inc. and Subsidiaries

WEALTH AND INVESTMENT MANAGEMENT LINE OF BUSINESS

    (Dollars in thousands)     (Unaudited)

                                            Three Months Ended
                                       December 31     December 31       %
                                           2008            2007      Change(3)
    Statements of Income

    Net interest income(1)                 $83,507         $86,489     (3.4)%
    FTE adjustment                               5              13    (61.5)
    Net interest income - FTE               83,512          86,502     (3.5)

Provision for loan losses(2) 10,072 2,594 NM

Net interest income after

provision for loan losses - FTE 73,440 83,908 (12.5)

Noninterest income before

     securities gains/(losses)             189,243          18,505       NM
    Securities gains/(losses), net               -               -        -
    Total noninterest income               189,243          18,505       NM

Noninterest expense before

amortization of intangible

     assets                                203,207         243,255    (16.5)
    Amortization of intangible assets        3,567           6,719    (46.9)
    Total noninterest expense              206,774         249,974    (17.3)

Income/(loss) before

provision/(benefit) for income

     taxes                                  55,909        (147,561)      NM

Provision/(benefit) for income

     taxes                                  21,866         (52,062)      NM
    FTE adjustment                               5              13    (61.5)
    Net income/(loss)                      $34,038        ($95,512)      NM

    Total revenue - FTE                   $272,755        $105,007       NM

    Selected Average Balances

    Total loans                         $8,127,898      $7,795,906      4.3 %
    Goodwill                               333,396         322,505      3.4

Other intangible assets excluding

     MSRs                                   65,806         131,775    (50.1)
    Total assets                         8,906,151       8,825,594      0.9
    Total deposits                       9,093,821       9,861,019     (7.8)


    Performance Ratios

    Efficiency ratio                         75.81 %        238.05 %

Impact of excluding amortization

     of intangible assets                    (2.58)         (17.16)
    Tangible efficiency ratio                73.23 %        220.89 %

Other Information (End of Period)

Assets under administration

Managed (discretionary) assets $113,109,076 $142,844,803 (20.8)%

    Non-managed assets                  45,729,084      60,903,024    (24.9)

Total assets under administration 158,838,160 203,747,827 (22.0)


    Brokerage assets                    31,221,049      41,576,425    (24.9)
    Corporate trust assets               1,950,609       4,742,003    (58.9)

Total assets under advisement $192,009,818 $250,066,255 (23.2)



                                             Twelve Months Ended
                                         December 31   December 31      %
                                             2008          2007     Change(3)
    Statements of Income

    Net interest income(1)                  $331,919      $352,198     (5.8)%
    FTE adjustment                                31            54    (42.6)
    Net interest income - FTE                331,950       352,252     (5.8)

Provision for loan losses(2) 26,895 8,519 NM

Net interest income after provision

     for loan losses - FTE                   305,055       343,733    (11.3)

Noninterest income before securities

     gains/(losses)                          951,582       812,866     17.1
    Securities gains/(losses), net              (116)            8       NM
    Total noninterest income                 951,466       812,874     17.0

Noninterest expense before

amortization of intangible assets 899,062 990,044 (9.2)

Amortization of intangible assets 61,673 23,456 NM

    Total noninterest expense                960,735     1,013,500     (5.2)

Income/(loss) before

provision/(benefit) for income taxes 295,786 143,107 NM

Provision/(benefit) for income taxes 108,890 54,762 98.8

    FTE adjustment                                31            54    (42.6)
    Net income/(loss)                       $186,865       $88,291       NM

    Total revenue - FTE                   $1,283,416    $1,165,126     10.2

    Selected Average Balances



    Total loans                           $8,108,966    $7,965,365      1.8 %
    Goodwill                                 329,750       316,366      4.2

Other intangible assets excluding

     MSRs                                     95,153       129,995    (26.8)
    Total assets                           8,943,745     8,898,787      0.5
    Total deposits                         9,563,480     9,780,563     (2.2)


    Performance Ratios

    Efficiency ratio                           74.86 %       86.99 %

Impact of excluding amortization of

     intangible assets                         (5.86)        (3.42)
    Tangible efficiency ratio                  69.00 %       83.57 %

Other Information (End of Period)

Assets under administration

Managed (discretionary) assets

Non-managed assets

Total assets under administration

Brokerage assets

Corporate trust assets

Total assets under advisement

(1) Net interest income does not include the funding benefit that would

result from holding shareholders' equity at the line of business

level due to the fact that shareholders' equity is not allocated to

the lines of business at this time.

(2) Provision for loan losses represents net charge-offs for the lines of

business.

(3) "NM" - Not meaningful. Those changes over 100 percent were not

considered to be meaningful.

SunTrust Banks, Inc. and Subsidiaries

CORPORATE OTHER AND TREASURY

    (Dollars in thousands)     (Unaudited)

                                                Three Months Ended
                                         December 31   December 31      %
                                             2008          2007      Change(2)
    Statements of Income

    Net interest income                     $199,237      $149,513     33.3 %
    FTE adjustment                             4,266         4,724     (9.7)
    Net interest income - FTE                203,503       154,237     31.9

Provision for loan losses(1) 410,387 189,068 NM

Net interest income after provision

     for loan losses - FTE                  (206,884)      (34,831)      NM

Noninterest income before securities

     gains/(losses)                           (2,883)      106,631       NM
    Securities gains/(losses), net               322         5,694    (94.3)
    Total noninterest income                  (2,561)      112,325       NM

Noninterest expense before

amortization of intangible assets (9,756) 80,547 NM

    Amortization of intangible assets            101           103     (1.9)
    Total noninterest expense                 (9,655)       80,650       NM

Income/(loss) before

provision/(benefit) for income taxes (199,790) (3,156) NM

Provision/(benefit) for income taxes (77,266) (14,309) NM

    FTE adjustment                             4,266         4,724     (9.7)
    Net income/(loss)                      ($126,790)       $6,429       NM

    Total revenue - FTE                     $200,942      $266,562    (24.6)

    Selected Average Balances

    Total loans                             $180,854      $248,883    (27.3)%

Securities available for sale 12,684,773 13,715,798 (7.5)

Goodwill 433 (35) NM

Other intangible assets excluding

     MSRs                                      4,171         4,580     (8.9)
    Total assets                          18,038,360    21,675,157    (16.8)

Total deposits (mainly brokered and

     foreign)                             12,457,366    16,109,868    (22.7)


                                           December 31   September 30
                                               2008          2008
    Other Information

    Duration of investment portfolio             2.8 %         4.8 %

Accounting net interest income

interest rate sensitivity(3):

% Change in net interest income

under:

Instantaneous 100 bp increase in

     rates over next 12 months                   4.1 %         0.8 %

Instantaneous 100 bp decrease in

     rates over next 12 months                  (1.3)%        (1.1)%

Economic net interest income interest

rate sensitivity(3):

% Change in net interest income

under:

Instantaneous 100 bp increase in

     rates over next 12 months                   3.3 %        (0.4)%

Instantaneous 100 bp decrease in

     rates over next 12 months                  (0.1)%         0.1 %


                                               Twelve Months Ended
                                          December 31  December 31    %
                                             2008         2007     Change(2)
    Statements of Income

    Net interest income                      $748,958     $528,301    41.8 %
    FTE adjustment                             18,227       17,865     2.0
    Net interest income - FTE                 767,185      546,166    40.5
    Provision for loan losses(1)              909,628      242,483      NM

Net interest income after provision

     for loan losses - FTE                   (142,443)     303,683      NM

Noninterest income before securities

     gains/(losses)                           409,720      275,961    48.5
    Securities gains/(losses), net            674,465      243,106      NM
    Total noninterest income                1,084,185      519,067      NM

Noninterest expense before

amortization of intangible assets 154,147 20,193 NM

    Amortization of intangible assets             410          766   (46.5)
    Total noninterest expense                 154,557       20,959      NM

Income/(loss) before

provision/(benefit) for income taxes 787,185 801,791 (1.8)

Provision/(benefit) for income taxes 122,189 230,223 (46.9)

    FTE adjustment                             18,227       17,865     2.0
    Net income/(loss)                        $646,769     $553,703    16.8

    Total revenue - FTE                    $1,851,370   $1,065,233    73.8

    Selected Average Balances

    Total loans                              $218,900     $321,180   (31.8)%
    Securities available for sale          13,824,706   17,197,201   (19.6)
    Goodwill                                   28,036        5,400      NM

Other intangible assets excluding

     MSRs                                       4,328        4,869   (11.1)
    Total assets                           19,865,916   25,329,785   (21.6)

Total deposits (mainly brokered and

     foreign)                              14,270,686   22,253,687   (35.9)



    Other Information

Duration of investment portfolio

Accounting net interest income

interest rate sensitivity(3):

% Change in net interest income

under:

Instantaneous 100 bp increase in

rates over next 12 months

Instantaneous 100 bp decrease in

rates over next 12 months

Economic net interest income interest

rate sensitivity(3):

% Change in net interest income

under:

Instantaneous 100 bp increase in

rates over next 12 months

Instantaneous 100 bp decrease in

rates over next 12 months

(1) Provision for loan losses is the difference between net charge-offs

recorded by the lines of business and consolidated provision for loan

losses.

(2) "NM" - Not meaningful. Those changes over 100 percent were not

considered to be meaningful.

(3) The recognition of interest rate sensitivity from an accounting

        perspective is different from the economic perspective due to the
        election of fair value accounting for certain long-term debt and the
        related interest rate swaps.  The net interest income sensitivity
        profile from an economic perspective assumes the net interest payments
        from the related swaps were included in margin.


SunTrust Banks, Inc. and Subsidiaries

CONSOLIDATED - SEGMENT TOTALS

    (Dollars in thousands)     (Unaudited)

                                           Three Months Ended
                                      December 31     December 31       %
                                          2008            2007       Change(1)
    Statements of Income

    Net interest income                 $1,176,860      $1,167,513      0.8 %
    FTE adjustment                          31,790          27,244     16.7
    Net interest income - FTE            1,208,650       1,194,757      1.2
    Provision for loan losses              962,494         356,781       NM

Net interest income after

provision for loan losses - FTE 246,156 837,976 (70.6)

Noninterest income before

     securities gains/(losses)             306,676         570,323    (46.2)
    Securities gains/(losses), net         411,053           5,694       NM
    Total noninterest income               717,729         576,017     24.6

Noninterest expense before

amortization of intangible

     assets                              1,571,379       1,431,927      9.7

Amortization of intangible assets 17,259 23,414 (26.3)

Total noninterest expense 1,588,638 1,455,341 9.2

Income/(loss) before

provision/(benefit) for income

     taxes                                (624,753)        (41,348)      NM

Provision/(benefit) for income

     taxes                                (308,956)        (79,716)      NM
    FTE adjustment                          31,790          27,244     16.7
    Net income/(loss)                    ($347,587)        $11,124       NM

    Total revenue - FTE                 $1,926,379      $1,770,774      8.8

    Selected Average Balances

    Total loans                       $127,607,914    $121,094,342      5.4 %
    Goodwill                             7,051,445       6,912,644      2.0

Other intangible assets excluding

     MSRs                                  232,226         317,035    (26.8)
    Total assets                       177,047,258     175,130,464      1.1
    Total deposits                     114,887,133     115,365,507     (0.4)

    Performance Ratios

    Efficiency ratio                         82.47 %         82.19 %

Impact of excluding amortization

     of intangible assets                    (0.90)          (1.33)
    Tangible efficiency ratio                81.57 %         80.86 %


                                          Twelve Months Ended
                                      December 31     December 31       %
                                          2008            2007       Change(1)
    Statements of Income

    Net interest income                 $4,619,656      $4,719,544     (2.1)%
    FTE adjustment                         117,487         102,680     14.4
    Net interest income - FTE            4,737,143       4,822,224     (1.8)
    Provision for loan losses            2,474,215         664,922       NM

Net interest income after

provision for loan losses - FTE 2,262,928 4,157,302 (45.6)

Noninterest income before

     securities gains/(losses)           3,400,163       3,185,567      6.7
    Securities gains/(losses), net       1,073,300         243,117       NM
    Total noninterest income             4,473,463       3,428,684     30.5

Noninterest expense before

amortization of intangible

     assets                              5,769,141       5,137,097     12.3
    Amortization of intangible assets      121,260          96,680     25.4
    Total noninterest expense            5,890,401       5,233,777     12.5

Income/(loss) before

provision/(benefit) for income

     taxes                                 845,990       2,352,209    (64.0)

Provision/(benefit) for income

     taxes                                 (67,271)        615,514       NM
    FTE adjustment                         117,487         102,680     14.4
    Net income/(loss)                     $795,774      $1,634,015    (51.3)

    Total revenue - FTE                 $9,210,606      $8,250,908     11.6

    Selected Average Balances

    Total loans                       $125,432,747    $120,080,551      4.5 %
    Goodwill                             7,011,382       6,905,790      1.5

Other intangible assets excluding

     MSRs                                  264,514         342,487    (22.8)
    Total assets                       175,848,265     177,795,518     (1.1)
    Total deposits                     116,076,231     119,876,567     (3.2)

    Performance Ratios

    Efficiency ratio                         63.95 %         63.43 %

Impact of excluding amortization

     of intangible assets                    (1.31)          (1.17)
    Tangible efficiency ratio                62.64 %         62.26 %

(1) "NM" - Not meaningful. Those changes over 100 percent were not

considered to be meaningful.

SOURCE SunTrust Banks, Inc.

Web Site: http://www.suntrust.com / (STI)

"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: Statements in this press release regarding SunTrust's business which are not historical facts are "forward-looking statements" that involve risks and uncertainties. For a discussion of such risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see "Risk Factors" in the Company's Annual Report or Form 10-K for the most recently ended fiscal year.