Synovus Reports 12.1% Increase in Net Income for First Quarter 2005; T

    Business Editors

    COLUMBUS, Ga.--(BUSINESS WIRE)--April 26, 2005--Synovus' first quarter earnings grew 12.1% over the first quarter 2004 to $116.7 million, which represented earnings per share growth of 9.6% to $.37 per share, Synovus' Chief Executive Officer James H. Blanchard announced today.
    "We started 2005 with both the Synovus Financial Services segment and TSYS providing the key drivers for an impressive first quarter," said Blanchard. "Excellent credit quality, strong loan growth and a stable margin drove the earnings momentum in the quarter for the Financial Services segment. TSYS' performance exceeded expectations with a great start toward another record year."
    Return on assets for the quarter was 1.86% and return on equity was 17.52% for the first quarter 2005, compared to 1.91% and 18.00%, respectively, in the same period last year. Shareholders' equity at March 31, 2005, was $2.70 billion, which represented a very strong 10.44% of quarter-end assets. Total assets ended the quarter at $25.9 billion, an increase of 16.0% from the same period last year.
    Asset quality continued the excellent trend that began last year. The net charge-off ratio was 0.23% compared to 0.27% last quarter and 0.16% for the first quarter of last year. The ratio of nonperforming assets to loans and other real estate was 0.52%, the same as last quarter, and down from 0.56% in the first quarter last year. The allowance for loan losses was 1.36% of loans, which provides coverage of 354% of nonperforming loans and the provision for loan losses covered net charge-offs by 1.71x for the quarter.
    Net interest income grew 11.9% over last year as total loans grew 17.9% (15.8% excluding acquisitions). The net interest margin before fees was 3.98%, the same as last quarter, and up from 3.91% in the first quarter of last year. The net interest margin after fees for the first quarter was 4.11% down from 4.24% in the same period last year. This decrease was primarily due to the change in methodology for loan origination fees and costs that was implemented in the fourth quarter of last year.
    Net income for the Synovus Financial Services segment increased 2.1% over last year. In the first quarter last year, Synovus recorded an after-tax gain of $9.7 million from the sale of banking operations in Quincy, Florida. Excluding this gain, Financial Services segment's fundamental net income growth was 16.6% compared to the same period last year. Return on assets for the quarter was 1.33% and return on equity was 16.19%, compared to 1.49% and 18.18%, respectively, in the same period last year. These comparisons are also affected by the previously mentioned gain from last year. Financial Services' non-interest income was down 17.6% as compared to last year. Excluding last year's $15.8 million pre-tax gain from the aforementioned bank sale, Financial Services non-interest income would have been essentially flat with increases in credit card fees of 27%, brokerage revenue of 9%, and fiduciary and asset management fees - which include trust, financial planning and asset management fees - of 3%. Mortgage banking revenue was down 14% and service charges on deposit accounts were down 5% compared to the first quarter last year. Financial Services' non-interest expense was up 1.2% compared to last year and the efficiency ratio was 52.2% versus 52.9% last year.
    TSYS reported net income of $46.1 million for the first quarter 2005 compared to $32.6 million last year, a 41.7% increase. Diluted earnings per share for the quarter increased to $0.23, up from $0.17 last year, another 41.7% increase. As a result of TSYS' performance in the first quarter, TSYS raised its earnings guidance to 22 - 25% from the previously stated guidance of 19 - 22%. During the quarter, TSYS closed on the purchase of the remaining 50% stake in Vital Processing Services, L.L.C. from Visa U.S.A. and signed a seven-year contract with ABN Amro Bank, the 20th largest bank in the world. TSYS and Bank of America agreed to add five years to their current agreement to provide exclusive processing services through 2014.
    Blanchard concluded, "As a result of the first quarter performance, we are increasing our expectations of earnings per share growth from 12 - 15 % to 13 - 16% for 2005. Stable credit quality and margin, continued strong loan growth, and continuing expense control encourage us to believe the Financial Services segment will continue to perform at the very top of the peer group. Our optimism for TSYS to achieve its 22 - 25% targeted net income growth was heartily reinforced by TSYS' stellar performance this quarter. For the remainder of 2005, we expect that the economy will continue to expand, short-term interest rates will increase modestly, the credit environment will remain favorable and TSYS will perform within its range of guidance. Synovus will continue to focus on growing deposits, managing the loan growth, quality and mix, maintaining a strong margin, expanding fee income and continuing to refine our processes to improve efficiencies. With our very dedicated and highly motivated team members and our strong balance sheet, we believe we are in position to achieve higher earnings performance throughout the year and beyond."
    Synovus will host an earnings highlights conference call at 4:30 p.m. EDT, on April 26, 2005. Shareholders and other interested persons may listen to this conference call via simultaneous Internet broadcast at www.synovus.com by clicking on the "Live Webcast" icon. You may download RealPlayer or Windows Media Player (free download available) prior to accessing the actual call or the replay. The replay will be archived for 12 months and will be available 30-45 minutes after the call.

    Synovus (NYSE: SNV) is a diversified financial services holding company with over $25 billion in assets based in Columbus, Georgia. Synovus provides integrated financial services including banking, financial management, insurance, mortgage and leasing services through 41 banks and other Synovus offices in Georgia, Alabama, South Carolina, Florida and Tennessee; and electronic payment processing through an 81-percent stake in TSYS (NYSE: TSS), the world's largest third-party processor of international payments. Synovus has been named one of "The 100 Best Companies To Work For" in America by FORTUNE magazine, and has been recognized in its Hall of Fame for consecutive appearances on the list since its inception in 1998. In 2005, Synovus was also named as one of "America's Most Admired Companies". See Synovus on the Web at www.synovus.com.

    This press release contains statements that constitute "forward-looking statements" within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934 as amended by the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, among others, statements regarding TSYS' expected growth in net income for 2005, Synovus' expected growth in earnings per share for 2005, Synovus' belief that the Financial Services segment will perform at the top of its peer group and that Synovus is in a position to achieve higher earnings performance, and the assumptions underlying such statements, including, with respect to Synovus' expected increase in earnings per share for 2005, the economy will continue to expand; short-term interest rates will increase modestly; the credit environment will remain favorable; and TSYS' net income growth will be in the 22 - 25% range. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and that actual results may differ materially from those contemplated by such forward-looking statements. A number of important factors could cause actual results to differ materially from those contemplated by the forward- looking statements in this press release. Many of these factors are beyond Synovus' ability to control or predict. These factors include, but are not limited to, competitive pressures arising from aggressive competition from other financial service providers; factors that affect the delinquency rate on Synovus' loans and the rate at which Synovus' loans are charged off; changes in the cost and availability of funding due to changes in the deposit market and credit market, or the way in which Synovus is perceived in such markets; inflation, interest rate, market and monetary fluctuations; TSYS' net income growth is lower that anticipated; the strength of the United States economy in general and the strength of the local economies in which Synovus conducts operations may be different than expected; the timely development of competitive new products and services and the acceptance of such by customers; Synovus' inability to control expenses; a deterioration in credit quality or a reduced demand for credit; the costs and effects of litigation, investigations, or similar matters, or adverse facts and developments related thereto; the impact of changes in accounting principles; the effects of changes in government policy and regulations, including restrictions and/or limitations arising from banking laws, regulations and examinations; and the impact on Synovus' business, as well as on the risks set forth above, of various domestic or international military or terrorist activities or conflicts. Additional factors that could cause actual results to differ materially from those contemplated in this press release can be found in Synovus' filings with the Securities and Exchange Commission, including its Annual Report on Form 10-K, quarterly reports on Form 10-Q and current reports on Form 8-K. We believe these forward-looking statements are reasonable; however, undue reliance should not be placed on any forward-looking statements, which are based on current expectations. We do not assume any obligation to update any forward-looking statements as a result of new information, future developments or otherwise.

Synovus INCOME STATEMENT (In thousands, except per share data) 2005 2004 --------------------------- First Fourth Third Quarter Quarter Quarter ---------------------------

Interest Income (Taxable Equivalent) $332,927 314,019 301,457 Interest Expense 104,444 88,281 76,313 -------- -------- --------

Net Interest Income (Taxable Equivalent) 228,483 225,738 225,144 Tax Equivalent Adjustment 1,621 1,703 1,710 -------- -------- --------

Net Interest Income 226,862 224,035 223,434 Provision for Loan Losses 19,283 20,855 21,192 -------- -------- --------

Net Interest Income After Provision 207,579 203,180 202,242 -------- -------- --------

Non-Interest Income: Electronic Payment Processing Services 205,163 197,129 197,822 Merchant Services 27,105 6,411 6,518 Other Transaction Processing Services Revenue 48,514 45,224 43,006 Service Charges on Deposits 27,039 30,226 31,257 Fiduciary and Asset Management Fees 11,037 11,326 10,622 Brokerage and Investment Banking Revenue 6,263 5,361 5,012 Mortgage Banking Income 5,898 6,773 6,861 Credit Card Fees 7,646 8,379 8,097 Securities Gains (Losses) 271 164 (24) Other Fee Income 7,486 7,654 7,451 Other Non-Interest Income 9,519 12,653 11,361 -------- -------- --------

Non-Interest Income before Reimbursable Items 355,941 331,300 327,983 Reimbursable Items 69,169 57,039 56,309 -------- -------- --------

Total Non-Interest Income 425,110 388,339 384,292 -------- -------- --------

Non-Interest Expense: Personnel Expense 189,829 175,369 194,624 Occupancy & Equipment Expense 86,634 77,039 80,073 Other Non-Interest Expense 92,607 88,639 74,699 -------- -------- --------

Non-Interest Expense before Reimbursable Items 369,070 341,047 349,396 Reimbursable Items 69,170 57,039 56,309 -------- -------- --------

Total Non-Interest Expense 438,240 398,086 405,705 -------- -------- --------

Minority Interest in Consolidated Subsidiaries 8,832 8,143 7,480 Income Before Taxes 185,617 185,290 173,349 Income Tax Expense 68,883 66,568 64,341 -------- -------- --------

Net Income $116,734 118,722 109,008 ======== ======== ========

Basic Earnings Per Share 0.38 0.38 0.35 Diluted Earnings Per Share 0.37 0.38 0.35 Dividends Declared Per Share 0.18 0.17 0.17

Return on Assets 1.86 % 1.91 % 1.82 % Return on Equity 17.52 17.92 17.00 Average Shares Outstanding - Basic 310,622 309,740 309,448 Average Shares Outstanding - Diluted 313,900 313,268 312,343

2004 1st Quarter ----------------- ----------- Second First '05 vs. '04 Quarter Quarter Change ----------------- -----------

Interest Income (Taxable Equivalent) $ 279,013 271,491 22.6 % Interest Expense 66,804 66,944 56.0 -------- -------- ---------

Net Interest Income (Taxable Equivalent) 212,209 204,547 11.7 Tax Equivalent Adjustment 1,747 1,800 (9.9) -------- -------- ---------

Net Interest Income 210,462 202,747 11.9 Provision for Loan Losses 17,548 15,724 22.6 -------- -------- ---------

Net Interest Income After Provision 192,914 187,023 11.0 -------- -------- ---------

Non-Interest Income: Electronic Payment Processing Services 183,731 176,586 16.2 Merchant Services 6,876 6,364 325.9 Other Transaction Processing Services Revenue 41,827 40,848 18.8 Service Charges on Deposits 31,188 28,432 (4.9) Fiduciary and Asset Management Fees 10,485 10,568 4.4 Brokerage and Investment Banking Revenue 5,616 5,759 8.8 Mortgage Banking Income 5,772 6,894 (14.4) Credit Card Fees 7,509 6,040 26.6 Securities Gains (Losses) - (65) nm Other Fee Income 7,202 6,920 8.2 Other Non-Interest Income 15,341 28,299 (66.4) -------- -------- ---------

Non-Interest Income before Reimbursable Items 315,547 316,645 12.4 Reimbursable Items 55,745 60,445 14.4 -------- -------- ---------

Total Non-Interest Income 371,292 377,090 12.7 -------- -------- ---------

Non-Interest Expense: Personnel Expense 174,955 186,631 1.7 Occupancy & Equipment Expense 86,187 78,390 10.5 Other Non-Interest Expense 74,365 67,857 36.5 -------- -------- ---------

Non-Interest Expense before Reimbursable Items 335,507 332,878 10.9 Reimbursable Items 55,745 60,445 14.4 -------- -------- ---------

Total Non-Interest Expense 391,252 393,323 11.4 -------- -------- ---------

Minority Interest in Consolidated Subsidiaries 6,852 6,249 41.3 Income Before Taxes 166,102 164,541 12.8 Income Tax Expense 60,961 60,379 14.1 -------- -------- ---------

Net Income 105,141 104,162 12.1 ======== ======== =========

Basic Earnings Per Share 0.34 0.34 9.6 Diluted Earnings Per Share 0.34 0.34 9.6 Dividends Declared Per Share 0.17 0.17 5.3

Return on Assets 1.86 % 1.91 % (5)bp Return on Equity 17.60 18.00 (48) Average Shares Outstanding - Basic 306,180 303,644 2.3 % Average Shares Outstanding - Diluted 308,857 306,812 2.3

bp - change is measured as difference in basis points. nm - not meaningful

Synovus Financial Services Segment

INCOME STATEMENT (In thousands) 2005 2004 --------------------------- First Fourth Third Quarter Quarter Quarter ---------------------------

Interest Income (Taxable Equivalent) $332,927 314,008 301,458 Interest Expense 105,188 88,933 76,502 -------- -------- --------

Net Interest Income (Taxable Equivalent) 227,739 225,075 224,956 Tax Equivalent Adjustment 1,614 1,691 1,710 -------- -------- --------

Net Interest Income 226,125 223,384 223,246 Provision for Loan Losses 19,283 20,855 21,192 -------- -------- --------

Net Interest Income After Provision 206,842 202,529 202,054 -------- -------- --------

Non-Interest Income: Service Charges on Deposits 27,039 30,226 31,257 Fiduciary and Asset Management Fees 11,044 11,538 10,834 Brokerage and Investment Banking Revenue 6,263 5,361 5,012 Mortgage Banking Income 5,898 6,773 6,861 Credit Card Fees 7,646 8,379 8,097 Securities Gains (Losses) 271 164 (24) Other Fee Income 7,487 7,654 7,451 Other Non-Interest Income 8,923 10,826 7,211 -------- -------- --------

Total Non-Interest Income 74,571 80,921 76,699 -------- -------- --------

Non-Interest Expense: Personnel Expense 90,747 82,601 93,631 Occupancy & Equipment Expense 21,547 21,305 21,156 Other Non-Interest Expense 45,541 50,677 42,764 -------- -------- --------

Total Non-Interest Expense 157,835 154,583 157,551 -------- -------- --------

Income Before Taxes 123,578 128,867 121,202 Income Tax Expense 44,203 44,992 43,935 -------- -------- --------

Net Income $ 79,375 83,875 77,267 ======== ======== ========

Return on Assets 1.33 % 1.41 % 1.35 % Return on Equity 16.19 17.09 16.20

2004 1st Quarter ----------------- ----------- Second First '05 vs. '04 Quarter Quarter Change ----------------- ----------

Interest Income (Taxable Equivalent) $279,010 271,486 22.6 % Interest Expense 66,964 67,090 56.8 -------- -------- --------

Net Interest Income (Taxable Equivalent) 212,046 204,396 11.4 Tax Equivalent Adjustment 1,744 1,796 (10.1) -------- -------- --------

Net Interest Income 210,302 202,600 11.6 Provision for Loan Losses 17,548 15,724 22.6 -------- -------- --------

Net Interest Income After Provision 192,754 186,876 10.7 -------- -------- --------

Non-Interest Income: Service Charges on Deposits 31,188 28,432 (4.9) Fiduciary and Asset Management Fees 10,675 10,710 3.1 Brokerage and Investment Banking Revenue 5,616 5,759 8.8 Mortgage Banking Income 5,772 6,894 (14.4) Credit Card Fees 7,509 6,040 26.6 Securities Gains (Losses) - (65) nm Other Fee Income 7,202 6,920 8.2 Other Non-Interest Income 11,409 25,760 (65.4) -------- -------- --------

Total Non-Interest Income 79,371 90,450 (17.6) -------- -------- --------

Non-Interest Expense: Personnel Expense 91,283 96,999 (6.4) Occupancy & Equipment Expense 20,004 19,691 9.4 Other Non-Interest Expense 42,310 39,254 16.0 -------- -------- --------

Total Non-Interest Expense 153,597 155,944 1.2 -------- -------- --------

Income Before Taxes 118,528 121,382 1.8 Income Tax Expense 42,486 43,625 1.3 -------- -------- --------

Net Income 76,042 77,757 2.1 ======== ======== ========

Return on Assets 1.41 % 1.49 % (16)bp Return on Equity 17.26 18.18 (199)

bp - change is measured as difference in basis points. nm - not meaningful

Synovus

----------- ----------- ----------- BALANCE SHEET March 31, December 31, March 30, 2005 2004 2004 ----------- ----------- -----------

(In thousands, except share data)

ASSETS Cash and due from banks $ 722,306 683,035 622,896 Interest earning deposits with banks 4,274 4,153 4,124 Federal funds sold and securities purchased under resale agreements 136,227 135,471 154,859 Mortgage loans held for sale 127,664 120,186 152,672 Investment securities available for sale 2,725,561 2,695,593 2,621,576

Loans, net of unearned income 20,056,295 19,480,396 17,012,828 Allowance for loan losses (273,724) (265,745) (236,056) ----------- ----------- ----------- Loans, net 19,782,571 19,214,651 16,776,772 ----------- ----------- -----------

Premises and equipment, net 651,830 638,407 598,628 Contract acquisition costs and computer software, net 459,023 401,074 376,002 Goodwill, net 459,505 416,283 248,870 Other intangible assets, net 51,486 41,628 32,474 Other assets 731,938 699,697 697,474 ----------- ----------- -----------

Total assets $25,852,385 25,050,178 22,286,347 =========== =========== ===========

LIABILITIES AND SHAREHOLDERS' EQUITY Liabilities: Deposits: Non-interest bearing $ 3,380,497 3,337,908 2,957,681 Interest bearing 15,733,775 15,239,560 13,256,627 ----------- ----------- -----------

Total deposits 19,114,272 18,577,468 16,214,308 Federal funds purchased and securities sold under repurchase agreements 1,425,819 1,208,080 1,503,133 Long-term debt 1,915,140 1,879,583 1,641,856 Billings in excess of costs on uncompleted contracts - - 10,824 Other liabilities 523,264 576,474 409,959 ----------- ----------- -----------

Total liabilities 22,978,495 22,241,605 19,780,080 ----------- ----------- -----------

Minority interest in consolidated subsidiaries 175,019 167,284 147,843

Shareholders' equity: Common stock, par value $1.00 a share (1) 316,682 315,636 310,094 Surplus 648,715 628,396 494,670 Treasury stock (2) (113,944) (113,944) (113,940) Unearned compensation (3,369) (106) (226) Accumulated other comprehensive income (11,586) 8,903 37,418 Retained earnings 1,862,373 1,802,404 1,630,408 ----------- ----------- -----------

Total shareholders' equity 2,698,871 2,641,289 2,358,424 ----------- ----------- -----------

Total liabilities and shareholders' equity $25,852,385 25,050,178 22,286,347 =========== =========== ===========

(1) Common shares outstanding: 311,020,558; 309,974,509; and 304,436,069 at March 31, 2005, December 31, 2004, and March 31, 2004, respectively. (2) Treasury shares: 5,661,538 at March 31, 2005, 5,661,538 at December 31, 2004, and 5,658,005 at March 31, 2004.

Synovus

AVERAGE BALANCES AND YIELDS/RATES (Dollars in thousands)

2005 2004 ----------------------------------- First Fourth Third Quarter Quarter Quarter -----------------------------------

Interest Earning Assets

----------------------------------- Taxable Investment Securities $ 2,553,423 2,408,960 2,382,319 Yield 3.74 % 3.69 3.72

Tax-Exempt Investment Securities $ 223,812 229,190 233,271 Yield 6.93 % 6.99 6.92

Commercial Loans $16,604,087 16,029,042 15,385,995 Yield 6.15 % 5.85 5.79

Consumer Loans $ 846,743 948,273 958,540 Yield 7.42 % 7.32 8.03

Mortgage Loans $ 1,026,532 954,078 936,240 Yield 6.09 % 6.04 5.89

Credit Card Loans $ 261,202 260,523 248,755 Yield 9.82 % 8.84 8.93

Home Equity Loans $ 1,037,214 973,604 890,867 Yield 5.56 % 5.08 4.61

Allowance for Loan Losses $ (270,853) (262,711) (252,370) ----------------------------------

Loans, Net $19,504,925 18,902,809 18,168,027 Yield 6.31 % 6.01 5.97

Mortgage Loans Held for Sale $ 87,538 103,594 112,502 Yield 6.15 % 5.75 6.15

Federal Funds Sold $ 115,990 102,852 162,580 Yield 2.44 % 2.06 1.23

Time Deposits with Banks $ 3,863 4,144 4,136 Yield 1.84 % 1.32 0.80

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Total Interest Earning Assets $22,489,551 21,751,549 21,062,836 Yield 5.99 % 5.75 5.69

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Interest Bearing Liabilities

----------------------------------- Time Deposits Over $100,000 (less brokered time deposits) $ 2,392,957 2,329,295 2,284,772 Rate 2.77 % 2.54 2.33

Brokered Time Deposits $ 2,487,264 2,066,938 1,851,198 Rate 2.94 % 2.60 2.38

Time Deposits Under $100,000 $ 2,197,788 2,194,194 2,209,883 Rate 2.47 % 2.29 2.18

Interest Bearing Demand Deposits $ 2,980,346 2,848,978 2,716,488 Rate 0.96 % 0.72 0.60

Money Market Accounts $ 4,754,130 4,765,591 4,778,276 Rate 1.90 % 1.51 1.23

Savings Deposits $ 556,629 547,026 555,969 Rate 0.27 % 0.21 0.17

Federal Funds Purchased and Other Short-Term Borrowings $ 1,541,396 1,488,555 1,422,598 Rate 2.34 % 1.83 1.40

Long-Term Debt $ 1,877,158 1,821,889 1,747,788 Rate 3.84 % 3.63 3.51

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Total Interest Bearing Liabilities $18,787,668 18,062,466 17,566,972 Rate 2.25 % 1.94 1.72

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Non-Interest Bearing Demand Deposits $ 3,267,679 3,516,878 3,137,357 Shareholders' Equity $ 2,701,585 2,635,188 2,550,346 Total Assets $25,392,540 24,921,847 23,778,250

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Spread 3.75 % 3.81 3.97 Net Interest Margin, before fees 3.98 % 3.98 3.90 Net Interest Margin, after fees 4.11 % 4.13 4.25

2004 -------------------------- Second First Quarter Quarter --------------------------

Interest Earning Assets

-------------------------------------------- Taxable Investment Securities 2,355,328 2,319,280 Yield 3.71 3.86

Tax-Exempt Investment Securities 230,885 229,905 Yield 7.14 7.14

Commercial Loans 14,567,795 13,991,230 Yield 5.66 5.67

Consumer Loans 967,450 1,003,595 Yield 8.00 8.03

Mortgage Loans 856,688 823,625 Yield 5.92 6.01

Credit Card Loans 245,534 241,415 Yield 8.53 9.28

Home Equity Loans 790,238 719,915 Yield 4.45 4.50

Allowance for Loan Losses (241,082) (231,822) --------------------------

Loans, Net 17,186,623 16,547,958 Yield 5.87 5.91

Mortgage Loans Held for Sale 148,471 105,557 Yield 5.27 5.33

Federal Funds Sold 158,373 171,284 Yield 1.04 1.10

Time Deposits with Banks 4,137 4,372 Yield 0.45 0.46

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Total Interest Earning Assets 20,083,817 19,378,354 Yield 5.58 5.63

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Interest Bearing Liabilities

-------------------------------------------- Time Deposits Over $100,000 (less brokered time deposits) 2,185,597 2,231,585 Rate 2.31 2.36

Brokered Time Deposits 1,603,826 1,396,770 Rate 2.08 2.18

Time Deposits Under $100,000 2,225,224 2,266,593 Rate 2.21 2.28

Interest Bearing Demand Deposits 2,773,020 2,709,479 Rate 0.54 0.56

Money Market Accounts 4,300,823 4,073,084 Rate 1.04 1.03

Savings Deposits 551,037 540,853 Rate 0.17 0.18

Federal Funds Purchased and Other Short-Term Borrowings 1,513,306 1,495,333 Rate 1.00 0.98

Long-Term Debt 1,667,441 1,635,648 Rate 3.53 3.71

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Total Interest Bearing Liabilities 16,820,274 16,349,345 Rate 1.59 1.64

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Non-Interest Bearing Demand Deposits 3,006,493 2,769,367 Shareholders' Equity 2,402,271 2,327,319 Total Assets 22,705,467 21,913,168

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Spread 3.99 3.99 Net Interest Margin, before fees 3.89 3.91 Net Interest Margin, after fees 4.24 4.24

Synovus

LOANS OUTSTANDING AND NONPERFORMING LOANS COMPOSITION (Dollars in thousands)

March 31, 2005 ------------------------------------------------- Nonperforming Loans as Loans as a % a % of Total of Total Non- Loans Nonperforming performing Loan Type Total Loans Outstanding Loans Loans ----------------------------------------------------------------------

Commercial Real Estate Multi-Family $534,523 2.7% $353 0.5% Hotels 838,300 4.2 1,262 1.6 Office Buildings 788,163 3.9 5 0.0 Shopping Centers 642,263 3.2 330 0.4 Commercial Development 719,782 3.6 39 0.1 Other Investment Property 300,153 1.5 87 0.1

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

Total Investment Properties 3,823,184 19.1 2,076 2.7

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

1-4 Family Construction 1,312,608 6.5 548 0.7 1-4 Family Perm / Mini-Perm 1,067,093 5.3 3,614 4.7 Residential Development 1,160,685 5.8 531 0.7

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

Total 1-4 Family Properties 3,540,386 17.7 4,693 6.1

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

Land Acquisition 935,517 4.7 40 0.0

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

Total Investment- Related Real Estate 8,299,087 41.4 6,809 8.8

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

Owner-Occupied 2,313,729 11.5 11,025 14.3 Other Property 1,164,962 5.8 9,715 12.6

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

Total Commercial Real Estate 11,777,778 58.7 27,549 35.7

Commercial & Industrial 5,128,840 25.6 39,736 51.3

Consumer 3,192,734 15.9 10,023 13.0

Unearned Income (43,057) (0.2) - -

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

Total $20,056,295 100.0% $77,308 100.0% =========== ========= ========== ==========

Synovus

CREDIT QUALITY DATA (Dollars in thousands) 2005 2004 --------------------------- First Fourth Third Quarter Quarter Quarter ---------------------------

Nonperforming Loans $ 77,308 80,456 79,776 Other Real Estate 26,658 21,492 25,424 Nonperforming Assets 103,966 101,948 105,200 Allowance for Loan Losses 273,724 265,745 257,647

Net Charge-Offs - Quarter 11,305 12,757 12,130 Net Charge-Offs - YTD 11,305 41,249 28,492 Net Charge-Offs / Average Loans - Quarter 0.23 0.27 0.26 Net Charge-Offs / Average Loans - YTD 0.23 0.23 0.22

Nonperforming Loans / Loans & ORE 0.39 0.41 0.42 Nonperforming Assets / Loans & ORE 0.52 0.52 0.56 Allowance / Loans 1.36 1.36 1.37

Allowance / Nonperforming Loans 354.07 330.30 322.96 Allowance / Nonperforming Assets 263.28 260.67 244.91

Past Due Loans over 90 days 14,376 18,138 23,178 As a Percentage of Loans Outstanding 0.07 0.09 0.12

Total Past Dues 122,229 84,458 118,390 As a Percentage of Loans Outstanding 0.61 0.43 0.63

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1st 2004 Quarter --------------------------- Second First '05 vs. '04 Quarter Quarter Change ---------------------------

Nonperforming Loans $ 67,489 70,007 10.4 % Other Real Estate 26,972 26,061 2.3 Nonperforming Assets 94,461 96,068 8.2 Allowance for Loan Losses 248,585 236,056 16.0

Net Charge-Offs - Quarter 9,589 6,773 66.9 Net Charge-Offs - YTD 16,362 6,773 66.9 Net Charge-Offs / Average Loans - Quarter 0.22 0.16 Net Charge-Offs / Average Loans - YTD 0.19 0.16

Nonperforming Loans / Loans & ORE 0.37 0.41 Nonperforming Assets / Loans & ORE 0.52 0.56 Allowance / Loans 1.38 1.39

Allowance / Nonperforming Loans 368.34 337.19 Allowance / Nonperforming Assets 263.16 245.72

Past Due Loans over 90 days 27,453 23,295 As a Percentage of Loans Outstanding 0.15 0.14

Total Past Dues 109,385 129,844 As a Percentage of Loans Outstanding 0.61 0.76

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REGULATORY CAPITAL RATIOS (1) (Dollars in thousands) ---------- ---------- ---------- March 31, December 31, March 31, 2005 2004 2004 ---------- ---------- ----------

Tier 1 Capital $2,399,558 2,369,332 2,149,170 Total Risk-Based Capital 2,973,282 2,935,077 2,685,226 Tier 1 Capital Ratio 9.87 10.04 10.34 Total Risk-Based Capital Ratio 12.23 12.44 12.91 Leverage Ratio 9.64 9.78 9.98

(1) March 31, 2005 information is preliminary.

--30--AN/at*

CONTACT: Synovus, Columbus Investor Relations Patrick A. Reynolds, 706-649-4973

KEYWORD: GEORGIA INDUSTRY KEYWORD: BANKING EARNINGS CONFERENCE CALLS SOURCE: Synovus

Copyright Business Wire 2005