F.N.B. Corporation

Investor Presentation

Third Quarter 2023

September 2023

Cautionary Statement Regarding Forward-Looking Information

This document may contain statements regarding F.N.B. Corporation’s outlook for earnings, revenues, expenses, tax rates, capital and liquidity levels and ratios, asset quality levels, financial position and other matters regarding or affecting our current or future business and operations. These statements can be considered “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These

forward-looking statements involve various assumptions, risks and uncertainties which can change over time. Actual results or future events may be different from those anticipated in our forward-looking statements and may not align with historical performance and events. As forward-looking statements involve significant risks and uncertainties, caution should be exercised against placing undue reliance upon such statements. Forward-looking statements are typically identified by words such as “believe,” “plan,” “expect,” “anticipate,” “intend,” “outlook,” “estimate,” “forecast,” “will,” “should,” “project,” “goal,” and other similar words and expressions. We do not assume any duty to update forward-looking statements, except as required by federal securities laws.

FNB’s forward-looking statements are subject to the following principal risks and uncertainties:

  • Our business, financial results and balance sheet values are affected by business, economic and political circumstances, including, but not limited to: (i) developments with respect to the U.S. and global financial markets; (ii) supervision, regulation, enforcement and other actions by several governmental agencies, including the Federal Reserve Board, Federal Deposit Insurance Corporation, Financial Stability Oversight Council, U.S. Department of Justice (DOJ), Consumer Financial Protection Bureau, U.S. Treasury Department, Office of the Comptroller of the Currency and Department of Housing and Urban Development, state attorney generals and other governmental agencies, whose actions may affect, among other things, our consumer and mortgage lending and deposit practices, capital structure, investment practices, dividend policy, annual FDIC insurance premium assessment and growth, money supply, market interest rates or otherwise affect business activities of the financial services industry; (iii) a slowing of the U.S. economy in general and regional and local economies within our market area; (iv) inflation concerns; (v) the impacts of tariffs or other trade policies of the U.S. or its global trading partners; and (vi) the sociopolitical environment in the U.S.
  • Business and operating results are affected by our ability to identify and effectively manage risks inherent in our businesses, including, where appropriate, through effective use of systems and controls, third-party insurance, derivatives, and capital management techniques, and to meet evolving regulatory capital and liquidity standards.
  • Competition can have an impact on customer acquisition, growth and retention, and on credit spreads, deposit gathering and product pricing, which can affect market share, loans, deposits and revenues. Our ability to anticipate, react quickly and continue to respond to technological changes and significant adverse industry and economic events can also impact our ability to respond to customer needs and meet competitive demands.
  • Business and operating results can also be affected by difficult to predict uncertainties, such as widespread natural and other disasters, pandemics, including post-pandemic return to normalcy, global events and geopolitical instability, including the Ukraine-Russia conflict, shortages of labor, supply chain disruptions and shipping delays, terrorist activities, system failures, security breaches, significant political events, cyber-attacks, international hostilities or other extraordinary events which are beyond FNB’s control and may significantly impact the U.S. or global economy and financial markets generally, or us or our counterparties, customers or third-party vendors specifically.
  • Legal, regulatory and accounting developments could have an impact on our ability to operate and grow our businesses, financial condition, results of operations, competitive position, and reputation. Reputational impacts could affect matters such as business generation and retention, liquidity, funding, and the ability to attract and retain talent. These developments could include:
    o Policies and priorities of the current U.S. presidential administration, including legislative and regulatory reforms, more aggressive approaches to supervisory or enforcement priorities with consumer and anti- discrimination lending laws by the federal banking regulatory agencies and the DOJ, changes affecting oversight of the financial services industry, regulatory obligations or restrictions, consumer protection, taxes, employee benefits, compensation practices, pension, bankruptcy and other industry aspects, and changes in accounting policies and principles.
    o Ability to continue to attract, develop and retain key talent.
    o Changes to regulations or accounting standards governing bank capital requirements, loan loss reserves and liquidity standards. o Changes in monetary and fiscal policies, including interest rate policies and strategies of the FOMC.
    o Unfavorable resolution of legal proceedings or other claims and regulatory and other governmental investigations or inquiries. These matters may result in monetary judgments or settlements, enforcement actions or other remedies, including fines, penalties, restitution or alterations in our business practices, including financial and other type of commitments, and in additional expenses and collateral costs, and may cause reputational harm to FNB.
    o Results of the regulatory examination and supervision process, including our failure to satisfy requirements imposed by the federal bank regulatory agencies or other governmental agencies.
    o Business and operating results are affected by our ability to effectively identify and manage risks inherent in our businesses, including, where appropriate, through effective use of policies, processes, systems and controls, third-party insurance, derivatives, and capital and liquidity management techniques.
    o The impact on our financial condition, results of operations, financial disclosures and future business strategies related to the impact on the allowance for credit losses due to changes in forecasted macroeconomic conditions as a result of applying the “current expected credit loss” accounting standard, or CECL.
    o A failure or disruption in or breach of our operational or security systems or infrastructure, or those of third parties, including as a result of cyber-attacks or campaigns. o Increased funding costs and market volatility due to market illiquidity and competition for funding.

FNB cautions that the risks identified here are not exhaustive of the types of risks that may adversely impact FNB and actual results may differ materially from those expressed or implied as a result of these risks and uncertainties, including, but not limited to, the risk factors and other uncertainties described under Item 1A Risk Factors and the Risk Management sections of our 2022 Annual Report on Form 10-K, our subsequent 2023 Quarterly Reports on Form 10-Q (including the risk factors and risk management discussions) and our other 2023 filings with the SEC, which are available on our corporate website at https://www.fnb-online.com/about-us/investor-information/reports-and-filings or the SEC’s website at www.sec.gov. We have included our web address as an inactive textual reference only. Information on our website is not part of our SEC filings.

2

Use of Non-GAAP Financial Measures and Key Performance Indicators

To supplement our Consolidated Financial Statements presented in accordance with GAAP, we use certain non-GAAP financial measures, such as operating net income available to common stockholders, operating earnings per diluted common share, return on average tangible equity, return on average tangible common equity, operating return on average tangible common equity, return on average tangible assets, operating net income, operating return on average tangible assets, tangible book value per common share, the ratio of tangible equity to tangible assets, the ratio of tangible common equity to tangible assets, pre-provision net revenue (reported), operating pre-provision net revenue, efficiency ratio, past due and non-accrual excluding PPP loans to loans and leases excluding PPP loans and net interest margin (FTE) to provide information useful to investors in understanding our operating performance and trends, and to facilitate comparisons with the performance of our peers. Management uses these measures internally to assess and better understand our underlying business performance and trends related to core business activities. The non-GAAP financial measures and key performance indicators we use may differ from the non-GAAP financial measures and key performance indicators other financial institutions use to assess their performance and trends.

These non-GAAP financial measures should be viewed as supplemental in nature, and not as a substitute for, or superior to, our reported results prepared in accordance with GAAP. When non-GAAP financial measures are disclosed, the Securities and Exchange Commission’s (SEC) Regulation G requires: (i) the presentation of the most directly comparable financial measure calculated and presented in accordance with GAAP and (ii) a reconciliation of the differences between the non-GAAP financial measure presented and the most directly comparable financial measure calculated and presented in accordance with GAAP. Reconciliations of non-GAAP operating measures to the most directly comparable GAAP financial measures are included later in this release under the heading “Reconciliations of Non-GAAP Financial Measures and Key Performance Indicators to GAAP.”

Management believes items such as merger expenses, initial provision for non-PCD loans acquired and branch consolidation costs are not organic to run our operations and facilities. These items are considered significant items impacting earnings as they are deemed to be outside of ordinary banking activities. The merger expenses and branch consolidation costs principally represent expenses to satisfy contractual obligations of the acquired entity or closed branch without any useful ongoing benefit to us. These costs are specific to each individual transaction and may vary significantly based on the size and complexity of the transaction.

To facilitate peer comparisons of net interest margin and efficiency ratio, we use net interest income on a taxable-equivalent basis in calculating net interest margin by increasing the interest income earned on tax-exempt assets (loans and investments) to make it fully equivalent to interest income earned on taxable investments (this adjustment is not permitted under GAAP). Taxable-equivalent amounts for the 2023 and 2022 periods were calculated using a federal statutory income tax rate of 21%.

Company Snapshot

  • Ticker: FNB (NYSE)
  • Founded in 1864
  • Headquartered in Pittsburgh, PA
  • Diverse market presence across 7 states and Washington, D.C.(4)
  • Market Capitalization of $4.2 billion(2)
  • Experienced management team
  • Proven ability to deliver strong risk- adjusted returns

Financial Highlights as of 6/30/23

Assets: 12.4% CAGR since 2009

$44.8 billion

$31.4 billion

Loans: 12.7% CAGR since 2009

Deposits: 12.7% CAGR since 2009

$33.8 billion

Dividend Yield(2):

4.1%

Non-interest-bearing

32.3%

to Total Deposit Mix:

CET1 Capital Ratio:

10.1%

Net Interest Margin(1)(3):

3.37%

Efficiency Ratio(1)(3)(5):

50.0%

Tangible book value/share(3)

$8.79

FNB Business Model

Commercial

Consumer

Wealth

eStore

Banking

Banking

Management

• Investment Real Estate

• Deposit Products

• Trust and Fiduciary

• Shop for Financial

• Builder Financing

• Mobile and Online

• Retirement Services

Products & Services

• Asset-Based Lending

Banking

• Investment Advisory

• Best Next-Product

• Lease Financing

• Mortgage Banking

• Brokerage

Suggestion

• Capital Markets

• Consumer and Small

• Private Banking

• Access Financial

• Mezzanine Financing

Business Lending

• Insurance

Education

• Treasury Management

• Property and

• Schedule Time with Our

• International Banking

Casualty

Bankers Virtually

• SBA Lending

• Employee Benefits

• Government Banking

• Personal

• Title

(1) Represents 2Q23 values. (2) As of market close on August 31, 2023. (3) Anon-GAAPmeasure. (4) Richmond locations represent announced de novo

4

expansion (5) FTE basis

Strong core franchise in attractive markets well- positioned for growth

Demonstrated attractive

financial performance

Robust risk

management culture and credit discipline resulting in strong and stable asset quality

Solid liquidity position with multiple sources of funding

  • Diversified revenue streams through retail and commercial banking, capital markets, wealth management and insurance.
  • Proven, sustainable business model driving long-term growth and performance.
    1. Disciplined sales culture focused on relationship-based loan and deposit growth with an emphasis on credit quality.
  • Strong Pennsylvania, Mid-Atlantic and Carolina markets franchise with attractive growth opportunities throughout.
    1. Significant market share in major MSAs; #4 in Pittsburgh, #6 in Baltimore, #10 in Raleigh, #10 in Charlotte, #13 in Cleveland and #3 in Winston-Salem.
  • Attractive financial operating metrics – 18.3% ROATCE(1), 1.4% operating ROATA(1) and 50.0% efficiency ratio(1) for the quarter ended 6/30/23.
  • Lower risk model supports efficient capital structure; maintaining efficient structure heightens capital allocation discipline within the organization and is a key consideration in executing our business strategies.
  • Strong capital levels on a risk-adjusted and leverage basis.
  • Strong revenue growth driven by consistent fee income and expanded net interest margin year over year.
    1. NIM (FTE)(1) decreased 19 bps quarter over quarter with a strong balance sheet.
    1. Solid income growth in fee-based business with CAGR of 7.6% over the last five years.
  • Lower risk profile with significant investments in enterprise-wide risk management (closely aligned with overall growth).
  • Low levels of NPLs and NCOs, combined with high loan loss reserves both on an absolute basis and relative to peers.
  • Proven history of managing credit through cycles – peak NCOs over loans of 1.15%, was well below peers in the Financial Crisis (2008-2012).
  • Stable and granular deposit base with 77% insured and collateralized with average account size of ~29k. NIB deposits represent 32% of deposit funding and provides lower cost sources of funding.
  • Strong liquidity position with over $15 billion of unused bank funding capacity.

(1) A non-GAAP measure.

5

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Disclaimer

FNB Corporation published this content on 06 September 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 05 September 2023 00:05:04 UTC.