FIRST HORIZON CORP - FORM 8-K - EX-99.1

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Exhibit 99.1

LOGO

FIRST QUARTER 2015

FINANCIAL SUPPLEMENT

If you need further information, please contact:

Aarti Bowman, Investor Relations

901-523-4017

aagoorha@firsthorizon.com


FHN TABLE OF CONTENTS

	Page

First Horizon National Corporation Segment Structure		3

Performance Highlights		4

Consolidated Results
Income Statement
Income Statement		6
Other Income and Other Expense		7
Balance Sheet
Period End Balance Sheet		8
Average Balance Sheet		9
Net Interest Income		10
Average Balance Sheet: Yields and Rates		11

Capital Highlights		12

Business Segment Detail
Segment Highlights		13
Regional Banking		14
Capital Markets and Corporate		15
Non-Strategic		16

Asset Quality
Asset Quality: Consolidated		17
Asset Quality: Regional Banking and Corporate		19
Asset Quality: Non-Strategic		20
Portfolio Metrics		21

Non-GAAP to GAAP Reconciliation		22

Glossary of Terms		23

Other Information

This financial supplement contains forward-looking statements involving significant risks and uncertainties. A number of important factors could cause actual results to differ materially from those in the forward-looking information. Those factors include general economic and financial market conditions, including expectations of and actual timing and amount of interest rate movements including the slope of the yield curve, competition, customer and investor responses to these conditions, ability to execute business plans, geopolitical developments, recent and future legislative and regulatory developments, natural disasters, and items mentioned in this financial supplement and in First Horizon National Corporation’s (“FHN”) most recent press release, as well as critical accounting estimates and other factors described in FHN’s recent filings with the SEC. FHN disclaims any obligation to update any such factors or to publicly announce the result of any revisions to any of the forward-looking statements included herein or therein to reflect future events or developments.

Use of Non-GAAP Measures

Certain ratios are included in this financial supplement that are non-GAAP, meaning they are not presented in accordance with generally accepted accounting principles (“GAAP”) in the U.S. FHN’s management believes such ratios are relevant to understanding the capital position and results of the Company. The non-GAAP ratios presented in this financial supplement are tangible common equity (“TCE”) to tangible assets (“TA”), tangible book value per common share, tier 1 common to risk weighted assets (“RWA”) (for periods prior to first quarter 2015), pre-tax pre-provision net revenue (“PPNR”), net income available to common shareholders excluding litigation charges, and diluted earnings per share (“EPS”) excluding litigation charges. These ratios are reported to FHN’s management and Board of Directors through various internal reports. Additionally, disclosure of non-GAAP capital ratios provides a meaningful base for comparability to other financial institutions as demonstrated by their use by the various banking regulators in reviewing the capital adequacy of financial institutions. Non-GAAP measures are not formally defined by GAAP or codified in currently effective federal banking regulations, and other entities may use calculation methods that differ from those used by FHN. Tier 1 capital is a regulatory term and is generally defined as the sum of core capital (including common equity and instruments that can not be redeemed at the option of the holder) adjusted for certain items under risk based capital regulations. Also a regulatory term, risk weighted assets includes total assets adjusted for credit risk and is used to determine regulatory capital ratios. Refer to the tabular reconciliation of non-GAAP to GAAP measures and presentation of the most comparable GAAP items on page 22 of this financial supplement.


FIRST HORIZON NATIONAL CORPORATION SEGMENT STRUCTURE

LOGO

FHN PERFORMANCE HIGHLIGHTS

First Quarter 2015 vs. Fourth Quarter 2014

Consolidated

•

Net loss available to common shareholders was $76.7 million, or $.33 loss per diluted share in first quarter, compared to net income of $47.1 million, or $.20 per diluted share in fourth quarter

•

Reached an agreement in principle (“AIP”) with two federal agencies, the Department of Justice (“DOJ”) and the Department of Housing and Urban Development Office of Inspector General (“HUD”), to settle potential claims related to FHN’s underwriting and origination of FHA-insured mortgage loans which resulted in a $162.5 million pre-tax charge to litigation and regulatory matters

•

Excluding the litigation charge net income available to common shareholders would have been $41.8 million, or $.18 per diluted share in first quarter

•

Adopted ASU 2014-01, “Investments – Equity Method and Joint Ventures: Accounting for Investments in Qualified Affordable Housing Projects”. ASU 2014-01 allows for both pre-tax effects and related tax benefits for certain qualified investments in housing projects to be classified within tax expense provided certain technical requirements are met. Historically, such amounts were presented separately within other expense and tax expense. ASU 2014-01 required retrospective application. Accordingly all historical periods presented in this financial supplement have been revised to reflect this adoption

•

Net interest income (“NII”) was $156.9 million in first quarter compared to $159.1 million in fourth quarter; Net interest margin (“NIM”) decreased to 2.74 percent in first quarter from 2.86 percent in prior quarter

•

The decline in NIM was primarily driven by an increase in average excess cash held at the Fed during the quarter

•

Noninterest income (including securities gains) was $129.7 million in first quarter compared to $119.6 million in prior quarter

•

The increase in noninterest income was largely driven by an increase in capital markets fixed income sales revenue

•

Noninterest expense was $376.2 million in first quarter compared to $207.3 million in fourth quarter primarily due to an increase in litigation and regulatory loss accruals

•

Period-end loans grew 3 percent to $16.7 billion in first quarter; average loans were $16.1 billion and $15.9 billion in first and fourth quarters, respectively

•

Period-end core deposits increased to $18.2 billion in first quarter from $17.6 billion in prior quarter; Average core deposits increased 7 percent linked quarter to $17.8 billion in first quarter

Regional Banking

•

Pre-tax income was $73.9 million in first quarter compared to $78.8 million in fourth quarter; pre-tax, pre-provision net revenue was $78.8 million and $84.3 million in first and fourth quarters, respectively

•

Average loans increased 3 percent, or $383.6 million to $13.5 billion in first quarter primarily driven by higher balances of commercial loans including loans to mortgage companies and asset based lending; period-end loans increased 5 percent to $14.2 billion

•

Average core deposits increased 6 percent to $16.3 billion in first quarter from $15.3 billion in fourth quarter; period-end core deposits increased 6 percent linked quarter to $16.8 billion

•

Increase in average core deposits was largely driven by timing of commercial customer deposits, a new product offering, and a seasonal increase in public funds

•

Increase in period-end core deposits was largely driven by a new product offering which resulted in a shift in funding mix

•

NII was $154.4 million in first quarter compared to $157.6 million in fourth quarter; NIM decreased to 4.68 percent in first quarter from 4.78 percent in fourth quarter

•

The decrease in NII was primarily attributable to fewer days in first quarter compared to fourth quarter and lower loan fees relative to the prior quarter, which were somewhat offset by higher commercial loan balances

•

The decline in NIM was largely driven by the continuing impact of low rates and a decrease in commercial loan fees relative to fourth quarter

•

Provision for loan losses was $4.9 million in first quarter compared to $5.6 million in prior quarter

•

Noninterest income was $60.2 million in first quarter compared to $64.3 million in fourth quarter

•

Deposit fee income decreased primarily due to seasonality in non-sufficient funds (“NSF”) fee structure

•

Noninterest expense decreased to $135.8 million in first quarter from $137.5 million in prior quarter

Capital Markets

•

Pre-tax income increased to $11.2 million in first quarter from $6.0 million in fourth quarter

•

Fixed income revenue increased 37 percent to $53.5 million in first quarter from $39.0 million in fourth quarter

•

Fixed income average daily revenue (“ADR”) was $877 thousand in first quarter, up from $630 thousand in fourth quarter

•

Noninterest expense was $54.7 million in first quarter compared to $46.2 million in the prior quarter

•

The increase was primarily due to an increase in variable compensation costs and the seasonal first quarter FICA reset

Corporate

•

Pre-tax loss was $24.9 million in first quarter compared to a loss of $27.7 million in prior quarter

•

NII was negative $16.1 million in first quarter compared to negative $18.0 million in fourth quarter

•

Estimated effective duration of the securities portfolio was 2.5 years in first quarter compared to 3.0 years in fourth quarter

•

Estimated modified duration of the securities portfolio was 3.6 years in first quarter compared to 3.7 years in prior quarter

•

Noninterest income increased to $5.4 million in first quarter from $4.4 million in fourth quarter

•

Increase primarily relates to higher deferred compensation income driven by market conditions; changes in deferred compensation income are mirrored by changes in deferred compensation expense

•

Noninterest expense was relatively flat at $14.2 million in first quarter

FHN PERFORMANCE HIGHLIGHTS (continued)

First Quarter 2015 vs. Fourth Quarter 2014 (continued)

Non-Strategic

•

Pre-tax loss was $154.9 million in first quarter compared to pre-tax income of $8.3 million in fourth quarter

•

Noninterest expense increased to $171.6 million in first quarter from $9.5 million in fourth quarter

•

The increase was driven by $162.5 million of net loss accruals recognized in first quarter related to the AIP entered into to settle potential claims related to FHN’s underwriting and origination of FHA-insured mortgage loans

•

NII was $14.2 million in first quarter compared to $15.9 million in fourth quarter due to continued run-off of the non-strategic loan portfolios

•

Noninterest income was relatively flat at $2.5 million in first quarter

Asset Quality

•

Allowance for loan losses declined to $228.3 million in first quarter from $232.4 million in fourth quarter; the allowance to loans ratio was 136 basis points in first quarter compared to 143 basis points in fourth quarter

•

The decline in the allowance was primarily driven by a $4.2 million reduction of non-strategic consumer real estate reserves

•

Net charge-offs (“NCOs”) were $9.1 million in first quarter compared to $12.2 million in fourth quarter; annualized net charge-offs decreased to 23 basis points of average loans in first quarter from 30 basis points in prior quarter

•

Total commercial net charge-offs decreased to $1.7 million in the first quarter from $2.9 million in fourth quarter; total consumer net charge-offs decreased $1.8 million from the prior quarter

•

Nonperforming loans (“NPLs”) in the portfolio declined to $200.2 million in the first quarter from $203.4 million in fourth quarter

•

Nonperforming assets (“NPAs”), including loans held-for-sale, decreased to $236.8 million in first quarter from $241.5 million in the prior quarter

•

Decrease due to declines in both nonperforming loans and foreclosed assets

•

Total 30+ delinquencies increased to $78.0 million in first quarter compared to $75.8 million in prior quarter

•

Commercial delinquencies increased by $5.4 million, driven by a $2.7 million increase in regional bank C&I and a $2.5 million increase in regional bank commercial real estate which was driven by one relationship. The past due commercial real estate relationship is now current.

•

Consumer delinquencies declined by $3.2 million and was primarily driven by improvement in consumer real estate which more than offset an increase in permanent mortgage delinquencies

•

Troubled debt restructurings (“TDRs”) decreased to $395.8 million in first quarter from $411.3 million in prior quarter

Taxes

•

The effective tax rates for first quarter and fourth quarter were 23.52 percent and 20.97 percent, respectively. The rates reflect the favorable effect on the tax rate from permanent benefits. The rates are not comparable because of the different levels of pre-tax income

•

Permanent benefits primarily consist of: life insurance, tax-exempt income, and tax credit investments

•

The amortization of qualified tax credit investments is included in the effective tax rate for each period, under ASU 2014-01, which reduces the effective tax rate benefit from the credits

•

A reversal of the capital loss and the state NOL deferred tax valuation allowances lowered the rate in fourth quarter. The rate for fourth quarter was also reduced by discrete tax benefits realized during that period.

Capital and Liquidity

•

Paid $0.06 per common share quarterly dividend on April 1, 2015

•

Paid preferred quarterly dividend of $1.6 million on April 10, 2015

•

Repurchased shares costing $15.8 million in first quarter under the $100 million share repurchase program announced in January 2014

•

Cumulative shares repurchased since the program’s inception are $54.3 million with a volume weighted average price of $12.79 per share (before $.02 per share broker commission)

•

Capital ratios (regulatory capital ratios estimated based on period-end balances under the new Basel III risk-based capital rules as phased in)

•

7.57 percent for tangible common equity to tangible assets

•

10.26 percent for Common Equity Tier 1

•

11.79 percent for Tier 1

•

14.00 percent for Total Capital

•

9.59 percent for Leverage

FHN CONSOLIDATED INCOME STATEMENT

Quarterly, Unaudited


																1Q15 Changes vs.
(Dollars in thousands, except per share data)	1Q15			4Q14			3Q14			2Q14			1Q14			4Q14			1Q14

Interest income		$178,068			$179,448			$178,858			$177,359			$173,584			(1)	%		3	%
Less: interest expense		21,202			20,398			19,317			20,591			21,225			4	%		*
Net interest income		156,866			159,050			159,541			156,768			152,359			(1)	%		3	%
Provision for loan losses		5,000			6,000			6,000			5,000			10,000			(17)	%		(50)	%
Net interest income after provision for loan losses		151,866			153,050			153,541			151,768			142,359			(1)	%		7	%
Noninterest income:
Capital markets		61,619			48,486			47,589			47,680			56,840			27	%		8	%
Deposit transactions and cash management		26,551			29,038			28,546			27,911			26,456			(9)	%		*
Brokerage, management fees and commissions		11,399			11,647			12,333			12,843			12,276			(2)	%		(7)	%
Mortgage banking (a)		1,584			1,808			41,559			8,861			19,029			(12)	%		(92)	%
Trust services and investment management		6,698			6,945			6,779			7,309			6,744			(4)	%		(1)	%
Bankcard income (b)		5,186			5,737			5,521			7,919			4,520			(10)	%		15	%
Bank-owned life insurance (c)		3,462			3,503			3,547			3,312			6,032			(1)	%		(43)	%
Other service charges		2,848			2,830			3,064			3,143			2,845			1	%		*
Insurance commissions		596			616			593			611			437			(3)	%		36	%
Securities gains/(losses), net		276			-			(862)			(1,923)			5,657			NM			(95)	%
Other (d)		9,470			8,988			9,146			9,235			4,894			5	%		94	%
Total noninterest income		129,689			119,598			157,815			126,901			145,730			8	%		(11)	%
Adjusted gross income after provision for loan losses		281,555			272,648			311,356			278,669			288,089			3	%		(2)	%
Noninterest expense:
Employee compensation, incentives, and benefits		131,444			118,529			120,742			119,659			119,229			11	%		10	%
Repurchase and foreclosure provision (e)		-			-			(4,300)			-			-			NM			NM
Legal and professional fees (f)		7,257			12,552			10,463			6,151			15,039			(42)	%		(52)	%
Occupancy (g)		12,218			12,077			12,405			11,944			17,592			1	%		(31)	%
Computer software		10,942			10,574			10,614			11,087			10,656			3	%		3	%
Contract employment and outsourcing		4,584			4,578			5,199			5,318			4,325			*			6	%
Operations services		9,337			8,417			9,044			8,804			8,982			11	%		4	%
Equipment rentals, depreciation, and maintenance		7,220			7,523			7,150			7,442			7,849			(4)	%		(8)	%
FDIC premium expense (h)		3,448			2,881			3,456			1,136			3,991			20	%		(14)	%
Advertising and public relations		4,733			4,077			4,386			4,312			5,908			16	%		(20)	%
Communications and courier		3,876			4,274			3,628			3,948			4,224			(9)	%		(8)	%
Foreclosed real estate		(131)			492			788			439			784			NM			NM
Amortization of intangible assets		1,298			1,225			982			981			982			6	%		32	%
Other (d)		179,995			20,110			59,459			(18,059)			18,483			NM			NM
Total noninterest expense		376,221			207,309			244,016			163,162			218,044			81	%		73	%
Income/(loss) before income taxes		(94,666)			65,339			67,340			115,507			70,045			NM			NM
Provision/(benefit) for income taxes		(22,261)			13,699			16,842			33,578			20,066			NM			NM
Net income/(loss)		(72,405)			51,640			50,498			81,929			49,979			NM			NM
Net income attributable to noncontrolling interest		2,758			2,980			2,875			2,859			2,813			(7)	%		(2)	%
Net income/(loss) attributable to controlling interest		(75,163)			48,660			47,623			79,070			47,166			NM			NM
Preferred stock dividends		1,550			1,550			1,550			1,550			1,550			*			*
Net income/(loss) available to common shareholders		$(76,713)			$47,110			$46,073			$77,520			$45,616			NM			NM
Common Stock Data
EPS		$(0.33)			$0.20			$0.20			$0.33			$0.19			NM			NM
Shares (thousands)(i)		232,816			233,693			235,329			235,797			235,183			*			(1)	%
Diluted EPS		$(0.33)			$0.20			$0.19			$0.33			$0.19			NM			NM
Diluted shares (thousands)		232,816			235,448			236,862			237,250			237,401			(1)	%		(2)	%
Key Ratios & Other
Return on average assets (annualized) (j)		(1.15)	%		0.83	%		0.84	%		1.39	%		0.85	%
Return on average common equity (annualized) (j)		(14.04)	%		8.26	%		8.14	%		14.30	%		8.63	%
Fee income to total revenue (j)		45.21	%		42.92	%		49.86	%		45.11	%		47.90	%
Efficiency ratio (j)		NM			74.40	%		76.68	%		57.13	%		74.56	%
Full time equivalent employees		4,226			4,250			4,193			4,216			4,251

Certain previously reported amounts have been reclassified to agree with current presentation.

NM - Not meaningful

* Amount is less than one percent.

(a)	3Q14 includes a $39.7 million gain on the sales of mortgage loans HFS; 2Q14 includes an $8.2 million positive fair value adjustment to the held-for-sale portfolio; 1Q14 includes the receipt of previously unrecognized servicing fees in conjunction with transfers of servicing in 1Q14.

(b)	2Q14 includes $2.8 million of Visa volume incentives.

(c)	1Q14 includes $2.8 million of policy benefits received.

(d)	Refer to the Other Income and Other Expense table on page 7 for additional information.

(e)	3Q14 expense reversal associated with the settlement of certain repurchase claims.

(f)	2Q14 includes an $8.5 million expense reversal related to agreements with insurance companies for the recovery of Sentinel legal expenses.

(g)	1Q14 includes $4.6 million of lease abandonment expense.

(h)	2Q14 includes the effect of $3.3 million of FDIC premium refunds.

(i)	1Q15, 4Q14 and 3Q14 decreases primarily relate to shares purchased under the share repurchase program.

(j)	See Glossary of Terms for definitions of Key Ratios.

FHN OTHER INCOME AND OTHER EXPENSE

Quarterly, Unaudited


											1Q15 Changes vs.
(Thousands)	1Q15		4Q14		3Q14		2Q14		1Q14		4Q14			1Q14

Other Income
ATM and interchange fees		$2,761		$2,961		$2,739		$2,746		$2,497		(7)	%		11	%
Electronic banking fees		1,428		1,561		1,560		1,535		1,534		(9)	%		(7)	%
Letter of credit fees		1,123		1,111		917		1,173		1,663		1	%		(32)	%
Deferred compensation (a)		1,033		242		(41)		1,184		657		NM			57	%
Gain /(loss) on extinguishment of debt (b)		-		184		-		-		(4,350)		NM			NM
Other		3,125		2,929		3,971		2,597		2,893		7	%		8	%
Total		$9,470		$8,988		$9,146		$9,235		$4,894		5	%		94	%

Other Expense
Litigation and regulatory matters (c)		$162,500		$-		$35,390		$(38,200)		$90		NM			NM
Other insurance and taxes		3,329		2,722		3,909		3,209		3,060		22	%		9	%
Tax credit investments (d)		395		589		311		862		325		(33)	%		22	%
Travel and entertainment		1,614		2,462		2,164		2,645		1,824		(34)	%		(12)	%
Employee training and dues		1,132		1,258		1,194		1,200		866		(10)	%		31	%
Customer relations		1,314		1,397		1,406		1,680		1,243		(6)	%		6	%
Miscellaneous loan costs		361		540		597		839		714		(33)	%		(49)	%
Supplies		927		1,046		779		804		1,116		(11)	%		(17)	%
Other (e)		8,423		10,096		13,709		8,902		9,245		(17)	%		(9)	%
Total		$179,995		$20,110		$59,459		$(18,059)		$18,483		NM			NM

Certain previously reported amounts have been reclassified to agree with current presentation.

NM - Not meaningful

(a)	Amounts driven by market conditions and are mirrored by changes in deferred compensation expense which is included in employee compensation expense.

(b)	1Q14 loss associated with the collapse of two HELOC securitization trusts.

(c)

1Q15 loss accruals relate to an AIP to settle potential claims related to FHN’s underwriting and origination of FHA-insured mortgage loans; 3Q14 includes $50.0 million of loss accruals related to legal matters, partially offset by $15.0 million of expense reversals associated with agreements with insurance companies for the recovery of expenses FHN incurred related to litigation losses in previous periods; 2Q14 includes $38.6 million expense recovery related to the Sentinel litigation matter which was settled in 2011.

(d)	Represents new market and historic tax credits and affordable housing projects which do not qualify for accounting changes allowed under ASU 2014-01. All historical periods have been revised.

(e)	3Q14 and 1Q14 include $3.2 million and $2.3 million, respectively, of negative valuation adjustments associated with derivatives related to prior sales of Visa Class B shares.

FHN CONSOLIDATED PERIOD-END BALANCE SHEET

Quarterly, Unaudited


											1Q15 Changes vs.
(Thousands)	1Q15		4Q14		3Q14		2Q14		1Q14		4Q14			1Q14

Assets:
Investment securities		$3,676,630		$3,560,905		$3,538,957		$3,580,821		$3,575,453		3	%		3	%
Loans held-for-sale (a)		133,958		141,285		151,915		358,945		361,359		(5)	%		(63)	%
Loans, net of unearned income		16,732,123		16,230,166		15,812,017		15,795,709		15,119,461		3	%		11	%
Federal funds sold		43,052		63,080		55,242		51,537		16,555		(32)	%		NM
Securities purchased under agreements to resell		831,541		659,154		561,802		624,477		605,276		26	%		37	%
Interest-bearing cash (b)		438,633		1,621,967		275,485		255,920		685,540		(73)	%		(36)	%
Trading securities		1,532,463		1,194,391		1,338,022		1,150,280		1,194,749		28	%		28	%
Total earning assets		23,388,400		23,470,948		21,733,440		21,817,689		21,558,393		*			8	%
Cash and due from banks		282,800		349,171		292,687		417,108		450,270		(19)	%		(37)	%
Capital markets receivables (c)		190,662		42,488		197,507		174,224		51,082		NM			NM
Goodwill (d)		145,932		145,932		141,943		141,943		141,943		*			3	%
Other intangible assets, net (d)		28,220		29,518		19,044		20,025		21,007		(4)	%		34	%
Premises and equipment, net (d)		301,069		302,996		295,833		300,533		299,183		(1)	%		1	%
Real estate acquired by foreclosure		39,776		39,922		47,996		57,552		66,035		*			(40)	%
Allowance for loan losses		(228,328)		(232,448)		(238,641)		(243,628)		(247,246)		(2)	%		(8)	%
Derivative assets		148,153		134,088		137,742		162,067		166,465		10	%		(11)	%
Other assets		1,419,204		1,385,572		1,358,140		1,377,019		1,438,984		2	%		(1)	%
Total assets		$25,715,888		$25,668,187		$23,985,691		$24,224,532		$23,946,116		*			7	%

Liabilities and Equity:
Deposits:
Savings		$7,428,000		$7,455,354		$6,371,156		$6,317,197		$6,630,142		*			12	%
Other interest-bearing deposits		4,939,240		4,140,991		3,955,152		4,014,071		4,071,699		19	%		21	%
Time deposits		792,914		831,666		767,699		808,822		898,223		(5)	%		(12)	%
Total interest-bearing core deposits		13,160,154		12,428,011		11,094,007		11,140,090		11,600,064		6	%		13	%
Noninterest-bearing deposits		5,060,897		5,195,656		4,603,826		4,513,800		4,534,245		(3)	%		12	%
Total core deposits (e)		18,221,051		17,623,667		15,697,833		15,653,890		16,134,309		3	%		13	%
Certificates of deposit $100,000 and more		417,503		445,272		446,938		503,597		538,434		(6)	%		(22)	%
Total deposits		18,638,554		18,068,939		16,144,771		16,157,487		16,672,743		3	%		12	%
Federal funds purchased		703,352		1,037,052		928,159		947,946		1,135,665		(32)	%		(38)	%
Securities sold under agreements to repurchase		309,297		562,214		479,384		475,530		411,795		(45)	%		(25)	%
Trading liabilities		813,141		594,314		532,234		706,119		667,257		37	%		22	%
Other short-term borrowings (f)		158,745		157,218		790,080		1,073,250		204,023		1	%		(22)	%
Term borrowings (g)		1,573,215		1,880,105		1,491,138		1,501,209		1,507,048		(16)	%		4	%
Capital markets payables (c)		91,176		18,157		329,960		95,299		39,510		NM			NM
Derivative liabilities		133,273		119,239		123,442		138,336		137,863		12	%		(3)	%
Other liabilities		795,878		649,359		551,615		507,894		628,420		23	%		27	%
Total liabilities		23,216,631		23,086,597		21,370,783		21,603,070		21,404,324		1	%		8	%
Equity:
Common stock (h)		145,937		146,387		147,030		148,217		147,866		*			(1)	%
Capital surplus (h)		1,370,711		1,380,809		1,390,081		1,416,012		1,417,170		(1)	%		(3)	%
Undivided profits		760,713		851,585		819,577		788,289		725,820		(11)	%		5	%
Accumulated other comprehensive loss, net		(169,159)		(188,246)		(132,835)		(122,111)		(140,119)		(10)	%		21	%
Preferred stock		95,624		95,624		95,624		95,624		95,624		*			*
Noncontrolling interest (i)		295,431		295,431		295,431		295,431		295,431		*			*
Total equity		2,499,257		2,581,590		2,614,908		2,621,462		2,541,792		(3)	%		(2)	%
Total liabilities and equity		$25,715,888		$25,668,187		$23,985,691		$24,224,532		$23,946,116		*			7	%

Certain previously reported amounts have been reclassified to agree with current presentation.

NM - Not meaningful

* Amount is less than one percent.

(a)	3Q14 decrease related to the sale of mortgage loans HFS.

(b)	Includes excess balances held at Fed. 4Q14 increase driven by inflow of customer deposits and proceeds from the issuance of senior notes.

(c)	Period-end balances fluctuate based on the level of pending unsettled trades.

(d)	4Q14 increase related to the acquisition of bank branches.

(e)	1Q15 average core deposits were $17.8 billion.

(f)	3Q14 and 2Q14 include increased FHLB borrowings as a result of loan growth and deposit fluctuations.

(g)	In 1Q15 $304 million of FTBNA subordinated notes matured. In 4Q14 FTBNA issued $400 million of senior bank notes.

(h)	1Q15, 4Q14 and 3Q14 decreases relate to shares purchased under the share repurchase program.

(i)	Consists of preferred stock of subsidiaries.

FHN CONSOLIDATED AVERAGE BALANCE SHEET

Quarterly, Unaudited


											1Q15 Changes vs.
(Thousands)	1Q15		4Q14		3Q14		2Q14		1Q14		4Q14		1Q14

Assets:
Earning assets:
Loans, net of unearned income:
Commercial, financial, and industrial (C&I)		$8,965,657		$8,584,065		$8,395,553		$7,994,788		$7,639,584		4 %		17 %
Commercial real estate		1,290,246		1,287,816		1,260,715		1,203,631		1,139,749		*		13 %
Consumer real estate		4,988,532		5,087,104		5,173,088		5,230,107		5,305,596		(2)%		(6)%
Permanent mortgage		526,616		552,065		581,876		607,296		637,642		(5)%		(17)%
Credit card and other		351,503		357,321		352,133		345,748		336,454		(2)%		4 %
Total loans, net of unearned income (a)		16,122,554		15,868,371		15,763,365		15,381,570		15,059,025		2 %		7 %
Loans held-for-sale (b)		138,373		144,061		318,743		355,822		367,899		(4)%		(62)%
Investment securities:
U.S. treasuries		100		100		26,764		39,995		41,828		*		NM
U.S. government agencies		3,391,297		3,363,053		3,345,739		3,330,598		3,222,642		1 %		5 %
States and municipalities		14,410		14,493		17,458		19,430		19,425		(1)%		(26)%
Other		181,858		181,806		184,934		189,449		211,891		*		(14)%
Total investment securities		3,587,665		3,559,452		3,574,895		3,579,472		3,495,786		1 %		3 %
Trading securities		1,371,514		1,182,762		1,060,123		1,118,425		1,108,747		16 %		24 %
Other earning assets:
Federal funds sold		23,710		26,543		37,274		29,490		21,615		(11)%		10 %
Securities purchased under agreements to resell		777,989		672,764		644,022		664,194		622,466		16 %		25 %
Interest-bearing cash (c)		1,451,826		1,011,983		288,192		363,674		972,537		43 %		49 %
Total other earning assets		2,253,525		1,711,290		969,488		1,057,358		1,616,618		32 %		39 %
Total earning assets		23,473,631		22,465,936		21,686,614		21,492,647		21,648,075		4 %		8 %
Allowance for loan losses		(232,655)		(238,850)		(240,433)		(246,779)		(249,733)		(3)%		(7)%
Cash and due from banks		342,512		341,338		321,427		308,890		336,543		*		2 %
Capital markets receivables		48,937		63,384		55,937		46,864		54,654		(23)%		(10)%
Premises and equipment, net		301,989		301,512		297,636		299,899		301,065		*		*
Derivative assets		139,086		141,146		154,988		165,684		181,586		(1)%		(23)%
Other assets		1,571,104		1,538,612		1,525,659		1,582,789		1,643,095		2 %		(4)%
Total assets		$25,644,604		$24,613,078		$23,801,828		$23,649,994		$23,915,285		4 %		7 %

Liabilities and equity:
Interest-bearing liabilities:
Interest-bearing deposits:
Savings		$7,377,045		$6,929,750		$6,327,556		$6,427,265		$6,683,749		6 %		10 %
Other interest-bearing deposits		4,483,907		3,895,022		3,697,854		3,779,293		3,830,839		15 %		17 %
Time deposits		812,749		830,412		785,154		859,551		924,025		(2)%		(12)%
Total interest-bearing core deposits		12,673,701		11,655,184		10,810,564		11,066,109		11,438,613		9 %		11 %
Certificates of deposit $100,000 and more		423,480		451,669		464,792		512,527		545,845		(6)%		(22)%
Federal funds purchased		1,079,531		1,137,909		1,028,852		1,080,347		1,161,594		(5)%		(7)%
Securities sold under agreements to repurchase		474,448		471,712		406,219		458,608		454,937		1 %		4 %
Capital markets trading liabilities		728,553		634,375		621,880		671,930		607,114		15 %		20 %
Other short-term borrowings (d)		165,408		302,353		1,093,014		540,389		184,721		(45)%		(10)%
Term borrowings (e)		1,621,983		1,664,924		1,499,959		1,505,860		1,702,107		(3)%		(5)%
Total interest-bearing liabilities		17,167,104		16,318,126		15,925,280		15,835,770		16,094,931		5 %		7 %
Noninterest-bearing deposits		5,098,361		4,974,748		4,602,292		4,547,838		4,536,080		2 %		12 %
Capital markets payables		34,800		40,273		36,762		34,293		33,144		(14)%		5 %
Derivative liabilities		124,305		124,530		130,997		138,282		152,596		*		(19)%
Other liabilities		612,513		502,641		470,520		528,531		563,824		22 %		9 %
Total liabilities		23,037,083		21,960,318		21,165,851		21,084,714		21,380,575		5 %		8 %
Equity:
Common stock (f)		146,225		146,789		147,820		148,085		147,751		*		(1)%
Capital surplus		1,377,178		1,387,116		1,408,682		1,416,811		1,417,642		(1)%		(3)%
Undivided profits		868,605		847,687		814,300		740,313		713,425		2 %		22 %
Accumulated other comprehensive loss, net		(175,542)		(119,887)		(125,880)		(130,984)		(135,163)		46 %		30 %
Preferred stock		95,624		95,624		95,624		95,624		95,624		*		*
Noncontrolling interest (g)		295,431		295,431		295,431		295,431		295,431		*		*
Total equity		2,607,521		2,652,760		2,635,977		2,565,280		2,534,710		(2)%		3 %
Total liabilities and equity		$25,644,604		$24,613,078		$23,801,828		$23,649,994		$23,915,285		4 %		7 %

Certain previously reported amounts have been reclassified to agree with current presentation.

NM - Not meaningful

*	Amount is less than one percent.

(a)	Includes loans on nonaccrual status.

(b)	4Q14 decrease related to the sale of mortgage loans HFS in third quarter.

(c)	Includes excess balances held at Fed. 1Q15 and 4Q14 increase driven by inflow of customer deposits and proceeds from the issuance of senior notes in fourth quarter.

(d)	3Q14 and 2Q14 include increased FHLB borrowings as a result of loan growth and deposit fluctuations.

(e)	In 1Q15 $304 million of FTBNA subordinated notes matured. In 4Q14 FTBNA issued $400 million of senior bank notes. In 1Q14 FHN resolved the collateralized borrowings for three previously on-balance sheet consumer loan securitizations.

(f)	1Q15, 4Q14 and 3Q14 decreases relate to shares repurchased under the share repurchase program.

(g)	Consists of preferred stock of subsidiaries.

FHN CONSOLIDATED NET INTEREST INCOME (a)

Quarterly, Unaudited


											1Q15 Changes vs.
(Thousands)	1Q15		4Q14		3Q14		2Q14		1Q14		4Q14		1Q14

Interest Income:
Loans, net of unearned income (b)		$146,192		$148,078		$146,931		$144,975		$140,487		(1)%		4 %
Loans held-for-sale		1,491		1,483		3,263		3,209		3,215		1 %		(54)%
Investment securities:
U.S. treasuries		-		-		5		7		5		NM		NM
U.S. government agencies		20,955		21,317		21,376		21,530		20,837		(2)%		1 %
States and municipalities		125		159		109		97		117		(21)%		7 %
Other		1,876		1,875		1,866		2,103		2,281		*		(18)%
Total investment securities		22,956		23,351		23,356		23,737		23,240		(2)%		(1)%
Trading securities		9,281		8,701		7,944		7,839		8,222		7 %		13 %
Other earning assets:
Federal funds sold		57		69		92		73		53		(17)%		8 %
Securities purchased under agreements to resell (c)		(252)		(217)		(363)		(218)		(192)		(16)%		(31)%
Interest-bearing cash		874		611		134		182		546		43 %		60 %
Total other earning assets		679		463		(137)		37		407		47 %		67 %
Interest income		$180,599		$182,076		$181,357		$179,797		$175,571		(1)%		3 %

Interest Expense:
Interest-bearing deposits:
Savings		$3,307		$3,087		$2,600		$2,792		$3,083		7 %		7 %
Other interest-bearing deposits		957		760		754		746		818		26 %		17 %
Time deposits (d)		1,432		1,742		1,786		2,486		3,062		(18)%		(53)%
Total interest-bearing core deposits		5,696		5,589		5,140		6,024		6,963		2 %		(18)%
Certificates of deposit $100,000 and more (e)		882		513		685		869		1,023		72 %		(14)%
Federal funds purchased		673		729		654		683		726		(8)%		(7)%
Securities sold under agreements to repurchase		95		83		63		109		118		14 %		(19)%
Capital markets trading liabilities		3,914		3,950		3,782		4,087		3,571		(1)%		10 %
Other short-term borrowings		278		388		548		403		261		(28)%		7 %
Term borrowings (f)		9,664		9,146		8,445		8,416		8,563		6 %		13 %
Interest expense		21,202		20,398		19,317		20,591		21,225		4 %		*
Net interest income - tax equivalent basis		159,397		161,678		162,040		159,206		154,346		(1)%		3 %
Fully taxable equivalent adjustment		(2,531)		(2,628)		(2,499)		(2,438)		(1,987)		4 %		(27)%
Net interest income		$156,866		$159,050		$159,541		$156,768		$152,359		(1)%		3 %

NM - Not meaningful

* Amount is less than one percent.

(a)	Net interest income adjusted to a fully taxable equivalent (“FTE”) basis assuming a statutory federal income tax of 35 percent and, where applicable, state income taxes.

(b)	Includes interest on loans in nonaccrual status.

(c)	Driven by negative market rates on reverse repurchase agreements.

(d)	1Q15 includes the effect of amortizing the premium valuation adjustment for acquired time deposits related to branch acquisitions.

(e)	Prior to 1Q15 includes the effect of amortizing the premium valuation adjustment for acquired time deposits related to acquisitions.

(f)	4Q14 increase related to the issuance of $400 million of senior notes.

FHN CONSOLIDATED AVERAGE BALANCE SHEET: YIELDS AND RATES

Quarterly, Unaudited


	1Q15		4Q14		3Q14		2Q14		1Q14

Assets:
Earning assets (a):
Loans, net of unearned income (b):
Commercial loans		3.50 %		3.55 %		3.51 %		3.59 %		3.60 %
Retail loans		3.96		3.97		4.01		4.06		4.01
Total loans, net of unearned income (c)		3.67		3.71		3.70		3.78		3.77
Loans held-for-sale		4.31		4.12		4.09		3.61		3.50
Investment securities:
U.S. treasuries		NM		NM		0.07		0.07		0.05
U.S. government agencies		2.47		2.54		2.56		2.59		2.59
States and municipalities		3.46		4.38		2.50		1.99		2.41
Other		4.13		4.13		4.04		4.44		4.31
Total investment securities		2.56		2.62		2.61		2.65		2.66
Trading securities		2.71		2.94		3.00		2.80		2.97
Other earning assets:
Federal funds sold		0.97		1.02		0.98		1.00		0.99
Securities purchased under agreements to resell (d)		(0.13)		(0.13)		(0.22)		(0.13)		(0.13)
Interest-bearing cash		0.24		0.24		0.19		0.20		0.23
Total other earning assets		0.12		0.11		(0.06)		0.01		0.10
Interest income/total earning assets		3.11 %		3.22 %		3.33 %		3.35 %		3.27 %

Liabilities:
Interest-bearing liabilities:
Interest-bearing deposits:
Savings		0.18 %		0.18 %		0.16 %		0.17 %		0.19 %
Other interest-bearing deposits		0.09		0.08		0.08		0.08		0.09
Time deposits(e)		0.71		0.83		0.90		1.16		1.34
Total interest-bearing core deposits		0.18		0.19		0.19		0.22		0.25
Certificates of deposit $100,000 and more (f)		0.84		0.45		0.59		0.68		0.76
Federal funds purchased		0.25		0.25		0.25		0.25		0.25
Securities sold under agreements to repurchase		0.08		0.07		0.06		0.10		0.11
Capital markets trading liabilities		2.18		2.47		2.41		2.44		2.39
Other short-term borrowings		0.68		0.51		0.20		0.30		0.57
Term borrowings (g)		2.39		2.20		2.25		2.24		2.01
Interest expense/total interest-bearing liabilities		0.50		0.50		0.48		0.52		0.53
Net interest spread		2.61 %		2.72 %		2.85 %		2.83 %		2.74 %
Effect of interest-free sources used to fund earning assets		0.13		0.14		0.12		0.14		0.14
Net interest margin		2.74 %		2.86 %		2.97 %		2.97 %		2.88 %

Yields are adjusted to a FTE basis assuming a statutory federal income tax rate of 35 percent and, where applicable, state income taxes.

NM - Not meaningful

(a)	Earning assets yields are expressed net of unearned income.

(b)	Includes loan fees and cash basis interest income.

(c)	Includes loans on nonaccrual status.

(d)	Driven by negative market rates on reverse repurchase agreements.

(e)	1Q15 rate includes the effect of amortizing the premium valuation adjustment for acquired time deposits related to branch acquisitions.

(f)	Rates prior to 1Q15 include the effect of amortizing the premium valuation adjustment for acquired time deposits related to acquisitions.

(g)	Rates are expressed net of unamortized debenture cost for term borrowings.

FHN CAPITAL HIGHLIGHTS

Quarterly, Unaudited


											1Q15 Changes vs.
(Dollars and shares in thousands)	1Q15		4Q14		3Q14		2Q14		1Q14		4Q14		1Q14

Common equity tier 1 capital (a) (c)		2,133,336		N/A		N/A		N/A		N/A		NM		NM
Tier 1 capital (a) (b) (c)		2,452,075		$2,813,503		$2,783,147		$2,751,933		$2,666,486		(13)%		(8)%

Total capital (a) (d)		2,912,360		$3,148,336		$3,121,359		$3,092,212		$3,048,105		(7)%		(4)%
Risk-weighted assets (“RWA”) (a)		20,795,400		$19,452,656		$19,238,109		$19,400,096		$18,694,719		7%		11%
Average assets for leverage (a) (c)		25,569,095		$24,625,820		$23,748,667		$23,579,425		$23,828,049		4%		7%

Common equity tier 1 ratio (a) (c)		10.26%		N/A		N/A		N/A		N/A
Tier 1 ratio (a) (c)		11.79%		14.46 %		14.47 %		14.19 %		14.26 %
Total capital ratio (a)		14.00%		16.18 %		16.22 %		15.94 %		16.30 %
Leverage ratio (a)		9.59%		11.43 %		11.72 %		11.67 %		11.19 %

Tier 1 common to risk-weighted assets (c) (e)		N/A		11.43 %		11.40 %		11.14 %		11.10 %
Total equity to total assets		9.72 %		10.06 %		10.90 %		10.82 %		10.61 %
Tangible common equity/tangible assets (“TCE/TA”) (e)		7.57 %		7.90 %		8.66 %		8.60 %		8.36 %
Period-end shares outstanding (f)		233,499		234,220		235,249		237,147		236,586		*		(1) %
Cash dividends declared per common share		$0.06		$0.05		$0.05		$0.05		$0.05		20 %		20 %
Book value per common share		$9.03		$9.35		$9.45		$9.41		$9.09
Tangible book value per common share (e)		$8.28		$8.60		$8.77		$8.72		$8.40
Market capitalization (millions)		$3,336.7		$3,180.7		$2,888.9		$2,812.6		$2,919.5

Certain previously reported amounts have been reclassified to agree with current presentation.

*	Amount is less than one percent.

(a)	Current quarter is an estimate and reflects revisions to regulatory capital definitions under the new Basel III risk-based capital rules as phased-in.

(b)	1Q15 includes $50 million of Tier 1 qualifying trust preferred securities. All periods in 2014 include $200 million of Tier 1 qualifying trust preferred securities.

(c)	See Glossary of Terms for definition of ratio.

(d)	1Q15 includes $150 million of Tier 2 qualifying trust preferred which are excluded from Tier 1 under Basel III.

(e)	Refer to the Non-GAAP to GAAP reconciliation on page 22 of this financial supplement.

(f)	1Q15, 4Q14 and 3Q14 decreases relate to shares purchased under the share repurchase program.

FHN BUSINESS SEGMENT HIGHLIGHTS

Quarterly, Unaudited


											1Q15 Changes vs.
(Thousands)	1Q15		4Q14		3Q14		2Q14		1Q14		4Q14		1Q14

Regional Banking
Net interest income		$154,409		$157,557		$153,868		$148,675		$142,026		(2)%		9%
Noninterest income		60,204		64,331		64,155		66,227		59,992		(6)%		*
Total revenues		214,613		221,888		218,023		214,902		202,018		(3)%		6%
Provision for loan losses		4,915		5,568		2,204		8,425		12,990		(12)%		(62)%
Noninterest expense		135,780		137,546		135,903		132,996		132,543		(1)%		2%
Income before income taxes		73,918		78,774		79,916		73,481		56,485		(6)%		31%
Provision for income taxes		26,381		28,057		28,561		26,070		20,083		(6)%		31%
Net income		$47,537		$50,717		$51,355		$47,411		$36,402		(6)%		31%

Capital Markets
Net interest income		$4,323		$3,675		$2,950		$2,587		$3,476		18%		24%
Noninterest income		61,565		48,506		49,896		47,564		56,759		27%		8%
Total revenues		65,888		52,181		52,846		50,151		60,235		26%		9%
Noninterest expense (a)		54,683		46,218		47,915		116		52,598		18%		4%
Income before income taxes		11,205		5,963		4,931		50,035		7,637		88%		47%
Provision for income taxes		4,167		2,059		1,696		19,143		2,843		NM		47%
Net income		$7,038		$3,904		$3,235		$30,892		$4,794		80%		47%

Corporate
Net interest income/(expense)		$(16,084)		$(18,038)		$(14,246)		$(11,968)		$(9,923)		11%		(62)%
Noninterest income		5,385		4,400		4,139		5,215		13,215		22%		(59)%
Total revenues		(10,699)		(13,638)		(10,107)		(6,753)		3,292		22%		NM
Noninterest expense		14,169		14,017		16,511		13,532		17,327		1%		(18)%
Loss before income taxes		(24,868)		(27,655)		(26,618)		(20,285)		(14,035)		10%		(77)%
Benefit for income taxes		(11,640)		(19,601)		(16,928)		(16,369)		(10,628)		41%		(10)%
Net loss		$(13,228)		$(8,054)		$(9,690)		$(3,916)		$(3,407)		(64)%		NM

Non-Strategic
Net interest income		$14,218		$15,856		$16,969		$17,474		$16,780		(10)%		(15)%
Noninterest income (b)		2,535		2,361		39,625		7,895		15,764		7%		(84)%
Total revenues		16,753		18,217		56,594		25,369		32,544		(8)%		(49)%
Provision/(provision credit) for loan losses		85		432		3,796		(3,425)		(2,990)		(80)%		NM
Noninterest expense (c)		171,589		9,528		43,687		16,518		15,576		NM		NM
Income/(loss) before income taxes		(154,921)		8,257		9,111		12,276		19,958		NM		NM
Provision/(benefit) for income taxes		(41,169)		3,184		3,513		4,734		7,768		NM		NM
Net income/(loss)		$(113,752)		$5,073		$5,598		$7,542		$12,190		NM		NM

Total Consolidated
Net interest income		$156,866		$159,050		$159,541		$156,768		$152,359		(1)%		3%
Noninterest income		129,689		119,598		157,815		126,901		145,730		8%		(11)%
Total revenues		286,555		278,648		317,356		283,669		298,089		3%		(4)%
Provision for loan losses		5,000		6,000		6,000		5,000		10,000		(17)%		(50)%
Noninterest expense		376,221		207,309		244,016		163,162		218,044		81%		73%
Income/(loss) before income taxes		(94,666)		65,339		67,340		115,507		70,045		NM		NM
Provision/(benefit) for income taxes		(22,261)		13,699		16,842		33,578		20,066		NM		NM
Net income/(loss)		$(72,405)		$51,640		$50,498		$81,929		$49,979		NM		NM

Certain previously reported amounts have been reclassified to agree with current presentation.

NM - Not meaningful

*	Amount is less than one percent.

(a)	2Q14 includes $47.1 million related to agreements with insurance companies for the recovery of expenses FHN incurred in connection with the Sentinel litigation matter which was settled in 2011.

(b)	3Q14 includes $39.7 million of gains on the sales of HFS mortgage loans.

(c)

1Q15 includes $162.5 million of loss accruals related to an AIP to settle potential claims related to FHN’s underwriting and origination of FHA-insured mortgage loans; 3Q14 includes $50.0 million of loss accruals related to legal matters, partially offset by $15.0 million of expense reversals related to agreements with insurance companies for the recovery of expenses FHN incurred related to litigation losses in previous periods.

FHN REGIONAL BANKING

Quarterly, Unaudited


											1Q15 Changes vs.
	1Q15		4Q14		3Q14		2Q14		1Q14		4Q14		1Q14

Income Statement (thousands)
Net interest income		$154,409		$157,557		$153,868		$148,675		$142,026		(2)%		9%
Provision for loan losses		4,915		5,568		2,204		8,425		12,990		(12)%		(62)%
Noninterest income:
NSF / Overdraft fees (a)		9,144		11,619		11,425		10,636		9,156		(21)%		*
Cash management fees		8,878		8,719		8,522		8,537		8,916		2%		*
Debit card income		3,064		3,117		2,945		2,934		2,655		(2)%		15%
Other		4,537		4,655		4,705		4,850		4,864		(3)%		(7)%
Total deposit transactions and cash management		25,623		28,110		27,597		26,957		25,591		(9)%		*
Brokerage, management fees and commissions		11,399		11,647		12,333		12,844		12,276		(2)%		(7)%
Trust services and investment management		6,713		6,960		6,794		7,325		6,760		(4)%		(1)%
Bankcard income (b)		4,915		5,469		5,224		7,648		4,255		(10)%		16%
Other service charges		2,422		2,395		2,630		2,628		2,356		1%		3%
Miscellaneous revenue		9,132		9,750		9,577		8,825		8,754		(6)%		4%
Total noninterest income		60,204		64,331		64,155		66,227		59,992		(6)%		*
Noninterest expense:
Employee compensation, incentives, and benefits		48,272		46,175		46,259		46,055		44,945		5%		7%
Other		87,508		91,371		89,644		86,941		87,598		(4)%		*
Total noninterest expense		135,780		137,546		135,903		132,996		132,543		(1)%		2%
Income before income taxes		$73,918		$78,774		$79,916		$73,481		$56,485		(6)%		31%
PPNR (Non-GAAP) (c)		78,833		84,342		82,120		81,906		69,475		(7)%		13%
Efficiency ratio (d)		63.27%		61.99%		62.33%		61.89%		65.61%

Balance Sheet (millions)
Average loans		$13,513		$13,129		$12,886		$12,372		$11,897		3%		14%
Average other earning assets		48		52		63		57		50		(8)%		(4)%
Total average earning assets		13,561		13,181		12,949		12,429		11,947		3%		14%
Average core deposits		16,263		15,335		14,639		14,808		14,857		6%		9%
Average other deposits		423		452		464		513		546		(6)%		(23)%
Total average deposits		16,686		15,787		15,103		15,321		15,403		6%		8%
Total period-end deposits		17,240		16,373		15,119		15,418		15,723		5%		10%
Total period-end assets		14,894		14,350		13,695		13,700		12,889		4%		16%
Net interest margin (e)		4.68%		4.78%		4.74%		4.82%		4.84%
Net interest spread		3.37		3.36		3.41		3.46		3.41
Loan yield		3.51		3.50		3.56		3.63		3.61
Deposit average yield		0.14		0.14		0.15		0.17		0.20

Key Statistics
Financial center locations (f)		178		178		172		172		172		*		3%

Certain previously reported amounts have been reclassified to agree with current presentation.

* Amount is less than one percent.

(a)	1Q15 and 1Q14 levels primarily attributable to seasonality in NSF fees.

(b)	2Q14 includes $2.8 million of Visa volume incentives.

(c)	Pre-tax, pre-provision, net revenue is a Non-GAAP number and is calculated by adding the provision/(provision credit) for loan losses (GAAP) to Income before income taxes (GAAP).

(d)	Noninterest expense divided by total revenue.

(e)	Net interest margin is computed using total net interest income adjusted for FTE assuming a statutory federal income tax rate of 35 percent and, where applicable, state income taxes.

(f)	4Q14 increase related to the acquisition of bank branches.

FHN CAPITAL MARKETS

Quarterly, Unaudited


																1Q15 Changes vs.
	1Q15			4Q14			3Q14			2Q14			1Q14			4Q14			1Q14

Income Statement (thousands)
Net interest income		$4,323			$3,675			$2,950			$2,587			$3,476			18	%		24	%
Noninterest income:
Fixed income		53,510			39,030			41,216			40,457			49,614			37	%		8	%
Other		8,055			9,476			8,680			7,107			7,145			(15	) %		13	%
Total noninterest income		61,565			48,506			49,896			47,564			56,759			27	%		8	%
Noninterest expense (a)		54,683			46,218			47,915			116			52,598			18	%		4	%
Income before income taxes		$11,205			$5,963			$4,931			$50,035			$7,637			88	%		47	%

Efficiency ratio (b)		82.99	%		88.57	%		90.67	%		NM			87.32	%
Fixed income average daily revenue		$877			$630			$644			$642			$813			39	%		8	%
Balance Sheet (millions)
Average trading inventory		$1,366			$1,177			$1,054			$1,112			$1,102			16	%		24	%
Average other earning assets		781			677			648			668			628			15	%		24	%
Total average earning assets		2,147			1,854			1,702			1,780			1,730			16	%		24	%
Total period-end assets		2,808			2,138			2,338			2,197			2,095			31	%		34	%
Net interest margin (c)		0.83	%		0.85	%		0.75	%		0.61	%		0.82	%

Certain previously reported amounts have been reclassified to agree with current presentation.

NM - Not meaningful

(a)	2Q14 includes $47.1 million related to agreements with insurance companies for the recovery of expenses FHN incurred in connection with the Sentinel litigation matter which was settled in 2011.

(b)	Noninterest expense divided by total revenue.

(c)	Net interest margin is computed using total net interest income adjusted for FTE assuming a statutory federal income tax rate of 35 percent and, where applicable, state income taxes.

FHN CORPORATE

Quarterly, Unaudited


											1Q15 Changes vs.
	1Q15		4Q14		3Q14		2Q14		1Q14		4Q14		1Q14

Income Statement (thousands)
Net interest income/(expense)		$(16,084)		$(18,038)		$(14,246)		$(11,968)		$(9,923)		11%		(62)%
Noninterest income excluding securities gains/(losses)		5,109		4,400		4,005		5,139		7,558		16%		(32)%
Securities gains/(losses), net (a)		276		-		134		76		5,657		NM		(95)%
Noninterest expense		14,169		14,017		16,511		13,532		17,327		1%		(18)%
Loss before income taxes		$(24,868)		$(27,655)		$(26,618)		$(20,285)		$(14,035)		10%		(77)%

Average Balance Sheet (millions)
Average loans		$138		$148		$153		$159		$169		(7)%		(18)%
Total earning assets		$5,162		$4,703		$3,999		$4,082		$4,617		10%		12%
Net interest margin (b)		(1.28)%		(1.40)%		(1.25)%		(1.04)%		(0.81)%

Certain previously reported amounts have been reclassified to agree with current presentation.

NM - Not meaningful

(a)	1Q14 includes a gain of $5.6 million on the sale of cost method investments.

(b)	Net interest margin is computed using total net interest income adjusted for FTE assuming a statutory federal income tax rate of 35 percent and, where applicable, state income taxes.

FHN NON-STRATEGIC

Quarterly, Unaudited


											1Q15 Changes vs.
	1Q15		4Q14		3Q14		2Q14		1Q14		4Q14		1Q14

Income Statement (thousands)
Net interest income		$14,218		$15,856		$16,969		$17,474		$16,780		(10)%		(15)%
Noninterest income:
Mortgage warehouse valuation (a)		1,228		1,240		41,287		8,213		1,045		(1)%		18 %
Miscellaneous revenue (b)		1,307		1,121		(667)		1,682		14,719		17 %		(91)%
Total noninterest income excluding securities gains/(losses)		2,535		2,361		40,620		9,895		15,764		7 %		(84)%
Securities gains/(losses), net		-		-		(995)		(2,000)		-		NM		NM
Noninterest expense:
Repurchase and foreclosure provision (c)		-		-		(4,300)		-		-		NM		NM
Other expenses (d)		171,589		9,528		47,987		16,518		15,576		NM		NM
Total noninterest expense		171,589		9,528		43,687		16,518		15,576		NM		NM
Provision/(provision credit) for loan losses		85		432		3,796		(3,425)		(2,990)		(80)%		NM
Income/(loss) before income taxes		$(154,921)		$8,257		$9,111		$12,276		$19,958		NM		NM

Average Balance Sheet (millions)
Loans		$2,472		$2,592		$2,724		$2,851		$2,993		(5)%		(17)%
Loans held-for-sale (e)		120		125		298		335		344		(4)%		(65)%
Trading securities		5		6		6		7		7		(17)%		(29)%
Allowance for loan losses		(105)		(110)		(111)		(117)		(126)		(5)%		(17)%
Other assets		63		72		78		102		186		(13)%		(66)%
Total assets		2,555		2,685		2,995		3,178		3,404		(5)%		(25)%
Net interest margin (f)		2.19 %		2.32 %		2.23 %		2.18 %		2.01 %
Efficiency ratio (g)		NM		52.30 %		75.86 %		60.35 %		47.86 %

Mortgage Warehouse - Period-end (millions)
Ending warehouse balance (loans held-for-sale) (e)		$108		$115		$120		$330		$332		(6)%		(67)%
Key Servicing Metric
Ending servicing portfolio (millions) (h)		$966		$1,013		$1,090		$1,456		$1,679		(5)%		(42)%

Certain previously reported amounts have been reclassified to agree with current presentation.

NM - Not meaningful

(a)	3Q14 includes $39.7 million of gains on the sale of HFS mortgage loans; 2Q14 fair value adjustments reflect new information on market pricing for similar assets primarily related to the non-performing portion of the held-for-sale portfolio.

(b)	1Q14 includes the receipt of previously unrecognized servicing fees in conjunction with transfers of servicing in 1Q14.

(c)	3Q14 expense reversal associated with the settlement of certain repurchase claims.

(d)

1Q15 includes $162.5 million of loss accruals related to an AIP to settle potential claims related to FHN’s underwriting and origination of FHA-insured mortgage loans; 3Q14 includes $50.0 million of loss accruals related to legal matters, partially offset by $15.0 million of expense reversals associated with agreements with insurance companies for the recovery of expenses FHN incurred related to litigation losses in previous periods.

(e)	4Q14 and 3Q14 decreases relate to the sale of mortgage loans HFS late in third quarter.

(f)	Net interest margin is computed using total net interest income adjusted for FTE assuming a statutory federal income tax rate of 35 percent and, where applicable, state income taxes.

(g)	Noninterest expense divided by total revenue excluding securities gains/(losses).

(h)	Includes mortgage loans serviced from FHN’s legacy mortgage banking business, legacy equity lending serviced for others, and mortgage loans in portfolio and warehouse.

FHN ASSET QUALITY: CONSOLIDATED

Quarterly, Unaudited


																1Q15 Changes vs.
(Thousands)	1Q15			4Q14			3Q14			2Q14			1Q14			4Q14		1Q14

Allowance for Loan Losses Walk-Forward
Beginning reserve		$232,448			$238,641			$243,628			$247,246			$253,809			(3)%		(8)%
Provision		5,000			6,000			6,000			5,000			10,000			(17)%		(50)%
Charge-offs		(17,999)			(23,306)			(23,684)			(18,764)			(24,692)			(23)%		(27)%
Recoveries		8,879			11,113			12,697			10,146			8,129			(20)%		9%
Ending balance		$228,328			$232,448			$238,641			$243,628			$247,246			(2)%		(8)%
Reserve for unfunded commitments		4,135			4,770			2,313			2,209			2,882			(13)%		43%
Total allowance for loan losses plus reserve for unfunded commitments		$232,463			$237,218			$240,954			$245,837			$250,128			(2)%		(7)%

Allowance for Loan Losses
Regional Banking		$125,982			$126,812			$127,873			$131,801			$128,234			(1)%		(2)%
Non-Strategic		102,346			105,636			110,768			111,827			119,012			(3)%		(14)%
Corporate (a)		NM			NM			NM			NM			NM			NM		NM
Total allowance for loan losses		$228,328			$232,448			$238,641			$243,628			$247,246			(2)%		(8)%

Nonperforming Assets
Regional Banking
Nonperforming loans		$63,620			$64,654			$70,805			$89,191			$83,275			(2)%		(24)%
Foreclosed real estate (b)		19,704			20,451			25,404			26,598			27,705			(4)%		(29)%
Total Regional Banking		$83,324			$85,105			$96,209			$115,789			$110,980			(2)%		(25)%
Non-Strategic
Nonperforming loans (c)		$133,804			$135,740			$139,038			$138,789			$153,972			(1)%		(13)%
Nonperforming loans held-for-sale after fair value adjustments (d)		6,888			7,643			7,931			69,184			61,631			(10)%		(89)%
Foreclosed real estate (b)		9,977			9,979			9,857			12,183			15,265			*		(35)%
Total Non-Strategic		$150,669			$153,362			$156,826			$220,156			$230,868			(2)%		(35)%
Corporate
Nonperforming loans		$2,805			$3,045			$3,903			$3,636			$3,672			(8)%		(24)%
Total nonperforming assets		$236,798			$241,512			$256,938			$339,581			$345,520			(2)%		(31)%

Net Charge-Offs
Regional Banking		$5,745			$6,629			$6,132			$4,858			$5,783			(13)%		(1)%
Non-Strategic		3,375			5,564			4,855			3,760			10,780			(39)%		(69)%
Total net charge-offs		$9,120			$12,193			$10,987			$8,618			$16,563			(25)%		(45)%

Consolidated Key Ratios (e)
NPL %		1.20 %			1.25 %			1.35 %			1.47 %			1.59 %
NPA %		1.37			1.44			1.57			1.71			1.87
Net charge-offs %		0.23			0.30			0.28			0.22			0.45
Allowance / loans		1.36			1.43			1.51			1.54			1.64
Allowance / NPL		1.14	x		1.14	x		1.12	x		1.05	x		1.03	x
Allowance / NPA		0.99	x		0.99	x		0.96	x		0.90	x		0.87	x
Allowance / charge-offs		6.17	x		4.81	x		5.47	x		7.05	x		3.68	x

Other
Loans past due 90 days or more (f)		$46,889			$50,699			$57,786			$68,369			$63,747			(8)%		(26)%
Guaranteed portion (f)		18,552			24,036			27,020			32,782			35,063			(23)%		(47)%
Foreclosed real estate from government insured loans		10,096			9,492			12,735			18,771			23,065			6%		(56)%
Period-end loans, net of unearned income (millions)		16,732			16,230			15,812			15,796			15,119			3%		11%

NM - Not meaningful

* Amount is less than one percent.

(a)	The valuation adjustment taken upon exercise of clean-up calls included expected losses.

(b)	Excludes foreclosed real estate from government-insured mortgages.

(c)	2Q14 decrease is primarily related to a TRUPS sale.

(d)	3Q14 decrease is related to the sale of held-for-sale mortgage loans.

(e)	See Glossary of Terms for definitions of Consolidated Key Ratios.

(f)	Includes loans held-for-sale.

FHN ASSET QUALITY: CONSOLIDATED

Quarterly, Unaudited


																1Q15 Changes vs.
	1Q15			4Q14			3Q14			2Q14			1Q14			4Q14		1Q14

Key Portfolio Details
C&I
Period-end loans ($ millions)		$9,638			$9,007			$8,477			$8,403			$7,753			7%		24%
30+ Delinq. % (a)		0.07	%		0.05	%		0.10	%		0.19	%		0.27	%
NPL %		0.35			0.36			0.49			0.58			0.68
Charge-offs % (qtr. annualized)		0.07			0.19			NM			0.20			0.22
Allowance / loans %		0.70	%		0.74	%		0.82	%		0.82	%		0.94	%
Allowance / charge-offs		10.41	x		4.05	x		NM			4.35	x		4.27	x

Commercial Real Estate
Period-end loans ($ millions)		$1,321			$1,278			$1,278			$1,232			$1,152			3%		15%
30+ Delinq. % (a)		0.33	%		0.14	%		0.33	%		1.10	%		1.61	%
NPL %		1.01			1.20			1.11			1.14			1.30
Charge-offs % (qtr. annualized)		0.03			NM			0.47			NM			0.12
Allowance / loans %		1.34	%		1.45	%		1.21	%		1.28	%		1.35	%
Allowance / charge-offs		45.39	x		NM			2.64	x		NM			10.97	x

Consumer Real Estate
Period-end loans ($ millions)		$4,923			$5,048			$5,131			$5,219			$5,258			(2)%		(6)%
30+ Delinq. % (a)		0.98	%		1.10	%		1.04	%		0.93	%		1.01	%
NPL %		2.43			2.39			2.41			2.51			2.51
Charge-offs % (qtr. annualized)		0.31			0.38			0.60			0.20			0.56
Allowance / loans %		2.22	%		2.24	%		2.31	%		2.26	%		2.35	%
Allowance / charge-offs		7.06	x		5.85	x		3.83	x		11.30	x		4.17	x

Permanent Mortgage
Period-end loans ($ millions)		$512			$539			$573			$594			$622			(5)%		(18)%
30+ Delinq. % (a)		2.76	%		1.72	%		2.73	%		1.71	%		1.44	%
NPL %		6.43			6.32			5.93			6.23			6.46
Charge-offs % (qtr. annualized)		0.44			1.00			0.25			0.12			1.04
Allowance / loans %		3.94	%		3.55	%		3.53	%		3.99	%		3.62	%
Allowance / charge-offs		8.80	x		3.46	x		14.17	x		31.85	x		3.39	x

Credit Card and Other
Period-end loans ($ millions)		$338			$358			$353			$348			$334			(6)%		1%
30+ Delinq. % (a)		1.20	%		1.42	%		1.44	%		1.39	%		1.30	%
NPL %		0.22			0.21			0.20			0.39			0.42
Charge-offs % (qtr. annualized)		3.51			3.33			3.19			3.35			3.71
Allowance / loans %		4.01	%		4.11	%		4.17	%		5.01	%		3.91	%
Allowance / charge-offs		1.10	x		1.24	x		1.31	x		1.51	x		1.05	x

NM - Not meaningful

(a)	30+ Delinquency % includes all accounts delinquent more than one month and still accruing interest.

FHN ASSET QUALITY: REGIONAL BANKING

Quarterly, Unaudited


																1Q15 Changes vs.
	1Q15			4Q14			3Q14			2Q14			1Q14			4Q14			1Q14
Total Regional Banking
Period-end loans ($ millions)		$14,200			$13,568			$13,002			$12,853			$12,042			5 %			18	%
30+ Delinq. % (a)		0.24	%		0.22	%		0.29	%		0.43	%		0.52	%
NPL %		0.45			0.48			0.54			0.69			0.69
Charge-offs % (qtr. annualized)		0.17			0.20			0.19			0.16			0.20
Allowance / loans %		0.89	%		0.93	%		0.98	%		1.03	%		1.06	%
Allowance / charge-offs		5.41	x		4.82	x		5.26	x		6.76	x		5.47	x

Key Portfolio Details
C&I
Period-end loans ($ millions)		$9,185			$8,553			$8,022			$7,947			$7,287			7	%		26	%
30+ Delinq. % (a)		0.07	%		0.05	%		0.09	%		0.20	%		0.26%
NPL %		0.24			0.24			0.37			0.57			0.55
Charge-offs % (qtr. annualized)		0.08			0.21			NM			0.09			0.07
Allowance / loans %		0.68	%		0.72	%		0.81	%		0.84	%		0.93	%
Allowance / charge-offs		9.42	x		3.62	x		NM			10.12	x		13.74	x

Commercial Real Estate
Period-end loans ($ millions)		$1,320			$1,273			$1,274			$1,226			$1,145			4	%		15	%
30+ Delinq. % (a) (b)		0.32	%		0.14	%		0.33	%		1.10	%		1.62	%
NPL %		1.00			1.14			1.04			1.06			1.05
Charge-offs % (qtr. annualized)		0.03			NM			0.49			NM			0.10
Allowance / loans %		1.33	%		1.43	%		1.18	%		1.25	%		1.31	%
Allowance / charge-offs		52.33	x		NM			2.46	x		NM			13.38	x

Consumer Real Estate
Period-end loans ($ millions)		$3,358			$3,385			$3,356			$3,334			$3,280			(1)	%		2	%
30+ Delinq. % (a)		0.55	%		0.57	%		0.61	%		0.64	%		0.62	%
NPL %		0.84			0.86			0.83			0.90			0.92
Charge-offs % (qtr. annualized)		0.15			0.11			0.39			0.18			0.18
Allowance / loans %		0.97	%		0.95	%		0.99	%		0.97	%		0.99	%
Allowance / charge-offs		6.45	x		8.55	x		2.55	x		5.32	x		5.42	x

Credit Card, Permanent Mortgage, and Other
Period-end loans ($ millions)		$337			$357			$351			$346			$330			(6)	%		2	%
30+ Delinq. % (a)		1.29	%		1.51	%		1.49	%		1.43	%		1.38	%
NPL %		0.15			0.14			0.15			0.14			0.27
Charge-offs % (qtr. annualized)		3.22			3.00			3.01			3.05			3.43
Allowance / loans %		3.88	%		4.06	%		4.07	%		4.98	%		3.91	%
Allowance / charge-offs		1.16	x		1.36	x		1.36	x		1.64	x		1.13	x

ASSET QUALITY: CORPORATE

Permanent Mortgage
Period-end loans ($ millions)		$123			$136			$147			$155			$164			(10)	%		(25)	%
30+ Delinq. % (a)		3.41	%		2.32	%		2.24	%		1.91	%		1.83	%
NPL %		2.29			2.25			2.65			2.34			2.24
Charge-offs % (qtr. annualized)		NM			NM			NM			NM			NM
Allowance / loans %		NM			NM			NM			NM			NM
Allowance / charge-offs		NM			NM			NM			NM			NM

NM - Not meaningful

(a)	30+ Delinquency % includes all accounts delinquent more than one month and still accruing interest.

(b)	1Q15 increase was primarily driven by one relationship

FHN ASSET QUALITY: NON-STRATEGIC

Quarterly, Unaudited


																1Q15 Changes vs.
	1Q15			4Q14			3Q14			2Q14			1Q14			4Q14		1Q14

Total Non-Strategic
Period-end loans ($ millions)		$2,409			$2,527			$2,663			$2,788			$2,913			(5)%	(17)%
30+ Delinq. % (a)		1.67	%		1.67	%		1.73	%		1.24	%		1.38	%
NPL % (b)		5.55			5.37			5.22			4.98			5.28
Charge-offs % (qtr. annualized)		0.55			0.85			0.71			0.53			1.46
Allowance / loans %		4.25	%		4.18	%		4.16	%		4.01	%		4.08	%
Allowance / charge-offs		7.48	x		4.79	x		5.75	x		7.41	x		2.72	x

Key Portfolio Details
C&I
Period-end loans ($ millions)		$453			$454			$456			$456			$466			*	(3)%
30+ Delinq. % (a)		0.08	%		0.05	%		0.23	%		0.02	%		0.43	%
NPL % (b)		2.68			2.64			2.64			0.58			2.64
Charge-offs % (qtr. annualized)		NM			NM			NM			1.99			2.48
Allowance / loans %		1.09	%		1.10	%		1.01	%		0.38	%		1.02	%
Allowance / charge-offs		NM			NM			NM			0.19	x		0.39	x

Commercial Real Estate
Period-end loans ($ millions)		$1			$5			$5			$5			$7			(80)%	(86)%
30+ Delinq. % (a)		14.87	%		-	%		-	%		-	%		-	%
NPL %		18.31			17.47			20.01			19.34			40.93
Charge-offs % (qtr. annualized)		2.64			6.91			NM			NM			3.46
Allowance / loans %		8.22	%		9.25	%		9.36	%		9.41	%		7.43	%
Allowance / charge-offs		1.06	x		1.27	x		NM			NM			1.80	x

Consumer Real Estate
Period-end loans ($ millions)		$1,565			$1,663			$1,775			$1,885			$1,978			(6)%	(21)%
30+ Delinq. % (a)		1.92	%		2.17	%		1.84	%		1.45	%		1.65	%
NPL %		5.83			5.51			5.40			5.35			5.14
Charge-offs % (qtr. annualized)		0.64			0.91			0.98			0.23			1.17
Allowance / loans %		4.90	%		4.86	%		4.79	%		4.54	%		4.60	%
Allowance / charge-offs		7.36	x		5.19	x		4.76	x		19.65	x		3.86	x

Permanent Mortgage
Period-end loans ($ millions)		$379			$393			$415			$427			$446			(4)%	(15)%
30+ Delinq. % (a)		2.50	%		1.40	%		2.88	%		1.59	%		1.21	%
NPL %		7.82			7.78			7.13			7.71			7.99
Charge-offs % (qtr. annualized)		0.59			1.44			0.29			0.15			1.46
Allowance / loans %		5.32	%		4.83	%		4.84	%		5.52	%		5.00	%
Allowance / charge-offs		8.82	x		3.30	x		16.57	x		35.18	x		3.36	x

Other Consumer
Period-end loans ($ millions)		$11			$12			$12			$15			$16			(8)%	(31)%
30+ Delinq. % (a)		1.40	%		2.48	%		2.24	%		1.79	%		1.95	%
NPL %		6.66			6.22			5.38			9.16			9.03
Charge-offs % (qtr. annualized)		9.24			8.21			6.74			7.81			6.83
Allowance / loans %		4.69	%		3.43	%		4.48	%		2.94	%		2.12	%
Allowance / charge-offs		0.49	x		0.41	x		0.63	x		0.36	x		0.30	x

NM - Not meaningful

*	Amount is less than one percent.

(a)	30+ Delinquency % includes all accounts delinquent more than one month and still accruing interest.

(b)	3Q14 increase related to interest deferral elected by an insurance TRUPS; 2Q14 NPL decrease related to TRUPS sales.

FHN: PORTFOLIO METRICS

Unaudited



C&I Portfolio: $9.6 Billion (57.6% of Total Loans) as of March 31, 2015

	% OS
General Corporate, Commercial, and Business Banking Loans		78%
Loans to Mortgage Companies		17%
Trust Preferred Loans		4%
Bank Holding Company Loans		1%

Consumer Real Estate (primarily Home Equity) Portfolio: $4.9 Billion (29.4% of Total Loans)


Origination LTV and FICO for Portfolio as of March 31, 2015	Loan-to-Value
(excludes whole loan insurance)	<=60%		>60% - <=80%			>80% - 90%			>90%
FICO score greater than or equal to 740		11%		23	%		17	%		9%
FICO score 720-739		2%		4	%		4	%		3%
FICO score 700-719		1%		3	%		4	%		2%
FICO score 660-699		1%		4	%		3	%		3%
FICO score 620-659		1%		1	%		1	%		1%
FICO score less than 620		-%		1	%		-	%		1%


Origination LTV and FICO for Portfolio - Regional Bank as of March 31, 2015	Loan-to-Value
(excludes whole loan insurance)	<=60%			>60% - <=80%			>80% - 90%			>90%
FICO score greater than or equal to 740		12	%		24	%		18	%		11	%
FICO score 720-739		1	%		4	%		4	%		3	%
FICO score 700-719		1	%		3	%		2	%		2	%
FICO score 660-699		1	%		3	%		3	%		2	%
FICO score 620-659		1	%		1	%		1	%		1	%
FICO score less than 620		-	%		1	%		-	%		1	%


Origination LTV and FICO for Portfolio - Non-Strategic as of March 31, 2015	Loan-to-Value
(excludes whole loan insurance)	<=60%			>60% - <=80%			>80% - 90%			>90%
FICO score greater than or equal to 740		8	%		21	%		15	%		5	%
FICO score 720-739		2	%		6	%		6	%		2	%
FICO score 700-719		2	%		6	%		6	%		2	%
FICO score 660-699		2	%		5	%		4	%		3	%
FICO score 620-659		-	%		1	%		1	%		1	%
FICO score less than 620		-	%		-	%		-	%		2	%


Consumer Real Estate Portfolio Detail:

		Origination Characteristics
Vintage	Balances ($B)	W/A Age (mo.)	CLTV	FICO	% TN	% 1st lien
pre-2003	$0.1	158	78%	702	42%	30%
2003	$0.1	141	77%	718	30%	36%
2004	$0.3	128	80%	720	19%	27%
2005	$0.5	116	81%	728	16%	16%
2006	$0.5	105	79%	732	22%	18%
2007	$0.5	93	81%	737	26%	19%
2008	$0.2	82	75%	745	72%	50%
2009	$0.1	70	72%	748	87%	57%
2010	$0.2	56	80%	750	91%	73%
2011	$0.4	44	77%	759	89%	86%
2012	$0.7	33	77%	763	90%	91%
2013	$0.6	22	78%	756	86%	85%
2014	$0.6	9	81%	757	86%	89%
2015	$0.1	1	77%	757	86%	91%
Total	$4.9	66	79%	745	60%	57%

(a)	745 average portfolio origination FICO; 739 weighted average portfolio FICO (refreshed).

FHN NON-GAAP TO GAAP RECONCILIATION

Quarterly, Unaudited



(Dollars and shares in thousands, except per share data)	1Q15			4Q14			3Q14			2Q14			1Q14
Tangible Common Equity (Non-GAAP)
(A) Total equity (GAAP)		$2,499,257			$2,581,590			$2,614,908			$2,621,462			$2,541,792
Less: Noncontrolling interest (a)		295,431			295,431			295,431			295,431			295,431
Less: Preferred stock		95,624			95,624			95,624			95,624			95,624
(B) Total common equity		$2,108,202			$2,190,535			$2,223,853			$2,230,407			$2,150,737
Less: Intangible assets (GAAP) (b)		174,152			175,450			160,987			161,968			162,950
(C) Tangible common equity (Non-GAAP)		$1,934,050			$2,015,085			$2,062,866			$2,068,439			$1,987,787

Tangible Assets (Non-GAAP)
(D) Total assets (GAAP)		$25,715,888			$25,668,187			$23,985,691			$24,224,532			$23,946,116
Less: Intangible assets (GAAP) (b)		174,152			175,450			160,987			161,968			162,950
(E) Tangible assets (Non-GAAP)		$25,541,736			$25,492,737			$23,824,704			$24,062,564			$23,783,166

Period-end Shares Outstanding
(F) Period-end shares outstanding		233,499			234,220			235,249			237,147			236,586

Tier 1 Common (Non-GAAP)
(G) Tier 1 capital (c) (d)		$2,452,075			$2,813,503			$2,783,147			$2,751,933			$2,666,486
Less: Noncontrolling interest - FTBNA preferred stock (a) (e)		N/A			294,816			294,816			294,816			294,816
Less: Preferred Stock		N/A			95,624			95,624			95,624			95,624
Less: Trust preferred (f)		N/A			200,000			200,000			200,000			200,000
(H) Tier 1 common (Non-GAAP)		N/A			$2,223,063			$2,192,707			$2,161,493			$2,076,046

Risk Weighted Assets
(I) Risk weighted assets (c) (d)		$20,795,400			$19,452,656			$19,238,109			$19,400,096			$18,694,719

Ratios
(C)/(E) Tangible common equity to tangible assets (“TCE/TA”) (Non-GAAP)		7.57	%		7.90	%		8.66	%		8.60	%		8.36 %
(A)/(D) Total equity to total assets (GAAP)		9.72	%		10.06	%		10.90	%		10.82	%		10.61 %
(C)/(F) Tangible book value per common share (Non-GAAP)		$8.28			$8.60			$8.77			$8.72			$8.40
(B)/(F) Book value per common share (GAAP)		$9.03			$9.35			$9.45			$9.41			$9.09
(H)/(I) Tier 1 common to risk weighted assets (Non-GAAP) (c)		N/A			11.43	%		11.40	%		11.14	%		11.10 %
(G)/(D) Tier 1 capital to total assets (GAAP) (c)		9.54	%		10.96	%		11.60	%		11.36	%		11.14 %

Net Income Available to Common Shareholders Excluding Litigation Charges (Non-GAAP)
Income/(loss) before income taxes (GAAP)		$(94,666)
Less: Litigation and regulatory matters expense (GAAP)		(162,500)
Adjusted income/(loss) before income taxes (Non-GAAP)		67,834
Adjusted provision/(benefit) for income taxes (Non-GAAP) (g)		21,754
Adjusted net income/(loss) (Non-GAAP)		46,080
Net income attributable to noncontrolling interest (GAAP)		2,758
Preferred stock dividends (GAAP)		1,550
Adjusted net income/(loss) available to common shareholders (Non-GAAP)		$41,772
Adjusted diluted shares (thousands) (Non-GAAP) (h)		235,120
Adjusted diluted EPS (Non-GAAP)		$0.18

Certain previously reported amounts have been reclassified to agree with current presentation.

(a)	Included in Total equity on the Consolidated Balance Sheet.

(b)	Includes goodwill and other intangible assets, net of amortization.

(c)	Current quarter is an estimate and reflects revisions to regulatory capital definitions under the new Basel III risk-based capital rules as phased-in.

(d)	Defined by and calculated in conformity with bank regulations.

(e)	Represents FTBNA preferred stock included in noncontrolling interest.

(f)	Included in Term borrowings on the Consolidated Balance Sheet.

(g)	Calculated using an effective tax rate of 32.07 percent.

(h)

Because FHN recognized a net loss available to common shareholders in first quarter 2015, potentially issuable shares are excluded from diluted shares because they are antidilutive. Excluding the litigation charge, FHN would have recognized net income available to common shareholders. As a result, adjusted shares are presented in order to include the dilute impact of potentially issuable shares.

FHN GLOSSARY OF TERMS

Average Assets for Leverage: The amount of assets a company uses to calculate the leverage ratio, which includes average total assets less disallowed portions of goodwill, other intangibles, and deferred tax assets, as well as certain other regulatory adjustments made to Tier 1 capital.

Common Equity Tier 1: A measure of a company’s capital position under U.S. Basel III capital rules first applicable to FHN in 2015, which includes common equity less goodwill, other intangibles and certain other required regulatory deductions as defined in those rules. Common Equity Tier 1 capital under U.S. Basel III in 2015 is not the same as the non-regulatory Tier 1 Common capital commonly used prior to 2015; comparisons between the two are not meaningful.

Core Businesses: Management considers regional banking, capital markets, and corporate as FHN’s core businesses. Non-strategic has significant legacy assets and operations that are being wound down.

Fully Taxable Equivalent (“FTE”): Reflects the amount of tax-exempt income adjusted to a level that would yield the same after-tax income had that income been subject to taxation.

Tier 1 Capital Ratio: Ratio consisting of shareholders’ equity adjusted for certain unrealized gains/(losses) on available-for-sale securities, reduced by goodwill, certain other intangible assets, the disallowable portion of mortgage servicing rights and other disallowed assets divided by risk-adjusted assets. The components of Tier 1 capital, including the risk-adjustment of assets, changed significantly for FHN beginning in 2015 so that comparisons of a Tier 1 capital ratio after 2014 with a ratio prior to 2015 may not be meaningful.

Tier 1 Common: A measure of a company’s capital position associated with U.S. capital rules applicable to FHN prior to 2015, which includes Tier 1 capital as then defined less preferred stock amounts.

Troubled Debt Restructuring (“TDR”): A restructuring of debt whereby a creditor for economic or legal reasons related to the borrower’s financial difficulties grants a concession to the borrower that it would not otherwise consider. Such concession is granted in an attempt to protect as much of the creditor’s investment as possible by increasing the probability of repayment.

Key Ratios

Return on Average Assets: Ratio is annualized net income to average total assets.

Return on Average Common Equity: Ratio is annualized net income available to common shareholders to average common equity.

Fee Income to Total Revenue: Ratio is fee income excluding securities gains/(losses) to total revenue excluding securities gains/(losses).

Efficiency Ratio: Ratio is noninterest expense to total revenue excluding securities gains/(losses).

Asset Quality - Consolidated Key Ratios

NPL %: Ratio is nonperforming loans in the loan portfolio to total period-end loans.

NPA %: Ratio is nonperforming assets related to the loan portfolio to total period-end loans plus foreclosed real estate and other assets.

Net charge-offs %: Ratio is annualized net charge-offs to total average loans.

Allowance / loans: Ratio is allowance for loan losses to total period-end loans.

Allowance / NPL: Ratio is allowance for loan losses to nonperforming loans in the loan portfolio.

Allowance / NPA: Ratio is allowance for loan losses to nonperforming assets related to the loan portfolio.

Allowance / charge-offs: Ratio is allowance for loan losses to annualized net charge-offs.

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