CINCINNATI, Oct. 26 /PRNewswire-FirstCall/ -- Fifth Third Bancorp
(Nasdaq: FITB) today announced its plans to participate in the U.S.
Treasury Capital Purchase Program ("CPP" or "Program").
The Treasury has announced plans to purchase up to $250 billion of
senior preferred shares on a voluntary basis in U.S. financial
institutions, as part of its efforts to provide a firmer capital foundation
for financial firms and to increase credit availability to consumers and
businesses. Nine institutions participated initially in this plan and
several others have subsequently announced their participation. We expect
many additional institutions to also avail themselves of this program.
Last week, we announced that we were considering participation in this
program. Subsequently, Fifth Third has had the requisite discussions with
its primary regulator and submitted an application for participation, which
was filed Thursday. Our application was for an amount equal to 3 percent of
risk-weighted assets, or approximately $3.4 billion. We anticipate that our
application will be approved shortly by Treasury. Upon approval, we will
provide further information regarding the benefits and the impact on Fifth
Third of its participation in the program.
Corporate Profile
Fifth Third Bancorp is a diversified financial services company
headquartered in Cincinnati, Ohio. As of September 30, 2008, the Company
has $116 billion in assets, operates 18 affiliates with 1,298 full-service
Banking Centers, including 93 Bank Mart(R) locations open seven days a week
inside select grocery stores and 2,329 ATMs in Ohio, Kentucky, Indiana,
Michigan, Illinois, Florida, Tennessee, West Virginia, Pennsylvania,
Missouri, Georgia and North Carolina. Fifth Third operates five main
businesses: Commercial Banking, Branch Banking, Consumer Lending,
Investment Advisors and Fifth Third Processing Solutions. Fifth Third is
among the largest money managers in the Midwest and, as of September 30,
2008, has $196 billion in assets under care, of which it managed $30
billion for individuals, corporations and not-for- profit organizations.
Investor information and press releases can be viewed at http://www.53.com. Fifth
Third's common stock is traded on the NASDAQ(R) National Global Select
Market under the symbol "FITB."
FORWARD-LOOKING STATEMENTS
This report may contain forward-looking statements about Fifth Third
Bancorp within the meaning of Sections 27A of the Securities Act of 1933,
as amended, and Rule 175 promulgated thereunder, and 21E of the Securities
Exchange Act of 1934, as amended, and Rule 3b-6 promulgated thereunder,
that involve inherent risks and uncertainties. This report may contain
certain forward-looking statements with respect to the financial condition,
results of operations, plans, objectives, future performance and business
of Fifth Third Bancorp including statements preceded by, followed by or
that include the words or phrases such as "believes," "expects,"
"anticipates," "plans," "trend," "objective," "continue," "remain" or
similar expressions or future or conditional verbs such as "will," "would,"
"should," "could," "might," "can," "may" or similar expressions. There are
a number of important factors that could cause future results to differ
materially from historical performance and these forward-looking
statements. Factors that might cause such a difference include, but are not
limited to: (1) general economic conditions and weakening in the economy,
specifically the real estate market, either national or in the states in
which Fifth Third, does business, are less favorable than expected; (2)
deteriorating credit quality; (3) political developments, wars or other
hostilities may disrupt or increase volatility in securities markets or
other economic conditions; (4) changes in the interest rate environment
reduce interest margins; (5) prepayment speeds, loan origination and sale
volumes, charge-offs and loan loss provisions; (6) Fifth Third's ability to
maintain required capital levels and adequate sources of funding and
liquidity; (7) changes and trends in capital markets; (8) competitive
pressures among depository institutions increase significantly; (9) effects
of critical accounting policies and judgments; (10) changes in accounting
policies or procedures as may be required by the Financial Accounting
Standards Board or other regulatory agencies; (11) legislative or
regulatory changes or actions, or significant litigation, adversely affect
Fifth Third, or the businesses in which Fifth Third, one is engaged; (12)
ability to maintain favorable ratings from rating agencies; (13)
fluctuation of Fifth Third's stock price; (14) ability to attract and
retain key personnel; (15) ability to receive dividends from its
subsidiaries; (16) potentially dilutive effect of future acquisitions on
current shareholders' ownership of Fifth Third; (17) effects of accounting
or financial results of one or more acquired entities; (18) difficulties in
combining the operations of acquired entities; (19) inability to generate
the gains on sale and related increase in shareholders' equity that it
anticipates from the sale of certain non-core businesses, (20) loss of
income from the sale of certain non-core businesses could have an adverse
effect on Fifth Third's earnings and future growth (21) ability to secure
confidential information through the use of computer systems and
telecommunications networks; (22) the impact of reputational risk created
by these developments on such matters as business generation and retention,
funding and liquidity; and (23) the Treasury providing satisfactory
definitive documentation for its purchase of senior preferred shares and
agreement on final terms and conditions. Additional information concerning
factors that could cause actual results to differ materially from those
expressed or implied in the forward-looking statements is available in the
Bancorp's Annual Report on Form 10-K for the year ended December 31, 2007,
filed with the United States Securities and Exchange Commission (SEC).
Copies of this filing are available at no cost on the SEC's Web site at
http://www.sec.gov or on the Fifth Third's Web site at http://www.53.com. Fifth Third
undertakes no obligation to release revisions to these forward-looking
statements or reflect events or circumstances after the date of this
report.
SOURCE Fifth Third Bancorp
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Related links:
http://www.53.com/
CONTACT:
Jeff Richardson (Investors), +1-513-534-0983,
or Jim Eglseder (Investors), +1-513-534-8424, or Debra DeCourcy,
APR (Media), +1-513-534-4153, all of Fifth Third Bancorp
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