Regions May Consider Potential Preferred Stock Offering
BIRMINGHAM, Ala.--(BUSINESS WIRE)--
If market conditions are favorable, Regions Financial Corp. (NYSE:RF)
expects to consider commencing an underwritten public offering of
preferred stock in the near future. If commenced, the proceeds from this
issuance will be used for general corporate purposes, which may include
redeeming certain higher coupon trust preferred securities.
This press release is not an offer to sell, nor a solicitation of an
offer to buy, any securities. Any offer will be made only by means of a
prospectus contained in a registration statement filed with the U.S.
Securities and Exchange Commission.
About Regions Financial Corporation
Regions Financial Corporation, with $122 billion in assets, is a member
of the S&P 500 Index and is one of the nation's largest full-service
providers of consumer and commercial banking, wealth management,
mortgage, and insurance products and services. Regions serves customers
in 16 states across the South, Midwest and Texas, and through its
subsidiary, Regions Bank, operates approximately 1,700 banking offices
and 2,000 ATMs.
This presentation may include forward-looking statements which
reflect Regions' current views with respect to future events and
financial performance. The Private Securities Litigation Reform Act of
1995 ("the Act") provides a "safe harbor" for forward-looking statements
which are identified as such and are accompanied by the identification
of important factors that could cause actual results to differ
materially from the forward-looking statements. For these
statements, we, together with our subsidiaries, claim the protection
afforded by the safe harbor in the Act. Forward-looking
statements are not based on historical information, but rather are
related to future operations, strategies, financial results or other
developments. Forward-looking statements are based on
management's expectations as well as certain assumptions and estimates
made by, and information available to, management at the time the
statements are made. Those statements are based on general
assumptions and are subject to various risks, uncertainties and other
factors that may cause actual results to differ materially from the
views, beliefs and projections expressed in such statements. These
risks, uncertainties and other factors include, but are not limited to,
those described below:
The Dodd-Frank Wall Street Reform and Consumer Protection Act (the
"Dodd-Frank Act") became law in July 2010, and a number of
legislative, regulatory and tax proposals remain pending.
Additionally, the U.S. Treasury Department and federal banking
regulators continue to implement, but are also beginning to wind down,
a number of programs to address capital and liquidity in the banking
system. Future and proposed rules, including those that are part of
the Basel III process, are expected to require banking institutions to
increase levels of capital. All of the foregoing may have significant
effects on Regions and the financial services industry, the exact
nature and extent of which cannot be determined at this time.
Possible additional loan losses, impairment of goodwill and other
intangibles, and adjustment of valuation allowances on deferred tax
assets and the impact on earnings and capital.
Possible changes in interest rates may increase funding costs and
reduce earning asset yields, thus reducing margins. Increases in
benchmark interest rates would also increase debt service requirements
for customers whose terms include a variable interest rate, which may
negatively impact the ability of borrowers to pay as contractually
Possible changes in general economic and business conditions in the
United States in general and in the communities Regions serves in
particular, including any prolonging or worsening of the current
unfavorable economic conditions including unemployment levels.
Possible changes in the creditworthiness of customers and the
possible impairment of the collectability of loans.
Possible changes in trade, monetary and fiscal policies, laws and
regulations and other activities of governments, agencies, and similar
organizations, may have an adverse effect on business.
Possible regulations issued by the Consumer Financial Protection
Bureau or other regulators which might adversely impact Regions'
business model or products and services.
Possible stresses in the financial and real estate markets,
including possible continued deterioration in property values.
Regions' ability to manage fluctuations in the value of assets and
liabilities and off-balance sheet exposure so as to maintain
sufficient capital and liquidity to support Regions' business.
Regions' ability to expand into new markets and to maintain profit
margins in the face of competitive pressures.
Regions' ability to develop competitive new products and services
in a timely manner and the acceptance of such products and services by
Regions' customers and potential customers.
Regions' ability to keep pace with technological changes.
Regions' ability to effectively manage credit risk, interest rate
risk, market risk, operational risk, legal risk, liquidity risk,
reputational risk and regulatory and compliance risk.
Regions' ability to ensure adequate capitalization which is
impacted by inherent uncertainties in forecasting credit losses.
The cost and other effects of material contingencies, including
litigation contingencies, and any adverse judicial, administrative or
arbitral rulings or proceedings.
The effects of increased competition from both banks and non-banks.
The effects of geopolitical instability and risks such as terrorist
Possible changes in consumer and business spending and saving
habits could affect Regions' ability to increase assets and to attract
The effects of weather and natural disasters such as floods,
droughts, wind, tornados and hurricanes, and the effects of man-made
Possible downgrades in ratings issued by rating agencies.
Possible changes in the speed of loan prepayments by Regions'
customers and loan origination or sales volumes.
Possible acceleration of prepayments on mortgage-backed securities
due to low interest rates and the related acceleration of premium
amortization on those securities.
The effects of problems encountered by larger or similar financial
institutions that adversely affect Regions or the banking industry
Regions' ability to receive dividends from its subsidiaries.
The effects of the failure of any component of Regions' business
infrastructure which is provided by a third party.
Changes in accounting policies or procedures as may be required by
the Financial Accounting Standards Board or other regulatory agencies.
The effects of any damage to Regions' reputation resulting from
developments related to any of the items identified above.
The foregoing list of factors is not exhaustive. For discussion of
these and other factors that may cause actual results to differ from
expectations, look under the captions "Forward-Looking Statements" and
"Risk Factors" in Regions' Annual Report on Form 10-K for the year
ended December 31, 2011 and the "Forward-Looking Statements" section
of Regions' Quarterly Report on Form 10-Q for the quarter ended June
The words "believe," "expect," "anticipate," "project," and similar
expressions often signify forward-looking statements. You should not
place undue reliance on any forward-looking statements, which speak only
as of the date made. We assume no obligation to update or revise any
forward-looking statements that are made from time to time.
Regions Financial Corporation
Investor Relations Contact:
Source: Regions Financial Corporation
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