Synovus Reports Results for Fourth Quarter 2008

Synovus reported a net loss for the fourth quarter of 2008 of $637 million, or $1.93 per share, compared to income from continuing operations of $53.1 million, or $0.16 per diluted share for the fourth quarter of 2007. The fourth quarter 2008 results include provision expense of $364 million and a $443 million non-cash goodwill impairment charge. Excluding the goodwill impairment charge, Synovus’ net loss would have been $195 million, or $0.59 per share, for the quarter.

For the full year 2008, Synovus reported a net loss of $584 million, or $1.77 per share, compared to income from continuing operations of $343 million, or $1.04 per share for 2007. Excluding the goodwill impairment charges of $480 million in 2008, Synovus’ net loss would have been $105 million, or $0.32 per share, for the year.

Synovus previously announced that it was reviewing its goodwill for potential impairment. Based on the results of this review, Synovus recorded a non-cash $443 million (pre-tax and after-tax) goodwill impairment charge during the fourth quarter of 2008. This charge had no impact on Synovus’ tangible capital levels, regulatory capital ratios, or liquidity. Additionally, goodwill impairment has no connection to or utilization of capital received from the U.S. Treasury as part of the Capital Purchase Program.

"As the economy continued to deteriorate in the fourth quarter, credit quality in the residential construction and development portfolios, especially in Atlanta, continued to weaken,” said Richard Anthony, Chairman and CEO. "We are taking actions to recognize and liquidate these non-performing credits as efficiently and economically as possible. During the fourth quarter, our sequential quarter core deposit growth was 11% (annualized). We believe this puts us in a very strong liquidity position at the end of one of the worst years the financial services industry has faced. Additionally, in the fourth quarter, we received approximately $968 million from the sale of preferred stock and warrants to the U.S. Treasury as part of the government’s Capital Purchase Program. As of December 31, 2008, our Tier 1 Capital Ratio was 11.22%, Total Risk-Based Capital Ratio was 14.55%, and Tangible Common Equity to Tangible Assets Ratio was 7.91%. We believe the strength of our liquidity and strong capital structure positions us well for the future.”

The provision expense for the quarter was $363.9 million, compared to $151.4 million last quarter. The provision for loan losses covered net charge-offs by 159% for the quarter. For the full year 2008, provision expense of $700 million exceeded net charge-offs by $231 million. The ratio of nonperforming assets to loans, impaired loans held for sale, and other real estate was 4.16%, as of December 31, 2008, compared to 3.58% last quarter. Nonperforming loans were $922 million as of December 31, 2008, an increase of $152 million from the third quarter of 2008. The Atlanta market represents 29% of Synovus’ total loans in the residential construction and development portfolios and 45% of the nonperforming loans in the residential construction and development portfolios.

The net charge-off ratio for the quarter was 3.25% compared to 1.53% last quarter. The net charge off ratio for the full year 2008 was 1.71%. The allowance for loan losses was 2.14% of loans as of December 31, 2008, compared to 1.68% as of September 30, 2008.

During the fourth quarter, Synovus continued to refine its non-performing asset disposal strategy. In addition to the individual bank teams aggressively identifying and liquidating non-performing assets, Synovus formed a separate subsidiary to purchase certain non-performing assets from its subsidiary banks, assess the economics of disposal of these assets, and centrally and effectively manage the liquidation of these assets. This entity has acquired approximately $500 million of these assets as of December 31, 2008 and has identified approximately $150 million of these assets for liquidation in the near term. These assets have been written down an additional $50 million in the fourth quarter to reflect the estimated proceeds from liquidation.

In the current environment, Synovus has focused on growing deposits faster than loans. Total core deposits (excludes brokered deposits) grew 11.1% (annualized) on a sequential quarter basis and 5.1% over the 2007 year end balance. Shared deposit products that provide up to $7,750,000 of FDIC insurance per individual account were up $852 million in certificate of deposit and money market accounts in the fourth quarter.

Total loans grew 3.9% (annualized) on a sequential quarter basis. Commercial and industrial loans grew 5.9% and retail loans grew 5.5%, while residential construction and development loans declined 15.3% on a sequential quarter annualized basis. The net interest margin for the quarter was 3.20%, compared to 3.42% last quarter. Net interest income for the fourth quarter was $258.0 million compared to $286.7 million in the fourth quarter of 2007.

Reported non-interest expense for the fourth quarter 2008 was $723.2 million. Excluding the goodwill impairment charge, non-interest expense for the fourth quarter of 2008 was $280.5 million compared to $235.2 million in the fourth quarter 2007. The increase consisted primarily of a $59.0 million increase in losses and costs related to foreclosed real estate, $3.7 million increase in professional fees, and a $3.8 million increase in FDIC insurance and other regulatory fees. Synovus’ efforts to manage headcount during 2008 have resulted in a reduction of 451 positions and have caused employment expenses to trend downward by $1.9 million on a linked quarter basis. For the full year 2008, no executive bonuses were paid.

Anthony concluded, "As we look out into 2009, we are fully committed to actively and aggressively deal with our non-performing assets through the activities of our front line bankers as well as the separate subsidiary structured to enhance this capability from the corporate level. We believe continued strong core deposit growth and the U.S. Treasury funds enable us to be aggressive in resolving these credit issues while allowing us to look to the future for growth.”

Synovus will host an earnings highlights conference call at 4:30 pm EDT, on January 22, 2009. Shareholders and other interested persons may listen to this conference call via simultaneous Internet broadcast at www.synovus.com by clicking on the "Live Webcast” icon. You may download RealPlayer or Windows Media Player (free download available) prior to accessing the actual call or the replay. The replay will be archived for 12 months and will be available 30-45 minutes after the call.

Synovus is a financial services holding company with more than $35 billion in assets based in Columbus, Georgia. Synovus provides commercial and retail banking, as well as investment services, to customers through 31 banks, 336 offices, and 440 ATMs in Georgia, Alabama, South Carolina, Florida and Tennessee. The company focuses on its unique decentralized customer delivery model, position in high-growth Southeast markets and commitment to being a great place to work to ensure unparalleled customer experiences. See Synovus on the Web at www.synovus.com.

This press release and certain of our other filings with the Securities and Exchange Commission contains statements that constitute "forward-looking statements” within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934 as amended by the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, among others, our statements regarding (1) actions we are taking to recognize and liquidate non-performing credits; (2) our liquidity position and capital strength in terms of positioning us for growth in the future; (3) our commitment to aggressively deal with credit issues; (4) expectations regarding our capital position and future growth opportunities; and (5) the assumptions underlying our expectations. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and that actual results may differ materially from those contemplated by such forward-looking statements. A number of important factors could cause actual results to differ materially from those contemplated by the forward- looking statements in this press release and our filings with the Securities and Exchange Commission. Many of these factors are beyond Synovus’ ability to control or predict. Factors that could cause actual results to differ materially from those contemplated in this press release and our filings with the Securities and Exchange Commission include: (1) further deteriorations in credit quality, particularly in residential construction and development loans, may continue to result in increased non-performing assets and credit losses, which will adversely impact us; (2) declining values of residential real estate may result in further write-downs of assets, which may increase our credit losses and negatively affect our financial results; (3) continuing weakness in the residential real estate environment may negatively impact our ability to liquidate non-performing assets; (4) our ability to manage fluctuations in the value of our assets and liabilities to maintain sufficient capital and liquidity to support our operations; (5) continuing deteriorations in general economic conditions and conditions in the financial markets; (6) inadequacy of our allowance for loan losses, or the risk that the allowance may prove to be inadequate or may be negatively affected by credit risk exposures; (7) changes in the interest rate environment which may increase funding costs and reduce earning assets yields, thus reducing margins; (8) changes in accounting standards, particularly those related to determination of allowance for loan losses and fair value of assets; (9) slower than anticipated rates of growth in non-interest income; (10) impact of the Emergency Economic Stabilization Act and other recent and proposed changes in the regulation of banks and financial institutions; (11) restrictions or limitations on access to funds from subsidiaries, thereby restricting our ability to make payments on our obligations or dividend payments; (12) risks associated with litigation; (13) the impact on our borrowing costs, capital cost and our liquidity if we do not retain our current credit ratings; (14) the volatility of our stock price; and (15) and the other factors set forth in Synovus’ filings with the Securities and Exchange Commission, including its Annual Report on Form 10-K, quarterly reports on Form 10-Q and current reports on Form 8-K. We believe these forward-looking statements are reasonable; however, undue reliance should not be placed on any forward-looking statements, which are based on current expectations. We do not assume any obligation to update any forward-looking statements as a result of new information, future developments or otherwise.

	Synovus
		INCOME STATEMENT DATA		Twelve Months Ended
		(Unaudited)
		(In thousands, except share data)		December 31,
				2008		2007		Change
		Interest income (taxable equivalent)	$	1,862,479		2,243,463		(17.0)	%
		Interest expense		779,687		1,089,456		(28.4)
		Net interest income (taxable equivalent)		1,082,792		1,154,007		(6.2)
		Tax equivalent adjustment		4,899		5,059		(3.2)
		Net interest income		1,077,893		1,148,948		(6.2)
		Provision for loan losses		699,883		170,208		311.2
		Net interest income after provision		378,010		978,740		(61.4)
		Non-interest income:
		Service charges on deposit accounts		111,837		112,142		(0.3)
		Fiduciary and asset management fees		48,779		50,761		(3.9)
		Brokerage and investment banking revenue		33,119		31,980		3.6
		Mortgage banking income		23,493		27,006		(13.0)
		Bankcard fees		53,153		47,770		11.3
		Net gains on sales of available for sale investment securities		45		980		(95.4)
		Other fee income		37,246		39,307		(5.2)
		Increase in fair value of private equity investments, net		24,995		16,497		51.5
		Proceeds from sale of MasterCard shares		16,186		6,304		156.8
		Proceeds from Visa IPO		38,542		-		nm
		Other non-interest income		47,795		56,281		(15.1)
		Total non-interest income		435,190		389,028		11.9
		Non-interest expense:
		Salaries and other personnel expense		458,927		455,158		0.8
		Net occupancy and equipment expense		124,444		112,888		10.2
		FDIC insurance and other regulatory fees		25,161		10,347		143.2
		Foreclosed real estate		136,678		15,736		nm
		Losses on impaired loans held for sale		9,909		-		nm
		Visa litigation (recovery) expense		(17,473)		36,800		(147.5)
		Goodwill impairment		479,617		-		nm
		Professional fees		30,276		21,255		42.4
		Restructuring charges		16,125		-		nm
		Other operating expense		201,957		187,910		7.5
		Total non-interest expense		1,465,621		840,094		74.5
		Minority interest in consolidated subsidiaries		7,712		-		nm
		Income (loss) from continuing operations before income taxes		(660,133)		527,674		(225.1)
		Income tax (benefit) expense		(77,695)		184,739		(142.1)
		Income (loss) from continuing operations		(582,438)		342,935		(269.8)
		Income from discontinued operations, net of income taxes
		and minority interest (1)		-		183,370		nm
		Net income (loss)	$	(582,438)		526,305		(210.7)	%
		Dividends on preferred stock		2,057		-		nm
		Net income (loss) available to common shareholders	$	(584,495)		526,305		(211.1)	%
		Basic earnings per share
		Income (loss) from continuing operations	$	(1.77)		1.05		(269.2)	%
		Net income (loss)		(1.77)		1.61		(210.2)
		Diluted earnings per share
		Income (loss) from continuing operations		(1.77)		1.04		(270.7)
		Net income (loss)		(1.77)		1.60		(211.2)
		Cash dividends declared per share		0.46		0.82		(43.9)
		Return on average assets from continuing operations		(1.71)		1.04		(275)	bp
		Return on average assets		(1.71)		1.60		(331)
		Return on average common equity from continuing operations		(17.19)		8.71		(2,590)
		Return on average common equity		(17.19)		13.37		(3,056)
		Average shares outstanding - basic		329,319		326,849		0.8	%
		Average shares outstanding - diluted		329,319		329,863		(0.2)
	bp - change is measured as difference in basis points.
	nm - not meaningful
	(1) On December 31, 2007, Synovus Financial Corp. completed the spin-off of its shares of Total System Services, Inc. ("TSYS") common stock to Synovus shareholders. In accordance with the provisions of Statement of Financial Accounting Standards (SFAS) No. 144, "Accounting for the Impairment or Disposal of Long-Lived Assets," and SFAS No. 146, "Accounting for Costs Associated with Exit or Disposal Activities," the historical consolidated results of operations of TSYS, as well as all costs recorded by Synovus Financial Corp. associated with the spin-off of TSYS, are now presented as a discontinued operation. Additionally, discontinued operations for the twelve months ended December 31, 2007 includes a $4.2 million after-tax gain related to the transfer of Synovus' proprietary mutual funds to a non-affiliated third party.

	Synovus
		INCOME STATEMENT DATA
		(Unaudited)
		(In thousands, except per share data)		2008											2007		4th Quarter
				Fourth			Third			Second		First			Fourth		'08 vs. '07
				Quarter			Quarter			Quarter		Quarter			Quarter		Change
		Interest income (taxable equivalent)	$	441,749			456,400			459,274		505,057			554,989		(20.4	)	%
		Interest expense		182,312			187,425			184,719		225,232			267,102		(31.7	)
		Net interest income (taxable equivalent)		259,437			268,975			274,555		279,825			287,887		(9.9	)
		Tax equivalent adjustment		1,412			1,177			1,134		1,176			1,202		17.5
		Net interest income		258,025			267,798			273,421		278,649			286,685		(10.0	)
		Provision for loan losses		363,867			151,351			93,616		91,049			70,642		415.1
		Net interest income after provision		(105,842	)		116,447			179,805		187,600			216,043		(149.0	)
		Non-interest income:
		Service charges on deposit accounts		29,244			28,132			26,070		28,391			28,985		0.9
		Fiduciary and asset management fees		11,168			12,095			12,898		12,621			13,110		(14.8	)
		Brokerage and investment banking revenue		7,528			7,898			9,206		8,487			8,598		(12.4	)
		Mortgage banking income		5,170			4,476			5,686		8,161			6,130		(15.7	)
		Bankcard fees		13,365			13,371			14,198		12,218			12,400		7.8
		Net gains on sales of available for sale investment securities		45			-			-		-			90		(50.0	)
		Other fee income		7,207			8,773			10,081		11,185			9,559		(24.6	)
		Increase in fair value of private equity investments, net		6,996			13,052			-		4,946			1,150		nm
		Proceeds from sale of MasterCard shares		-			-			16,186		-			3,384		nm
		Proceeds from Visa IPO		-			-			-		38,542			-		nm
		Other non-interest income		7,838			11,158			13,373		15,424			15,592		(49.7	)
		Total non-interest income		88,561			98,955			107,698		139,975			98,998		(10.5	)
		Non-interest expense:
		Salaries and other personnel expense		112,586			114,535			109,676		122,130			109,468		2.8
		Net occupancy and equipment expense		31,255			31,852			31,126		30,211			29,976		4.3
		FDIC insurance and other regulatory fees		6,950			5,960			6,172		6,079			3,108		123.6
		Foreclosed real estate		71,915			43,205			13,677		7,881			12,924		456.4
		Losses on impaired loans held for sale		(35	)		-			9,944		-			-		nm
		Visa litigation (recovery) expense		(6,390	)		6,347			-		(17,430	)		24,800		(125.8	)
		Goodwill impairment		442,730			9,887			27,000		-			-		nm
		Professional fees		9,973			6,909			8,454		4,940			6,307		58.1
		Restructuring charges		2,826			9,048			4,251		-			-		nm
		Other operating expense		51,389			47,341			55,664		47,563			48,626		5.7
		Total non-interest expense		723,199			275,084			265,964		201,374			235,209		207.5
		Minority interest in consolidated subsidiaries		1,365			4,650			138		1,559			-		nm
		Income (loss) from continuing operations before income taxes		(741,845	)		(64,332	)		21,401		124,642			79,832		nm
		Income tax (benefit) expense		(106,435	)		(24,211	)		9,302		43,648			26,690		(498.8	)
		Income (loss) from continuing operations		(635,410	)		(40,121	)		12,099		80,994			53,142		nm
		Income from discontinued operations, net of income taxes
		and minority interest (1)		-			-			-		-			28,717		nm
		Net income (loss)		(635,410	)		(40,121	)		12,099		80,994			81,859		nm
		Dividends on preferred stock		2,057			-			-		-			-		nm
		Net income (loss) available to common shareholders	$	(637,467	)		(40,121	)		12,099		80,994			81,859		nm
		Basic earnings per share
		Income (loss) from continuing operations	$	(1.93	)		(0.12	)		0.04		0.25			0.16		nm
		Net income (loss)		(1.93	)		(0.12	)		0.04		0.25			0.25		nm
		Diluted earnings per share
		Income (loss) from continuing operations		(1.93	)		(0.12	)		0.04		0.24			0.16		nm
		Net income (loss)		(1.93	)		(0.12	)		0.04		0.24			0.25		nm
		Cash dividends declared per share		0.06			0.06			0.17		0.17			0.21		(70.7	)
		Return on average assets from continuing operations*		(7.17	)	%	(0.47	)	%	0.14	%	0.99		%	0.65		nm		bp
		Return on average assets *		(7.17	)		(0.47	)		0.14		0.99			0.96		nm
		Return on average common equity from continuing operations*		(76.55	)		(4.74	)		1.40		9.43			5.17		nm
		Return on average common equity *		(76.55	)		(4.74	)		1.40		9.43			7.97		nm
		Average shares outstanding - basic		329,691			329,438			329,173		328,970			328,052		0.5		%
		Average shares outstanding - diluted		329,691			329,438			331,418		331,719			329,453		0.1
	bp - change is measured as difference in basis points.
	nm - not meaningful
	* - ratios are annualized
(1) On December 31, 2007, Synovus Financial Corp. completed the spin-off of its shares of Total System Services, Inc. ("TSYS") common stock to Synovus shareholders. In accordance with the provisions of Statement of Financial Accounting Standards (SFAS) No. 144, "Accounting for the Impairment or Disposal of Long-Lived Assets," and SFAS No. 146, "Accounting for Costs Associated with Exit or Disposal Activities," the historical consolidated results of operations of TSYS,as well as all costs recorded by Synovus Financial Corp. associated with the spin-off of TSYS, are now presented as a discontinued operation.

	Synovus
		BALANCE SHEET DATA		December 31, 2008			September 30, 2008			December 31, 2007
		(Unaudited)
		(In thousands, except share data)
		ASSETS
		Cash and due from banks	$	524,327			497,419			682,583
		Due from Federal Reserve Bank		1,206,168			-			-
		Interest earning deposits with banks		10,805			2,845			10,950
		Federal funds sold and securities purchased
		under resale agreements		388,197			269,600			76,086
		Trading account assets		24,513			101,889			17,803
		Mortgage loans held for sale		133,637			105,068			153,437
		Impaired loans held for sale		3,527			13,554			-
		Investment securities available for sale		3,892,148			3,831,126			3,666,974
		Loans, net of unearned income		27,920,177			27,647,983			26,498,585
		Allowance for loan losses		(598,301	)		(463,836	)		(367,613	)
		Loans, net		27,321,876			27,184,147			26,130,972
		Premises and equipment, net		605,019			595,646			547,437
		Goodwill		39,521			482,251			519,138
		Other intangible assets, net		21,266			23,579			28,007
		Other assets		1,512,156			1,232,017			1,185,065
		Total assets	$	35,683,160			34,339,141			33,018,452
		LIABILITIES AND SHAREHOLDERS' EQUITY
		Liabilities:
		Deposits:
		Non-interest bearing retail and commercial deposits	$	3,563,619			3,479,314			3,472,423
		Interest bearing retail and commercial deposits		18,715,482			18,194,976			17,734,851
		Total retail and commercial deposits		22,279,101			21,674,290			21,207,274
		Brokered deposits		6,338,078			6,174,573			3,752,542
		Total deposits		28,617,179			27,848,863			24,959,816
		Federal funds purchased and other short-term liabilities
				725,869			674,501			2,319,412
		Long-term debt		2,088,301			2,120,546			1,890,235
		Other liabilities		422,521			286,348			407,399
		Total liabilities		31,853,870			30,930,258			29,576,862
		Minority interest in consolidated subsidiaries		32,349			30,606			-
		Shareholders' equity:
		Cumulative perpetual preferred stock, no par value (1)		919,635			-			-
		Common stock, par value $1.00 a share (2)		336,011			335,972			335,529
		Additional paid-in capital		1,117,340			1,114,130			1,101,209
		Capital surplus common stock warrants		48,545			-			-
		Treasury stock (3)		(114,117	)		(114,117	)		(113,944	)
		Accumulated other comprehensive income		140,784			36,253			31,439
		Retained earnings		1,348,743			2,006,039			2,087,357
		Total shareholders' equity		3,796,941			3,378,277			3,441,590
		Total liabilities and shareholders' equity	$	35,683,160			34,339,141			33,018,452
		(1) Preferred shares outstanding: 967,870 at December 31, 2008.
		(2) Common shares outstanding: 330,334,111; 330,294,672; and 329,867,944 at December 31, 2008, September 30, 2008, and December 30, 2007, respectively.
		(3) Treasury shares: 5,676,830 at December 31, 2008 and September 30, 2008; and 5,661,538 at December 31, 2007.

	Synovus
	AVERAGE BALANCES AND YIELDS/RATES *
	(Unaudited)
	(Dollars in thousands)
				2008									2007				Twelve months ended
				Fourth			Third		Second		First		Fourth				December 31,
				Quarter			Quarter		Quarter		Quarter		Quarter				2008			2007
	Interest Earning Assets
	Taxable Investment Securities		$	3,671,637			3,670,315		3,556,381		3,485,370		3,496,843			$	3,596,336			3,429,175
		Yield		4.78		%	4.91		5.00		5.01		4.90				4.91		%	4.83
	Tax-Exempt Investment Securities		$	122,332			128,241		137,606		154,408		164,587			$	135,590			174,431
		Yield (taxable equivalent)		6.79		%	6.74		7.34		7.00		6.82				6.98		%	6.77
	Trading Account Assets		$	29,727			30,584		26,531		36,652		29,698			$	30,870			52,274
		Yield		5.10		%	6.77		5.88		6.96		7.05				6.13		%	6.45
	Commercial Loans		$	23,870,384			23,302,028		23,183,128		22,763,954		22,157,460			$	23,280,572			21,742,770
		Yield		5.46		%	5.78		5.96		6.79		7.69				5.98		%	8.06
	Consumer Loans		$	4,347,332			4,267,477		4,115,130		4,026,942		3,969,824			$	4,189,865			3,779,553
		Yield		5.88		%	6.19		6.29		6.97		7.52				6.35		%	7.69
	Allowance for Loan Losses		$	(473,875	)		(422,331	)	(397,392	)	(381,695	)	(357,283	)		$	(418,983	)		(335,033	)
	Loans, Net		$	27,743,841			27,147,174		26,900,866		26,409,201		25,770,001			$	27,051,454			25,187,290
		Yield		5.63		%	5.95		6.12		6.94		7.79				6.15		%	8.13
	Mortgage Loans Held for Sale		$	98,362			108,873		157,049		121,806		108,044			$	121,425			152,007
		Yield		5.96		%	6.91		5.86		5.57		6.12				6.05		%	6.36
	Federal Funds Sold, Balances with Federal Reserve
	and Other Short-Term Investments		$	642,396			211,323		201,081		128,381		110,745			$	296,511			118,488
		Yield		0.60		%	1.88		1.83		3.41		4.63				1.31		%	5.28
	Total Interest Earning Assets		$	32,308,295			31,296,510		30,979,514		30,335,818		29,679,918			$	31,232,186			29,113,665
		Yield		5.44		%	5.81		5.96		6.69		7.42				5.96		%	7.71
	Interest Bearing Liabilities
	Interest Bearing Demand Deposits		$	3,201,355			3,076,447		3,154,884		3,200,650		3,200,408			$	3,158,228			3,125,802
		Rate		0.80		%	1.07		1.10		1.56		1.99				1.13		%	2.20
	Money Market Accounts		$	6,129,751			6,771,080		6,826,724		7,017,644		7,502,063			$	6,684,813			7,281,620
		Rate		1.80		%	2.19		2.15		2.98		3.92				2.30		%	4.30
	Savings Deposits		$	442,623			457,526		461,970		448,581		454,204			$	452,661			483,368
		Rate		0.22		%	0.25		0.25		0.28		0.35				0.25		%	0.52
	Time Deposits Under $100,000		$	3,264,401			3,055,465		2,814,714		2,777,764		2,790,869			$	2,979,080			2,940,920
		Rate		3.64		%	3.69		3.97		4.44		4.69				3.92		%	4.78
	Time Deposits Over $100,000 (less brokered time deposits)
			$	5,386,772			4,731,468		4,316,454		4,171,716		4,006,350			$	4,653,829			4,063,428
		Rate		3.63		%	3.79		4.09		4.69		4.98				4.01		%	5.11
	Total Interest Bearing Core Deposits		$	18,424,902			18,091,986		17,574,746		17,616,355		17,953,894			$	17,928,611			17,895,138
		Rate		2.45		%	2.62		2.68		3.29		3.84				2.76		%	4.10
	Brokered Money Market Accounts		$	1,982,179			1,271,113		1,082,805		854,385		467,346			$	1,299,418			432,740
		Rate		1.27		%	2.27		2.54		3.50		4.89				2.14		%	5.27
	Brokered Time Deposits		$	4,549,164			3,968,783		3,495,947		3,300,677		2,941,592			$	3,830,994			3,084,006
		Rate		3.70		%	3.61		3.64		4.35		4.98				3.80		%	5.08
	Total Interest Bearing Deposits		$	24,956,245			23,331,882		22,153,498		21,771,417		21,362,832				23,059,023			21,411,884
		Rate		2.58		%	2.77		2.82		3.46		4.02			$	2.77		%	4.15
	Federal Funds Purchased and Other
	Short-Term Liabilities		$	876,330			1,459,097		2,302,986		2,253,640		2,472,339			$	1,719,979			1,957,990
		Rate		0.90		%	1.94		2.03		3.18		4.37				2.21		%	4.67
	Long-Term Debt		$	2,106,785			2,119,321		2,048,213		1,930,412		1,819,198			$	2,051,521			1,619,536
		Rate		3.44		%	3.32		3.44		4.21		5.08				3.53		%	5.10
	Total Interest Bearing Liabilities		$	27,939,360			26,910,300		26,504,697		25,955,469		25,654,369			$	26,830,523			24,989,410
		Rate		2.59		%	2.77		2.80		3.48		4.12				2.90		%	4.35
	Non-Interest Bearing Demand Deposits		$	3,508,753			3,463,563		3,448,794		3,338,106		3,422,684			$	3,440,047			3,409,506
	Net Interest Margin			3.20		%	3.42		3.57		3.71		3.86				3.47		%	3.97
	* Yields and rates are annualized.
(1) On December 31, 2007, Synovus Financial Corp. completed the spin-off of its shares of Total System Services, Inc. ("TSYS") common stock to Synovus shareholders. In accordance with the provisions of Statement of Financial Accounting Standards No. 144, "Accounting for the Impairment or Disposal of Long-Lived Assets," the historical consolidated results of operations, assets, and liabilities of TSYS are now presented as a discontinued operation. Accordingly, the above earning assets, liabilities, yields, and cost of funds exclude the amounts related to TSYS due to the de-consolidation of TSYS.

Synovus
LOANS OUTSTANDING AND NONPERFORMING LOANS COMPOSITION
(Unaudited)
(Dollars in thousands)
		December 31, 2008
					Loans as a % of Total Loans Outstanding				Total Nonperforming Loans				Nonperforming Loans as a % of Total Nonperforming Loans
Loan Type		Total Loans
Multi-Family	$	570,131			2.0		%	$	3,675				0.4		%
Hotels		984,205			3.5				9,522				1.0
Office Buildings		1,003,407			3.6				7,424				0.8
Shopping Centers		1,066,848			3.8				3,831				0.4
Commercial Development		875,747			3.1				24,876				2.7
Other Investment Property		961,570			3.4				9,567				1.0
Total Investment Properties		5,461,908			19.4				58,895				6.3
1-4 Family Construction		1,615,378			5.8				257,634				28.0
1-4 Family Perm / Mini-Perm		1,416,838			5.1				51,441				5.6
Residential Development		2,124,059			7.6				231,380				25.1
Total 1-4 Family Properties		5,156,275			18.5				540,455				58.7
Land Acquisition		1,559,183			5.6				104,824				11.4
Total Commercial Real Estate		12,177,366			43.5				704,174				76.4
Commercial, Financial, and Agricultural		6,874,904			24.6				105,400				11.4
Owner-Occupied		4,521,414			16.2				74,636				8.1
Total Commercial & Industrial		11,396,318			40.8				180,036				19.5
Home Equity		1,724,062			6.2				8,151				0.9
Consumer Mortgages		1,761,756			6.3				26,558				2.9
Credit Card		295,055			1.1				-				-
Other Retail Loans		603,003			2.2				2,789				0.3
Total Retail		4,383,876			15.8				37,498				4.1
Unearned Income		(37,383	)		(0.1	)			-				-
Total	$	27,920,177			100.0		%	$	921,708				100.0		%
LOANS OUTSTANDING BY TYPE COMPARISON
(Unaudited)
(Dollars in thousands)
					Total Loans September 30, 2008				4Q08 vs. 3Q08 % change (1)							4Q08 vs. 4Q07 % change
Loan Type		December 31, 2008											December 31, 2007
Multi-Family	$	570,131			555,207				10.7		%	$	452,163			26.1		%
Hotels		984,205			830,981				73.4				614,979			60.0
Office Buildings		1,003,407			960,319				17.8				953,093			5.3
Shopping Centers		1,066,848			1,005,094				24.4				834,025			27.9
Commercial Development		875,747			912,073				(15.8	)			961,271			(8.9	)
Other Investment Property		961,570			948,253				5.6				714,296			34.6
Total Investment Properties		5,461,908			5,211,927				19.1				4,529,827			20.6
1-4 Family Construction		1,615,378			1,772,559				(35.3	)			2,238,925			(27.9	)
1-4 Family Perm / Mini-Perm		1,416,838			1,367,807				14.3				1,273,843			11.2
Residential Development		2,124,059			2,222,496				(17.6	)			2,311,459			(8.1	)
Total 1-4 Family Properties		5,156,275			5,362,862				(15.3	)			5,824,227			(11.5	)
Land Acquisition		1,559,183			1,560,734				(0.4	)			1,545,933			0.9
Total Commercial Real Estate		12,177,366			12,135,523				1.4				11,899,987			2.3
Commercial, Financial, and Agricultural		6,874,904			6,841,197				2.0				6,420,689			7.1
Owner-Occupied		4,521,414			4,388,945				12.0				4,226,707			7.0
Total Commercial & Industrial		11,396,318			11,230,142				5.9				10,647,396			7.0
Home Equity		1,724,062			1,681,475				10.1				1,543,701			11.7
Consumer Mortgages		1,761,756			1,759,518				0.5				1,667,924			5.6
Credit Card		295,055			291,162				5.3				291,149			1.3
Other Retail Loans		603,003			592,067				7.3				494,591			21.9
Total Retail		4,383,876			4,324,222				5.5				3,997,365			9.7
Unearned Income		(37,383	)		(41,904	)			(42.9	)			(46,163	)		(19.0	)
Total	$	27,920,177			27,647,983				3.9		%	$	26,498,585			5.4		%
(1) Percentage change is annualized.

	Synovus
		CREDIT QUALITY DATA
		(Unaudited)
		(Dollars in thousands)		2008								2007		4th Quarter
				Fourth		Third		Second		First		Fourth		'08 vs. '07
				Quarter		Quarter		Quarter		Quarter		Quarter		Change
		Nonperforming Loans (1)	$	921,708		769,950		626,571		515,302		342,082		169.4	%
		Impaired Loans Held for Sale (2)		3,527		13,554		6,365		42,270		-		NM
		Other Real Estate		246,121		215,082		197,328		121,753		101,487		142.5
		Nonperforming Assets		1,171,356		998,586		830,264		679,325		443,569		164.1
		Allowance for Loan Losses		598,301		463,836		417,813		394,848		367,613		62.8
		Net Charge-Offs - Quarter		229,402		105,328		70,652		63,813		59,916		282.9
		Net Charge-Offs - YTD		469,195		239,793		134,465		63,813		117,055		300.8
		Net Charge-Offs / Average Loans - Quarter (3)		3.25	%	1.53		1.04		0.95		0.91
		Net Charge-Offs / Average Loans - YTD (3)		1.71		1.18		0.99		0.95		0.46
		Nonperforming Loans / Loans		3.30		2.78		2.28		1.90		1.29
		Nonperforming Assets / Loans, Impaired Loans Held for Sale & ORE		4.16		3.58		3.00		2.49		1.67
		Allowance / Loans		2.14		1.68		1.52		1.46		1.39
		Allowance / Nonperforming Loans		64.91		60.24		66.68		76.62		107.46
		Allowance / Nonperforming Loans (excluding impaired loans
		for which there is no related allowance for loan losses (4))		197.10		202.29		206.82		220.89		337.49
		Past Due Loans over 90 days and Still Accruing		38,794		49,868		39,614		43,009		33,663		15.2	%
		As a Percentage of Loans Outstanding		0.14		0.18		0.14		0.16		0.13
		Total Past Dues Loans and Still Accruing		362,538		403,180		365,046		377,999		270,496		34.0
		As a Percentage of Loans Outstanding		1.30		1.46		1.33		1.39		1.02
(1) Includes $618.2 million, $540.7 million, $424.5 million, $336.5 million, and $233.2 million at December 31, 2008, September 30, 2008, June 30, 2008, March 31, 2008, and December 31, 2007, respectively, of loans considered to be impaired (consisting of collateral dependent loans) for which there is no related allowance for loan losses determined in accordance with SFAS No. 114, "Accounting by Creditors for Impairment of a Loan." The allowance on these loans is zero because the estimated losses on collateral dependent impaired loans have been charged-off, at the time these loans were considered to be impaired.
(2) Represent impaired loans that are intended to be sold. Held for sale loans are carried at the lower of cost or fair value.
(3) Ratio is annualized.
(4) Impaired loans for which there is no related allowance for loan losses as described in note (1).
		SELECTED CAPITAL INFORMATION (1)
		(Unaudited)
		(Dollars in thousands)
				December 31, 2008		September 30, 2008		December 31, 2007
		Tier 1 Capital	$	3,601,099		2,842,587		2,870,558
		Total Risk-Based Capital		4,672,571		3,936,665		3,988,171
		Tier 1 Capital Ratio		11.22	%	8.81		9.11
		Total Risk-Based Capital Ratio		14.55		12.20		12.66
		Leverage Ratio		10.27		8.49		8.65
		Common Equity as a Percentage of Total Assets		8.06		9.84		10.42
		Tangible Common Equity as a Percentage of Tangible Assets (2)		7.91		8.49		8.91
		Book Value Per Common Share		8.71		10.23		10.43
		Tangible Book Value Per Common Share (2)		8.53		8.70		8.78
(1) Current quarter regulatory capital information is preliminary.
(2) Excludes the carrying value of goodwill and other intangible assets from shareholders' equity and total assets.