Atlantic Union Bankshares FY Conference Summary Company Overview - Atlantic Union Bankshares is the number one regional bank by depository market share in Maryland and Virginia, with a significant transformation from a community bank to a premier regional bank in the lower Mid-Atlantic [2][3] - The company has completed four acquisitions since 2016, including Xenith Bank, Access National Bank, American National Bank, and Sandy Spring Bank, which has helped in expanding its market presence [4][5] Financial Performance - The compound annual growth rate (CAGR) over the past seven years is 19%, with an organic growth rate of 7% [5] - The company aims to grow tangible capital by 12%-15% in 2026, indicating a focus on disciplined execution and organic growth [7][20] - Atlantic Union Bank has achieved a return on assets (ROA) of 1.42% in Q4 2025, with expectations for further improvement in 2026 [18] Market Position and Strategy - The bank operates in affluent markets with low unemployment rates, particularly in Maryland and Virginia, where median household incomes are among the highest in the U.S. [12] - The company is expanding its presence in North Carolina, with plans to open 10 new branches and enhance its commercial banking efforts [13][46] - Atlantic Union Bank is focused on organic growth rather than whole bank acquisitions, prioritizing strategic investments in technology and specialty finance areas [9][49] Loan and Deposit Trends - The loan pipeline remains strong, with particular strength in commercial industrial banking and multifamily real estate [31][32] - There is competitive pricing pressure on loans and deposits, but the bank maintains a disciplined approach to asset quality [43][44] Capital Management - The bank targets a Common Equity Tier 1 (CET1) capital ratio of 9.5%-10.5%, with plans for share repurchase authorization if the CET1 exceeds 10.5% [23][54] - Over the past several years, Atlantic Union Bank has returned approximately $1.1 billion to shareholders, including dividends and share repurchases [22] Technology and Innovation - The bank is investing in AI initiatives to improve productivity and operational efficiency, with applications in fraud detection and customer service [49][60] - Atlantic Union Bank is also exploring strategic investments in fintech and payment-related opportunities to enhance service offerings [51] Leadership Transition - CFO Rob Gorman will retire in the fall, with Alex Dodd set to take over, ensuring a smooth transition [29] Conclusion - Atlantic Union Bankshares is positioned for continued growth through organic strategies, disciplined capital management, and a focus on enhancing its market presence in the lower Mid-Atlantic region [6][29]