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Associated Banc-Corp Reports First Quarter 2025 Net Income Available to Common Equity of $99 Million, or $0.59 per Common Share

1. ASB reported Q1 2025 earnings of $99 million, a significant turnaround. 2. Loan and deposit growth exceeded $500 million, showing strong bank performance. 3. The net interest margin increased to 2.97%, supporting profitability. 4. Despite macroeconomic uncertainties, ASB's capital position and credit quality remain strong. 5. Projected total net interest income growth of 12%-13% suggests positive outlook.

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$22.0204/24 04:22 PM EDTEvent Start
$22.3304/25 10:37 PM EDTLatest Updated
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FAQ

Why Bullish?

The significant shift from a loss to profit, along with strong loan growth, indicates robust operational health. Historical performance shows that similar quarterly turnarounds often lead to positive stock reactions in the banking sector.

How important is it?

The article highlights key financial metrics and management's strategic outlook, which are crucial for ASB's valuation and investor sentiment.

Why Short Term?

Investors are likely to respond quickly to the strong quarterly results, as evidenced by historical trends in market reactions to earnings announcements in the banking industry.

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, /PRNewswire/ -- Associated Banc-Corp (NYSE: ASB) ("Associated" or "Company") today reported net income available to common equity ("earnings") of $99 million, or $0.59 per common share, for the quarter ended March 31, 2025. These amounts compare to a loss of $164 million, or $1.03 per common share, for the quarter ended December 31, 2024 and earnings of $78 million, or $0.52 per common share, for the quarter ended March 31, 2024. "2025 is off to a strong start at Associated Bank," said President and CEO Andy Harmening. "During the first quarter, we achieved several key milestones of our strategic plan, completing our commercial expansion, achieving a record-high net promoter score, and finalizing the balance sheet repositioning we announced in December. Importantly, the emerging momentum from our initiatives helped us deliver another strong financial quarter, with over $500 million in loan and deposit growth, 16 basis points of margin expansion, ten basis points of CET1 capital accretion and solid credit quality trends." "The current macroeconomic environment has added an element of uncertainty for the industry, but here at Associated, we're entering this period of uncertainty with the major investments in our strategic plan completed, a strengthened profitability profile, a solid capital position, and a foundational discipline on credit and risk management. We continue to feel well-positioned to deliver enhanced value for our stakeholders in 2025." First Quarter 2025 Highlights (all comparisons to Fourth Quarter 2024) Diluted earnings per common share of $0.59 Total period end loan growth of $526 million Total period end deposit growth of $548 million Total period end core customer deposit1 growth of $503 million Net interest income of $286 million Net interest margin of 2.97% Noninterest income of $59 million Noninterest expense of $211 million Provision for credit losses of $13 million Allowance for credit losses on loans / total loans of 1.34% Net charge offs / average loans (annualized) of 0.12% 1 This is a non-GAAP financial measure. See financial tables for a reconciliation of non-GAAP financial measures to GAAP financial measures. Loans First quarter 2025 average total loans of $30.1 billion decreased $91 million from the prior quarter and increased 3%, or $742 million, from the same period last year. With respect to first quarter 2025 average balances by loan category: Commercial and business lending increased $250 million from the prior quarter and increased $908 million from the same period last year to $11.7 billion. Commercial real estate lending increased $107 million from the prior quarter and decreased $76 million from the same period last year to $7.3 billion. Consumer lending decreased $448 million from the prior quarter and decreased $90 million from the same period last year to $11.1 billion. First quarter 2025 period end total loans of $30.3 billion increased 2%, or $526 million, from the prior quarter and increased 3%, or $800 million, from the same period last year. With respect to first quarter 2025 period end balances by loan category: Commercial and business lending increased $327 million from the prior quarter and increased $1.1 billion from the same period last year to $12.0 billion. Commercial real estate lending increased $196 million from the prior quarter and increased $85 million the same period last year to $7.4 billion. Consumer lending increased $3 million from the prior quarter and decreased $374 million from the same period last year to $10.8 billion. We continue to expect 2025 period end loan growth of 5% to 6% as compared to the year ended December 31, 2024. Deposits First quarter 2025 average deposits of $34.8 billion increased 1%, or $496 million, from the prior quarter and increased 5%, or $1.6 billion, from the same period last year. With respect to first quarter 2025 average balances by deposit category: Noninterest-bearing demand deposits decreased $98 million from the prior quarter and decreased $242 million from the same period last year to $5.6 billion. Savings increased $30 million from the prior quarter and increased $234 million from the same period last year to $5.2 billion. Interest-bearing demand deposits increased $408 million from the prior quarter and increased $542 million from the same period last year to $8.0 billion. Money market deposits increased $155 million from the prior quarter and decreased $37 million from the same period last year to $6.1 billion. Total time deposits decreased $157 million from the prior quarter and increased $873 million from the same period last year to $8.1 billion. Network transaction deposits increased $157 million from the prior quarter and increased $196 million from the same period last year to $1.8 billion. First quarter 2025 period end deposits of $35.2 billion increased 2%, or $548 million, from the prior quarter and increased 4%, or $1.5 billion, from the same period last year. With respect to first quarter 2025 period end balances by deposit category: Noninterest-bearing demand deposits increased $360 million from the prior quarter and decreased $118 million from the same period last year to $6.1 billion. Savings increased $114 million from the prior quarter and increased $123 million from the same period last year to $5.2 billion. Interest-bearing demand deposits decreased $50 million from the prior quarter and increased $328 million from the same period last year to $9.1 billion. Money market deposits increased $182 million from the prior quarter and increased $98 million from the same period last year to $6.8 billion. Total time deposits decreased $59 million from the prior quarter and increased $1.1 billion from the same period last year to $7.9 billion. Network transaction deposits (included in money market and interest-bearing demand deposits) increased $125 million from the prior quarter and increased $90 million from the same period last year to $1.9 billion. We continue to expect 2025 period end total deposit growth of 1% to 2% and period end core customer deposit growth of 4% to 5% as compared to the year ended December 31, 2024. Net Interest Income and Net Interest Margin First quarter 2025 net interest income of $286 million increased $16 million from the prior quarter and increased $28 million from the same period last year. The net interest margin increased to 2.97%, reflecting a 16 basis point increase from the prior quarter and an 18 basis point increase from the same period last year. The average yield on total loans for the first quarter of 2025 decreased 15 basis points from the prior quarter and decreased 39 basis points from the same period last year to 5.83%. The average cost of total interest-bearing liabilities for the first quarter of 2025 decreased 23 basis points from the prior quarter and decreased 49 basis points from the same period last year to 3.06%. The net free funds benefit for the first quarter of 2025 decreased 6 basis points from the prior quarter and decreased 12 basis points from the same period last year to 0.58%. We continue to expect total net interest income growth of 12% to 13% in 2025. Noninterest Income First quarter 2025 total noninterest income of $59 million increased $266 million from the prior quarter and decreased $6 million, or 10%, from the same period last year. The increase relative to the prior quarter was primarily driven by nonrecurring items recognized in the fourth quarter of 2024 as a result of the balance sheet repositioning announced in December of 2024. The decrease relative to the same period last year was primarily driven by a $7 million loss related to the settlement of the mortgage sale announced in December of 2024. With respect to first quarter 2025 noninterest income line items: The Company recognized a small investment securities net gain in the first quarter of 2025 as compared to a $148 million net loss in the prior quarter and a $4 million net gain in the same period last year. The loss in the prior quarter was primarily driven by a net loss on a sale of investments recognized in the fourth quarter of 2024 as a result of the balance sheet repositioning announced in December of 2024. The Company incurred a loss on mortgage portfolio sale of $7 million in the first quarter of 2025 as compared to a $130 million loss in the prior quarter and no loss in the same period last year. The current and prior quarter losses were driven by the mortgage portfolio sale as a result of the balance sheet repositioning announced in December of 2024. Capital markets, net decreased $5 million from the prior quarter and increased slightly from the same period last year. Wealth management fees decreased $2 million from the prior quarter and increased $1 million from the same period last year. Card-based fees decreased $2 million from the prior quarter and decreased $1 million from the same period last year. After adjusting to exclude the fourth quarter 2024 and first quarter 2025 impacts of the mortgage and investment securities sales we announced in December 2024, we continue to expect total noninterest income growth of between 0% and 1% in 2025. Noninterest Expense First quarter 2025 total noninterest expense of $211 million decreased $14 million from the prior quarter, driven primarily by a $14 million expense for a loss on prepayments of FHLB advances recognized in the fourth quarter of 2024 as a result of the balance sheet repositioning announced in December of 2024, and increased $13 million from the same period last year. With respect to first quarter 2025 noninterest expense line items: Personnel expense decreased $2 million from the prior quarter and increased $5 million from the same period last year. Occupancy expense increased $1 million from the prior quarter and increased $2 million from the same period last year. FDIC assessment expense increased $1 million from the prior quarter and decreased $4 million from the same period last year. Other noninterest expense increased $1 million from the prior quarter and increased $7 million from the same period last year. After adjusting to exclude the $14 million impact of the loss on prepayments of FHLB advances recognized in the fourth quarter of 2024, we continue to expect total noninterest expense to grow by 3% to 4% in 2025. Taxes First quarter 2025 tax expense was $19 million compared to a $16 million tax benefit in the prior quarter and $20 million of tax expense in the same period last year. First quarter 2025 tax expense included a $6 million benefit from a partial release of a valuation allowance on deferred taxes. The tax benefit recognized in the prior quarter was primarily driven by a loss on income before income taxes as a result of nonrecurring items associated with the balance sheet repositioning announced in December 2024. The effective tax rate for the first quarter of 2025 was 16.0% compared to an effective tax rate of 19.8% in the same period last year. We continue to expect the annual effective tax rate to be between 19% and 21% in 2025. Credit First quarter 2025 provision for credit losses on loans was $13 million, compared to a provision of $17 million in the prior quarter and a provision of $24 million in the same period last year. With respect to first quarter 2025 credit quality: Nonaccrual loans of $135 million increased $12 million from the prior quarter and decreased $44 million from the same period last year. The nonaccrual loans to total loans ratio was 0.44% in the first quarter, up from 0.41% in the prior quarter and down from 0.60% in the same period last year. First quarter 2025 net charge offs of $9 million decreased compared to net charge offs of $12 million in the prior quarter and decreased compared to net charge offs of $22 million in the same period last year. The allowance for credit losses on loans (ACLL) of $407 million increased $4 million compared to the prior quarter and increased $19 million compared to the same period last year. The ACLL to total loans ratio was 1.34% in the first quarter, down from 1.35% in the prior quarter and up from 1.31% in the same period last year. In 2025, we continue to expect to adjust provision to reflect changes to risk grades, economic conditions, loan volumes, and other indications of credit quality. Capital The Company's capital position remains strong, with a CET1 capital ratio of 10.11% at March 31, 2025. The Company's capital ratios continue to be in excess of the Basel III "well-capitalized" regulatory benchmarks on a fully phased in basis. FIRST QUARTER 2025 EARNINGS RELEASE CONFERENCE CALL The Company will host a conference call for investors and analysts at 4:00 p.m. Central Time (CT) today, April 24, 2025. Interested parties can access the live webcast of the call through the Investor Relations section of the Company's website, http://investor.associatedbank.com. Parties may also dial into the call at 877-407-8037 (domestic) or 201-689-8037 (international) and request the Associated Banc-Corp first quarter 2025 earnings call. The first quarter 2025 financial tables with an accompanying slide presentation will be available on the Company's website just prior to the call. An audio archive of the webcast will be available on the Company's website approximately fifteen minutes after the call is over. ABOUT ASSOCIATED BANC-CORP Associated Banc-Corp (NYSE: ASB) has total assets of $43 billion and is the largest bank holding company based in Wisconsin. Headquartered in Green Bay, Wisconsin, Associated is a leading Midwest banking franchise, offering a full range of financial products and services from nearly 200 banking locations serving more than 100 communities throughout Wisconsin, Illinois, Minnesota and Missouri. The Company also operates loan production offices in Indiana, Kansas, Michigan, New York, Ohio and Texas. Associated Bank, N.A. is an Equal Housing Lender, Equal Opportunity Lender and Member FDIC. More information about Associated Banc-Corp is available at www.associatedbank.com. FORWARD-LOOKING STATEMENTS Statements made in this presentation which are not purely historical are forward-looking statements, as defined in the Private Securities Litigation Reform Act of 1995. This includes any statements regarding management's plans, objectives, or goals for future operations, products or services, and forecasts of its revenues, earnings, or other measures of performance. Such forward-looking statements may be identified by the use of words such as "believe," "expect," "anticipate," "plan," "estimate," "should," "intend," "target," "outlook," "project," "guidance," "forecast," or similar expressions. Forward-looking statements are based on current management expectations and, by their nature, are subject to risks and uncertainties. Actual results may differ materially from those contained in the forward-looking statements. Factors which may cause actual results to differ materially from those contained in such forward-looking statements include those identified in the Company's most recent Form 10-K and subsequent Form 10-Qs and other SEC filings, and such factors are incorporated herein by reference. NON-GAAP FINANCIAL MEASURES This press release and related materials may contain references to measures which are not defined in generally accepted accounting principles ("GAAP"). Information concerning these non-GAAP financial measures can be found in the financial tables. Management believes these measures are meaningful because they reflect adjustments commonly made by management, investors, regulators, and analysts to evaluate the adequacy of earnings per common share, provide a greater understanding of ongoing operations and enhance comparability of results with prior periods. Associated Banc-Corp Consolidated Balance Sheets (Unaudited) ($ in thousands) March 31,2025 December 31,2024 Seql Qtr $Change September 30,2024 June 30,2024 March 31,2024 Comp Qtr $Change Assets Cash and due from banks $      521,323 $        544,059 $      (22,737) $        554,631 $    470,818 $      429,859 $       91,464 Interest-bearing deposits in other financial institutions 711,033 453,590 257,443 408,101 484,677 420,114 290,919 Federal funds sold and securities purchased under agreements to resell 105 21,955 (21,850) 4,310 3,600 1,610 (1,505) Investment securities available for sale, at fair value 4,796,570 4,581,434 215,136 4,152,527 3,912,730 3,724,148 1,072,422 Investment securities held to maturity, net, at amortized cost 3,705,793 3,738,687 (32,894) 3,769,150 3,799,035 3,832,967 (127,174) Equity securities 23,331 23,242 89 23,158 22,944 19,571 3,760 Federal Home Loan Bank and Federal Reserve Bank stocks, at cost 194,244 179,665 14,578 178,168 212,102 173,968 20,276 Residential loans held for sale 47,611 646,687 (599,076) 67,219 83,795 52,414 (4,803) Commercial loans held for sale 7,910 32,634 (24,724) 11,833 — — 7,910 Loans 30,294,127 29,768,586 525,541 29,990,897 29,618,271 29,494,263 799,864 Allowance for loan losses (371,348) (363,545) (7,802) (361,765) (355,844) (356,006) (15,342) Loans, net 29,922,780 29,405,041 517,739 29,629,131 29,262,428 29,138,257 784,523 Tax credit and other investments 254,187 258,886 (4,699) 265,385 246,300 255,252 (1,065) Premises and equipment, net 377,521 379,093 (1,572) 373,816 369,968 367,618 9,903 Bank and corporate owned life insurance 690,551 689,000 1,552 686,704 683,451 685,089 5,462 Goodwill 1,104,992 1,104,992 — 1,104,992 1,104,992 1,104,992 — Other intangible assets, net 29,457 31,660 (2,203) 33,863 36,066 38,268 (8,811) Mortgage servicing rights, net 86,251 87,683 (1,433) 81,977 85,640 85,226 1,025 Interest receivable 159,729 167,772 (8,044) 167,777 173,106 167,092 (7,363) Other assets 675,748 676,987 (1,239) 698,073 672,256 640,638 35,110 Total assets $  43,309,136 $    43,023,068 $     286,068 $    42,210,815 $  41,623,908 $ 41,137,084 $  2,172,052 Liabilities and stockholders' equity Noninterest-bearing demand deposits $    6,135,946 $      5,775,657 $     360,289 $      5,857,421 $  5,815,045 $   6,254,135 $   (118,189) Interest-bearing deposits 29,060,767 28,872,777 187,990 27,696,877 26,875,995 27,459,023 1,601,744 Total deposits 35,196,713 34,648,434 548,279 33,554,298 32,691,039 33,713,158 1,483,555 Short-term funding 311,335 470,369 (159,033) 917,028 859,539 765,671 (454,336) FHLB advances 2,027,297 1,853,807 173,490 1,913,294 2,673,046 1,333,411 693,886 Other long-term funding 591,382 837,635 (246,253) 844,342 536,113 536,055 55,327 Allowance for unfunded commitments 35,276 38,776 (3,500) 35,776 33,776 31,776 3,500 Accrued expenses and other liabilities 460,574 568,485 (107,911) 532,842 588,057 588,341 (127,767) Total liabilities 38,622,578 38,417,506 205,071 37,797,579 37,381,571 36,968,412 1,654,166 Stockholders' equity Preferred equity 194,112 194,112 — 194,112 194,112 194,112 — Common equity 4,492,446 4,411,450 80,996 4,219,125 4,048,225 3,974,561 517,885 Total stockholders' equity 4,686,558 4,605,562 80,996 4,413,236 4,242,337 4,168,673 517,885 Total liabilities and stockholders' equity $  43,309,136 $    43,023,068 $     286,068 $    42,210,815 $  41,623,908 $ 41,137,084 $  2,172,052 Numbers may not recalculate due to rounding conventions. Associated Banc-CorpConsolidated Statements of Income (Unaudited) - Quarterly Trend ($ in thousands, except per share data) Seql Qtr Comp Qtr 1Q25 4Q24 $ Change % Change 3Q24 2Q24 1Q24 $ Change % Change Interest income Interest and fees on loans $  433,299 $  453,253 $  (19,954) (4) % $  465,728 $  456,788 $  454,472 $  (21,173) (5) % Interest and dividends on investment securities Taxable 69,702 50,524 19,178 38 % 51,229 50,278 46,548 23,154 50 % Tax-exempt 13,956 14,469 (513) (4) % 14,660 14,669 14,774 (818) (6) % Other interest 8,920 10,478 (1,558) (15) % 8,701 8,539 7,595 1,325 17 % Total interest income 525,877 528,724 (2,847) (1) % 540,318 530,274 523,388 2,489 — % Interest expense Interest on deposits 209,140 222,888 (13,748) (6) % 231,623 221,062 226,231 (17,091) (8) % Interest on federal funds purchased and securities sold under agreements to repurchase 3,622 3,203 419 13 % 3,385 2,303 2,863 759 27 % Interest on other short-term funding — 668 (668) (100) % 6,144 6,077 4,708 (4,708) (100) % Interest on FHLB advances 16,090 17,908 (1,818) (10) % 24,799 34,143 21,671 (5,581) (26) % Interest on other long-term funding 11,085 13,769 (2,684) (19) % 11,858 10,096 10,058 1,027 10 % Total interest expense 239,937 258,436 (18,499) (7) % 277,809 273,681 265,530 (25,593) (10) % Net interest income 285,941 270,289 15,652 6 % 262,509 256,593 257,858 28,083 11 % Provision for credit losses 13,003 16,986 (3,982) (23) % 20,991 23,008 24,001 (10,998) (46) % Net interest income after provision for credit losses 272,938 253,303 19,635 8 % 241,518 233,585 233,857 39,081 17 % Noninterest income Wealth management fees 22,498 24,103 (1,605) (7) % 24,144 22,628 21,694 804 4 % Service charges and deposit account fees 12,814 13,232 (418) (3) % 13,708 12,263 12,439 375 3 % Card-based fees 10,442 11,948 (1,506) (13) % 11,731 11,975 11,267 (825) (7) % Other fee-based revenue 5,251 5,182 68 1 % 5,057 4,857 4,402 849 19 % Capital markets, net 4,345 9,032 (4,687) (52) % 4,317 4,685 4,050 295 7 % Mortgage banking, net 3,822 3,387 435 13 % 2,132 2,505 2,662 1,160 44 % Loss on mortgage portfolio sale (6,976) (130,406) 123,430 (95) % — — — (6,976) N/M Bank and corporate owned life insurance 5,204 2,322 2,883 124 % 4,001 4,584 2,570 2,634 102 % Asset (losses) gains, net (878) 364 (1,242) N/M (474) (627) (306) (572) 187 % Investment securities gains (losses), net 4 (148,194) 148,198 N/M 100 67 3,879 (3,875) (100) % Other 2,251 2,257 (6) — % 2,504 2,222 2,327 (76) (3) % Total noninterest income (loss) 58,776 (206,772) 265,549 N/M 67,221 65,159 64,985 (6,209) (10) % Noninterest expense Personnel 123,897 125,944 (2,047) (2) % 121,036 121,581 119,395 4,502 4 % Technology 27,139 26,984 154 1 % 27,217 27,161 26,200 939 4 % Occupancy 15,381 14,325 1,056 7 % 13,536 13,128 13,633 1,748 13 % Business development and advertising 6,386 7,408 (1,022) (14) % 6,683 7,535 6,517 (131) (2) % Equipment 4,527 4,729 (202) (4) % 4,653 4,450 4,599 (72) (2) % Legal and professional 6,083 6,861 (778) (11) % 5,639 4,429 4,672 1,411 30 % Loan and foreclosure costs 2,594 1,951 642 33 % 2,748 1,793 1,979 615 31 % FDIC assessment 10,436 9,139 1,298 14 % 8,223 7,131 13,946 (3,510) (25) % Other intangible amortization 2,203 2,203 — — % 2,203 2,203 2,203 — — % Loss on prepayments of FHLB advances — 14,243 (14,243) (100) % — — — — N/M Other 11,974 10,496 1,478 14 % 8,659 6,450 4,513 7,461 165 % Total noninterest expense 210,619 224,282 (13,664) (6) % 200,597 195,861 197,657 12,962 7 % Income (loss) before income taxes 121,095 (177,752) 298,847 N/M 108,142 102,884 101,185 19,910 20 % Income tax expense (benefit) 19,409 (16,137) 35,546 N/M 20,124 (12,689) 20,016 (607) (3) % Net income (loss) 101,687 (161,615) 263,301 N/M 88,018 115,573 81,169 20,518 25 % Preferred stock dividends 2,875 2,875 — — % 2,875 2,875 2,875 — — % Net income (loss) available to common equity $    98,812 $ (164,490) $  263,301 N/M $    85,143 $  112,698 $    78,294 $    20,518 26 % Earnings (loss) per common share Basic $       0.60 $      (1.04) $       1.64 N/M $       0.56 $       0.75 $       0.52 $       0.08 15 % Diluted $       0.59 $      (1.03) $       1.62 N/M $       0.56 $       0.74 $       0.52 $       0.07 13 % Average common shares outstanding Basic 165,228 157,710 7,518 5 % 150,247 149,872 149,855 15,373 10 % Diluted 166,604 159,164 7,441 5 % 151,492 151,288 151,292 15,312 10 % N/M = Not meaningful Numbers may not recalculate due to rounding conventions. Associated Banc-Corp Selected Quarterly Information ($ in millions except per share data; shares repurchased and outstanding in thousands) 1Q25 4Q24 3Q24 2Q24 1Q24 Per common share data Dividends $      0.23 $      0.23 $      0.22 $      0.22 $      0.22 Market value: High 25.63 28.14 23.95 22.48 22.00 Low 21.06 20.64 20.07 19.90 19.73 Close 22.53 23.90 21.54 21.15 21.51 Book value / share 27.09 26.55 27.90 26.85 26.37 Tangible book value / share 20.25 19.71 20.37 19.28 18.78 Performance ratios (annualized) Return on average assets 0.97 % (1.53) % 0.85 % 1.13 % 0.80 % Noninterest expense / average assets 2.00 % 2.12 % 1.93 % 1.92 % 1.95 % Effective tax rate 16.03 % N/M 18.61 % (12.33) % 19.78 % Dividend payout ratio(a) 38.33 % N/M 39.29 % 29.33 % 42.31 % Net interest margin 2.97 % 2.81 % 2.78 % 2.75 % 2.79 % Selected trend information Average full time equivalent employees(b) 4,006 3,982 4,041 4,025 4,070 Branch count 183 188 188 188 188 Assets under management, at market value(c) $  14,685 $  14,773 $  15,033 $  14,304 $  14,171 Mortgage portfolio serviced for others $    6,243 $    6,285 $    6,302 $    6,307 $    6,349 Mortgage servicing rights, net / mortgage portfolio serviced for others 1.38 % 1.40 % 1.30 % 1.36 % 1.34 % Shares repurchased during period(d) 900 — — — 900 Shares outstanding, end of period 165,807 166,178 151,213 150,785 150,739 Selected quarterly ratios Loans / deposits 86.07 % 85.92 % 89.38 % 90.60 % 87.49 % Stockholders' equity / assets 10.82 % 10.70 % 10.46 % 10.19 % 10.13 % Risk-based capital(e)(f) Total risk-weighted assets $  33,801 $  33,950 $  33,326 $  32,768 $  32,753 Common equity Tier 1 $    3,417 $    3,397 $    3,238 $    3,172 $    3,089 Common equity Tier 1 capital ratio 10.11 % 10.01 % 9.72 % 9.68 % 9.43 % Tier 1 capital ratio 10.68 % 10.58 % 10.30 % 10.27 % 10.02 % Total capital ratio 12.75 % 12.61 % 12.36 % 12.34 % 12.08 % Tier 1 leverage ratio 8.69 % 8.73 % 8.49 % 8.37 % 8.24 % N/M = Not meaningful Numbers may not recalculate due to rounding conventions. (a) Ratio is based upon basic earnings per common share. (b) Average full time equivalent employees without overtime. (c) Excludes assets held in brokerage accounts. (d) Does not include repurchases related to tax withholding on equity compensation. (e) The Federal Reserve establishes regulatory capital requirements, including well-capitalized standards for the Corporation. The regulatory capital requirements effective for the Corporation follow Basel III, subject to certain transition provisions. (f) March 31, 2025 data is estimated. Associated Banc-Corp Selected Asset Quality Information ($ in thousands) Mar 31, 2025 Dec 31, 2024 Seql Qtr %Change Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Comp Qtr %Change Allowance for loan losses Balance at beginning of period $    363,545 $    361,765 — % $    355,844 $    356,006 $    351,094 4 % Provision for loan losses 16,500 14,000 18 % 19,000 21,000 27,000 (39) % Charge offs (13,714) (13,770) — % (15,337) (23,290) (24,018) (43) % Recoveries 5,017 1,551 N/M 2,258 2,127 1,930 160 % Net (charge offs) recoveries (8,698) (12,220) (29) % (13,078) (21,163) (22,088) (61) % Balance at end of period $    371,348 $    363,545 2 % $    361,765 $    355,844 $    356,006 4 % Allowance for unfunded commitments Balance at beginning of period $      38,776 $      35,776 8 % $      33,776 $      31,776 $      34,776 12 % Provision for unfunded commitments (3,500) 3,000 N/M 2,000 2,000 (3,000) 17 % Balance at end of period $      35,276 $      38,776 (9) % $      35,776 $      33,776 $      31,776 11 % Allowance for credit losses on loans (ACLL) $    406,624 $    402,322 1 % $    397,541 $    389,620 $    387,782 5 % Provision for credit losses on loans $      13,000 $      17,000 (24) % $      21,000 $      23,000 $      24,000 (46) % ($ in thousands) Mar 31, 2025 Dec 31, 2024 Seql Qtr %Change Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Comp Qtr % Change Net (charge offs) recoveries Commercial and industrial $      (4,726) $      (2,406) 96 % $    (10,649) $    (13,676) $    (18,638) (75) % Commercial real estate—owner occupied — — N/M — 1 2 (100) % Commercial and business lending (4,726) (2,406) 96 % (10,649) (13,674) (18,636) (75) % Commercial real estate—investor (892) (6,617) (87) % (1) (4,569) — N/M Real estate construction 30 4 N/M 2 28 30 — % Commercial real estate lending (863) (6,612) (87) % 2 (4,541) 30 N/M Total commercial (5,589) (9,018) (38) % (10,647) (18,216) (18,606) (70) % Residential mortgage 197 (239) N/M (160) (289) (62) N/M Auto finance (1,519) (1,782) (15) % (1,281) (1,480) (2,094) (27) % Home equity 289 277 4 % 424 238 211 37 % Other consumer (2,076) (1,457) 42 % (1,414) (1,417) (1,537) 35 % Total consumer (3,109) (3,202) (3) % (2,431) (2,947) (3,482) (11) % Total net (charge offs) recoveries $      (8,698) $    (12,220) (29) % $    (13,078) $    (21,163) $    (22,088) (61) % (In basis points) Mar 31, 2025 Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Net (charge offs) recoveries to average loans (annualized)  Commercial and industrial (18) (9) (43) (55) (77) Commercial real estate—owner occupied — — — — — Commercial and business lending (16) (8) (39) (50) (69) Commercial real estate—investor (7) (51) — (37) — Real estate construction 1 — — — 1 Commercial real estate lending (5) (37) — (25) — Total commercial (12) (19) (23) (40) (41) Residential mortgage 1 (1) (1) (1) — Auto finance (22) (26) (19) (24) (35) Home equity 18 17 26 15 14 Other consumer (268) (208) (216) (221) (232) Total consumer (11) (11) (8) (10) (13) Total net (charge offs) recoveries (12) (16) (18) (29) (30) ($ in thousands) Mar 31, 2025 Dec 31, 2024 Seql Qtr % Change Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Comp Qtr % Change Credit quality Nonaccrual loans $    134,808 $    123,260 9 % $    128,476 $    154,423 $    178,346 (24) % Other real estate owned (OREO) 23,475 20,217 16 % 18,830 8,325 8,437 178 % Repossessed assets 688 687 — % 793 671 1,241 (45) % Total nonperforming assets $    158,971 $    144,164 10 % $    148,098 $    163,418 $    188,025 (15) % Loans 90 or more days past due and still accruing $        3,036 $        3,189 (5) % $        7,107 $        2,354 $        2,417 26 % Allowance for credit losses on loans to total loans 1.34 % 1.35 % 1.33 % 1.32 % 1.31 % Allowance for credit losses on loans to nonaccrual loans 301.63 % 326.40 % 309.43 % 252.31 % 217.43 % Nonaccrual loans to total loans 0.44 % 0.41 % 0.43 % 0.52 % 0.60 % Nonperforming assets to total loans plus OREO and repossessed assets 0.52 % 0.48 % 0.49 % 0.55 % 0.64 % Nonperforming assets to total assets 0.37 % 0.34 % 0.35 % 0.39 % 0.46 % Annualized year-to-date net charge offs (recoveries) to year-to-date average loans 0.12 % 0.23 % 0.25 % 0.30 % 0.30 % Associated Banc-CorpSelected Asset Quality Information (continued) ($ in thousands) Mar 31, 2025 Dec 31, 2024 Seql Qtr %Change Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Comp Qtr %Change Nonaccrual loans Commercial and industrial $         12,898 $         19,084 (32) % $         14,369 $         21,190 $         72,243 (82) % Commercial real estate—owner occupied 1,501 1,501 — % 9,285 1,851 2,090 (28) % Commercial and business lending 14,399 20,585 (30) % 23,654 23,041 74,333 (81) % Commercial real estate—investor 31,689 16,705 90 % 18,913 48,249 18,697 69 % Real estate construction 125 30 N/M 15 16 18 N/M Commercial real estate lending 31,814 16,735 90 % 18,928 48,265 18,715 70 % Total commercial 46,213 37,320 24 % 42,582 71,306 93,047 (50) % Residential mortgage 72,455 70,038 3 % 70,138 68,058 69,954 4 % Auto finance 7,692 7,402 4 % 7,456 6,986 7,158 7 % Home equity 8,275 8,378 (1) % 8,231 7,996 8,100 2 % Other consumer 173 122 42 % 70 77 87 99 % Total consumer 88,595 85,941 3 % 85,894 83,117 85,299 4 % Total nonaccrual loans $       134,808 $       123,260 9 % $       128,476 $       154,423 $       178,346 (24) % Mar 31, 2025 Dec 31, 2024 Seql Qtr %Change Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Comp Qtr %Change Restructured loans (accruing)(a) Commercial and industrial $             459 $             475 (3) % $             424 $             410 $             377 22 % Commercial real estate—owner occupied — — N/M — — — N/M Commercial and business lending 459 475 (3) % 424 410 377 22 % Commercial real estate—investor — — N/M — — — N/M Real estate construction — — N/M — — — N/M Commercial real estate lending — — N/M — — — N/M Total commercial 459 475 (3) % 424 410 377 22 % Residential mortgage 599 782 (23) % 361 306 345 74 % Auto finance 1 8 (88) % 35 142 66 (98) % Home equity 171 27 N/M 104 103 182 (6) % Other consumer 2,421 2,239 8 % 1,642 1,615 1,487 63 % Total consumer 3,192 3,057 4 % 2,141 2,166 2,080 53 % Total restructured loans (accruing) $           3,651 $           3,531 3 % $           2,565 $           2,576 $           2,457 49 % Nonaccrual restructured loans (included in nonaccrual loans) $           3,451 $           2,581 34 % $           1,840 $             717 $           1,141 N/M Mar 31, 2025 Dec 31, 2024 Seql Qtr %Change Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Comp Qtr %Change Accruing loans 30-89 days past due Commercial and industrial $           7,740 $           1,260 N/M $           1,212 $           2,052 $             521 N/M Commercial real estate—owner occupied 1,156 1,634 (29) % 2,209 — — N/M Commercial and business lending 8,896 2,893 N/M 3,421 2,052 521 N/M Commercial real estate—investor 2,463 36,391 (93) % 10,746 1,023 19,164 (87) % Real estate construction — 21 (100) % 88 — 1,260 (100) % Commercial real estate lending 2,463 36,412 (93) % 10,834 1,023 20,424 (88) % Total commercial 11,360 39,305 (71) % 14,255 3,075 20,945 (46) % Residential mortgage 13,568 14,892 (9) % 13,630 10,374 9,903 37 % Auto finance 12,522 14,850 (16) % 15,458 15,814 12,521 — % Home equity 3,606 4,625 (22) % 3,146 3,694 2,819 28 % Other consumer(b) 2,381 3,128 (24) % 2,163 1,995 2,260 5 % Total consumer 32,076 37,496 (14) % 34,397 31,877 27,503 17 % Total accruing loans 30-89 days past due $         43,435 $         76,801 (43) % $         48,651 $         34,952 $         48,448 (10) % N/M = Not meaningful Numbers may not recalculate due to rounding conventions. (a) Balances depict loans that have been modified in the preceding 12 months for each respective period end. (b) Excluding guaranteed student loans. Associated Banc-CorpNet Interest Income Analysis - Fully Tax-Equivalent Basis - Sequential and Comparable Quarter Three Months Ended March 31, 2025 December 31, 2024 March 31, 2024 ($ in thousands) Average Balance Interest Income /Expense AverageYield /Rate Average Balance Interest Income /Expense AverageYield /Rate Average Balance Interest Income /Expense AverageYield /Rate Assets Earning assets Loans (a) (b) Commercial and business lending $  11,724,484 $    185,985 6.43 % $  11,474,489 $    194,355 6.74 % $   10,816,255 $   194,090 7.22 % Commercial real estate lending 7,313,994 121,034 6.71 % 7,206,796 128,476 7.09 % 7,389,962 138,850 7.56 % Total commercial 19,038,479 307,020 6.54 % 18,681,285 322,831 6.88 % 18,206,217 332,940 7.35 % Residential mortgage 7,256,320 66,823 3.68 % 7,814,056 70,513 3.61 % 7,896,956 68,787 3.48 % Auto finance 2,844,730 39,176 5.59 % 2,771,414 39,365 5.65 % 2,373,720 32,603 5.52 % Other retail 971,453 20,826 8.63 % 935,162 21,041 8.98 % 892,128 20,661 9.28 % Total loans 30,110,982 433,844 5.83 % 30,201,918 453,750 5.98 % 29,369,022 454,991 6.22 % Investment securities Taxable 6,398,584 69,919 4.37 % 5,745,085 50,752 3.53 % 5,517,023 46,727 3.39 % Tax-exempt(a) 2,016,144 17,666 3.50 % 2,085,957 17,653 3.39 % 2,133,352 18,024 3.38 % Other short-term investments 757,227 9,111 4.88 % 846,195 10,717 5.04 % 576,782 8,311 5.80 % Total investments and other 9,171,955 96,696 4.22 % 8,677,238 79,122 3.64 % 8,227,158 73,062 3.55 % Total earning assets 39,282,937 $    530,540 5.45 % 38,879,155 $    532,871 5.46 % 37,596,179 $   528,053 5.64 % Other assets, net 3,347,690 3,192,406 3,173,027 Total assets $  42,630,627 $  42,071,562 $   40,769,206 Liabilities and stockholders' equity Interest-bearing liabilities Interest-bearing deposits Savings $   5,162,468 $      17,929 1.41 % $   5,132,247 $      20,120 1.56 % $     4,928,031 $     21,747 1.77 % Interest-bearing demand 8,031,707 45,430 2.29 % 7,623,230 46,061 2.40 % 7,490,119 49,990 2.68 % Money market 6,079,551 39,560 2.64 % 5,924,269 41,457 2.78 % 6,116,604 47,306 3.11 % Network transaction deposits 1,847,972 20,067 4.40 % 1,690,745 20,091 4.73 % 1,651,937 22,205 5.41 % Time deposits 8,071,642 86,154 4.33 % 8,228,420 95,158 4.60 % 7,198,315 84,983 4.75 % Total interest-bearing deposits 29,193,341 209,140 2.91 % 28,598,911 222,888 3.10 % 27,385,005 226,231 3.32 % Federal funds purchased and securities sold under agreements to repurchase 375,910 3,622 3.91 % 310,370 3,203 4.11 % 263,979 2,863 4.36 % Other short-term funding 31,312 408 5.28 % 88,415 1,135 5.11 % 449,999 5,603 5.01 % FHLB advances 1,595,972 16,090 4.09 % 1,456,087 17,908 4.89 % 1,540,247 21,671 5.66 % Other long-term funding 627,658 11,085 7.06 % 840,880 13,769 6.55 % 539,106 10,058 7.46 % Total short and long-term funding 2,630,852 31,205 4.79 % 2,695,752 36,015 5.33 % 2,793,331 40,194 5.78 % Total interest-bearing liabilities 31,824,193 $    240,345 3.06 % 31,294,664 $    258,903 3.29 % 30,178,337 $   266,425 3.55 % Noninterest-bearing demand deposits 5,640,123 5,738,557 5,882,052 Other liabilities 535,732 510,000 527,437 Stockholders' equity 4,630,578 4,528,342 4,181,381 Total liabilities and stockholders' equity $  42,630,627 $  42,071,562 $   40,769,206 Interest rate spread 2.39 % 2.17 % 2.09 % Net free funds 0.58 % 0.64 % 0.70 % Fully tax-equivalent net interest income and net interest margin $    290,195 2.97 % $    273,968 2.81 % $   261,628 2.79 % Fully tax-equivalent adjustment 4,254 3,680 3,770 Net interest income $    285,941 $    270,289 $   257,858 Numbers may not recalculate due to rounding conventions. (a) The yield on tax-exempt loans and securities is computed on a fully tax-equivalent basis using a tax rate of 21%. (b) Nonaccrual loans and loans held for sale have been included in the average balances. Associated Banc-Corp         Loan and Deposit Composition ($ in thousands) Period end loan composition Mar 31, 2025 Dec 31, 2024 Seql Qtr %Change Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Comp Qtr %Change Commercial and industrial $   10,925,769 $   10,573,741 3 % $   10,258,899 $    9,970,412 $    9,858,329 11 % Commercial real estate—owner occupied 1,118,363 1,143,741 (2) % 1,120,849 1,102,146 1,095,894 2 % Commercial and business lending 12,044,132 11,717,483 3 % 11,379,748 11,072,558 10,954,223 10 % Commercial real estate—investor 5,597,442 5,227,975 7 % 5,070,635 5,001,392 5,035,195 11 % Real estate construction 1,809,054 1,982,632 (9) % 2,114,300 2,255,637 2,287,041 (21) % Commercial real estate lending 7,406,496 7,210,607 3 % 7,184,934 7,257,029 7,322,237 1 % Total commercial 19,450,628 18,928,090 3 % 18,564,683 18,329,587 18,276,460 6 % Residential mortgage 6,999,654 7,047,541 (1) % 7,803,083 7,840,073 7,868,180 (11) % Auto finance 2,878,765 2,810,220 2 % 2,708,946 2,556,009 2,471,257 16 % Home equity 654,140 664,252 (2) % 651,379 634,142 619,764 6 % Other consumer 310,940 318,483 (2) % 262,806 258,460 258,603 20 % Total consumer 10,843,499 10,840,496 — % 11,426,214 11,288,684 11,217,802 (3) % Total loans $   30,294,127 $   29,768,586 2 % $   29,990,897 $   29,618,271 $   29,494,263 3 % Period end deposit and customer funding composition Mar 31, 2025 Dec 31, 2024 Seql Qtr %Change Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Comp Qtr %Change Noninterest-bearing demand $    6,135,946 $     5,775,657 6 % $     5,857,421 $    5,815,045 $    6,254,135 (2) % Savings 5,247,291 5,133,295 2 % 5,072,508 5,157,103 5,124,639 2 % Interest-bearing demand 9,075,133 9,124,741 (1) % 8,605,578 8,284,017 8,747,127 4 % Money market 6,820,038 6,637,915 3 % 6,095,206 6,294,895 6,721,674 1 % Brokered CDs 4,197,512 4,276,309 (2) % 4,242,670 4,061,578 3,931,230 7 % Other time deposits 3,720,793 3,700,518 1 % 3,680,914 3,078,401 2,934,352 27 % Total deposits 35,196,713 34,648,434 2 % 33,554,298 32,691,039 33,713,158 4 % Other customer funding(a) 85,950 100,044 (14) % 110,988 89,524 90,536 (5) % Total deposits and other customer funding $   35,282,663 $   34,748,478 2 % $   33,665,286 $   32,780,564 $   33,803,694 4 % Network transaction deposits(b) $    1,882,930 $     1,758,388 7 % $     1,566,908 $    1,502,919 $    1,792,820 5 % Net deposits and other customer funding(c) $   29,202,221 $   28,713,780 2 % $   27,855,707 $   27,216,066 $   28,079,644 4 % Quarter average loan composition Mar 31, 2025 Dec 31, 2024 Seql Qtr %Change Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Comp Qtr %Change Commercial and industrial $   10,583,318 $   10,338,865 2 % $     9,884,246 $    9,915,894 $    9,729,718 9 % Commercial real estate—owner occupied 1,141,167 1,135,624 — % 1,087,144 1,095,334 1,086,537 5 % Commercial and business lending 11,724,484 11,474,489 2 % 10,971,390 11,011,228 10,816,255 8 % Commercial real estate—investor 5,415,412 5,120,608 6 % 5,085,090 4,964,394 5,041,518 7 % Real estate construction 1,898,582 2,086,188 (9) % 2,150,416 2,285,379 2,348,444 (19) % Commercial real estate lending 7,313,994 7,206,796 1 % 7,235,505 7,249,773 7,389,962 (1) % Total commercial 19,038,479 18,681,285 2 % 18,206,896 18,261,000 18,206,217 5 % Residential mortgage 7,256,320 7,814,056 (7) % 7,888,290 7,905,236 7,896,956 (8) % Auto finance 2,844,730 2,771,414 3 % 2,635,890 2,524,107 2,373,720 20 % Home equity 657,625 656,792 — % 642,463 630,855 625,686 5 % Other consumer 313,828 278,370 13 % 260,547 258,366 266,443 18 % Total consumer 11,072,503 11,520,632 (4) % 11,427,191 11,318,564 11,162,805 (1) % Total loans(d) $   30,110,982 $   30,201,918 — % $   29,634,087 $   29,579,564 $   29,369,022 3 % Quarter average deposit composition Mar 31, 2025 Dec 31, 2024 Seql Qtr %Change Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Comp Qtr %Change Noninterest-bearing demand $    5,640,123 $     5,738,557 (2) % $     5,652,228 $    5,712,115 $    5,882,052 (4) % Savings 5,162,468 5,132,247 1 % 5,125,147 5,133,688 4,928,031 5 % Interest-bearing demand 8,031,707 7,623,230 5 % 7,394,550 7,265,621 7,490,119 7 % Money market 6,079,551 5,924,269 3 % 5,942,147 5,995,005 6,116,604 (1) % Network transaction deposits 1,847,972 1,690,745 9 % 1,644,305 1,595,312 1,651,937 12 % Brokered CDs 4,315,311 4,514,841 (4) % 4,247,941 3,927,727 4,268,881 1 % Other time deposits 3,756,332 3,713,579 1 % 3,314,507 2,999,936 2,929,434 28 % Total deposits 34,833,464 34,337,468 1 % 33,320,825 32,629,404 33,267,057 5 % Other customer funding(a) 87,693 94,965 (8) % 104,115 87,161 101,483 (14) % Total deposits and other customer funding $   34,921,157 $   34,432,433 1 % $   33,424,940 $   32,716,565 $   33,368,540 5 % Net deposits and other customer funding(c) $   28,757,874 $   28,226,848 2 % $   27,532,694 $   27,193,526 $   27,447,723 5 % N/M = Not meaningful Numbers may not recalculate due to rounding conventions. (a) Includes repurchase agreements. (b) Included above in interest-bearing demand and money market. (c) Total deposits and other customer funding, excluding brokered CDs and network transaction deposits. (d) Loans held for sale have been included in the average balances. Associated Banc-Corp Non-GAAP Financial Measures Reconciliation ($ in millions) 1Q25 4Q24 3Q24 2Q24 1Q24 Selected equity and performance ratios(a) Tangible common equity / tangible assets(b) 7.96 % 7.82 % 7.50 % 7.18 % 7.08 % Return on average equity 8.91 % (14.20) % 8.09 % 11.16 % 7.81 % Return on average tangible common equity(c) 12.34 % (20.27) % 11.52 % 16.25 % 11.31 % Return on average common equity Tier 1(c) 11.82 % (19.28) % 10.53 % 14.54 % 10.27 % Return on average tangible assets(c) 1.01 % (1.55) % 0.89 % 1.18 % 0.84 % Average stockholders' equity / average assets 10.86 % 10.76 % 10.46 % 10.14 % 10.26 % Tangible common equity reconciliation(b) Common equity $    4,492 $    4,411 $    4,219 $    4,048 $    3,975 Goodwill and other intangible assets, net (1,134) (1,137) (1,139) (1,141) (1,143) Tangible common equity $    3,358 $    3,275 $    3,080 $    2,907 $    2,831 Tangible assets reconciliation(b) Total assets $   43,309 $   43,023 $   42,211 $   41,624 $   41,137 Goodwill and other intangible assets, net (1,134) (1,137) (1,139) (1,141) (1,143) Tangible assets $   42,175 $   41,886 $   41,072 $   40,483 $   39,994 Average tangible common equity and average common equity Tier 1 reconciliation(b) Average common equity $    4,436 $    4,334 $    4,137 $    3,972 $    3,987 Average goodwill and other intangible assets, net (1,136) (1,138) (1,140) (1,142) (1,145) Average tangible common equity 3,301 3,196 2,997 2,830 2,843    Modified CECL transitional amount — 22 22 22 22 Average accumulated other comprehensive loss(d) 65 152 173 242 188 Average deferred tax assets, net 25 23 24 25 12 Average common equity Tier 1 $    3,390 $    3,394 $    3,215 $    3,118 $    3,065 Average tangible assets reconciliation(b) Average total assets $   42,631 $   42,072 $   41,390 $   41,101 $   40,769 Average goodwill and other intangible assets, net (1,136) (1,138) (1,140) (1,142) (1,145) Average tangible assets $   41,495 $   40,934 $   40,250 $   39,958 $   39,625 Adjusted net income (loss) reconciliation(c) Net income (loss) $       102 $     (162) $         88 $       116 $         81 Other intangible amortization, net of tax 2 2 2 2 2 Adjusted net income (loss) $       103 $     (160) $         90 $       117 $         83 Adjusted net income (loss) available to common equity reconciliation(c) Net income (loss) available to common equity $         99 $     (164) $         85 $       113 $         78 Other intangible amortization, net of tax 2 2 2 2 2 Adjusted net income (loss) available to common equity $       100 $     (163) $         87 $       114 $         80 Pre-tax pre-provision income (loss)(e) Income (loss) before income taxes $       121 $     (178) $       108 $       103 $       101 Provision for credit losses 13 17 21 23 24 Pre-tax pre-provision income (loss) $       134 $     (161) $       129 $       126 $       125 Period end core customer deposits reconciliation Total deposits $   35,197 $   34,648 $   33,554 $   32,691 $   33,713 Network transaction deposits (1,883) (1,758) (1,567) (1,503) (1,793) Brokered CDs (4,198) (4,276) (4,243) (4,062) (3,931) Core customer deposits $   29,116 $   28,614 $   27,745 $   27,127 $   27,989 Average core customer deposits reconciliation Average total deposits $   34,833 $   34,337 $   33,321 $   32,629 $   33,267 Average network transaction deposits (1,848) (1,691) (1,644) (1,595) (1,652) Average brokered CDs (4,315) (4,515) (4,248) (3,928) (4,269) Average core customer deposits $   28,670 $   28,132 $   27,429 $   27,106 $   27,346 Numbers may not recalculate due to rounding conventions. (a) These capital measurements are used by management, regulators, investors, and analysts to assess, monitor, and compare the quality and composition of our capital with the capital of other financial services companies. (b) The ratio tangible common equity to tangible assets excludes goodwill and other intangible assets, net. This financial measure has been included as it is considered to be a critical metric with which to analyze and evaluate financial condition and strength. (c) Adjusted net income and adjusted net income available to common equity, which are used in the calculation of return on average tangible assets and return on average tangible common equity, respectively, add back other intangible amortization, net of tax. (d) The Corporation is not classified as an advanced approaches holding company as defined by the Federal Reserve.  As such, the Corporation has elected to be subject to the AOCI-related adjustments when calculating common equity tier 1 capital which allows the Corporation to opt-out of the requirement to include most components of AOCI in common equity tier 1 capital.  This adjustment reflects that election. (e) Management believes this measure is meaningful because it reflects adjustments commonly made by management, investors, regulators, and analysts to evaluate the adequacy of earnings per common share, provide greater understanding of ongoing operations, and enhance comparability of results with prior periods. Associated Banc-Corp Non-GAAP Efficiency Ratios Reconciliation(a) ($ in millions) 1Q25 4Q24 3Q24 2Q24 1Q24 Total expense for efficiency ratios reconciliation Noninterest expense $       211 $       224 $       201 $       196 $       198 Less: Other intangible amortization 2 2 2 2 2 Total expense for fully tax-equivalent efficiency ratio 208 222 198 194 195 Less: FDIC special assessment — — — — 8 Less: Announced initiatives(b) — 14 — — — Total expense for adjusted efficiency ratio $       208 $       208 $       198 $       194 $       188 Total revenue for efficiency ratios reconciliation Net interest income $       286 $       270 $       263 $       257 $       258 Noninterest income 59 (207) 67 65 65 Less: Investment securities gains (losses), net — (148) — — 4 Fully tax-equivalent adjustment 4 4 4 4 4 Total revenue for fully tax-equivalent efficiency ratio 349 215 333 325 323 Less: Announced initiatives(b) (7) (130) — — — Total revenue for adjusted efficiency ratio $       356 $       346 $       333 $       325 $       323 Efficiency ratios (expense / revenue) Fully tax-equivalent efficiency ratio 59.72 % 103.11 % 59.51 % 59.51 % 60.56 % Adjusted efficiency ratio 58.55 % 60.10 % 59.51 % 59.51 % 58.18 % Nonrecurring Item Reconciliation ($ in millions, except per share data) 4Q24 4Q24 per share data(diluted) GAAP net (loss) $               (162) $                           (1.03) Loss on mortgage portfolio sale(c) 130 0.82 Provision on initiatives 1 0.01 Net loss on sale of investments(c) 148 0.93 Loss on prepayments of FHLB advances 14 0.09 FDIC special assessment — — Tax effect (39) (0.24) Net income, excluding nonrecurring items, net of tax 94 $                            0.57         Less preferred stock dividends (3)             Net income available to common equity, excluding nonrecurring items, net of tax $                   91 Nonrecurring Item Noninterest Income Reconciliation YTD ($ in millions) 1Q25 Dec 2024 4Q24 GAAP noninterest income (loss) $                       59 $                       (9) $                   (207) Loss on mortgage portfolio sale(c) 7 130 130 Net loss on sale of investments(c) — 148 148   Noninterest income, excluding nonrecurring items $                       66 $                     269 $                       72 Nonrecurring Item Noninterest Expense Reconciliation YTD ($ in millions) Dec 2024 4Q24 GAAP noninterest expense $                     818 $                     224 Loss on prepayments of FHLB advances(c) (14) (14)   Noninterest expense, excluding nonrecurring items $                     804 $                     210 Numbers may not recalculate due to rounding conventions. (a) Prior periods have been adjusted to conform with current period presentation. (b) Announced initiatives include the loss on mortgage portfolio sale and loss on prepayment of FHLB advances as a result of balance sheet repositionings that the Corporation announced in the fourth quarter of 2024.  The net loss on the sale of investments is already excluded from noninterest income within the efficiency ratio. (c) These items classified as nonrecurring items are the result of balance sheet repositionings that the Corporation announced in the fourth quarter of 2024. Investor Contact:Ben McCarville, Senior Vice President, Director of Investor Relations   920-491-7059 Media Contact:Andrea Kozek, Vice President, Public Relations Senior Manager920-491-7518 SOURCE Associated Banc-Corp WANT YOUR COMPANY'S NEWS FEATURED ON PRNEWSWIRE.COM? 440k+ Newsrooms & Influencers 9k+ Digital Media Outlets 270k+ Journalists Opted In

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