Edgar Filing: BB&T CORP - Form 8-K

Analyst Presentation Financial Management February 7, 2002

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

Form 8-K
Current Report

Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934

February 7, 2002

Date of Report (Date of earliest event reported)

BB&T Corporation
(Exact name of registrant as specified in its charter)

Commission file number : 1-10853


North Carolina	56-0939887
(State of incorporation)	(I.R.S. Employer Identification No.)


200 West Second Street
Winston-Salem, North Carolina	27101
(Address of principal executive offices)	(Zip Code)

(336) 733-2000
(Registrant's telephone number, including area code)

This Form 8-K has 27 pages.

ITEM 5. OTHER EVENTS

The purpose of this Current Report on Form 8-K is to file presentation materials from BB&T's 2002 Investor Conference, held on February 7, 2002.

EXHIBIT INDEX

Exhibit 99.1 Presentation to Analysts on February 7, 2002

Interest Rate Risk /
Financial Management
February 2002

Balance Sheet Management

Balance Sheet Management

Average Balance Sheet Composition - Assets
(for period ending 12/31/01)

Investment Portfolio

Investment Portfolio

Portfolio Composition
(as of 9/30/01)

Investment Portfolio

Portfolio Maturity Distribution
(as of 9/30/01)

Investment Portfolio

Portfolio Size / Maturity Comparison
(as of 9/30/01)

Investment Portfolio

Yields (FTE)
(3rd Quarter 2001)

Deposits & Corporate Funding

Average Balance Sheet Composition - Liabilities
(for period ending 12/31/01)

Deposits & Corporate Funding

Mission

To ensure that core deposit growth is sufficient to support earning asset growth while optimizing interest costs and revenues generated from the deposit base.

Deposits & Corporate Funding

Deposit Market Share

		% of
		BB&T's Deposits		Rank
• North Carolina (excludes home office deposits)		32	%	2nd
• Virginia		19	%	4th
• Georgia		12	%	6th
• South Carolina		10	%	3rd
• West Virginia		9	%	1st
• Kentucky		8	%	3rd
• Maryland		6	%	8th
• Tennessee		2	%	11th
• DC		1	%	6th

Deposits & Corporate Funding

Average Deposit Growth Analysis
For the periods ended December 31, 2001 and 2000
($ in Thousands)

Deposits & Corporate Funding

Average Deposit Mix & Growth
For Period Ending December 31, 2001

Deposits & Corporate Funding

Average Deposit Mix & Growth*
Transaction, Savings and Money Market Accounts Only
For Period Ending December 31, 2001

Deposits & Corporate Funding

Deposit Cost* Analysis on Interest Bearing
Transaction, Savings & Money Market Accounts
For Period Ending December 31, 2001

Deposits & Corporate Funding

Deposits & Corporate Funding

Believing the transaction account to be the cornerstone of a client relationship, the priority in 2002 is to retain and grow client relationships by:

1) Tracking retention at the region and branch level, with particular focus on new markets.
2) Tracking deposit production at the officer level.
3) Expanding the individual incentive program for relationship officers to include transaction accounts and core deposits.
4) Utilizing 3 sales campaigns to increase deposit production.
5) Enhancing the product line to include various flat fee/no fee transaction accounts in new markets.
6) Grandfathering of existing client accounts for acquired institutions.
7) Developing initiatives focused on deposit rich niche markets for the commercial and small business segments.
8) Enhancing the use of market research to target sales efforts.

Deposits & Corporate Funding

Interest Rate Risk Management

Interest Rate Scenarios - Prime Rate Movements
(as of 12/31/01)

Balance Sheet Management

Interest Rate Risk Management

Net Interest Margin
(for quarter ended)

Interest Rate Risk Management

Capital Management

• The policy of BB&T Corporation is to return 30-40% of its annual earnings to its shareholders in the form of cash dividends.

• BB&T's 10-year compound annual dividend growth rate is 15.6% as compared to 2.6% for the S&P 500.

• BB&T has increased its annual cash dividend for 30 consecutive years.

• BB&T's policy is to maintain a leverage capital ratio of approximately 7-to-8%. 12/31/01 ratio is 7.2%.

Capital Management

• Since the Merger-of-Equals, BB&T has repurchased 61.2 million shares of stock at a cost of $1.82 billion.

• The average price paid since the Merger-of-Equals is $29.68 per share.

• During 2001, BB&T repurchased 14.0 million shares at a cost of $510.8 million. The average price paid during 2001 was $36.47 per share.

• Program's cumulative impact improved EPS by $.17 during 2001 ($2.40 vs. $2.23).

Investor Relations

Agency Ratings

Investor Relations

BB&T CORPORATION
COMMON STOCK OWNERSHIP
December 31, 2001

Investor Relations

Trading Volume - BB&T Common Stock

Investor Relations

Owners as Beneficiaries of Corporate Strategy

• BB&T's 10-year compound annual dividend growth rate is 15.6% as compared to 2.6% for S&P 500

• Over the last 5 years, BB&T's total compound annual return to shareholders is 17.7% compared to 10.7% for the S&P 500 and 10.6% for the S&P major regional banks index

• BB&T's 10-year total compound annual return to shareholders is 21.4% compared to 12.9% for the S&P 500

Source: Bloomberg

S I G N A T U R E

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

BB&T CORPORATION
(Registrant)

By: /S/ SHERRY A. KELLETT

                                                                                Sherry A. Kellett
                                                                                Senior Executive Vice President and Controller
                                                                                (Principal Accounting Officer)

Date: February 7, 2002