Fifth Third Bancorp (FITB) Earnings Call Transcript & Summary

All right. Kicking off day 2. We are pleased to have Fifth Third joining us once again. We heard of execute on its strategy to drive best-in-class diversified loan growth, invested in industry-leading technology as it looks to continue to gain scale, all while pulling out meaningful operating leverage. Here to tell us more about the story is CEO, Tim Spence; and Chief Financial Officer, Jamie Leonard. Tim is going to walk us through some slides, and then we're going to have a Q&A session.

Thank you, Ryan. We appreciate you putting the early rises from the Midwest right out of the gate this morning... Wanted to hold you in check... There we go. Good morning to all of you. As Ryan mentioned, after some prepared remarks, Jamie and I are happy to answer your questions. At Fifth Third, everything starts with purpose, which is to improve the lives of our customers and the well-being of our communities. We believe that success is dependent on us adding value for customers, communities, employees and external shareholders alike. We activate our purpose every day through our core values and our vision to be the one bank people most value and trust. Our goal is to generate sustainable value through the cycle by focusing on stability, profitability and organic growth in that order of priority. On stability, we remain disciplined throughout the bank, including how we manage credit, rates, liquidity and capital and are well positioned to navigate the uncertainty in the macro environment. On profitability, we have achieved consistent top quartile profitability among peers through a focus on business mix, deliberate execution and expense management. And last, on growth, our strategic investments have positioned the bank to gain share in high-growth geographies, product areas and customer segments that will benefit from secular tailwinds for several years to come. Moving to Slide 5. We spent nearly a decade making sure that Fifth Third could deliver strong and sustainable results over the long term instead of focusing on near-term profits. We have structured our balance sheet and built a diverse portfolio of fee businesses to produce strong and stable PPNR growth. This year, we generated record adjusted revenues reflecting our business mix, earning asset growth and rate positioning. We have also remained prudently positioned from an expense standpoint with one of the lowest efficiency ratios among our peers. I believe what makes us different from other banks is our relentless commitment to improving the long-term performance of our business. Ultimately, this is the reason our returns and profitability measures have improved from bottom quartile to the top quartile among our peers. We expect to sustain our performance relative to peers for many years to come. Moving to Slide 6. The greatest transformation for Fifth Third since the financial crisis has been our balance sheet positioning. We've built a stable balance sheet, which is more resilient to changes in the credit and rate environments and enables us to generate peer-leading results with lower volatility. Those who have followed Fifth Third's journey since the financial crisis know how significant we have improved the credit performance by derisking areas, we believe the risk return dynamics unfavorable. Our NPA ratio has consistently outperformed the peer median and charge-offs are at historically low levels. Nevertheless, we have been prudently building our ACL to reflect economic uncertainty. We've maintained strong balance sheet liquidity with a funding profile focused on generating core relationship-based deposits. The combination of our cash, AFS securities and residential mortgage loans in excess of FHLB advances is the second highest among peers, which gives us a lot of flexibility from a funding perspective going forward. Slide 7 highlights the resilience of our consumer loan portfolio. Our portfolio is differentiated from most banks, given that we have less than 3% of our total allocation to borrowers with a sub-660 FICO score. Furthermore, 85% of our overall consumer loans are to homeowners, including 75% homeownership rates in our auto and credit card portfolios. Over 80% of our consumer loan portfolio is represented by consumers who earn over $60,000 a year compared to just 50% among the overall U.S. population. Consumer delinquencies and NPAs have remained well behaved and below the peer median. In 2021 and 2022, we maintained tight underwriting standards that lowered loan production in certain areas like auto and credit card. We believe these vintages will be areas to closely watch across the industry given a turn in collateral values, deteriorating underwriting standards from nonbank lenders and general inflationary pressures. All of these factors should provide differentiated outcomes for Fifth Third and a rising rate environment. Moving to Slide 8. Our commercial portfolio is well diversified across subsectors and geographies. And over the past decade, we have transformed our approach to credit risk management, centralizing credit underwriting with geographic sector and product level concentration limits. For instance, our commercial real estate portfolio is centrally managed as its own vertical by a seasoned team of line of business and risk experts who have enterprise responsibility for the portfolio. We have maintained the lowest allocation of CRE as a percentage of total risk-based capital relative to peers as a result. We continue to proactively monitor our commercial portfolios for signs of stress utilizing client-specific and purpose-built early warning systems. We use real-time liquidity metrics of our borrowers, including unanticipated revolver utilization as well as unexpected overdraft occurrences. Additionally, we assess forward-looking client vulnerabilities based on firm specific and industry trends. This enabled us to quickly engage in constructive dialogue with clients and to proactively manage our portfolio. Slide 9 highlights the strength of our differentiated securities portfolio mix, which focuses on structure and stability. We have achieved peer-leading yields for almost a decade, which incorporates unique investment portfolio strategies relative to peers. This includes our patience to deploy excess cash into the portfolio until the second quarter of 2022. Slide 10 highlights the strength of our deposit franchise. Our consumer deposit portfolio provides granularity and stability of the balance sheet given the large proportion of stable deposits. We are #2 among peers in terms of the allocation of retail deposits in the stable category. We ranked #3 in share of deposits, $250,000 or less, and we are #3 in deposits for individuals as a share of total deposits. Our commercial deposit franchise is led by our peer-leading treasury management business. We have the highest percentage of TM fees relative to total loan commitments among our peers. We also ranked #2 through #9 nationally in most commercial payment types, as shown in EY's annual cash management survey. Our strong core deposit base will be a key differentiator for Fifth Third and a higher for longer environment. Slide 11 highlights our strategic expansion in high-growth Southeast metro areas. Over the past 3 years, we have opened more branches in the Southeast than any bank besides JPMorgan. In 2023, we expect to open another 30 to 35 branches in our Southeast markets. The strategy has been effective for us. We're gaining share in both households and deposits and the new branches are achieving a breakeven in the 2 to 3-year range. Across our entire footprint, we have utilized our next-gen branch design, which has been implemented in over 90% of the new builds. These branches are 40% smaller compared to our legacy branches, our position in very desirable high-visibility locations and provide an inviting atmosphere. The overall reduction in square footage has helped to reduce the cost of land and construction. And in addition, the ramp-up in automation has enabled us to operate at lower staffing levels. We're helping to offset the cost of the new branches by optimizing our footprint in legacy markets. We're targeting to close an additional 25 branches there in 2023. Moving to Slide 12. Our focus has always been to grow and expand quality relationships across our footprint. One mechanism, which has empowered us to both deepen and retain these relationships is our customer recommendation engine. We use proprietary predictive analytics and behavioral triggers to shape roughly 1 billion annual interactions that we have with our customers. In fact, our branch bankers have experienced a 40% higher likelihood of success in either deepening or retaining a relationship when they utilize this engine. We were proud to be named a finalist for our customer recommendation engine in the 2022 BAI Global Innovation Awards, which is the financial services industry's leading innovation honor by leveraging technology to provide customer-centric solutions, we've grown and deepen relationships over time. We're focused on generating high-quality and granular loan growth, which supports our commitment to growing commercial middle market relationships. Slide 13 highlights the strength of our middle-market franchise, which is evidenced by the growth in new quality relationships over the past few years. We've prioritized investments in talent to fully support long-term profitability. Our sales force has grown nearly 10% year-over-year in our Southeastern expansion markets, and we have dedicated local coverage for treasury management and corporate finance to support our local relationship teams. I'm particularly pleased with the balance we're now achieving across the footprint with the Southeast and middle market expansion office is now contributing nearly half of total middle-market loan production. Slide 14 highlights another business, which has improved the granularity and diversification of our loan portfolio. Dividend finance supports customers who are improving their homes, primarily through rooftop solar and home battery power storage. Dividend was a top 5 national residential solar lender at the time of its acquisition and they've recently improved to #3 national U.S. market share. Since acquiring dividend, we've extended the contractor network and energy costs have risen, while federal solar tax credits have been augmented extended, which has resulted in a much larger addressable market. Dividend will be a strong growth engine for us going forward with current projections significantly outpacing our original expectations. Despite the 2x production forecast, we could be growing at a much faster rate, if not for our overall cautious view on the economy. From a profitability perspective, we will continue to see a corresponding ACL build given the production, combined with the expected life of these loans. We expect our reported ROA for dividend to be accretive in the fourth quarter of 2024. We're excited about the loan growth -- the growth potential of this business and remain confident in the economic value added, given the strong credit profile of our dividend customers. In summary, we'll maintain our management discipline throughout the bank and focus on generating organic relationship growth. We've significantly improved our franchise and financial performance over the last decade, and we'll remain committed to customer-focused investments in our markets, products and technology platforms. We're committed to generating sustainable value for our stakeholders and will deploy capital to maximize long-term profitability. To that end, I want to highlight that we announced an accelerated share repurchase this morning for $100 million, reflecting our confidence in our capital levels, business strategy and other capital deployment opportunities. With that, Jamie and I are happy to take questions.

Thank you. Can you hear me? Great. Thanks, Tim, thanks for the remarks. So Tim, you've been in the role now about 6 months. The banks had tremendous success executing on its strategy. It laid out over the past several years. Maybe just high level, as you go out and talk to customers, what do you think the reasons Fifth Third is winning? What are the key areas for the bank to focus on for the next few years?

Yes, sure. And I do get to spend a lot of time out with clients and I think, in particular, in an environment like this one where they see the economic uncertainty, it's been important to me to be able to stay close to them and understand why we're when and where we're in and where we can continue to do better. I think I'd tell you there are 3 things that I hear consistently from clients, and I'm talking commercial clients at this point in time that are driving the new wins we're having in terms of quality relationships. I think the first is whether it's the pandemic or the financial crisis, longtime business owners remember what happens when the cycle turns if they're not banking with somebody who's positioned to be able to support them when times get difficult, right? Banks have -- there's an old adage that bankers give you an umbrella when the sun is shining and they take it away when it starts to rain, right? And I think is important to people that they know that the people that they are entrusting as business partners are going to be there to support them when times are tough. So the things we have done to be a little bit more cautious in terms of how we position the balance sheet, the focus we have had and making sure that we build capital so that we could support people when times were rougher in the event that the economy does have a bumpier landing than maybe we set out to achieve here are really important. So that's the first thing. Second thing, we were much faster to be out and to be with customers during the COVID pandemic, right? We believe, given our footprint in particular, that the folks that we bank with, they either make stuff, they move stuff, they warehouse staff where they distribute it and their people have to be in. And it didn't feel appropriate to us to be telling them that it was fine for them to have to be in their facilities, but our bankers couldn't be out with them. So once we were able to get to a point where we were confident we could keep people healthy, we got them back out in front of clients. And that definitely contributed to the surge in new quality relationship growth. We have last year. I mean we moved 3- to 50-year house relationships off a very other or very significant other bank platforms. And I think the last thing that has benefited us and that you can see flowing through our financial performance are the investments we've made in value-added solutions, right? The managed services on the treasury management side of the equation that allow people to automate and drive lease cost routing on the accounts payable side or to automate and eliminate manual work on the receivables side of the equation. And then the investments in capital markets, both as it relates to business ownership transition advisory services and FRM. And we have a set of capabilities there that are just truly differentiated relative to others. And the reason like if you look at treasury management, nearly 40% of the new relationships we've added this year in treasury management were TM-only, -- we didn't have to lead with credit in order to move that business. So that's been a big catalyst for us in terms of moving clients onto the platform.

Great. So maybe switching a little bit to the operating environment. So loan growth has slowed from peak levels earlier in the year. While there's obviously some cyclical slowdowns on the commercial side. You've also been talking about secular trends, Tim, in the Midwest that are helping so -- when you put all these things together, what does that mean for commercial loan growth, whether in 2023 over an intermediate time frame? And what parts of the market are you seeing the best opportunities?

We appreciate the indirect request for 2023 guidance there.

Every question will have that...

We're in the middle of basketball season, and I coach basketball for one of my kids, and I'm trying to teach them to use the [indiscernible] as well. So maybe I am particularly appreciative... The big shot here.

My guys is with [indiscernible]...

Just with Look, I think to talk about cyclical and secular is probably the right way to think about it. If you look at our balance sheet, you look at our loan growth, you have puts and takes, right? The cyclical dynamics that are more pronounced in the sheet right now are the dynamics relating to the profitability, the unit economics of lending in auto and mortgage, right? So I think we were one of the first to elect to take the foot off the pedal on the auto business. We have been shrinking the size of our mortgage book at a period of time when I know a lot of other people are growing. But at this point in the cycle, that's just the prudent thing to do if your goal is to drive long-term profitability. So it's fair to expect that both of those loan categories are going to be a little bit of a drag on overall loan growth as you roll into 2023. On the other side of the equation, the platforms that we acquired in dividend and provide are generating excellent high-quality super prime loan growth, right? And the investments we have made in the sales force and the Southeast, we talked a lot about that, these middle market expansion offices, which continue to meet or exceed our expectations are going to provide a little bit of a catalyst. So if you net it all out, like we try to run the bank to be able to generate GDP-plus levels of organic growth, I think GDP plus or minus is probably the right place to think about next year. And I'll leave it to you to figure out what do you think...

So Tim, on one of the slides you talked about your leading household growth, showcasing a 3% growth in the Midwest, but 8% -- almost 8% in the Southeast. You talked about all the branches that you're opening over the next 3 years. Can you continue to sustain this pace through the branch expansion of acquiring customers? And what does this mean for overall householder growth for the franchise?

Yes. You want to [indiscernible] that?

I don't think a little bit more [indiscernible].

Yes. Look, when we talk about the Southeast markets, what we're really talking about is about 15 metro areas, right? I think we've shared this math before. So I won't try to list them all off in order. But there are 15 midsized metro areas in the Southeast that we focused on, each of which have a population of between, call it, 500,000 and 3.5 million, 4 million people. Those are great size markets for us. We had existing presence in all but 2 of them, right, Greenville and Charleston are the 2 markets that we elected to enter in South Carolina, where we didn't already have a branch presence at the time that we initiated the build out. And there are markets that if you're diligent about picking the right properties, you can get to scale in us in a sort of a 3 to 4-year period, which was important to us because we know what impact the economics or the sort of a minimum critical scale position has on the economics of the markets themselves, the quality of the customers that we can attract. So the first 2, 3 years, if you were to look at the majority -- where the majority of the branches were built, they really were concentrated in the Charlotte metro area and then I'll call it, the middle of the Southwest Coast of Florida. So Sarasota Bradenton, Fort Myers down into Naples, where we already have a pretty good market position. We're in the midst of a period now where the majority of the builds have either gone to the Raleigh Carry Corridor, [indiscernible] Hill corridor in North Carolina. -- we'll have built 5 in Greenville in a matter of 18 months, we'll be halfway to where we want to be in Greenville, South Carolina and Nashville, was the other material focus. Next 3 years, a disproportionate share of the builds are going to happen in the Central to Northern Florida corridor, or Tampa and St. Pete, Orlando and Jacksonville. And then also that corridor on the East Coast, the sort of Fort Lauderdale North portion of the East Coast, Miami, that different animal entirely nonfocus market for us at the moment. And we continue to chip away in Atlanta, where we have a long-standing presence, but a lot of the locations that we have there were acquired from banks that weren't ideally located for the sort of business model we want to run. And so that one is going to take a little bit more work in terms of recycling. But we have a lot of runway in front of us in terms of what we're going to be...

Got it. Thanks for the color. Jamie deposits. So deposits fell, I think, almost $10 billion in the second quarter as you ran up ex liquidity, showed some stability in the third quarter. Now I think we were talking about growth into 4Q. And I think you've commented you expect them to grow into 2023. Maybe just talk about some of the strategies in place to grow deposits, things like Momentum banking. -- as you look out, how are you thinking about funding the balance sheet over the intermediate time frame?

Yes, as Tim mentioned in his prepared remarks, we have a lot of momentum going on the consumer side. So the strategies on consumer really are on 4 fronts. The first is the de novos as we talked about, 22 or so this year, 35 or so next year. then expanded marketing offers, which you've seen throughout the year and continuing to ramp in the back half of 2022, and that household acquisition focus of our marketing programs will continue in 2023. Then you have the Momentum product itself. We just passed the 1 million account mark, and that product continues to grow. And fortunately, also provides a very low and stable beta because the value exchange with what the customer is receiving is just different than a rate. It is the value of extra time and early pay. And so overall, a very good product. And then Tim touched on it in the prepared remarks. The fourth strategy really is the [indiscernible] application that we have in all of our branch locations. And so we -- customer recommendation engine that feeds the dashboard that 1,100 locations are using to dictate who they call, what products are they offering? And really the focus is what does the customer need in order to really help them. And that, frankly, has been one of the bigger headwinds for us as a company on the deposit side has been -- our focus is getting the customer to the right product that they need. And so we've moved over $2 billion of consumer deposits into their securities and helping with retirement planning, annuity sales. So those deposits leave. On the commercial side, we've moved $4 billion into the liquidity portal. So again, our focus is let's do the right thing for the customer, get them where they need to be in the end, that is the best approach. So consumer, we feel good about the progress we're making. On commercial, it just comes down to the battle of the headwind of rising rates and rising earnings credits against how much treasury management business can you sell to offset that headwind. And it's ebbed and flowed, but so far, in the fourth quarter, commercial deposits have held up well. From a balance sheet perspective, in the fourth quarter, loans are doing better. So we'll be at the high end of the range from a loan perspective, primarily driven by C&I, and it's not line utilization, it's customer acquisition, especially in the commercial verticals and middle market. On the deposit side, we'll be at the low end of the range on deposits, but we're still growing. We're still up, but we'll probably be up 1% as opposed to the 1% to 2%.

Maybe let's talk a little bit about the cost of deposits. So I think you guys were talking about a high 30s cumulative beta, you gave some color on where you thought you would be at year-end. Maybe just some color how are they tracking? What are you seeing different commercial versus consumer? And how are things like Momentum Banking helping the consumer cost of deposits this cycle relative to the performance the last time we saw rates rise.

Yes, it really is a tale of 2 cities when it comes to deposit betas where commercial, wealth and asset management are at the very high end and then retail continues to be very modest as we talked about with the momentum product, certainly helping with that. When it comes to the quarter and how deposit costs are playing out, there's certainly pricing pressure in the commercial space. And so we had said our deposit beta for the quarter will be around 30%. It might be 1 point or 2 higher. And with the loan growth being a little bit better, deposits being a little bit softer and a little bit more expensive. NIM will be at the low end of the range for the quarter, a 335 level, but NII will continue to be up 5%. So we feel very good about how we positioned just a lot of moving parts right now. But overall, we feel good about how we've managed the deposit base and that if the Fed goes to a 5% terminal Fed funds rate, our beta will be in that 40% range, and we continue to work hard every day to deliver that.

Jim, you've given different parts of the -- where you see the fourth quarter. Anything else just to kind of get it out of the way. We've had a couple of companies talking about allowance builds. You commented NII. Maybe just any thoughts on fee income and expenses before we move on some more.

I'll give you a credit. It only took 26 minutes to get to that one.

I try not to be too short term the CEO conference. Thank you.

Yes, exactly. I'm getting the Michael Jordan Freeze out over here. The quarter is actually shaping up very nicely. We're -- from a PPNR perspective, we guided to an up 11% or 12%. We continue to believe that that is where we'll shake out credit. -- again, continues to be benign. We continue to expect charge-offs in the 20 to 25 basis point range. So the wildcard for us then comes down to the ACL. Obviously, the strong dividend loan growth will drive $80 million to $90 million of ACL. And as you've heard from others, the Moody's scenarios are a little bit worse this quarter than they were last quarter. So if there's one moving part, perhaps the ACLs in the $125 million range as opposed to $100 million range, but we'll see as we get through the models. But otherwise, the business is performing very well and very much as we expected as we headed into the quarter. It's a little bit of a boring finish to her.

I guess sometimes boring is good. So Tim, a couple of other questions I wanted to hit on. So this year was obviously a tough go for the fee income businesses, given slowdown in capital markets headwinds to service charges. Maybe just talk about the investments you guys have made in fee income. You obviously have highlighted treasury management. What do you think that means about your ability to grow this over time?

Yes. It's been a tale of 2 cities on the fee income businesses this year as well because -- and it's been, I think, a period of time where we've been quite thankful that we did try to build a more diverse portfolio of fee income businesses as opposed to getting overly concentrated in one area versus another because you're right. I mean we came into the year with the lowest revenue concentration and overdraft in consumer deposit fees of any of the big consumer banks -- so that created an additional headwind but not to the extent that you see some places. And on the other side of the equation, top line treasury management fee income was very, very good, right? And on the capital markets side, the bond business, DCM markets are tough at the moment, but the growth in financial risk management, hedging, commodities, rates and currencies has been excellent, right? That's been a 30%-ish type of a grower for us in terms of the performance. And then the top line mortgage revenue is -- I mean, the mortgage markets are sad, right? But on the other side of the equation, we're getting the benefit of having built a very significant servicing portfolio, and you're seeing that flow through now in terms of the mortgage results that Fifth Third is generating relative to others is that asset has extended, and we're benefiting from lower prepayments in terms of the servicing fee. So roll the tape forward your equities, people are saying the S&P ends next year at the place that it starts this year. I'm sad to admit that I think that would be fabulous like -- that would be a great outcome from my point of...

Custom [indiscernible]...

And if that happens, the wealth management business is going to join mortgage servicing and treasury management and the core capital markets businesses as being a really bright spot of growth because underneath the surface, our wealth management business is doing a very nice job of generating net new flows on a consistent quarter after quarter after quarter basis. You just can't see it right now because it's a business that's essentially entirely advisory. I mean even the brokerage business is 3 quarter managed money at Fifth Third and the byproduct that is that as equity values decline, obviously, it obscures the underlying growth power that the wealth management business should generate for us next year.

So I have 3 more questions I wanted to hit on here. So maybe first, Jim, so tech has been growing 10% a year, expected to continue at that pace. You guys have done a ton of things, right? We've got a centers, we launched mobile app, new cloud architecture, amongst others. Maybe just talk about what are some of the bigger investments on the tech side you're making into next year? And how are these investments driving opportunities for efficiency across the organization?

I mean you hit the categories. Unfortunately, it's faster to announce these things is to get them all the way down it. So we still have the last leg of the data center migration to complete next year. But we're in a good position. I think we were very deliberate about virtualizing the servers that we have, which means that we're essentially running 90-ish percent of our applications on what you for all intents and purposes of private cloud. So you still have to do the porting of those applications. But the data center and the investments that have gone into the network, the physical network are really more about uptime and resiliency than they are efficiencies. The efficiencies are going to come in the migration of these core platforms, right? Because not unlike everybody else, Fifth Third's core is very reliable, very stable, but also very old, right? And in a lot of cases, these are applications that are programmed and like assembler and languages that they're not teaching in computer science class these days, put it that way. So as those applications come out and we migrate business volume on to them, it creates a real opportunity to eliminate manual work. So this year, I think the big focus will merely be done on the front end we will effectively be done on all the major commercial loan products. From a loan origination perspective, we'll get the GL in, which will be great for us. James folks can attest to the amount of work that goes into getting the financials close at the end of every month. And then we are going to have CDs and the starting point on savings rolling on the deposit core. As those products, as we get the new platform stabilized and migrate volume over, we should see ongoing efficiencies in the form of automation there. And then that last layer of investment is on really the product and customer interface. And there, we got the mobile app rebuilt into the cloud and redeployed relatively recently. There will be ongoing enhancements to the mobile app. You never launch those things without a backlog of work that you want to continue to be able to do. And then there is a lot of investment going into the next generation of the managed services and treasury management at the moment. And then the front-end home equity experience and then continuing to tune up the mortgage business so that when rates do eventually fall and all of these mortgages that were originated with a 7% coupon come screaming back at us. We have a little bit better experience than we did this last time around on the mortgage side of the equation.

Maybe one last question for me. So based on the guidance, I think the company is on pace for about 800 basis points of operating leverage. And you obviously have huge tailwinds on NII. And seems like revenue should approach double digits next year, my numbers, not yours. Given that, how do you think about managing operating leverage in this type of environment? And how do you manage costs for the overall bank, even pressures from inflation and need to invest?

I mean it starts with the acknowledgment that whenever something becomes more important, by definition, something else is less important, right? And I think organizations in general, are very good at identifying the things that are more important than asking for the investment. It's comparatively a lot harder to get people to go back and to look at the way that work is getting done today and say, either what work doesn't need to be done or what work could be done differently in a way that generates real savings, that is a cultural discipline that exists at Fifth Third. I mean every year, the exercise of getting your legacy expense base down for next year's plan starts in the sort of the first quarter, right? So we have an expectation that everybody gets 2% to 3% more efficient on existing activities every year. And we just -- you manage to it, right? And I think when you get into that habit and you force people to think about how they allocate the existing pool of resources as opposed to just focusing on where they could have vast additional resources if the house comes in and funds them, and you can get pretty good outcomes over time.

Hopefully, a repeat of [indiscernible] -- on that note, let's thank Fifth Third for their presentation. Thank you.