M&T Bank Corporation

Welcome to the M&T Bank third quarter 2023 earnings conference call. All lines have been placed on listen-only mode, and the floor will be open for your questions following the presentation. If you would like to ask a question at that time, please press star, then the number 1 on your telephone keypad. If at any point your question has been answered, you may remove yourself from the queue by pressing star 2. When posing your question, we ask that you please pick up your handset to allow for optimal sound quality. Lastly, if you should require operator assistance, please press star zero. Please be advised that today's conference is being recorded. I would now like to hand the conference over to Brian Klock, Head of Market and Investor Relations. Please go ahead.

Thank you, Angela, and good morning. I'd like to thank everyone for participating in M&T's third quarter 2023 earnings conference call. both by telephone and through the webcast. If you have not read the earnings release we issued this morning, you may access it along with the financial tables and schedules by going to our website, www.mtb.com. Once there, you can click on the Investor Relations link and then on the Events and Presentations link. Also, before we start, I'd like to mention that today's presentation may contain forward-looking information. Cautionary statements about this information are included in today's earnings release materials and in the investor presentation, as well as our SEC filings and other investor materials. Presentation also includes non-GAAP financial measures as identified in the earnings release and in the investor presentation. The appropriate reconciliations to GAAP are included in the appendix. Joining me on the call this morning is M&T's Senior Executive Vice President and CFO, Darryl Bible. I'd like to turn the call over to Darryl.

Thank you, Brian, and good morning, everyone. Let's start with our purpose, mission, and operating principles on slide three. I would like to thank our more than 22,000 M&T colleagues for all their hard work. Whether serving our customers or our communities, our employees continue to deliver on our purpose. making a difference in people's lives. This purpose drives our operating principles. We believe in local scale, that is, combining local knowledge and hands-on customer service of community bank with the resources of a large financial institution. Our 28 communities are led by on-the-ground regional presidents. Their knowledge allows us to better understand and meet the needs of our customers and communities. And importantly, this approach continues to produce strong results for our shareholders. Our local scale has led to superior credit performance, top deposit share, and high operating and capital efficiency over the long term. Moving to slide four, our seasoned, talent, and diverse board are keys to gaining in-depth understanding of our customers' needs and expectations. We have sound technology solutions coupled with caring employees, would provide a differentiated client experience. Please turn to slide five. This slide showcases how we activate our purpose through our operating principles. When our customers and communities succeed, we all succeed. Our investments in enhancing the customer experience and delivering impactful products have fueled organic growth. We also believe in supporting small business owners who play a vital role in our communities. Despite operating in only 12 states, we are ranked as number six SBA lender in the country. The 15th consecutive year, M&T is ranked in the nation's top 10 SBA lenders. And for the first time, we have finished as the top SBA lender in Connecticut. an important milestone following our acquisitions of Peoples United. Our commitment to supporting the communities we serve extends to affordable housing projects with almost $2.3 billion in financing and over 2,600 home loans for low and moderate income residents. Additionally, M&T Bank and our charitable foundation granted over $47 million in support of our communities in 2022, at approximately 30 million so far in 2023. Please turn to slide six. Here we highlight our ongoing commitment to the environment. Last year we invested over 230 million in renewable energy sector and have significantly reduced our scope one and scope two emissions since 2019. Our ESG report was published in July but I encourage you to review this slide for some of the highlights. M&T's ESG ratings have improved at Moody's, MSCI, and Sustainalytics. Turning to slide eight, there are several successes to highlight this quarter. We continue to see growth in auto dealerships as well as specialty businesses. We continue to grow custom deposits despite increasing competition. and building on the strong liquidity position and comparative strength of our financial position in the industry allows us to continue lending in support of communities and local businesses.