BB&T 2012 Annual Report Download - page 14

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2012 Annual Report
12
This strategy is crucial to our success in today’s low interest-
rate environment because it makes BB&T relatively less
dependent on our core banking business, where our margins
are constrained by the narrower spread between borrowing and
lending rates. While we believe those margins will improve with
gradually rising interest rates, BB&T is positioned to continue
outperforming our peers regardless of interest rates because
of our growing and diversified revenue sources. We have greater
flexibility as the economy moves through interest-rate cycles
and we have greater control over our revenue streams.
BB&T’s revenue is split roughly 50-50 between our core banking
operations and our national fee-income businesses, with 47%
coming from our Community Bank and other businesses
contributing shares ranging from 14% for insurance services
to 6% for dealer financial services.
In 2013, BB&T is investing in revenue growth in several
important ways. We are expanding in our newer banking markets
by adding branches focused on commercial banking. In Florida,
our BankAtlantic acquisition, completed in 2012, expands our
penetration in the vibrant Miami area as that market recovers
with firming real estate values. The acquisition adds $3 billion
in core deposits, boosts our South Florida market share to No. 6
from No. 14 and complements the North Florida banking
operations added in our earlier Colonial acquisition. The 2009
Colonial transaction has been a huge benefit overall for BB&T
in Florida, Alabama and Texas, generating billions in new loans.
BB&T’s Capital Markets Corporate Banking group also
continues to open offices in attractive new markets, developing
robust relationships with corporate clients across the U.S.
Over the last several years, we expanded our corporate
banking capabilities in areas such as loan syndications,
In Fairhope, Alabama, “Ms. Daphne” knows just about everybody, and just about everybody knows her. Daphne Dvorak started in banking right
out of high school in 1943, filing checks and hand-delivering bank statements. Now, 70 years later at age 88, she still is greeting clients at BB&T’s
downtown Fairhope branch. “I like to be nice to people. I love all people, young people, old people, in-between people,” says Ms. Daphne, who works
as a receptionist. She was worried she would lose her job when BB&T acquired Colonial Bank in 2009. “I thought because of my age they would
want me to stay home. I just want to work to do the best I can.” BB&T was delighted to welcome an associate who is an inspiration to clients,
colleagues and most of Fairhope’s 19,000 residents. Ms. Daphne, who has 15 grandchildren and great-grandchildren, arises before 5 a.m. and
walks everywhere in town, always stopping before the branch opens to pick up any litter and tend to the flowers. She can’t drive anymore due to
a degenerative eye disease, but still works every day with the help of a magnified computer screen. And she still competes in 5k races, walking now,
wishing she could still run marathons as she did until age 72. “When I look at Ms. Daphne,” says Fairhope Financial Center Leader Kelly Lankford,
“I see BB&T’s values.”
“I love banking and I love people. I always have. That’s why I like what I do.
I always want to do whatever I can to help everyone.”
DAPHNE DVORAK
Receptionist, Fairhope, Alabama