Fifth Third at Barclays Conference Notes

posted in: Notes | 0

This post is part of a series of posts called “Company Notes.” These posts contain quotes and exhibits from earnings calls, conference presentations, analyst days and SEC filings. Full transcripts can be found at Seeking Alpha

Loan pipelines are still good

“We spend a lot of time, as you might imagine, in the markets today talking with clients and prospects. And I would tell you that for the most part, nothing has changed relative to our client’s perspective. The pipelines are still good from that regard. We are seeing though a more competitive environment than last quarter. I’m sure it’s going to be more competitive tomorrow than it was today, and we are sensitive to that at this point. So credit spreads are tightening, not giving us or not giving a lot of room relative to making a mistake from that perspective.”

There is still lack of clarity around whether regulators will allow deals to get done

“one of the things I think is challenging in this environment is still some lack of clarity relative to the M&A environment. I don’t think, from our perspective, not being able to calculate what the cost of that ambiguity is in the process and not wanting to have a diversion or a focus in terms of a longer lead time to get a deal done or closed from that perspective really leads us to making sure we stay focused on the core franchise at this point.”

Not optimistic that 2015 is the year that happens

“I don’t know when that gets better. I think it will get better. I’m not particularly optimistic that 2015 is the year that happens.”

It is challenging but not going to make bad credit decisions

“As I mentioned to Jason’s earlier question, we are seeing it getting a little bit more challenging out there, and so we’re not going to pursue that. We’re not going to make bad credit decisions in order to just simply to bulk the balance sheet and jump into 2015 from that perspective. That doesn’t make sense to us. And as it gets more reflected in pricing or structure, we’ll really be more disciplined”