Headquartered in Providence, Rhode Island, we were the 13th largest retail
bank holding company in the United States. Our approximately 17,700 colleagues
strive to meet the financial needs of customers and prospects through approximately
1,200 branches operating in an 11-state footprint across the New England, Mid-Atlantic
and Midwest regions and through our online, telephone and mobile banking platforms.
Our branch banking footprint contained approximately 30 million households and
3.1 million businesses. We also maintain over 100 retail and commercial non-branch
offices located both in our banking footprint and in other states and the District
of Columbia largely contiguous to our footprint. We deliver a comprehensive
range of retail and commercial banking products and services to more than five
million individuals, institutions and companies nearly 70% of our loans were
to customers in our footprint and eight contiguous states where we maintain
offices.
Our primary subsidiaries are CBNA, a national banking association whose primary
federal regulator is the OCC, and CBPA, a Pennsylvania-chartered savings bank
regulated by the Department of Banking of the Commonwealth of Pennsylvania and
supervised by the FDIC as its primary federal regulator.
We offer a broad set of banking products and services through our two operating
segments — Consumer Banking and Commercial Banking — with a focus
on providing local delivery and a differentiated customer experience. We seek
to ensure that customers select us as their primary banking partner by taking
the time to understand their banking needs and we tailor our full range of products
and services accordingly.
Building on our core strengths, our objective is to be a top-performing bank
that delivers well for each of our stakeholders by offering the best possible
banking experience for customers. We plan to achieve this by leveraging our
strong customer relationships, leading market share rankings in attractive markets,
customer-centric colleagues, and our high quality balance sheet.
Our strategy is designed to maximize the full potential of our business and
drive sustainable growth and enhanced profitability. As a core measure of success,
our medium-term financial targets include a ROTCE ratio of greater than 10%
and an efficiency ratio in the 60% range. Our financial targets are based on
numerous assumptions including the yield curve evolving consistent with market
implied forward rates and that macroeconomic and competitive conditions are
consistent with those used in our planning assumptions.
While our strategic plan and our ROTCE target and its components are presented
with numerical specificity and we believe such targets to be reasonable given
the uncertainties surrounding our assumptions, there are significant risks that
these assumptions may not be realized and thus our goals may not be achieved.
Accordingly, our actual results may differ from these targets and the differences
may be material and adverse, particularly if actual events adversely differ
from one or more of our key assumptions. We caution investors not to place undue
reliance on any of these assumptions or targets.
We intend to deliver on this by adhering to the following strategic principles:
Offer customers a differentiated experience through the quality of our colleagues,
products and services, and foster a culture around customer-centricity, commitment
to excellence, leadership, teamwork and integrity.
Build a great brand that invokes trust from customers and reinforces our value
proposition of being “Simple. Clear. Personal.” for Consumer customers
and providing solutions-oriented “Thought Leadership” to Commercial
clients.
Deliver attractive risk-adjusted returns by making good capital and resource
allocation decisions, being good stewards of our resources, and rigorously evaluating
our execution.
Operate with a strong balance sheet with regards to capital, liquidity and funding,
coupled with a well-defined and prudent risk appetite.
Maintain a balanced business mix between Commercial Banking and Consumer Banking.
Position the bank as a ‘community leader’ that makes a positive
impact on the communities and local economies we serve.
In order to successfully execute on these principles, we have developed the
following strategic priorities, each of which are underpinned by a series of
initiatives as summarized below. We have made solid progress on our strategic
priorities and the underlying initiatives over the past year, due primarily
to the strength of our business model, management team, culture of accountability
and risk management.
