SunTrust 2009 Annual Report Download - page 23

SunTrust’s Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, Current Reports on Form 8-K and amendments
to those reports filed or furnished pursuant to Section 13(a) or 15(d) of the Exchange Act are available free of charge on the
Company’s website at www.suntrust.com under the Investor Relations section as soon as reasonably practicable after the
Company electronically files such material with, or furnishes it to the SEC. The public may read and copy any materials the
Company files with the SEC at the SEC Public Reference Room at 100 F Street, NE, Washington, DC 20549. The public
may also obtain information on the operation of the Public Reference Room by calling the SEC at 1-800-SEC-0330. The
SEC also maintains an Internet site that contains reports, proxy and information statements, and other information regarding
issuers that file electronically with the SEC. The SEC’s website address is www.sec.gov. In addition, SunTrust makes
available on its website at www.suntrust.com under the heading Corporate Governance its: (i) Code of Ethics; (ii) Corporate
Governance Guidelines; and (iii) the charters of SunTrust Board committees, and also intends to disclose any amendments to
its Code of Ethics, or waivers of the Code of Ethics on behalf of its Chief Executive Officer, Chief Financial Officer and
Principal Accounting Officer, on its website. These corporate governance materials are also available free of charge in print
to shareholders who request them in writing to: SunTrust Banks, Inc., Attention: Investor Relations, P.O. Box 4418, Mail
Code GA-ATL-634, Atlanta, Georgia 30302-4418.
The Company’s Annual Report on Form 10-K is being distributed to shareholders in lieu of a separate annual report
containing financial statements of the Company and its consolidated subsidiaries.
Item 1A. RISK FACTORS
Possible Additional Risks
The risks listed here are not the only risks we face. Additional risks that are not presently known, or that we presently deem
to be immaterial, also could have a material adverse effect on our financial condition, results of operations, business, and
prospects.
Recent Market, Legislative, and Regulatory Events
Difficult market conditions have adversely affected our industry.
Dramatic declines in the housing market over the past three years, with falling home prices and increasing foreclosures,
unemployment and under-employment, have negatively impacted the credit performance of real estate related loans and
resulted in significant write-downs of asset values by financial institutions. These write-downs, initially of ABS but
spreading to other securities and loans, have caused many financial institutions to seek additional capital, to reduce or
eliminate dividends, to merge with larger and stronger institutions and, in some cases, to fail. Reflecting concern about the
stability of the financial markets generally and the strength of counterparties, many lenders and institutional investors have
reduced or ceased providing funding to borrowers, including to other financial institutions. This market turmoil and
tightening of credit have led to an increased level of commercial and consumer delinquencies, lack of consumer confidence,
increased market volatility and widespread reduction of business activity generally. The resulting economic pressure on
consumers and lack of confidence in the financial markets has adversely affected our business, financial condition and results
of operations. Market developments may affect consumer confidence levels and may cause adverse changes in payment
patterns, causing increases in delinquencies and default rates, which may impact our charge-offs and provision for credit
losses. A worsening of these conditions would likely exacerbate the adverse effects of these difficult market conditions on us
and others in the financial institutions industry.
Recent levels of market volatility are unprecedented.
The capital and credit markets have been experiencing volatility and disruption for more than two years. Volatility and
disruption have reached unprecedented levels. In some cases, the markets have produced downward pressure on stock prices
and credit availability for certain issuers without regard to those issuers’ underlying financial strength. If current levels of
market disruption and volatility continue or worsen, there can be no assurance that we will not experience an adverse effect,
which may be material, on our ability to access capital and on our business, financial condition and results of operations.
Recently enacted legislation, legislation enacted in the future, or any proposed federal programs subject us to
increased regulation and may adversely affect us.
On October 14, 2008, the U.S. Treasury announced a program under the EESA pursuant to which it would make senior
preferred stock investments in participating financial institutions (the “CPP”). On October 14, 2008, the FDIC announced the
TLGP under the systemic risk exception to the FDA pursuant to which the FDIC would offer a guarantee of certain financial
institution indebtedness in exchange for an insurance premium to be paid to the FDIC by issuing financial institutions.
We have participated in the CPP and issued debt under the TLGP. Because we participate in the CPP, we are subject to
increased regulation, and we face additional regulations or changes to regulations to which we are subject as a result of our
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