{"id":403161,"date":"2020-12-18T18:36:19","date_gmt":"2020-12-18T23:36:19","guid":{"rendered":"http:\/\/www.marketnewsdesk.com\/?p=403161"},"modified":"2020-12-18T18:36:19","modified_gmt":"2020-12-18T23:36:19","slug":"citizens-financial-group-inc-reiterates-key-aspects-of-capital-plan-after-resubmission","status":"publish","type":"post","link":"https:\/\/www.marketnewsdesk.com\/index.php\/citizens-financial-group-inc-reiterates-key-aspects-of-capital-plan-after-resubmission\/","title":{"rendered":"Citizens Financial Group, Inc. Reiterates Key Aspects of Capital Plan after Resubmission"},"content":{"rendered":"

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Citizens Financial Group, Inc. Reiterates Key Aspects of Capital Plan after Resubmission<\/b><\/p>\n

PROVIDENCE, R.I.–(BUSINESS WIRE<\/a>)–
\nCitizens Financial Group, Inc. (NYSE: CFG or the \u201cCompany\u201d) today received the results of its 2020 Capital Plan resubmission and December 2020 Stress Test from the Board of Governors of the Federal Reserve System (the \u201cFederal Reserve\u201d). CFG\u2019s results exceed all capital requirements under the Federal Reserve\u2019s severe stress scenarios and the Company reiterates key aspects of its 2020 Capital Plan, which includes maintaining quarterly common dividends at the current level.\n<\/p>\n

\nThe resilience of Citizens\u2019 pre-provision net revenue (\u201cPPNR\u201d) given changes to its business mix and improvement in its profitability over time is evidenced by its current operating performance in the real-life stress of 2020. The Company\u2019s ratio of PPNR to average assets in the first nine months of 2020 was 3.9%*, and fourth quarter 2020 is projected to remain strong. This resilience compares favorably with peers and with the Federal Reserve\u2019s modeled outcome of 2.0% for CFG under the severely adverse scenario of the December 2020 Stress Test.\n<\/p>\n

\nThe Federal Reserve\u2019s PPNR model continues to use non-predictive data from earlier periods when Citizens had a different business model and was under foreign bank ownership. As a result, the Company continues to believe that the Federal Reserve\u2019s PPNR models for the Company remain inaccurate.\n<\/p>\n

\n\u201cWe are pleased that the Federal Reserve\u2019s updated round of stress test results continues to demonstrate Citizens\u2019 strong capital position and the diversity of our business model, even under more challenging stress scenarios,\u201d said John F. Woods, Vice Chairman and Chief Financial Officer. \u201cWe have demonstrated our resilience in 2020 through the real-life stress of the pandemic, with strong revenue performance and expense discipline, the addition of significant credit reserves and a strong capital base that is back at our targeted capital ratios. We remain focused on using our robust position to help our clients and communities navigate these challenging times, while also ensuring strong returns of capital to our shareholders.\u201d\n<\/p>\n

\nThe Federal Reserve\u2019s public disclosure of the results of the December 2020 Stress Test for all participating bank holding companies is available on the Federal Reserve\u2019s website.\n<\/p>\n

\n* The ratio of PPNR to average assets for the first nine months of 2020 is presented on a nine-quarter equivalent basis.\n<\/p>\n

About Citizens Financial Group, Inc.<\/span><\/b><\/p>\n

\nCitizens Financial Group, Inc. is one of the nation\u2019s oldest and largest financial institutions, with $179.2 billion in assets as of September 30, 2020. Headquartered in Providence, Rhode Island, Citizens offers a broad range of retail and commercial banking products and services to individuals, small businesses, middle-market companies, large corporations and institutions. Citizens helps its customers reach their potential by listening to them and by understanding their needs in order to offer tailored advice, ideas and solutions. In Consumer Banking, Citizens provides an integrated experience that includes mobile and online banking, a 24\/7 customer contact center and the convenience of approximately 2,700 ATMs and approximately 1,000 branches in 11 states in the New England, Mid-Atlantic and Midwest regions. Consumer Banking products and services include a full range of banking, lending, savings, wealth management and small business offerings. In Commercial Banking, Citizens offers a broad complement of financial products and solutions, including lending and leasing, deposit and treasury management services, foreign exchange, interest rate and commodity risk management solutions, as well as loan syndication, corporate finance, merger and acquisition, and debt and equity capital markets capabilities. More information is available at www.citizensbank.com<\/a> or visit us on Twitter<\/a>, LinkedIn<\/a> or Facebook<\/a>.\n<\/p>\n

Forward-Looking Statements<\/span><\/b><\/p>\n

\nThis document contains forward-looking statements within the meaning of Private Securities Litigation Reform Act of 1995. Statements regarding its fourth quarter 2020 PPNR projections, potential future share repurchases and future dividends, as well as the potential effects of the COVID-19 pandemic on our business, operations, financial performance and prospects, are forward-looking statements. Also, any statement that does not describe historical or current facts is a forward-looking statement. These statements often include the words \u201cbelieves,\u201d \u201cexpects,\u201d \u201canticipates,\u201d \u201cestimates,\u201d \u201cintends,\u201d \u201cplans,\u201d \u201cgoals,\u201d \u201ctargets,\u201d \u201cinitiatives,\u201d \u201cpotentially,\u201d \u201cprobably,\u201d \u201cprojects,\u201d \u201coutlook\u201d or similar expressions or future conditional verbs such as \u201cmay,\u201d \u201cwill,\u201d \u201cshould,\u201d \u201cwould,\u201d and \u201ccould.\u201d\n<\/p>\n

\nForward-looking statements are based upon the current beliefs and expectations of management, and on information currently available to management. Our statements speak as of the date hereof, and we do not assume any obligation to update these statements or to update the reasons why actual results could differ from those contained in such statements in light of new information or future events. We caution you, therefore, against relying on any of these forward-looking statements. They are neither statements of historical fact nor guarantees or assurances of future performance. While there is no assurance that any list of risks and uncertainties or risk factors is complete, important factors that could cause actual results to differ materially from those in the forward-looking statements include the following, without limitation:\n<\/p>\n