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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
FORM8-K
CURRENT REPORT
Pursuant to Section 13 OR 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported) October 19, 2023
                                                                            Associated Banc-Corp                                                                      
(Exact name of registrant as specified in its chapter)
Wisconsin001-3134339-1098068
(State or other jurisdiction of incorporation)

(Commission File Number)

(IRS Employer Identification No.)

433 Main StreetGreen BayWisconsin54301
(Address of principal executive offices)(Zip code)
Registrant’s telephone number, including area code920491-7500
 
(Former name or former address, if changed since last report)
 
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities Registered Pursuant to Section 12(b) of the act:
Title of each classTrading symbolName of each exchange on which registered
Common stock, par value $0.01 per shareASBNew York Stock Exchange
Depositary Shrs, each representing 1/40th intrst in a shr of 5.875% Non-Cum. Perp Pref Stock, Srs EASB PrENew York Stock Exchange
Depositary Shrs, each representing 1/40th intrst in a shr of 5.625% Non-Cum. Perp Pref Stock, Srs FASB PrFNew York Stock Exchange
6.625% Fixed-Rate Reset Subordinated Notes due 2033ASBANew York Stock Exchange
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company 
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.




Item 2.02 Results of Operations and Financial Condition.
 
On October 19, 2023, Associated Banc-Corp announced its earnings for the quarter ended September 30, 2023. A copy of the registrant’s press release containing this information and the slide presentation discussed on the conference call for investors and analysts on October 19, 2023, are being furnished as Exhibit 99.1 and Exhibit 99.2, respectively, to this Report on Form 8-K and are incorporated herein by reference.
 
Item 9.01 Financial Statements and Exhibits.
 
(d)  Exhibits.
 
 The following exhibits are furnished as part of this Report on Form 8-K:






SIGNATURES
 
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
 
 Associated Banc-Corp
 (Registrant)
  
  
Date: October 19, 2023By: /s/ Derek S. Meyer
 Derek S. Meyer
 Chief Financial Officer
  
 
 

Exhibit 99.1

asblogoa11a.jpg
NEWS RELEASE
Investor Contact:
Ben McCarville, Vice President, Director of Investor Relations     
920-491-7059
Media Contact:
Jennifer Kaminski, Vice President, Public Relations Senior Manager
920-491-7576
Associated Banc-Corp Reports Third Quarter 2023 Net Income Available to Common Equity of $80 Million, or $0.53 per Common Share

Results driven by balance sheet growth and continued progress against the Company's strategic initiatives
GREEN BAY, Wis. -- October 19, 2023 -- Associated Banc-Corp (NYSE: ASB) ("Associated" or "Company") today reported net income available to common equity ("earnings") of $80 million, or $0.53 per common share, for the quarter ended September 30, 2023. These amounts compare to earnings of $84 million, or $0.56 per common share, for the quarter ended June 30, 2023 and earnings of $93 million, or $0.62 per common share, for the quarter ended September 30, 2022.
"We continued to see steady improvements in customer acquisition, retention and satisfaction scores during the quarter, enabling us to grow core customer deposits by over $500 million and decrease our reliance on non-customer funding sources," said President and CEO Andy Harmening. "Our strategic initiatives have also enabled us to deliver another quarter of balanced, high-quality loan growth. While we feel well positioned today, we recognize that the banking environment continues to evolve, and we look forward to sharing more details about the second phase of our strategic plan later this quarter.”

Third Quarter 2023 Highlights (all comparisons to the second quarter of 2023)
Total period end commercial loans increased $68 million to $18.5 billion
Total period end consumer loans increased $276 million to $11.7 billion
Total period end deposits increased $109 million to $32.1 billion
Quarterly net interest margin decreased 9 basis points to 2.71%
Noninterest income increased $1 million to $67 million
Noninterest expense increased $6 million to $196 million
Provision for credit losses on loans remained flat at $22 million
Net income available to common equity decreased $4 million to $80 million









Loans
Third quarter 2023 average total loans of $29.9 billion were up 2%, or $446 million, from the prior quarter and were up 10%, or $2.8 billion, from the same period last year. With respect to third quarter 2023 average balances by loan category:
Commercial and business lending increased $86 million from the prior quarter and increased $793 million from the same period last year to $11.0 billion.
Commercial real estate lending increased $17 million from the prior quarter and increased $545 million from the same period last year to $7.3 billion.
Consumer lending increased $343 million from the prior quarter and increased $1.5 billion from the same period last year to $11.6 billion.


Third quarter 2023 period end total loans of $30.2 billion were up 1%, or $344 million, from the prior quarter and were up 9%, or $2.4 billion, from the same period last year. With respect to third quarter 2023 period end balances by loan category:
Commercial and business lending increased $40 million from the prior quarter and increased $582 million from the same period last year to $11.2 billion.
Commercial real estate lending increased $28 million from the prior quarter and increased $450 million from the same period last year to $7.3 billion.
Consumer lending increased $276 million from the prior quarter and increased $1.3 billion from the same period last year to $11.7 billion.

In 2023, we now expect full-year total loan growth of 5% to 6%.

Deposits
Third quarter 2023 average deposits of $32.0 billion were up 2%, or $721 million, from the prior quarter and were up 11%, or $3.1 billion, from the same period last year. With respect to third quarter 2023 average balances by deposit category:
Noninterest-bearing demand deposits decreased $351 million from the prior quarter and decreased $1.8 billion from the same period last year to $6.3 billion.
Savings increased $65 million from the prior quarter and increased $79 million from the same period last year to $4.8 billion.
Interest-bearing demand deposits increased $315 million from the prior quarter and increased $392 million from the same period last year to $7.0 billion.
Money market deposits decreased $450 million from the prior quarter and decreased $1.0 billion from the same period last year to $6.3 billion.
Total time deposits increased $970 million from the prior quarter and increased $4.7 billion from the same period last year to $6.0 billion.
Network transaction deposits increased $172 million from the prior quarter and increased $766 million from the same period last year to $1.6 billion.



Third quarter 2023 period end deposits of $32.1 billion were up $109 million from the prior quarter and were up 10%, or $2.9 billion, from the same period last year. With respect to third quarter 2023 period end balances by deposit category:
Noninterest-bearing demand deposits decreased $143 million from the prior quarter and decreased $1.8 billion from the same period last year to $6.4 billion.
Savings increased $59 million from the prior quarter and increased $128 million from the same period last year to $4.8 billion.
Interest-bearing demand deposits increased $490 million from the prior quarter and increased $406 million from the same period last year to $7.5 billion.
Money market deposits decreased $253 million from the prior quarter and decreased $641 million from the same period last year to $7.3 billion.
Total time deposits decreased $45 million from the prior quarter and increased $4.8 billion from the same period last year to $6.1 billion.
Network transaction deposits (included in money market and interest-bearing deposits) increased $49 million from the prior quarter and increased $785 million from the same period last year to $1.6 billion.

We continue to expect total core customer deposits (which excludes network transaction deposits and brokered CDs) to decrease by 3% in 2023 on a period end basis, with 2% growth in the second half of the year.

Net Interest Income and Net Interest Margin
Third quarter 2023 net interest income of $254 million decreased $4 million, or 1%, from the prior quarter and decreased $10 million, or 4%, from the same period last year. The net interest margin decreased to 2.71%, reflecting a 9 basis point decrease from the prior quarter and a 42 basis point decrease from the same period last year.
The average yield on total loans for the third quarter of 2023 increased 19 basis points from the prior quarter and increased 190 basis points from the same period last year to 5.96%.
The average cost of total interest-bearing liabilities for the third quarter of 2023 increased 30 basis points from the prior quarter and increased 255 basis points from the same period last year to 3.36%.
The net free funds benefit for the third quarter of 2023 increased three basis points from the prior quarter and increased 49 basis points compared to the same period last year to 0.71%.
We now expect total net interest income growth of 8% to 10% in 2023.

Noninterest Income
Third quarter 2023 total noninterest income of $67 million increased $1 million, or 2%, from the prior quarter and decreased $4 million, or 6%, from the same period last year. With respect to third quarter 2023 noninterest income line items:
Mortgage banking, net was $7 million for the third quarter, down $1 million from the prior quarter and up $4 million from the same period last year.



Service charges and deposit account fees increased slightly from the prior quarter and decreased $2 million from the same period last year.
Capital markets, net increased slightly from the prior quarter and decreased $2 million from the same period last year.
Asset gains (losses) increased $1 million from the prior quarter and increased $1 million from the same period last year.

We continue to expect total noninterest income to compress by 8% to 10% in 2023.

Noninterest Expense
Third quarter 2023 total noninterest expense of $196 million increased $6 million, or 3%, from the prior quarter and increased slightly from the same period last year as we continued to invest in our strategic initiatives. With respect to third quarter 2023 noninterest expense line items:
Personnel expense increased $3 million from the prior quarter and decreased $1 million from the same period last year.
Technology expense increased $2 million from the prior quarter and increased $3 million from the same period last year.
Occupancy expense increased $1 million from the prior quarter and increased slightly from the same period last year.

We continue to expect total noninterest expense growth of 3% to 4% in 2023, excluding any nonrecurring items incurred in the fourth quarter.

Taxes
The third quarter 2023 tax expense was $19 million compared to $24 million of tax expense in the prior quarter and $26 million of tax expense in the same period last year. The effective tax rate for the third quarter of 2023 was 18.9% compared to an effective tax rate of 21.3% in the prior quarter and an effective tax rate of 21.4% in the same period last year.
We continue to expect the 2023 effective tax rate to be between 20% and 21%, assuming no change in the statutory corporate tax rate.

Credit
The third quarter 2023 provision for credit losses on loans was $22 million, compared to a provision of $22 million in the prior quarter and a provision of $17 million in the same period last year. With respect to third quarter 2023 credit quality:




Nonaccrual loans of $169 million were up $37 million from the prior quarter and up $52 million from the same period last year. The nonaccrual loans to total loans ratio was 0.56% in the third quarter, up from 0.44% in the prior quarter and up from 0.42% in the same period last year.
Third quarter 2023 net charge offs of $18 million were up compared to net charge offs of $11 million in the prior quarter and were up compared to net charge offs of $2 million in the same period last year.
The allowance for credit losses on loans (ACLL) of $381 million was up $4 million compared to the prior quarter and up $48 million compared to the same period last year. The ACLL to total loans ratio was 1.26% in the third quarter, flat with the prior quarter and up from 1.20% in the same period last year.

In 2023, we expect to adjust provision to reflect changes to risk grades, economic conditions, loan volumes, and other indications of credit quality.

Capital
The Company’s capital position remains strong, with a CET1 capital ratio of 9.55% at September 30, 2023. The Company’s capital ratios continue to be in excess of the Basel III “well-capitalized” regulatory benchmarks on a fully phased in basis.




THIRD QUARTER 2023 EARNINGS RELEASE CONFERENCE CALL
The Company will host a conference call for investors and analysts at 4:00 p.m. Central Time (CT) today, October 19, 2023. Interested parties can access the live webcast of the call through the Investor Relations section of the Company's website, http://investor.associatedbank.com. Parties may also dial into the call at 877-407-8037 (domestic) or 201-689-8037 (international) and request the Associated Banc-Corp third quarter 2023 earnings call. The third quarter 2023 financial tables with an accompanying slide presentation will be available on the Company's website just prior to the call. An audio archive of the webcast will be available on the Company's website approximately fifteen minutes after the call is over.

ABOUT ASSOCIATED BANC-CORP
Associated Banc-Corp (NYSE: ASB) has total assets of $42 billion and is the largest bank holding company based in Wisconsin. Headquartered in Green Bay, Wisconsin, Associated is a leading Midwest banking franchise, offering a full range of financial products and services from more than 200 banking locations serving more than 100 communities throughout Wisconsin, Illinois and Minnesota. The Company also operates loan production offices in Indiana, Michigan, Missouri, New York, Ohio and Texas. Associated Bank, N.A. is an Equal Housing Lender, Equal Opportunity Lender and Member FDIC. More information about Associated Banc-Corp is available at www.associatedbank.com.
FORWARD-LOOKING STATEMENTS
Statements made in this document which are not purely historical are forward-looking statements, as defined in the Private Securities Litigation Reform Act of 1995. This includes any statements regarding management’s plans, objectives, or goals for future operations, products or services, and forecasts of its revenues, earnings, or other measures of performance. Such forward-looking statements may be identified by the use of words such as “believe,” “expect,” “anticipate,” “plan,” “estimate,” “should,” “will,” “intend,” "target," “outlook,” "project," "guidance," or similar expressions. Forward-looking statements are based on current management expectations and, by their nature, are subject to risks and uncertainties. Actual results may differ materially from those contained in the forward-looking statements. Factors which may cause actual results to differ materially from those contained in such forward-looking statements include those identified in the Company’s most recent Form 10-K and subsequent SEC filings. Such factors are incorporated herein by reference. 

NON-GAAP FINANCIAL MEASURES

This press release and related materials may contain references to measures which are not defined in generally accepted accounting principles (“GAAP”). Information concerning these non-GAAP financial measures can be found in the financial tables. Management believes these measures are meaningful because they reflect adjustments commonly made by management, investors, regulators, and analysts to evaluate the adequacy of earnings per common share, provide a greater understanding of ongoing operations and enhance comparability of results with prior periods.
# # #



Associated Banc-Corp
Consolidated Balance Sheets (Unaudited)
      
($ in thousands)September 30, 2023June 30, 2023Seql Qtr $ ChangeMarch 31, 2023December 31, 2022September 30, 2022Comp Qtr $ Change
Assets
Cash and due from banks$388,694 $407,620 $(18,926)$311,269 $436,952 $386,231 $2,463 
Interest-bearing deposits in other financial institutions323,130 190,881 132,249 511,116 156,693 112,173 210,957 
Federal funds sold and securities purchased under agreements to resell965 31,160 (30,195)455 27,810 4,015 (3,050)
Investment securities available for sale, at fair value3,491,679 3,504,777 (13,098)3,381,607 2,742,025 2,487,312 1,004,367 
Investment securities held to maturity, net, at amortized cost3,900,415 3,938,877 (38,462)3,967,058 3,960,398 3,951,491 (51,076)
Equity securities 35,937 30,883 5,054 30,514 25,216 24,879 11,058 
Federal Home Loan Bank and Federal Reserve Bank stocks, at cost268,698 271,637 (2,939)331,420 295,496 279,334 (10,636)
Residential loans held for sale54,790 38,083 16,707 35,742 20,383 51,134 3,656 
Commercial loans held for sale 15,000 (15,000)33,490 — — — 
Loans30,193,187 29,848,904 344,283 29,207,072 28,799,569 27,817,280 2,375,907 
Allowance for loan losses(345,795)(338,750)(7,045)(326,432)(312,720)(292,904)(52,891)
Loans, net29,847,392 29,510,153 337,239 28,880,640 28,486,849 27,524,376 2,323,016 
Tax credit and other investments256,905 263,583 (6,678)269,269 276,773 275,247 (18,342)
Premises and equipment, net373,017 374,866 (1,849)375,540 376,906 379,462 (6,445)
Bank and corporate owned life insurance679,775 678,578 1,197 677,328 676,530 677,129 2,646 
Goodwill1,104,992 1,104,992 — 1,104,992 1,104,992 1,104,992 — 
Other intangible assets, net42,674 44,877 (2,203)47,079 49,282 51,485 (8,811)
Mortgage servicing rights, net89,131 80,449 8,682 74,479 77,351 78,352 10,779 
Interest receivable171,119 159,185 11,934 152,404 144,449 115,782 55,337 
Other assets608,068 573,870 34,198 518,115 547,621 546,214 61,854 
Total assets$41,637,381 $41,219,473 $417,908 $40,702,519 $39,405,727 $38,049,607 $3,587,774 
Liabilities and stockholders’ equity
Noninterest-bearing demand deposits$6,422,994 $6,565,666 $(142,672)$7,328,689 $7,760,811 $8,224,579 $(1,801,585)
Interest-bearing deposits25,700,332 25,448,743 251,589 23,003,134 21,875,343 20,974,003 4,726,329 
Total deposits32,123,326 32,014,409 108,917 30,331,824 29,636,154 29,198,581 2,924,745 
Federal funds purchased and securities sold under agreements to repurchase451,644 325,927 125,717 208,398 585,139 276,674 174,970 
Commercial paper 15,327 (15,327)18,210 20,798 7,687 (7,687)
FHLB advances3,733,041 3,630,747 102,294 4,986,138 4,319,861 3,777,478 (44,437)
Other long-term funding529,459 534,273 (4,814)544,103 248,071 249,484 279,975 
Allowance for unfunded commitments34,776 38,276 (3,500)39,776 38,776 39,776 (5,000)
Accrued expenses and other liabilities637,491 537,640 99,851 448,407 541,438 545,976 91,515 
Total liabilities37,509,738 37,096,599 413,139 36,576,856 35,390,237 34,095,656 3,414,082 
Stockholders’ equity
Preferred equity194,112 194,112 — 194,112 194,112 194,112 — 
Common equity3,933,531 3,928,762 4,769 3,931,551 3,821,378 3,759,840 173,691 
Total stockholders’ equity4,127,643 4,122,874 4,769 4,125,663 4,015,490 3,953,952 173,691 
Total liabilities and stockholders’ equity$41,637,381 $41,219,473 $417,908 $40,702,519 $39,405,727 $38,049,607 $3,587,774 
Numbers may not sum due to rounding.

1



Associated Banc-Corp
Consolidated Statements of Income (Unaudited)
Comp QtrYTDYTDComp YTD
($ in thousands, except per share data)3Q233Q22$ Change% ChangeSep 2023Sep 2022$ Change% Change
Interest income
Interest and fees on loans$447,912 $275,666 $172,246 62 %$1,262,538 $643,239 $619,299 96 %
Interest and dividends on investment securities
Taxable38,210 19,221 18,989 99 %104,197 54,009 50,188 93 %
Tax-exempt15,941 16,538 (597)(4)%47,960 49,025 (1,065)(2)%
Other interest6,575 3,284 3,291 100 %17,990 7,696 10,294 134 %
Total interest income508,637 314,708 193,929 62 %1,432,685 753,969 678,716 90 %
Interest expense
Interest on deposits193,131 26,000 167,131 N/M464,749 37,590 427,159 N/M
Interest on federal funds purchased and securities sold under agreements to repurchase3,100 756 2,344 N/M8,504 1,200 7,304 N/M
Interest on other short-term funding (1)(100)%1 (1)(50)%
Interest on FHLB Advances48,143 20,792 27,351 132 %147,365 38,663 108,702 N/M
Interest on long-term funding10,019 2,722 7,297 N/M25,895 8,182 17,713 N/M
Total interest expense254,394 50,270 204,124 N/M646,514 85,637 560,877 N/M
Net interest income254,244 264,439 (10,195)(4)%786,171 668,332 117,839 18 %
Provision for credit losses21,943 16,998 4,945 29 %62,014 13,006 49,008 N/M
Net interest income after provision for credit losses232,301 247,440 (15,139)(6)%724,157 655,326 68,831 11 %
Noninterest income
Wealth management fees20,828 19,984 844 %61,499 63,719 (2,220)(3)%
Service charges and deposit account fees12,864 15,029 (2,165)(14)%38,230 48,392 (10,162)(21)%
Card-based fees11,510 11,479 31 — %33,492 32,847 645 %
Other fee-based revenue4,509 4,487 22 — %13,249 12,613 636 %
Capital markets, net
5,368 7,675 (2,307)(30)%15,544 24,331 (8,787)(36)%
Mortgage banking, net6,501 2,098 4,403 N/M17,814 16,635 1,179 %
Bank and corporate owned life insurance2,047 1,827 220 12 %6,882 8,004 (1,122)(14)%
Asset gains (losses), net625 18 607 N/M590 1,883 (1,293)(69)%
Investment securities gains (losses), net (11)5,664 (5,675)N/M55 5,676 (5,621)(99)%
Other
2,339 2,527 (188)(7)%6,841 6,613 228 %
Total noninterest income66,579 70,788 (4,209)(6)%194,195 220,713 (26,518)(12)%
Noninterest expense
Personnel117,159 118,243 (1,084)(1)%347,669 335,720 11,949 %
Technology26,172 22,694 3,478 15 %73,990 65,401 8,589 13 %
Occupancy14,125 13,717 408 %42,775 43,948 (1,173)(3)%
Business development and advertising7,100 6,778 322 %20,054 17,388 2,666 15 %
Equipment5,016 4,921 95 %14,921 14,841 80 %
Legal and professional 4,461 4,159 302 %13,149 14,118 (969)(7)%
Loan and foreclosure costs2,049 1,631 418 26 %4,822 5,121 (299)(6)%
FDIC assessment9,150 5,800 3,350 58 %25,575 16,300 9,275 57 %
Other intangible amortization2,203 2,203 — — %6,608 6,608 — — %
Other8,771 15,645 (6,874)(44)%24,726 31,057 (6,331)(20)%
Total noninterest expense196,205 195,791 414 — %574,291 550,503 23,788 %
Income before income taxes102,674 122,438 (19,764)(16)%344,061 325,536 18,525 %
Income tax expense19,426 26,163 (6,737)(26)%70,299 68,176 2,123 %
Net income83,248 96,275 (13,027)(14)%273,762 257,360 16,402 %
Preferred stock dividends2,875 2,875 — — %8,625 8,625 — — %
Net income available to common equity$80,373 $93,400 $(13,027)(14)%$265,137 $248,735 $16,402 %
Earnings per common share
Basic$0.53 $0.62 $(0.09)(15)%$1.76 $1.66 $0.10 %
Diluted$0.53 $0.62 $(0.09)(15)%$1.75 $1.65 $0.10 %
Average common shares outstanding
Basic150,035 149,321 714 — %149,929 149,063 866 %
Diluted151,014 150,262 752 %150,971 150,205 766 %
N/M = Not meaningful
Numbers may not sum due to rounding.

2



Associated Banc-Corp
Consolidated Statements of Income (Unaudited) - Quarterly Trend
($ in thousands, except per share data)  Seql Qtr   Comp Qtr
3Q232Q23$ Change% Change1Q234Q223Q22$ Change% Change
Interest income
Interest and fees on loans$447,912 $423,307 $24,605 %$391,320 $349,403 $275,666 $172,246 62 %
Interest and dividends on investment securities
Taxable38,210 35,845 2,365 %30,142 21,435 19,221 18,989 99 %
Tax-exempt15,941 15,994 (53)— %16,025 16,666 16,538 (597)(4)%
Other interest6,575 6,086 489 %5,329 3,779 3,284 3,291 100 %
Total interest income508,637 481,231 27,406 %442,817 391,283 314,708 193,929 62 %
Interest expense
Interest on deposits193,131 162,196 30,935 19 %109,422 60,719 26,000 167,131 N/M
Interest on federal funds purchased and securities sold under agreements to repurchase3,100 2,261 839 37 %3,143 2,280 756 2,344 N/M
Interest on other short-term funding — — N/M— — (1)(100)%
Interest on FHLB advances48,143 49,261 (1,118)(2)%49,960 36,824 20,792 27,351 132 %
Interest on long-term funding10,019 9,596 423 %6,281 2,470 2,722 7,297 N/M
Total interest expense254,394 223,314 31,080 14 %168,807 102,294 50,270 204,124 N/M
Net interest income254,244 257,917 (3,673)(1)%274,010 288,989 264,439 (10,195)(4)%
Provision for credit losses21,943 22,100 (157)(1)%17,971 19,992 16,998 4,945 29 %
Net interest income after provision for credit losses232,301 235,817 (3,516)(1)%256,039 268,997 247,440 (15,139)(6)%
Noninterest income
Wealth management fees20,828 20,483 345 %20,189 20,403 19,984 844 %
Service charges and deposit account fees12,864 12,372 492 %12,994 13,918 15,029 (2,165)(14)%
Card-based fees 11,510 11,396 114 %10,586 11,167 11,479 31 — %
Other fee-based revenue4,509 4,465 44 %4,276 3,290 4,487 22 — %
Capital markets, net 5,368 5,093 275 %5,083 5,586 7,675 (2,307)(30)%
Mortgage banking, net6,501 7,768 (1,267)(16)%3,545 2,238 2,098 4,403 N/M
Bank and corporate owned life insurance2,047 2,172 (125)(6)%2,664 3,427 1,827 220 12 %
Asset gains (losses), net625 (299)924 N/M263 (545)18 607 N/M
Investment securities gains (losses), net(11)14 (25)N/M51 (1,930)5,664 (5,675)N/M
Other 2,339 2,080 259 12 %2,422 4,102 2,527 (188)(7)%
Total noninterest income66,579 65,543 1,036 %62,073 61,657 70,788 (4,209)(6)%
Noninterest expense
Personnel117,159 114,089 3,070 %116,420 118,381 118,243 (1,084)(1)%
Technology26,172 24,220 1,952 %23,598 25,299 22,694 3,478 15 %
Occupancy14,125 13,587 538 %15,063 15,846 13,717 408 %
Business development and advertising7,100 7,106 (6)— %5,849 8,136 6,778 322 %
Equipment5,016 4,975 41 %4,930 4,791 4,921 95 %
Legal and professional 4,461 4,831 (370)(8)%3,857 4,132 4,159 302 %
Loan and foreclosure costs2,049 1,635 414 25 %1,138 804 1,631 418 26 %
FDIC assessment9,150 9,550 (400)(4)%6,875 6,350 5,800 3,350 58 %
Other intangible amortization2,203 2,203 — — %2,203 2,203 2,203 — — %
Other8,771 8,476 295 %7,479 10,618 15,645 (6,874)(44)%
Total noninterest expense196,205 190,673 5,532 %187,412 196,560 195,791 414 — %
Income before income taxes102,674 110,687 (8,013)(7)%130,700 134,094 122,438 (19,764)(16)%
Income tax expense19,426 23,533 (4,107)(17)%27,340 25,332 26,163 (6,737)(26)%
Net income83,248 87,154 (3,906)(4)%103,360 108,762 96,275 (13,027)(14)%
Preferred stock dividends2,875 2,875 — — %2,875 2,875 2,875 — — %
Net income available to common equity$80,373 $84,279 $(3,906)(5)%$100,485 $105,887 $93,400 $(13,027)(14)%
Earnings per common share
Basic$0.53 $0.56 $(0.03)(5)%$0.67 $0.70 $0.62 $(0.09)(15)%
Diluted$0.53 $0.56 $(0.03)(5)%$0.66 $0.70 $0.62 $(0.09)(15)%
Average common shares outstanding
Basic150,035 149,986 49 — %149,763 149,454 149,321 714 — %
Diluted151,014 150,870 144 — %151,128 150,886 150,262 752 %
N/M = Not meaningful
Numbers may not sum due to rounding.


3



Associated Banc-Corp
Selected Quarterly Information
($ in millions except per share data; shares repurchased and outstanding in thousands)YTD
Sep 2023
YTD
Sep 2022
3Q232Q231Q234Q223Q22
Per common share data
Dividends$0.63 $0.60 $0.21 $0.21 $0.21 $0.21 $0.20 
Market value:
High24.18 25.71 19.21 18.45 24.18 25.13 21.87 
Low14.48 17.63 16.22 14.48 17.66 20.54 17.63 
Close17.11 16.23 17.98 23.09 20.08 
Book value / share26.06 26.03 26.06 25.40 25.01 
Tangible book value / share18.46 18.41 18.42 17.73 17.32 
Performance ratios (annualized)
Return on average assets0.91 %0.95 %0.80 %0.86 %1.06 %1.12 %1.02 %
Noninterest expense / average assets1.90 %2.04 %1.90 %1.89 %1.92 %2.03 %2.08 %
Effective tax rate20.43 %20.94 %18.92 %21.26 %20.92 %18.89 %21.37 %
Dividend payout ratio(a)
35.80 %36.14 %39.62 %37.50 %31.34 %30.00 %32.26 %
Net interest margin2.86 %2.77 %2.71 %2.80 %3.07 %3.31 %3.13 %
Selected trend information
Average full time equivalent employees(b)
4,222 4,101 4,220 4,227 4,219 4,169 4,182 
Branch count202 202 202 202 215 
Assets under management, at market value(c)
$12,543 $12,995 $12,412 $11,843 $11,142 
Mortgage loans originated for sale during period$283 $536 $115 $99 $69 $64 $132 
Mortgage loan settlements during period$255 $620 $103 $97 $55 $95 $120 
Mortgage portfolio serviced for others$6,452 $6,525 $6,612 $6,712 $6,800 
Mortgage servicing rights, net / mortgage portfolio serviced for others1.38 %1.23 %1.13 %1.15 %1.15 %
Shares outstanding, end of period150,951 150,919 150,886 150,444 150,328 
Selected quarterly ratios
Loans / deposits93.99 %93.24 %96.29 %97.18 %95.27 %
Stockholders’ equity / assets9.91 %10.00 %10.14 %10.19 %10.39 %
Risk-based capital(d)(e)
Total risk-weighted assets$33,497 $33,146 $32,648 $32,472 $31,406 
Common equity Tier 1$3,197 $3,143 $3,086 $3,036 $2,956 
Common equity Tier 1 capital ratio9.55 %9.48 %9.45 %9.35 %9.41 %
Tier 1 capital ratio10.12 %10.07 %10.05 %9.95 %10.03 %
Total capital ratio12.25 %12.22 %12.22 %11.33 %11.41 %
Tier 1 leverage ratio8.42 %8.40 %8.46 %8.59 %8.66 %
N/M = Not meaningful
Numbers may not sum due to rounding.
(a)Ratio is based upon basic earnings per common share.
(b)Average full time equivalent employees without overtime.
(c)Excludes assets held in brokerage accounts.
(d)The Federal Reserve establishes regulatory capital requirements, including well-capitalized standards for the Corporation. The regulatory capital requirements effective for the Corporation follow Basel III, subject to certain transition provisions.
(e)September 30, 2023 data is estimated.



4



Associated Banc-Corp
Selected Asset Quality Information
     
($ in thousands)Sep 30, 2023Jun 30, 2023Seql Qtr %
Change
Mar 31, 2023Dec 31, 2022Sep 30, 2022Comp Qtr %
Change
Allowance for loan losses
Balance at beginning of period$338,750 $326,432 %$312,720 $292,904 $280,771 21 %
Provision for loan losses25,500 23,500 %17,000 21,000 14,000 82 %
Charge offs(20,535)(14,855)38 %(5,501)(2,982)(3,346)N/M
Recoveries2,079 3,674 (43)%2,212 1,798 1,478 41 %
Net (charge offs) recoveries(18,455)(11,181)65 %(3,289)(1,183)(1,867)N/M
Balance at end of period$345,795 $338,750 %$326,432 $312,720 $292,904 18 %
Allowance for unfunded commitments
Balance at beginning of period$38,276 $39,776 (4)%$38,776 $39,776 $36,776 %
Provision for unfunded commitments(3,500)(1,500)133 %1,000 (1,000)3,000 N/M
Balance at end of period$34,776 $38,276 (9)%$39,776 $38,776 $39,776 (13)%
Allowance for credit losses on loans (ACLL)$380,571 $377,027 %$366,208 $351,496 $332,680 14 %
Provision for credit losses on loans$22,000 $22,000 — %$18,000 $20,000 $17,000 29 %
($ in thousands)Sep 30, 2023Jun 30, 2023Seql Qtr % ChangeMar 31, 2023Dec 31, 2022Sep 30, 2022Comp Qtr %
Change
Net (charge offs) recoveries
Commercial and industrial$(16,558)$(11,177)48 %$(1,759)$278 $(897)N/M
Commercial real estate—owner occupied2 (33)%(33)%
Commercial and business lending(16,556)(11,174)48 %(1,756)281 (894)N/M
Commercial real estate—investor272 2,276 (88)%— — — N/M
Real estate construction18 (18)N/M18 16 100 %
Commercial real estate lending290 2,257 (87)%18 16 N/M
Total commercial(16,266)(8,917)82 %(1,738)297 (885)N/M
Residential mortgage (22)(283)(92)%(53)(125)(42)(48)%
Auto finance(1,269)(1,048)21 %(957)(768)(165)N/M
Home equity 128 183 (30)%340 123 (101)N/M
Other consumer(1,027)(1,117)(8)%(881)(711)(675)52 %
Total consumer(2,189)(2,264)(3)%(1,550)(1,480)(983)123 %
Total net (charge offs) recoveries$(18,455)$(11,181)65 %$(3,289)$(1,183)$(1,867)N/M
(In basis points)Sep 30, 2023Jun 30, 2023Mar 31, 2023Dec 31, 2022Sep 30, 2022
Net (charge offs) recoveries to average loans (annualized)
Commercial and industrial(66)(46)(7)(4)
Commercial real estate—owner occupied — — — — 
Commercial and business lending(60)(41)(7)(3)
Commercial real estate—investor2 18 — — — 
Real estate construction — — — — 
Commercial real estate lending2 12 — — — 
Total commercial(35)(20)(4)(2)
Residential mortgage  (1)— (1)— 
Auto finance(27)(25)(26)(24)(7)
Home equity8 12 22 (7)
Other consumer(148)(163)(125)(95)(89)
Total consumer(7)(8)(6)(6)(4)
Total net (charge offs) recoveries(25)(15)(5)(2)(3)
($ in thousands)Sep 30, 2023Jun 30, 2023Seql Qtr %
Change
Mar 31, 2023Dec 31, 2022Sep 30, 2022Comp Qtr %
Change
Credit quality
Nonaccrual loans$168,558 $131,278 28 %$117,569 $111,467 $116,406 45 %
Other real estate owned (OREO)8,452 7,575 12 %15,184 14,784 16,373 (48)%
Repossessed assets$658 $348 89 %$92 $215 $299 120 %
Total nonperforming assets$177,668 $139,201 28 %$132,845 $126,466 $133,078 34 %
Loans 90 or more days past due and still accruing$2,156 $1,726 25 %$1,703 $1,728 $1,417 52 %
Allowance for credit losses on loans to total loans1.26 %1.26 %1.25 %1.22 %1.20 %
Allowance for credit losses on loans to nonaccrual loans225.78 %287.20 %311.48 %315.34 %285.79 %
Nonaccrual loans to total loans0.56 %0.44 %0.40 %0.39 %0.42 %
Nonperforming assets to total loans plus OREO and repossessed assets0.59 %0.47 %0.45 %0.44 %0.48 %
Nonperforming assets to total assets0.43 %0.34 %0.33 %0.32 %0.35 %
Annualized year-to-date net charge offs (recoveries) to year-to-date average loans0.15 %0.10 %0.05 %— %— %
N/M = Not meaningful

5



Associated Banc-Corp
Selected Asset Quality Information (continued)
(In thousands)Sep 30, 2023Jun 30, 2023Seql Qtr %
Change
Mar 31, 2023Dec 31, 2022Sep 30, 2022Comp Qtr %
Change
Nonaccrual loans
Commercial and industrial$74,812 $34,907 114 %$22,735 $14,329 $15,576 N/M
Commercial real estate—owner occupied3,936 1,444 173 %1,478 — — N/M
Commercial and business lending78,748 36,352 117 %24,213 14,329 15,576 N/M
Commercial real estate—investor10,882 22,068 (51)%25,122 29,380 37,479 (71)%
Real estate construction103 125 (18)%178 105 141 (27)%
Commercial real estate lending10,985 22,193 (51)%25,300 29,485 37,620 (71)%
Total commercial89,732 58,544 53 %49,513 43,814 53,196 69 %
Residential mortgage 66,153 61,718 %58,274 58,480 55,485 19 %
Auto finance4,533 3,065 48 %2,436 1,490 302 N/M
Home equity7,917 7,788 %7,246 7,487 7,325 %
Other consumer222 163 36 %100 197 98 127 %
Total consumer78,826 72,733 %68,056 67,654 63,210 25 %
Total nonaccrual loans$168,558 $131,278 28 %$117,569 $111,467 $116,406 45 %
Sep 30, 2023Jun 30, 2023Seql Qtr %
Change
Mar 31, 2023Dec 31, 2022Sep 30, 2022Comp Qtr %
Change
Restructured loans (accruing)(a)
Commercial and industrial$234 $168 39 %$47 $12,453 $14,829 N/A
Commercial real estate—owner occupied — N/M— 316 369 N/A
Commercial and business lending234 168 39 %47 12,769 15,198 N/A
Commercial real estate—investor — N/M— 128 733 N/A
Real estate construction — N/M— 195 165 N/A
Commercial real estate lending — N/M— 324 898 N/A
Total commercial234 168 39 %47 13,093 16,097 N/A
Residential mortgage 207 126 64 %126 16,829 16,169 N/A
Auto finance169 80 111 %61 — — N/A
Home equity236 78 N/M31 2,148 2,103 N/A
Other consumer1,243 988 26 %498 798 764 N/A
Total consumer1,855 1,271 46 %716 19,775 19,036 N/A
Total restructured loans (accruing)$2,089 $1,439 45 %$763 $32,868 $35,132 N/A
Nonaccrual restructured loans (included in nonaccrual loans)$961 $796 21 %$341 $20,127 $21,650 N/A
Sep 30, 2023Jun 30, 2023Seql Qtr %
Change
Mar 31, 2023Dec 31, 2022Sep 30, 2022Comp Qtr %
Change
Accruing loans 30-89 days past due
Commercial and industrial$1,507 $12,005 (87)%$4,239 $6,283 $1,861 (19)%
Commercial real estate—owner occupied1,877 1,484 26 %2,955 230 — N/M
Commercial and business lending3,384 13,489 (75)%7,195 6,512 1,861 82 %
Commercial real estate—investor10,121 — N/M— 1,067 — N/M
Real estate construction10 76 (87)%— 39 43 (77)%
Commercial real estate lending10,131 76 N/M— 1,105 43 N/M
Total commercial13,515 13,565 — %7,195 7,618 1,904 N/M
Residential mortgage11,652 8,961 30 %7,626 9,874 6,517 79 %
Auto finance16,688 11,429 46 %8,640 9,408 6,206 169 %
Home equity3,687 4,030 (9)%4,113 5,607 4,234 (13)%
Other consumer1,880 2,025 (7)%1,723 1,610 1,592 18 %
Total consumer33,908 26,444 28 %22,102 26,499 18,549 83 %
Total accruing loans 30-89 days past due$47,422 $40,008 19 %$29,297 $34,117 $20,452 132 %
Sep 30, 2023Jun 30, 2023Seql Qtr %
Change
Mar 31, 2023Dec 31, 2022Sep 30, 2022Comp Qtr %
Change
Potential problem loans
Commercial and industrial$207,237 $205,228 %$135,047 $136,549 $108,556 91 %
Commercial real estate—owner occupied27,792 29,396 (5)%32,077 34,422 28,287 (2)%
Commercial and business lending235,029 234,624 — %167,124 170,971 136,843 72 %
Commercial real estate—investor148,840 106,662 40 %89,653 92,535 117,982 26 %
Real estate construction — N/M— 970 — N/M
Commercial real estate lending148,840 106,662 40 %89,653 93,505 117,982 26 %
Total commercial383,869 341,286 12 %256,776 264,476 254,825 51 %
Residential mortgage1,247 1,646 (24)%1,684 1,978 2,845 (56)%
Home equity 236 240 (2)%244 197 185 28 %
Total consumer1,483 1,886 (21)%1,928 2,175 3,030 (51)%
Total potential problem loans$385,352 $343,173 12 %$258,704 $266,651 $257,855 49 %