Good morning. My name is Carol, and I will be your conference operator today. At this time, I would like to welcome everyone to the Huntington Bancshares Second Quarter Earnings Call. All lines have been placed on mute to prevent any background noise. After the speakers' remarks, there will be a question-and-answer session. Thank you. I would now like to turn the call over to Mark Muth, Director of Investor Relations.

Thank you, Carol, and welcome. I'm Mark Muth, Director of Investor Relations for Huntington. Copies of the slides we'll be reviewing can be found on our IR website at www.huntington-ir.com, or by following the Investor Relations link on www.huntington.com. This call is being recorded and will be available as a rebroadcast, starting about one hour from the close of the call. Our presenters today are Steve Steinour, Chairman, President and CEO; and Mac McCullough, Chief Financial Officer. Dan Neumeyer, our Chief Credit Officer, will also be participating in the Q&A portion of today's call. As noted on slide two, today's discussion, including the Q&A period, will contain forward-looking statements. Such statements are based on information and assumptions available at this time and are subject to changes, risks and uncertainties, which may cause actual results to differ materially. We assume no obligation to update such statements. For a complete discussion of risks and uncertainties, please refer to the slide and materials filed with the SEC, including our most recent forms 10-K, 10-Q and 8-K filings. Let's get started by turning to slide three and an overview of the financials. Mac? Howell D. McCullough - Chief Financial Officer & Senior Executive Vice President: Thanks, Mark, and thanks, everyone, for joining our call today. We appreciate your interest and support. It's an exciting time for Huntington. We saw continued solid execution in the second quarter of 2016, built on the strong foundation and momentum demonstrated in the first quarter. We believe we have a good story to share with you this morning. We have followed a contrarian path since 2009, focused on building a strong recognizable brand, differentiated product set and industry-leading customer service. While others have pulled back with a focus on cost-cutting, we invested on our franchise, built our Fair Play…

Thanks, Steve. Operator, we'll now take questions. We ask that as a courtesy to your peers, each person ask only one question and one related follow-up. And then if that person has additional questions, he or she can add themselves back into the queue. Thank you.

And your first question today comes from Erika Najarian from Bank of America. Your line is open.

Hi. Good morning. Howell D. McCullough - Chief Financial Officer & Senior Executive Vice President: Good morning, Erica. Stephen D. Steinour - Chairman, President & Chief Executive Officer: Good morning, Erica.

So, I apologize if you've already addressed it in the prepared remarks. There are a bunch of calls that are happening today. Very much noting that you've reiterated your goal for revenue growth and annual positive operating leverage, and I'm wondering how we should think of that $503 million core run rate as we move into the second half of the year? And also, as we think about core Huntington ex FirstMerit for 2017, I know it's a little too early, but you do have some peers that in the face of lower for even longer did give a little bit more color on how they're thinking about expense management over the medium term. And just wanted to get your thoughts on that. Howell D. McCullough - Chief Financial Officer & Senior Executive Vice President: Yeah. Hi, Erika, it's Mac. So, as you think about the expense base in the second quarter, keep in mind, we're very focused on the FirstMerit integration. We've had a lot of focus, a lot of attention going into that. We're being very disciplined in how we approach the expenditures right now. And I think, that's a good base if you think about core Huntington. As it relates to 2017 and beyond, the focus we have on positive operating leverage, we are going to each planning year, understanding the revenue environment. And in particular, we've been planning, assuming a rate environment that's flat. And we've been building our expense base that allows us to achieve positive operating leverage. So, we're going to continue to take that approach going forward. Also, keep in mind, we've got the cost takeouts from FirstMerit that will start to materialize in 2016 and 2017. And we're highly confident in terms of the cost takeout achievement that we put on the table.

Got it. And just a follow-up question on CCAR, clearly, a lot of ink has been written about your quantitative results. And I'm wondering if you could share any insight in terms of how that process went, and how – the Fed was thinking about the timing of the deal close and whether or not that those results are really just sort of onetime in your mind relative to the timing of when the deal was going to close. Howell D. McCullough - Chief Financial Officer & Senior Executive Vice President: Yes. It's a good question, Erika. And, clearly, we don't have complete insights into what happens inside the black box. And we do think that the process is very different for a company that's going through an acquisition, if that's included in the CCAR results. But let me just point out a few things that could help reconcile the numbers from a capital perspective. So, we knew going into this year's CCAR process that we were below our peer group in terms of CET1, probably to the tune of 120 basis points on average. And that really comes back to the fact that we were pretty aggressive in 2014 and 2015 in returning earnings to shareholders, probably 76% on average across the two years. Also, keep in mind that we did the Macquarie acquisition without issuing any capital. So, that put us in a lower starting point relative to the peers. We also disclosed on announcement of FirstMerit that we had 100 basis point impact to CET1 because of the structure of the transaction, so that impacted as well. And then, finally, we know that as we went through a business combination in a severely adverse scenario inside the CCAR process, that it probably cost us 50 basis points to 70 basis points of CET1. So, when you reconcile all those things and consider everything but the starting position, it really is related to going through the business combination in the CCAR process.

Got it. Thank you.

And your next question comes from Bob Ramsey with FBR Capital Markets. Your line is open. Bob H. Ramsey - FBR Capital Markets & Co.: Hey. Good morning, guys. Howell D. McCullough - Chief Financial Officer & Senior Executive Vice President: Good morning, Bob. Bob H. Ramsey - FBR Capital Markets & Co.: I just wondering if you could touch a little bit on the personnel cost. The adjusted personnel cost number was higher than we were looking for. Was there much in terms of variable comp related to the strong mortgage banking quarter in that number, or what were some of the drivers of the sequential increase in the quarter that, I guess, seasonally usually would be a little bit better? Howell D. McCullough - Chief Financial Officer & Senior Executive Vice President: Yeah. Bob, there were a few things that impacted that. I think you did see merit increases come into effect in the quarter. We also had some higher comp related to mortgage, as you point out. And then we have higher healthcare costs, which I pointed out in my comments, just some higher medical expense relative to prior years. But those are the primary things that impact that. And I would say, outside of the medical costs, nothing extraordinary. Bob H. Ramsey - FBR Capital Markets & Co.: Can you quantify the medical and the – maybe the variable mortgage comp? Howell D. McCullough - Chief Financial Officer & Senior Executive Vice President: In the scheme of things, I think the medical might have been a couple million dollars. And the mortgage comp side, I don't really have it at my fingertips right now. Bob H. Ramsey - FBR Capital Markets & Co.: Okay. Okay. Fair enough. And then it was a real strong quarter for mortgage banking. Curious just how the pipeline looks headed into the third quarter, and whether you think this is a level that we repeat in this third quarter possibly? Howell D. McCullough - Chief Financial Officer & Senior Executive Vice President: Yeah. Pipelines are strong. We're seeing good purchase volume. And, of course, refi is picking up as well. So, really, really good quarter, as you point out. And, in particular, when you think about year-over-year, the $8 million MSR net impact, $6 million gain last year, $2 million loss this year. So, the outlook is good, just given where the pipeline is today. Bob H. Ramsey - FBR Capital Markets & Co.: Okay. Great. Thank you. Howell D. McCullough - Chief Financial Officer & Senior Executive Vice President: You bet.

Your next question comes from Geoffrey Elliott, Autonomous. Your line is open.

Hello. Good morning. Thank you for taking the questions. Two more CCAR-related questions. The – I guess, a question and a follow-up. But the first is you said in the presentation when you announced the FirstMerit deal that you were suspending the buyback, I think, until the deal closed? And then, no announcement, no buyback, asked for the full CCAR submission. So, why that change? And then, secondly, just wanted to clarify on the 4Q 2016 to Q2 2015, 50% total payout. Do we now just think about that leading from 3Q 2017 to 2Q 2018 up for that shorter period? Thank you. Howell D. McCullough - Chief Financial Officer & Senior Executive Vice President: Yes. Geoff, it's Mac. So, starting with the first question. Clearly, as we went through CCAR this year, the most important outcome for us was getting the FirstMerit deal through the process and getting approval for the deal itself. Of course, we're still waiting for approval, we expect that to happen in the third quarter. But we just thought it best to be a bit cautious and making sure that we got through the process, because we can create so much more value by getting FirstMerit closed early and on time relative to the buyback that we had in for 2016 CCAR process. What I would tell you going forward is that we'll take each year as it comes. Next year is a different process. We expect to be in a different position. Not quite sure what the economic scenarios that the Fed will give to us will look like. So, don't want to comment on what the future looks like. But that's basically our thought process around this year's process.

And do you expect the deal closing during 3Q? Howell D. McCullough - Chief Financial Officer & Senior Executive Vice President: We still expect to get the 3Q closing.

Thank you. Howell D. McCullough - Chief Financial Officer & Senior Executive Vice President: You bet.

Your next question comes from Marty Mosby from Vining Sparks. Your line is open.

Thanks. Mac, you're increasing your asset sensitivity in a time when most of the market is expecting a lot less in rate hikes. You have a lot of banks that are moving the other direction. They've been asset-sensitive throughout, anticipating what the Fed was going to do. Now that they don't have that hope anymore, they're kind of swimming, what I would call, out of the pool of pain and trying to get as much as they can before the yield curve kind of collapses on the back end on them. You're really going in the opposite direction and creating a lot of revenue headwinds when you're looking at about $10 million from the peak of what you were getting out of the swaps. Are you still committed to do this, and do you feel like – what's the behind-the-scenes driving you in this direction? Howell D. McCullough - Chief Financial Officer & Senior Executive Vice President: Yeah. Thanks, Marty. So, just a few things to think about. So, the asset sensitivity numbers that we published are a 200 basis point gradual increase scenario. If you think about where the rate curve is today and you think about a flat rate environment going forward, over the next 12 months we have maybe 1 basis point or two basis points of margin at risk. So, I'm not totally uncomfortable with that position, plus we've got the FirstMerit closing, integration, and I would say, optimization of the two balance sheets as they come together. So, we have that entire process to work through as well. So, that's the way I'd take a look at it. We feel good about the margin and where it's at today. We still believe that we're above 3% for the remainder of the year in core Huntington. And if you take a look at FirstMerit, excluding any impact from the first accounting adjustments, it's actually additive to the margin. So, that's our perspective, Marty.

When you're looking at issuing the debt, what are you matching that up against on the asset side? So, kind of what is the – is there a balance in securities and trying to not have any more asset sensitivity come from that initiative as well, or are you matching it against shorter-term assets that will increase your asset sensitivity? Howell D. McCullough - Chief Financial Officer & Senior Executive Vice President: Yeah. It's primarily funding the securities. And that's been a bit of the pressure that we've had on the margin over the past year. Today, we're bringing securities on at probably close to 1.9%. And the next issuance that we – if we issued debt today, we'd probably be in the 210 basis points range, something like that, swap to floating. So, you can see where some of the pressure starts to build from a margin perspective. But having said that, we're at 115% LCR right now. We feel good about where we are from a securities perspective. And really, we're just replacing and also keeping in mind the amount of debt that we need from a rating agency perspective and an FDIC perspective.

Thanks. Howell D. McCullough - Chief Financial Officer & Senior Executive Vice President: You bet. Take care.

Your next question comes from Bill Carcache from Nomura. Your line is open.

Thank you. Good morning. Howell D. McCullough - Chief Financial Officer & Senior Executive Vice President: Hi, Bill.

You guys have been – Hi. You guys have been spot on in calling for used car prices to continue to hold up, even when others have kind of taken the opposing view, and really just based on the idea that new car payments continue to exceed used car payments by increasingly larger amounts and not everyone can afford a new car payment. And that's been the right view. And as we look at the market now though, it seems like there's increasingly more controversy around whether the Manheim Index can hold up from its current levels. Can you share your updated thoughts on the sustainability of used car prices at these levels, and how important is that to the continued health of the market? Daniel J. Neumeyer - Senior Executive Vice President & Chief Credit Officer: Sure, Bill. This is Dan. We plan – one, the Manheim scale, as you suggested, it has held up. And we don't expect it to necessarily be sustained at those levels, but even when we look at a worst-case scenario, I think we have a chart in the deck that shows what the Manheim has been over the last 10 or so years, and I think it bottomed out in the 107 range briefly. And we have stressed the portfolio on our end going down to 100, which we don't think is really possible. But even at that level, the impact to us on our portfolio is about 9 basis points of charge-offs. Keep in mind, we have a different customer base than average. So, with our prime – super-prime focus, we managed the probability of the cost. We think that we will – our portfolio will have a much lower incidence than default. And therefore, the impact of the used car value relative to the rest of the market is not as significant. So, we're very comfortable where we stand. And even if the index were to fall, we think we're very well-positioned. Again, we have a differentiated model from what an average would have.

Understood. Very helpful. Thank you.

Your next question comes from Ken Zerbe from Morgan Stanley. Your line is open. Ken Zerbe - Morgan Stanley & Co. LLC: Thank you. Good morning. Howell D. McCullough - Chief Financial Officer & Senior Executive Vice President: Hi. Good morning, Ken. Ken Zerbe - Morgan Stanley & Co. LLC: Just a quick question. Just in terms of the merger costs. Looks like I probably underestimated them this quarter. But can you just give us an estimate sort of timing of when those might come in from quarter to quarter? Howell D. McCullough - Chief Financial Officer & Senior Executive Vice President: Ken, so we're still tracking, we said about $420 million when we announced the acquisition. And I would tell you that we've probably realized 75% of that in 2016, is the way I would think about it. It's going to start to tick up from here. We're, obviously, very deep into the integration process. But that's how I would think about it from a timing perspective. Ken Zerbe - Morgan Stanley & Co. LLC: Yeah. Okay. That does help, actually. And then just a quick question. On the preferred stock dividends, were there any sort of unusual catch? I think it was like $19 million in total this quarter – I wouldn't have thought it would be that high, given what you issued. Howell D. McCullough - Chief Financial Officer & Senior Executive Vice President: Yeah. So, there was a bit of a stub period related to the first quarter payment for the period that it was moved out, about $3 million. Ken Zerbe - Morgan Stanley & Co. LLC: Got you. So, in an all-in basis next quarter, what should the run rate be for pref? Howell D. McCullough - Chief Financial Officer & Senior Executive Vice President: It's going to be 6.25 times the $600 million is the way to think about it. So, about $70 million. Ken Zerbe - Morgan Stanley & Co. LLC: Perfect. Okay. Thank you. Howell D. McCullough - Chief Financial Officer & Senior Executive Vice President: Thanks, Ken.

And there are no further questions in the queue at this time. I will turn the call back to Steve for closing remarks. Stephen D. Steinour - Chairman, President & Chief Executive Officer: So, thank you. The second quarter built upon a solid foundation we laid in the first quarter. The performance continues to be solid, delivering revenue growth despite challenging headwinds. And our fundamentals remain solid, and we're well-positioned to continue to deliver through the remainder of the year. You've heard me say this before and it remains true. Our strategies are working and our execution remains focused and strong. We expect to continue to gain market share and improved share of wallet. We expect to generate annual revenue growth, consistent with our long-term financial goals and manage our continued investments in our businesses consistent with the revenue environment and our long-term financial goal of positive operating leverage annually. We expect modest growth in our economic footprint and continue the gradual transition to more normalized credit metrics, which will be effectively managed. We've made significant progress in our integration planning for the FirstMerit acquisition, and we look forward to completing the acquisition later this quarter, following receipt of all regulatory approvals and our customary closing conditions. Finally, I want to close by reiterating that our board and its management team are all long-term shareholders. Our top priorities include increasing primary relationships across our business segments, managing risks, reducing volatility and driving solid, consistent, long-term performance. So, thank you for your interest in Huntington. We appreciate you joining us today. Have a great day.

This concludes today's conference. You may now disconnect.