Business Description

First Horizon Corporation is a Tennessee corporation. We incorporated in 1968, and are headquartered in Memphis, Tennessee. We are registered as a bank holding company and have elected to be treated as a financial holding company. Our common stock is listed on the New York Stock Exchange under the symbol “FHN.” At December 31, 2025, we had total consolidated assets of $84 billion. We provide commercial, private banking, consumer, small business, wealth and trust management, retail brokerage, capital markets, fixed income, and mortgage banking services principally through our wholly-owned subsidiary, First Horizon Bank. Founded in 1864 as First National Bank of Memphis, the Bank is a Tennessee banking corporation headquartered in Memphis, Tennessee. At December 31, 2025, the Bank had $84 billion in total assets, $68 billion in total deposits, and $64 billion in total loans (including certain leases, before considering the allowance for loan and lease losses). In addition to the Bank, as of December 31, 2025, First Horizon's consolidated operating subsidiaries include, but are not limited to: two subsidiaries which are registered with the SEC as investment advisors; two subsidiaries which are registered with the SEC as broker-dealers; and three subsidiaries which are licensed as insurance agencies. At December 31, 2025, First Horizon had over 450 business locations in 23 U.S. states, excluding off-premises ATMs. Most of those locations (412) were banking centers located in southern states, including Tennessee (137), North Carolina (78), Florida (74), and Louisiana (55). Loans Loan Portfolios Lending is a major source of revenue for us, and loans are our largest asset type. Table 1.1 shows our total loans (including certain leases) at year-end 2025, along with some details regarding the composition of our loans. Most of our loans are commercial. As shown in Table 1.1, our loans are broken into two major types: commercial and consumer. Each type is broken into portfolios. Our three major portfolios are: traditional, unsecured commercial, financial and industrial (“C&I”) loans; secured commercial real estate (“CRE”) loans; and secured consumer real estate loans. A fourth portfolio consists of consumer credit card and other consumer debt. Table 1.1 Loan Types & Portfolios 1 Commercial $49 B 77 % Consumer 15 B 23 Total Loans $64 B 100 % Commercial Portfolios % of Type % of Total C&I 73 % 56 % CRE 27 21 Consumer Portfolios % of Type % of Total Consumer real estate 96 % 22 % Credit card/other 4 1 1 Dollars and percentages at December 31, 2025. Geographic Mix Geographically, a significant majority of our loans originate from five states: Florida, Tennessee, Texas, North Carolina, and Louisiana. The geographic dispersion of our loans varies considerably among our three major loan portfolios, as shown in Table 1.2. 5 2025 FORM 10-K ANNUAL REPORT ITEM 1. BUSINESS Table of Contents Table 1.2 Major Loan Portfolios 1 by Geography C&I ($36B) CRE ($14B) Cons. RE ($14B) Tennessee 20 % Florida 26 % Florida 29 % Florida 12 Texas 13 Tennessee 22 Texas 10 N. Carolina 12 Texas 12 California 7 Tennessee 8 Louisiana 8 N. Carolina 6 Georgia 8 N. Carolina 6 Louisiana 6 Louisiana 8 Georgia 6 All other 39 All other 25 All other 17 1 Dollars and percentages at December 31, 2025. C&I Loans The C&I portfolio, our largest portfolio by far, was $36 billion at December 31, 2025. Our C&I portfolio has an industry concentration: about 25% of C&I loans are to businesses in the financial services industry, which includes finance and insurance companies and mortgage lending companies, while 11% of our C&I loans are to borrowers in the real estate and rental and leasing industry. The rest of C&I covers a wide range of industries, as shown in Table 1.3a. Table 1.3a C&I Loans 1 by Industry/Line of Business Loans to mortgage companies 13 % Finance and insurance 12 Real estate and rental and leasing (a) 11 Wholesale trade 7 Health care and social assistance 7 Accommodation and food service 7 Manufacturing 6 Retail trade 5 Transportation and warehousing 5 Other C&I 27 1 Percentages of C&I portfolio at December 31, 2025. (a) Leasing, rental of real estate, equipment, and goods. CRE Loans The CRE portfolio was $14 billion at December 31, 2025. The largest property type within CRE is multi-family, as shown in Table 1.3b. The next three largest property types were office, retail, and industrial.…