Nick Lorenzo's questions to Atlantic Union Bankshares Corp (AUB) leadership • Q4 2024
Question
Nick Lorenzo asked about the potential impact of federal government efficiency initiatives on Atlantic Union's business model in Virginia and Maryland, and for details on the drivers and cadence of the bank's 2025 net interest margin (NIM) outlook.
Answer
President and CEO John Asbury explained that a change in administration is typically an economic stimulus for the Washington D.C. region and that a pro-defense stance would likely benefit their government contractor clients. EVP and CFO Rob Gorman detailed that 2025 NIM expansion would be driven by the repricing of the fixed-rate loan portfolio and maturing CDs, and updated the pro forma Sandy Spring NIM guide to be closer to 4% with purchase accounting.