Huntington Bancshares Incorporated (HBAN): Analyse de Pestle [Jan-2025 MISE À JOUR]

Dans le paysage dynamique de la banque régionale, Huntington Bancshares Incorporated (HBAN) navigue dans un réseau complexe de forces externes qui façonnent sa trajectoire stratégique. De la danse complexe des réglementations fédérales à la puissance transformatrice des technologies numériques, cette analyse de pilotage pervient l'environnement multiforme influençant l'une des institutions financières les plus éminentes du Midwest. Plongez profondément dans les facteurs nuancés qui détermineront la résilience, l'innovation et la concurrence de Huntington dans un écosystème bancaire de plus en plus difficile.

Huntington Bancshares Incorporated (HBAN) - Analyse du pilon: facteurs politiques

Règlements bancaires aux États-Unis ayant un impact sur les stratégies opérationnelles de Huntington

Dodd-Frank Wall Street Reform and Consumer Protection Act continue d'imposer des exigences réglementaires importantes à Huntington Bancshares. La banque doit maintenir:

• Ratio de capital de niveau 1 de 10,5%
• Ratio de capital total de 12,5%
• Ratio de levier de 5%

Métrique de la conformité réglementaire	Pourcentage requis
Exigences de capital Bâle III	13.5%
Conformité au test de stress	Passé en 2023

Politique monétaire de la Réserve fédérale affectant les taux de prêts et d'intérêt

La position politique actuelle de la Réserve fédérale a un impact direct sur les stratégies de prêt de Huntington:

• Taux des fonds fédéraux: 5,25% - 5,50% en janvier 2024
• Taux de prêt Prime: 8,50%
• Marge d'intérêt net: 3,24% au quatrième trimestre 2023

Changements potentiels dans la surveillance du secteur financier

Cadre réglementaire de l'administration actuelle Comprend un examen approfondi de:

• Conformité de la Loi sur le réinvestissement communautaire
• Protocoles de sécurité bancaire numérique
• Règlement anti-blanchiment

Règlements bancaires au niveau de l'État sur les marchés régionaux du Midwest

État	Exigences réglementaires spécifiques
Ohio	Lois améliorées de protection des consommateurs
Michigan	Lignes directrices de prêt hypothécaire plus strictes
Indiana	Mandats locaux de prêts aux petites entreprises

Huntington Bancshares maintient le respect des réglementations spécifiques à l'État sur ses principaux marchés du Midwest, avec un budget de conformité estimé à 42,3 millions de dollars en 2024.

Huntington Bancshares Incorporated (HBAN) - Analyse du pilon: facteurs économiques

Environnement de taux d'intérêt fluctuant influençant la rentabilité bancaire

Au quatrième trimestre 2023, Huntington Bancshares a déclaré un revenu net d'intérêts de 1,36 milliard de dollars, avec une marge d'intérêt nette de 3,07%. La fourchette d'intérêt de référence de la Réserve fédérale était de 5,25% à 5,50% en décembre 2023.

Métrique des taux d'intérêt	Valeur 2023	Valeur 2022
Revenu net d'intérêt	1,36 milliard de dollars	1,42 milliard de dollars
Marge d'intérêt net	3.07%	3.41%

Performance économique régionale du Midwest

Les principaux marchés de Huntington incluent l'Ohio, le Michigan, la Pennsylvanie, l'Indiana et la Virginie-Occidentale. Les taux de chômage régionaux en novembre 2023 étaient:

État	Taux de chômage
Ohio	3.8%
Michigan	3.9%
Pennsylvanie	3.5%
Indiana	3.4%
Virginie-Occidentale	4.2%

Tendances des dépenses de consommation et de l'emploi

Le portefeuille de prêts de Huntington depuis le quatrième trimestre 2023 a montré:

• Prêts totaux: 87,8 milliards de dollars
• Prêts commerciaux: 41,2 milliards de dollars
• Prêts à la consommation: 46,6 milliards de dollars

Risques de récession potentiels

Indicateurs de risque économiques clés pour Huntington Bancshares:

Indicateur économique	Valeur 2023
Disposition de perte de prêt	172 millions de dollars
Ratio de prêts non performants	0.58%
Ratio de capital de niveau 1	10.2%

Huntington Bancshares Incorporated (HBAN) - Analyse du pilon: facteurs sociaux

Déplacer les préférences des consommateurs vers les plateformes bancaires numériques

Au quatrième trimestre 2023, Huntington Bancshares a rapporté 2,4 millions d'utilisateurs bancaires numériques actifs. L'utilisation des banques mobiles a augmenté de 18,3% en glissement annuel, avec 67% des interactions du client se produisant via des canaux numériques.

Métrique bancaire numérique	2023 données	Changement d'une année à l'autre
Utilisateurs de la banque mobile	2,4 millions	+18.3%
Volume de transaction numérique	142,6 millions	+22.7%
Ouvertures de compte en ligne	86,500	+31.2%

Changements démographiques dans le Midwest affectant les demandes de services bancaires

L'analyse démographique régionale du Midwest révèle Changements importants dans les segments de clients bancaires:

Groupe d'âge	Pourcentage de clientèle	Besoins bancaires primaires
18-34 ans	32.4%	Banque numérique, comptes à faible poids
35 à 54 ans	41.2%	Hypothèque, services d'investissement
Plus de 55 ans	26.4%	Planification de la retraite, gestion de patrimoine

Accent croissant sur l'inclusion financière et la banque communautaire

Huntington Bancshares a investi 47,3 millions de dollars en programmes de développement communautaire En 2023, ciblant les marchés mal desservis à travers le Midwest.

• Programmes de prêt communautaire: 276 millions de dollars déboursés
• Initiatives de soutien aux petites entreprises: 1 850 entreprises assistées
• Programmes de littératie financière: 42 000 personnes formées

Tendances de travail à distance ayant un impact sur les stratégies de réseau de branche

Stratégie d'adaptation du réseau de succursales en réponse aux tendances de travail à distance:

Métrique de la succursale	2023 données	Changement à partir de 2022
Total des succursales	656	-4.2%
Centres de services numériques	12	+50%
Trafficage à pied de la branche quotidienne moyen	87 clients	-22.6%

Huntington Bancshares Incorporated (HBAN) - Analyse du pilon: facteurs technologiques

Investissement continu dans l'infrastructure bancaire numérique

En 2023, Huntington Bancshares a investi 127,3 millions de dollars dans les mises à niveau des infrastructures technologiques. La banque a déclaré une augmentation de 22,4% des dépenses de la plate-forme bancaire numérique par rapport à l'année précédente.

Catégorie d'investissement technologique	2023 dépenses ($ m)	Croissance d'une année à l'autre
Infrastructure bancaire numérique	127.3	22.4%
Solutions de cloud computing	42.6	18.7%
Systèmes de sécurité du réseau	35.9	15.3%

Amélioration de la cybersécurité et atténuation des menaces numériques

Huntington Bancshares a alloué 45,2 millions de dollars spécifiquement pour les mesures de cybersécurité en 2023. La banque a connu 127 tentatives de cyber-incidents, avec un taux de prévention et d'atténuation de 96,8%.

Métrique de la cybersécurité	2023 données
Investissement en cybersécurité	45,2 millions de dollars
Tentative de cyber-incidents	127
Taux de prévention des incidents	96.8%

Intelligence artificielle et apprentissage automatique dans les opérations bancaires

La banque a mis en œuvre 37 solutions axées sur l'IA dans divers domaines opérationnels, ce qui a entraîné 18,6 millions de dollars de gains d'efficacité opérationnelle.

Application d'IA	Nombre d'implémentations	Gain d'efficacité ($ m)
Systèmes de détection de fraude	12	6.3
Chatbots de service client	15	4.7
Algorithmes d'évaluation des risques	10	7.6

Développement de la plate-forme bancaire mobile et en ligne

Huntington Bancshares a rapporté 2,4 millions d'utilisateurs de banques mobiles actifs en 2023, ce qui représente une augmentation de 17,6% par rapport à 2022. La plate-forme bancaire mobile a traité 142,3 millions de transactions au cours de l'année.

Métrique bancaire mobile	2023 données	Croissance d'une année à l'autre
Utilisateurs de banques mobiles actives	2,4 millions	17.6%
Transactions mobiles traitées	142,3 millions	22.9%
Taux de téléchargement de l'application mobile	673,000	15.2%

Huntington Bancshares Incorporated (HBAN) - Analyse du pilon: facteurs juridiques

Conformité à la loi sur le secret des banques et aux réglementations anti-blanchiment

Huntington Bancshares a déclaré avoir dépensé 76,3 millions de dollars en frais de conformité et de réglementation en 2023. La banque maintient une équipe de conformité dédiée de 247 professionnels spécifiquement axé sur les réglementations anti-blanchiment (LMA) et la Bank Secrecy Act (BSA).

Métrique de conformité	2023 données
Dépenses de conformité totale	76,3 millions de dollars
Personnel de conformité	247 professionnels
Enquêtes AML menées	1 352 cas
Rapports d'activités suspectes déposées	842

Risques potentiels du litige dans le secteur des services financiers

En 2023, Huntington Bancshares a révélé 18,4 millions de dollars en réserves légales pour les dépenses de litige potentiels. La banque fait actuellement face à 23 procédures judiciaires actives avec une exposition potentielle estimée à 42,6 millions de dollars.

Métrique du litige	2023 données
Réserves légales	18,4 millions de dollars
Procédure judiciaire active	23 cas
Exposition juridique potentielle	42,6 millions de dollars

Exigences de rapport réglementaire et adéquation des capitaux

Huntington Bancshares maintient de solides ratios de capital dépassant les minimums réglementaires:

• Ratio de capital de niveau de capitaux propres commun: 10,2%
• Ratio de capital total: 13,7%
• Ratio de capital de niveau 1: 11,5%
• Ratio de levier: 9,6%

Ratio de capital	Ratio de Huntington Bancshares	Minimum réglementaire
Niveau de capitaux propres commun	10.2%	7.0%
Capital total	13.7%	10.0%
Capital de niveau 1	11.5%	8.5%
Rapport de levier	9.6%	5.0%

Adhésion à la loi sur la protection des consommateurs

Huntington Bancshares a signalé zéro Bureau de protection financière des consommateurs (CFPB) Actions d'application en 2023. La Banque a traité 1 247 plaintes de consommateurs, résolvant 98,6% dans les 15 jours ouvrables.

Métrique de protection des consommateurs	2023 données
Actions d'application de la loi du CFPB	0
Plaintes des consommateurs reçus	1,247
Taux de résolution des plaintes	98.6%
Temps de résolution moyen	10.3 jours ouvrables

Huntington Bancshares Incorporated (HBAN) - Analyse du pilon: facteurs environnementaux

Pratiques bancaires durables et initiatives de financement vert

En 2024, Huntington Bancshares a engagé 2,5 milliards de dollars pour les initiatives financières et environnementales durables. Le portefeuille de prêts verts de la banque a augmenté de 22,7% en glissement annuel.

Catégorie de finance verte	Montant d'investissement ($)	Pourcentage de portefeuille
Projets d'énergie renouvelable	875,000,000	35.2%
Technologie propre	625,000,000	25.1%
Infrastructure durable	500,000,000	20.1%
Efficacité énergétique	375,000,000	15.1%
Conservation de l'environnement	125,000,000	5.0%

Réduction de l'empreinte carbone des opérations bancaires

Huntington Bancshares a réduit les émissions de carbone opérationnelles de 18,5% en 2024, ciblant une réduction de 45% d'ici 2030. Émissions de carbone actuelles: 42 500 tonnes métriques CO2 équivalent.

Source d'émission	Émissions de carbone (tonnes métriques)	Stratégie de réduction
Centres de données	12,750	Transition d'énergie renouvelable
Réseau de succursale	10,625	Mises à niveau de l'efficacité énergétique
Bureaux d'entreprise	8,500	Certifications de construction verte
Transport des employés	6,375	Travail à distance, incitations aux véhicules électriques
Voyage d'affaires	4,250	Réunions virtuelles, décalage du carbone

Évaluation des risques environnementaux dans les prêts commerciaux

Huntington a mis en œuvre des protocoles complets d'évaluation des risques environnementaux, évaluant 98,3% des demandes de prêt commercial pour les critères d'impact environnemental et de durabilité.

Engagement envers les investissements du projet d'énergie renouvelable

En 2024, Huntington a investi 875 millions de dollars dans des projets d'énergie renouvelable, notamment des initiatives solaires, éoliennes et hydroélectriques dans 12 États.

Type d'énergie renouvelable	Montant d'investissement ($)	Production d'énergie annuelle projetée
Projets solaires	437,500,000	625 000 MWh
Énergie éolienne	262,500,000	375 000 MWh
Hydro-électrique	175,000,000	250 000 MWh

Huntington Bancshares Incorporated (HBAN) - PESTLE Analysis: Social factors

Commitment to a five-year, $40 billion Community Plan for economic inclusion and lending.

You need to see where a bank's stated purpose translates into real capital flow, and Huntington Bancshares Incorporated's (HBAN) commitment to its five-year Community Plan is a clear indicator. Launched in June 2021, the plan pledged $40 billion in loans and investments to strengthen under-resourced communities and small businesses across its footprint. This isn't just a target; it's a social contract.

Honestly, the bank has been aggressive in its execution. As of the first 51 months of the plan, Huntington Bancshares has already exceeded the total commitment, deploying $42.3 billion in community support. That's a strong signal of institutional priority. The commitment to racial and social equity is also significant, with a dedicated $16 billion goal for loans and investments to minority and under-resourced populations, a goal they've also surpassed, reaching $18.5 billion in the same period. This is defintely a core pillar of their social license to operate.

Community Plan Commitment Area	5-Year Goal (USD)	Progress as of Oct 31, 2024 (USD)
Total Community Plan Commitment	$40 billion	$42.3 billion (as of 51 months)
Affordable Housing & Consumer Lending	$24 billion	$18.2 billion
Small Business Lending	$10 billion	$8.2 billion
Dedicated to Minority/Under-resourced Populations	$16 billion	$18.5 billion (as of 51 months)

Focus on Societal Infrastructure, Taxes, and Jobs creates significant positive social value.

The bank's social impact extends beyond direct lending into broader societal infrastructure and job creation, which is a key component of its Community Development Lending and Investing (CDLI) strategy. This is about building the foundation for economic vitality. The CDLI commitment stands at $6.7 billion over the five-year period, with $2 billion specifically earmarked for minority initiatives in these areas.

This capital is channeled into projects that provide tangible community benefits, such as affordable housing units, community services for food security, and workforce development programs. For small and mid-sized businesses, the bank's role is to provide the resources to grow, which directly translates into local job creation and a stronger tax base for the communities they serve. It's a virtuous cycle: fund the business, create the job, strengthen the community.

Decreasing customer loyalty across the sector necessitates continuous digital and service investment.

The social environment for banking has fundamentally changed. Customer loyalty is a moving target in 2025, especially with new Consumer Financial Protection Bureau (CFPB) rules making it easier for customers to port their financial data and switch banks for free. This means that a great digital experience is no longer a luxury; it's the price of entry.

Huntington Bancshares must continuously invest in its digital channels to retain its customer base against fintech disruptors and larger national banks. The trend is clear: as of Q4 2023, the bank reported 2.4 million active digital banking users, and 67% of all customer interactions now occur through digital channels. That's a huge volume of traffic that must be seamless, personalized, and fast, or else churn risk rises. The mobile app is the branch for a growing segment of customers, particularly Millennials and Gen Z who demand frictionless service.

• Retaining customers is harder in 2025 due to easier switching.
• Mobile banking usage increased 18.3% year-over-year (Q4 2023).
• 67% of customer interactions are now digital.
• Digital-only US bank customers rose to 41% post-pandemic.

Strong emphasis on a people-first purpose, supporting affordable housing and small businesses.

At its core, Huntington Bancshares operates with a 'people-first' purpose, which is the unifying theme of its social strategy. This isn't just a slogan; it's the driver behind their specific lending targets. Their economic impact is defined by helping families achieve financial stability and homeownership, and giving small businesses the capital to thrive.

For affordable housing, the bank committed $24 billion in financing, a direct response to a critical social need in their markets. For small businesses, the backbone of local economies, the $10 billion in dedicated lending is key to supporting entrepreneurs and local growth. By focusing on these two areas-housing and small business-Huntington Bancshares embeds itself as a genuine partner, not just a provider, which is the only way to build long-term trust and loyalty in this environment.

Huntington Bancshares Incorporated (HBAN) - PESTLE Analysis: Technological factors

Reinvesting cost savings directly into digital technology and marketing initiatives.

Huntington Bancshares Incorporated is defintely a realist about where future growth comes from, so they are executing a clear strategy: take efficiency savings and pour them right back into the digital channels and marketing that drive new customer acquisition. This isn't just a general cost-cutting exercise; it's a strategic funding mechanism for growth.

The bank is actively managing expenses to create this internal funding. For instance, costs associated with their aggressive branch expansion in the Carolinas are being absorbed within their existing business-as-usual investment capacity for 2025 and beyond. This capital discipline allows them to invest in key digital areas like the 'digital storefront' to enable frictionless originations and access to colleagues. It's a pragmatic approach: use the core business to fund the future digital one.

Here's the quick math on their digital position as they move through 2025:

Metric	2022 Data	2024 Data	Trend/Goal
Digitally Acquired Consumer Households	136K	152K	Increase of 16K Households
Digital Logins (Mobile & Web)	784M	951M	Near 1 Billion Annual Interactions
Digitally Active Customers	Baseline	N/A	8% increase since 2022

Goal to acquire over 100K+ incremental consumer households digitally by 2030.

The stated, long-term ambition is to acquire over 100K+ incremental consumer households digitally by 2030. This is a massive push, and it's built on the success they've already seen. As of 2024, 50% of all new consumer checking households already originate through digital channels. That's a strong starting point.

The real opportunity here, and the risk, is moving those digitally acquired customers from 'skinny' relationships-where they might only have a single product-to full, primary banking relationships. Huntington's strategy is to improve digital household quality by aiming to triple the average deposits from new digital households by 2030. They are focusing on:

• Building an 'Ecommerce Experience' for banking.
• Prioritizing mobile-first customer acquisition.
• Expanding 'One-Tap Originations' for simple product sign-ups.

This is a marathon, not a sprint, but the early numbers show they are on the right track.

Ongoing branch modernization efforts complement the push for digital adoption.

To be fair, Huntington Bancshares Incorporated isn't abandoning the physical world; they view themselves as a 'People-First, Digitally Powered Bank.' The branch network is still critical, especially since a significant portion of their most valuable, multi-product accounts are opened there. They are managing a dual-channel strategy.

The biggest physical investment is the accelerated expansion into new markets like North and South Carolina. They initially planned a five-year build-out of 55 branches but have pulled that plan into just three years, aiming for completion by 2027. This means a substantial number of new locations will open in 2025 and over 20 in both 2026 and 2027. This expansion is not just about real estate; it's about leveraging a local, human-driven approach-the 'people-first' part-to complement the digital efficiency they are building.

High volume of over 1 billion digital customer interactions annually.

The sheer scale of digital engagement is a key technological factor. Huntington is handling over 1 billion digital interactions with customers per year. This high volume is the engine for their data-driven technology strategy.

This massive data flow fuels their ability to offer personalized offers and real-time, trigger-based marketing, which is essential for the 'digital deepening' strategy. The focus is on using technology to provide better service, not just faster transactions. They are using this digital scale to create a more human experience, for example, by developing features like 'Caregiver Banking' to address complex, real-life needs. The growth in digitally active customers, up 8% since 2022, proves the adoption is sticking. Finance: draft a 13-week cash view by Friday that specifically isolates the capital expenditure timeline for the Carolinas branch build-out against the projected digital marketing spend.

Huntington Bancshares Incorporated (HBAN) - PESTLE Analysis: Legal factors

You need to understand that regulatory compliance isn't just a cost center; for a bank like Huntington Bancshares Incorporated, it's a competitive moat. The legal landscape in 2025 is defined by strong capital buffers and the ongoing, complex debate around new international standards. Huntington Bancshares is defintely positioned well, holding capital significantly above the required minimums, which gives them flexibility others lack.

Common Equity Tier 1 (CET1) Ratio of 10.6% (Q3 2025) is Well Above Regulatory Minimums

Huntington Bancshares maintains a capital position that is robust, which is the core of regulatory health. Their Common Equity Tier 1 (CET1) ratio-the gold standard for a bank's ability to absorb unexpected losses-stood at a strong 10.6% as of September 30, 2025. This is materially higher than the minimum regulatory requirement, which is a good sign for stability and for future capital deployment.

Here's the quick math: the regulatory minimum for CET1 is 4.5%, plus the Capital Conservation Buffer (CCB) of 2.5%, for a total of 7.0%. Huntington Bancshares' 10.6% ratio gives them a substantial cushion of 3.6% over this minimum, which means they have significant capacity for lending, acquisitions, or share buybacks without triggering distribution constraints.

Capital Metric (as of Q3 2025)	Huntington Bancshares Ratio	Basel III Minimum Requirement	Well-Capitalized Threshold
Common Equity Tier 1 (CET1) Ratio	10.6%	4.5%	6.5%
Tier 1 Capital Ratio	N/A (Focus on CET1)	6.0%	8.0%
Total Capital Ratio	N/A (Focus on CET1)	8.0%	10.0%
Tier 1 Leverage Ratio	N/A (Focus on CET1)	4.0%	5.0%

Subject to a 2.5% Stress Capital Buffer (SCB) Requirement Through September 2025

The Stress Capital Buffer (SCB) is a critical regulatory layer. It's the amount of capital a bank must hold above the minimum to survive a severe economic downturn, as determined by the Federal Reserve's annual stress tests (Comprehensive Capital Analysis and Review, or CCAR). Huntington Bancshares is subject to an SCB requirement of 2.5%, which was effective for the period from October 1, 2024, through September 30, 2025.

This 2.5% SCB is added to the minimum CET1 requirement of 4.5%, meaning the bank's effective minimum CET1 ratio to avoid restrictions on capital distributions is 7.0%. Their actual 10.6% ratio is far above this, showing management is running the bank with a deliberate, conservative capital strategy. That's a good thing for long-term investors.

Anticipated Regulatory Easing, Specifically on Basel III 'Endgame' Provisions, May Free Up Capital for Lending

The proposed Basel III 'Endgame' rules, which aim to significantly increase capital requirements for large banks, have been a major point of contention. The initial proposal, issued in July 2023, was met with overwhelmingly negative feedback from the industry, including regional banks like Huntington Bancshares.

Federal Reserve officials have publicly acknowledged the need for 'broad and material changes' to the proposal. So, while the final rule is not expected before the second half of 2025, the anticipated outcome is a less stringent set of requirements for regional banks than initially proposed. This potential easing of the final rule could effectively lower the future regulatory capital burden, which would free up capital for increased lending, investment, and strategic growth initiatives. It shifts the near-term risk from a capital crunch to a capital opportunity.

Oversight by Multiple Federal and State Regulators, Including the Federal Reserve and OCC

As a multi-state diversified regional bank holding company, Huntington Bancshares Incorporated (HBAN) is under the watchful eye of several powerful regulatory bodies. This multi-layered oversight ensures stability but also increases compliance costs and complexity.

The key federal regulators include:

• The Federal Reserve (Fed): Provides consolidated supervision of Huntington Bancshares Incorporated as a Bank Holding Company (BHC).
• Office of the Comptroller of the Currency (OCC): Primary regulator and examiner for its main subsidiary, The Huntington National Bank (HNB).
• Federal Deposit Insurance Corporation (FDIC): Oversees deposit insurance and resolution planning for The Huntington National Bank.
• Consumer Financial Protection Bureau (CFPB): Focuses on consumer protection laws across the bank's products and services.

The regulatory environment is also impacted by state-level banking and consumer protection laws across the bank's operating footprint, which spans multiple states, plus the ongoing scrutiny from the Securities and Exchange Commission (SEC) for its public company filings. Finance: Monitor the Basel III reproposal release date closely for capital planning adjustments.

Huntington Bancshares Incorporated (HBAN) - PESTLE Analysis: Environmental factors

When you analyze a major financial institution like Huntington Bancshares Incorporated, the 'E' in PESTLE-the environmental factors-is less about smokestacks and more about financed emissions (Scope 3) and governance maturity. It's a transition risk issue, pure and simple. The bank is defintely moving to mitigate this risk, aligning its strategy with global frameworks and formalizing oversight in 2025.

Here's the quick math: Huntington's total reported operational emissions (Scope 1 and 2) for 2023 were only 67,124 metric tons of $CO2e$ ($tCO2e$), but its financed emissions from the auto loan book alone were over 1.4 million $tCO2e$. That massive difference shows exactly where the environmental risk, and the opportunity for impact, sits.

Formal commitment to a climate strategy, aligning with TCFD (Task Force on Climate-related Financial Disclosures) recommendations.

Huntington Bancshares Incorporated has made a clear, formal commitment to a climate strategy, using the Task Force on Climate-related Financial Disclosures (TCFD) recommendations as the foundation for its reporting for the fourth consecutive year, as noted in its 2023 Climate Report. This commitment goes beyond simple disclosure; it integrates climate-related risks into the core of their risk management program, including credit exposure and scenario analysis. The bank also monitors emerging frameworks like the Taskforce on Nature-related Financial Disclosures (TNFD) and the International Sustainability Standards Board (ISSB) standards, preparing for future regulatory changes.

This alignment is a smart move for investor relations, but still, the real work is in the execution.

Governance is formalized with a Joint Nominating and ESG Committee established in January 2025.

The bank has formalized its environmental governance at the highest level. The Joint Nominating and ESG Committee Charter was approved on January 15, 2025, demonstrating a near-term commitment to board-level oversight of environmental, social, and governance (ESG) issues. This committee is responsible for overseeing the company's ESG practices and strategy, ensuring accountability. The Board and senior management also received their first-ever enterprise-wide climate risk training in 2024, which shows an effort to build internal capability to manage these complex risks.

The new committee structure ensures that climate strategy is a standing, high-priority item, not just an annual report footnote.

Negative impact on GHG emissions is tied to financing activities like Car loans and Mortgages.

The most significant environmental impact for Huntington Bancshares Incorporated is not from its own operations, but from its lending portfolio-specifically the Scope 3, Category 15 financed emissions. The bank is a major player in consumer direct and indirect automotive lending, and this portfolio represents the largest disclosed financed emissions category.

The bank is a member of the Partnership for Carbon Accounting Financials (PCAF), which enables the standardized assessment of these emissions. The data from the 2023 Climate Report shows the scale of this challenge:

GHG Emissions Category (2023 Data)	Metric Tons of $CO2e$ ($tCO2e$)	Notes
Scope 1 (Direct Operations)	16,331	From heating, corporate fleet, etc.
Scope 2 (Purchased Electricity)	50,793	From purchased electricity, steam, etc.
Scope 3 (Financed Emissions - Auto Book)	1,446,371	Largest disclosed financed category.
Total Scope 1, 2, & 3 (Disclosed Categories)	1,798,928	Includes various other Scope 3 categories.

What this estimate hides is the emissions from other major lending portfolios, like mortgages, which the Climate Risk team is still working to compute reliable, accurate estimates for, consistent with emerging regulatory expectations. The auto book alone accounts for over 80% of the total disclosed Scope 3 emissions.

Reports progress on its climate strategy to support the transition to a low-carbon economy.

Huntington Bancshares Incorporated is actively working to reduce its operational footprint and support the broader low-carbon transition. For its own operations, the bank reported a 7% decrease in Scopes 1 and 2 location-based greenhouse gas (GHG) emissions in 2023. They have a long-term goal to shift 50% of their electricity usage to renewable sources by 2035, and they have executed two power purchase agreements to make progress toward this goal.

On the lending side, the bank is leveraging its Renewable Energy Finance (REF) team, which has financed 24 renewable energy projects with a total capacity of 1,856 MW for companies across its footprint and the nation. This is how a bank can really move the needle on climate impact.

• Achieved a CDP's A- climate change rating.
• Financed 24 renewable energy projects with 1,856 MW capacity.
• Reduced Scope 1 and 2 GHG emissions by 7% in 2023.