Synovus Financial Corp. today announced the completion of a bulk sale of distressed assets effective December 10, 2012.  Including this transaction, Synovus expects to sell during the fourth quarter of 2012 distressed assets with a total carrying value of approximately $530 million, consisting of approximately $400 million in non-performing assets, $110 million in loans rated accruing substandard, and $20 million in loans rated special mention.  The total fourth quarter distressed asset dispositions of approximately $530 million are expected to result in fourth quarter pre-tax charges of approximately $155 million.

“The sale of these distressed assets is an important and strategic step in our continued efforts to further strengthen our balance sheet, improve asset quality, and enhance future earnings” said Synovus Chairman and Chief Executive Officer Kessel D. Stelling.

Management continues to believe that, as previously disclosed, substantially all of the deferred tax asset valuation allowance of $787 million at September 30, 2012, may be reversed as early as the end of the fourth quarter of 2012, and should be reversed no later than the end of the second quarter of 2013. The reversal is also expected to position Synovus for TARP repayment as early as the second quarter of 2013, and no later than the fourth quarter of 2013.