18349--3/2/2009--SYNOVUS_FINANCIAL

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{condition, economic, financial}

{capital, credit, financial}

{loan, real, estate}

{product, market, service}

{regulation, change, law}

{financial, litigation, operation}

{competitive, industry, competition}

{loss, insurance, financial}

{regulation, government, change}

{cost, operation, labor}

{cost, contract, operation}

{debt, indebtedness, cash}

Risks Related to Recent Market, Legislative and Regulatory Events Recent turmoil in the real estate markets and the tightening of credit have adversely affected the financial services industry and may continue to adversely affect our business, financial condition and results of operations. There can be no assurance that recently enacted legislation will stabilize the U.S. financial system. As a result of our participation in the Capital Purchase Program and the Temporary Liquidity Guarantee Program, we may face additional regulation, and we cannot predict the cost or effects of compliance at this time. Future legislation could harm our competitive position. The failure of other financial institutions could adversely affect us. The current and further deterioration in the residential construction and commercial development real estate markets may lead to increased non-performing assets in our loan portfolio and increased provision expense for losses on loans, which could have a material adverse effect on our capital, financial condition and results of operations We may experience increased delinquencies and credit losses. Our allowance for loan losses may not be adequate to cover actual losses, and we may be required to materially increase our allowance, which may adversely affect our capital, financial condition and results of operations. Synovus net interest income could be negatively affected by the lower level of short-term interest rates, recent developments in the credit and real estate markets and competition in our primary market area. Diminished access to alternative sources of liquidity could adversely affect our net income, net interest margin and our overall liquidity. Any reduction in our credit rating could increase the cost of our funding from the capital markets. Current levels of market volatility are unprecedented, and may result in disruptions in our ability to access sources of funds, which may negatively affect our capital resources and liquidity. We may not realize the expected benefits from Project Optimus. As a financial services company, adverse changes in general business or economic conditions could have a material adverse effect on our financial condition and results of operations. We face intense competition from other financial service providers. The trade, monetary and fiscal policies and laws of the federal government and its agencies, including interest rate policies of the Federal Reserve Board, significantly affect our earnings. Maintaining or increasing market share depends on the timely development of and acceptance of new products and services and perceived overall value of these products and services by users. We must respond to rapid technological changes and these changes may be more difficult or expensive than anticipated. Fluctuations in our expenses and other costs may hurt our financial results. We are heavily regulated by federal and state agencies, and changes in laws and regulations may affect our financial outlook. Changes in accounting policies and practices, as may be adopted by the regulatory agencies, the Financial Accounting Standards Board, or other authoritative bodies, could materially impact our financial statements. The costs and effects of litigation, investigations or similar matters, or adverse facts and developments related thereto, could materially affect our business, operating results and financial condition Our financial condition and outlook may be adversely affected by damage to our reputation. Our access to funds from our subsidiaries may become limited, thereby restricting our ability to make payments on our obligations or dividend payments. Changes in the cost and availability of funding due to changes in the deposit market and credit market, or the way in which we are perceived in such markets, may adversely affect financial results. We may be required to repurchase mortgage loans or indemnify mortgage loan purchasers as a result of breaches of representations and warranties, borrower fraud, or certain borrower defaults, which could harm our liquidity, results of operations and financial condition.

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18349--3/2/2009--SYNOVUS_FINANCIAL_CORP