Quarterly Performance Summary issued October 14, 2003

UNITED STATES
 SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

Form 8-K
 Current Report

Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934

October 14, 2003

Date of Report (Date of earliest event reported)



BB&T Corporation
 (Exact name of registrant as specified in its charter)

Commission file number : 1-10853


North Carolina 56-0939887
(State of incorporation) (I.R.S. Employer Identification No.)


200 West Second Street  
Winston-Salem, North Carolina 27101
(Address of principal executive offices) (Zip Code)


(336) 733-2000
(Registrant's telephone number, including area code)

This Form 8-K has 15 pages.

ITEM 12.   Results of Operations and Financial Condition

          The purpose of this Current Report on Form 8-K is to file BB&T’s third quarter 2003 earnings release and to reconcile BB&T’s 2003 operating earnings projections to amounts calculated in accordance with generally accepted accounting principles.

Reconciliation of Projected 2003 Operating Earnings Per Share to Earnings Per Share

Operating Diluted Earnings Per Share     $ 2.75   to   $ 2.81
Effect of:
         Merger-related charges, net of tax       (0.10 )         (0.10 )
         Loss on early extinguishment of debt, net of tax       (0.49 )         (0.49 )
         Other, net of tax (1)       (0.03 )         (0.03 )
Diluted Earnings Per Share     $ 2.13   to   $ 2.19

(1) Reflects nonrecurring contributions made by an affiliated trust.

EXHIBIT INDEX

Exhibit 99.1 Quarterly Performance Summary issued October 14, 2003

October 14, 2003

FOR IMMEDIATE RELEASE

Contacts:    
ANALYSTS MEDIA
Tom A. Nicholson Scott E. Reed Bob Denham
Senior Vice President Sr. Exec. Vice President Senior Vice President
Investor Relations Chief Financial Officer Public Relations
(336) 733-3058 (336) 733-3088 (336) 733-1002

BB&T announces 3rd quarter net income of $115.9 million; Operating earnings increase 12.9% to $379.3 million

          WINSTON-SALEM, N.C. — BB&T Corporation (NYSE: BBT) reported today third quarter 2003 net income totaling $115.9 million, or $.21 per diluted share. Net income and diluted earnings per share include the effects of $248.5 million in after-tax losses resulting from an early extinguishment of debt completed in connection with the previously announced balance sheet restructuring during the third quarter and $14.8 million in net after-tax merger-related charges.

          Excluding the effects of the losses from the early extinguishment of debt and the merger-related charges, operating earnings totaled $379.3 million for the third quarter of 2003, an increase of 12.9% compared with $336.0 million earned in the third quarter of 2002. Diluted operating earnings per share for the third quarter were $.68, a decrease of 2.9% compared with $.70 earned during the same period last year.

          BB&T’s third quarter 2003 net income produced annualized returns on average assets and average shareholders’ equity of .51% and 4.50%, respectively. Operating earnings for the current quarter produced annualized returns on average assets and average shareholders’ equity of 1.66% and 14.73%, respectively.

          Cash basis operating results exclude the effects of intangible assets and related amortization expenses, net amortization of purchase accounting mark-to-market adjustments, and merger-related and other nonrecurring charges. Cash basis operating earnings totaled $396.0 million for the third quarter of 2003, or $.71 per diluted share. These results reflect an increase of 16.4% in cash basis operating earnings compared to the third quarter of 2002, and are equal to the cash basis diluted operating earnings per share earned in the same period last year.

MORE




Cash basis operating earnings for the third quarter of 2003 produced an annualized return on average tangible assets of 1.81% and an annualized return on average tangible shareholders’ equity of 25.62%.

          “I am very satisfied with our overall financial performance during the quarter, particularly considering both the challenging economic environment in our core markets and our major investment for the future in the acquisition of First Virginia,” said Chairman and Chief Executive Officer John A. Allison. “Our operating results reflect continued strong growth in noninterest income, improving asset quality and a healthy improvement in our net interest margin, which resulted from our balance sheet restructuring.”

          For the first nine months of 2003, BB&T’s net income was $759.9 million, or $1.51 per diluted share. These earnings reflect decreases of 21.3% and 25.2%, respectively, compared to 2002. Excluding merger-related and other nonrecurring costs, operating earnings for the first nine months of 2003 were $1.05 billion, or $2.09 per diluted share, reflecting increases of 7.5% and 2.5%, respectively, compared with 2002.

          In light of the results for the first nine months of 2003 and given current internal forecasts for the remainder of the year, BB&T’s management currently projects diluted operating earnings per share in the range of $2.75 to $2.81 for the full year 2003. Calculated on a basis consistent with generally accepted accounting principles, management projects full year net income per share of $2.13 to $2.19.

Positive Trends in Noninterest Income Continue

          The strong performance of BB&T’s noninterest income generating businesses continues to be the primary driver of earnings growth. Total noninterest income was $512.1 million for the quarter, an increase of 30.2% compared with the same period in 2002, producing a fee income ratio of 37.3%. This increase was produced by solid revenue growth from BB&T’s mortgage banking operations, insurance operations, investment banking and brokerage fees and commissions, and other nondeposit fees and commissions, and also reflects the significant contributions from the purchase of First Virginia. Excluding growth resulting from acquisitions, noninterest income grew 16.5% compared to the third quarter last year.

          The low interest rate environment and strong housing market continued to generate a high level of mortgage loan production, although BB&T’s refinance activity has slowed. BB&T originated $5.9 billion of mortgage loans during the third quarter of 2003 compared with $3.5 billion during the same period in 2002. This strong mortgage production has substantially boosted mortgage banking income, which totaled $117.5 million during the third quarter.

          The growth in BB&T’s insurance agency network and insurance brokerage operations remained particularly strong with insurance commissions increasing 28.8% to $103.6 million compared with $80.4 million earned during the third quarter of 2002, resulting from both acquisitions and strong internal growth. BB&T’s insurance agency network and brokerage operations currently rank 8th in the country in terms of total revenues.

MORE




          Other nondeposit fees and commissions increased 35.4% to $73.3 million compared with the same quarter last year. This growth resulted primarily from higher bankcard and merchant services income. Investment banking and brokerage fees and commissions increased 36.3% to $65.3 million compared to the third quarter last year. This increase resulted principally from growth in brokerage commissions and commissions from sales of annuities.

Asset Quality Continues to Improve

          BB&T’s credit quality continued to improve during the third quarter and remains very strong compared to the industry. The overall positive trends were partially aided by the acquisition of First Virginia on July 1, which also enjoyed excellent credit quality. Nonperforming assets as a percentage of total assets were .49% at Sept. 30, down from .55% and .60% at June 30 and March 31, respectively. Annualized net charge-offs were .40% of average loans and leases for the third quarter of 2003, down from .43% in the second quarter and .47% for the first quarter of 2003. Excluding losses at BB&T’s specialized lending subsidiaries, annualized net charge-offs for the current quarter were ..30% of average loans and leases compared to .39% for the same period in 2002.

Net Interest Margin Improves Following Balance Sheet Restructuring

          BB&T’s fully taxable equivalent net interest income totaled $832.9 million for the third quarter, an increase of $90.3 million, or 12.2%, compared to the third quarter of 2002. During the third quarter, BB&T largely completed the balance sheet restructuring plan announced at the end of the second quarter of 2003. The initiatives have strengthened BB&T’s financial position and have had an immediate positive impact on the net interest margin, which increased .11% to 4.17% in the third quarter following four consecutive quarters of decreases. This increase in the quarterly margin primarily resulted from savings in funding costs from the restructuring of $3.0 billion in FHLB advances in the second quarter of 2003 and the early termination of $2.9 billion in FHLB advances in the current quarter. In addition, BB&T completed the repurchase of 12 million shares of its common stock during the third quarter and plans to repurchase approximately 8 million additional shares in the fourth quarter.

Expanded BB&T Franchise Well Positioned for Growth

          On July 1, BB&T consummated its merger with First Virginia Banks, Inc. (“First Virginia”), headquartered in Falls Church, Va. First Virginia had $11.2 billion in assets and operated 363 branches at the time of the merger with BB&T. The acquisition of First Virginia substantially increased BB&T’s market share in Virginia, Maryland and Tennessee, and expanded BB&T’s presence in the fast-growing Washington, D.C. market. On Oct. 13, BB&T successfully completed the systems conversion of the eight subsidiary banks acquired through the merger with First Virginia.

MORE




          “I am pleased to report the successful acquisition and conversion of First Virginia’s operations into those of BB&T,” said Allison. “We believe this transaction presents tremendous growth opportunities for our combined organization. We are particularly excited about the potential to grow our consumer and commercial loan portfolios, as well as increase our noninterest revenue as we offer BB&T’s expanded range of products and services to First Virginia’s customers and implement BB&T’s sales system throughout the First Virginia franchise. We are on track to realize our planned cost savings and I am confident that we will be well positioned for future growth.”

          On Sept. 2, BB&T Insurance Services acquired Cooper, Love & Jackson ("CLJ") of Nashville, Tenn., and Surety Land Title based in Raleigh, N.C. CLJ specializes in the insurance of commercial risk, employee benefits and personal lines. These acquisitions will further expand BB&T's growing insurance line of business, which continues to be an important source of noninterest income.

          At Sept. 30, BB&T had $90.4 billion in assets and operated more than 1,400 banking offices in the Carolinas, Virginia, West Virginia, Kentucky, Georgia, Maryland, Tennessee, Florida, Alabama, Indiana and Washington, D.C. BB&T’s common stock is traded on the New York Stock Exchange under the trading symbol BBT. The closing price of BB&T’s common stock on Oct. 13 was $37.53 per share.

          For additional information about BB&T’s financial performance, company news, products and services, please visit our Web site at www.BBandT.com.

Earnings Webcast

          To hear a live webcast of BB&T’s third quarter 2003 earnings conference call at 10 a.m. (EDT) today, please visit our Web site at www.BBandT.com. Replays of the conference call will be available through our Web site until 5 p.m. (EDT) Oct. 24.

_________________

          This press release contains financial information determined by methods other than in accordance with Generally Accepted Accounting Principles (“GAAP”). BB&T’s management uses these non-GAAP measures in their analysis of the Company’s performance. These measures typically adjust GAAP performance measures to exclude the effects of charges, expenses and gains related to the consummation of mergers and acquisitions, and costs related to the integration of merged entities, as well as the amortization of intangibles and purchase accounting mark-to-market adjustments in the case of “cash basis” performance measures. These non-GAAP measures may also exclude other significant gains, losses or expenses that are unusual in nature and not expected to recur. Since these items and their impact on BB&T’s performance are difficult to predict, management believes presentations of financial measures excluding the impact of these items provide useful supplemental information that is essential to a proper understanding of the operating results of BB&T’s core businesses. These disclosures should not be viewed as a substitute for results determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other companies.

          This press release contains forward-looking statements as defined by federal securities laws. These statements may address issues that involve significant risks, uncertainties, estimates and assumptions made by management. Actual results could differ materially from current projections. Please refer to BB&T’s filings with the Securities and Exchange Commission for a summary of important factors that could affect BB&T’s forward-looking statements. BB&T undertakes no obligation to revise these statements following the date of this press release.




QUARTERLY PERFORMANCE SUMMARY   Tom A. Nicholson    
BB&T Corporation (NYSE:BBT)  Senior Vice President  (336) 733-3058  
Page 5  Investor Relations  FAX (336) 733-3132  

For the Three Months Ended Increase (Decrease)
9/30/03 9/30/02 $ %
(Dollars in thousands, except per share data)
OPERATING EARNINGS STATEMENTS (1)                    
    Interest income - taxable equivalent   $1,125,056   $1,167,558   $(42,502 )  (3.6 ) %
    Interest expense    292,110    424,903    (132,793 )  (31.3 )
      Net interest income - taxable equivalent    832,946    742,655    90,291    12.2  
    Less: Taxable equivalent adjustment    26,488    40,563    (14,075 )  (34.7 )
      Net interest income    806,458    702,092    104,366    14.9  
    Provision for loan & lease losses    65,000    64,000    1,000    1.6  
      Net interest income after provision for loan & lease losses    741,458    638,092    103,366    16.2  
    Noninterest income (2)    512,103    393,359    118,744    30.2  
    Noninterest expense (3)    709,248    564,479    144,769    25.6  
    Operating earnings before income taxes    544,313    466,972    77,341    16.6  
    Provision for income taxes    165,055    131,003    34,052    26.0  
      Operating earnings (1)   $379,258   $335,969   $43,289    12.9  
PER SHARE DATA BASED ON OPERATING EARNINGS  
    Basic earnings   $.69   $.70   $(.01 )  (1.4 ) %
    Diluted earnings    .68    .70    (.02 )  (2.9 )
    Weighted average shares -                Basic       551,018,984     477,112,074              
                                                          Diluted    555,543,993    482,325,535            
    Dividends paid on common shares   $.32   $.29   $.03    10.3  
PERFORMANCE RATIOS BASED ON OPERATING EARNINGS  
    Return on average assets     1.66  %   1.72  %
    Return on average equity    14.73    18.09            
    Net yield on earning assets (taxable equivalent)    4.17     4.25  
    Efficiency ratio (taxable equivalent) (4)    53.0    49.6            
CASH BASIS PERFORMANCE  
    BASED ON OPERATING EARNINGS (1)(5)  
    Cash basis operating earnings   $395,987   $ 340,261   $ 55,726     16.4  
    Diluted earnings per share    .71     .71     --     --  
    Return on average tangible assets     1.81  %   1.78  %            
    Return on average tangible equity    25.62    23.72            
    Efficiency ratio (taxable equivalent) (4)    51.2    49.0            
For the Three Months Ended Increase (Decrease)
(Dollars in thousands, except per share data) 9/30/03 9/30/02 $ %
INCOME STATEMENTS                          
    Interest income - taxable equivalent   $1,125,056   $1,167,558   $(42,502 )  (3.6 )%
    Interest expense    292,110    424,903    (132,793 )  (31.3 )
      Net interest income - taxable equivalent    832,946    742,655    90,291    12.2  
    Less: Taxable equivalent adjustment    26,488    40,563    (14,075 )  (34.7 )
      Net interest income    806,458    702,092    104,366    14.9  
    Provision for loan & lease losses    65,000    64,000    1,000    1.6  
      Net interest income after provision for loan & lease losses    741,458    638,092    103,366    16.2  
    Noninterest income    512,103    393,359    118,744    30.2  
    Noninterest expense    1,116,966    577,173    539,793    93.5  
    Income before income taxes    136,595    454,278    (317,683 )  (69.9 )
    Provision for income taxes    20,704    126,121    (105,417 )  (83.6 )
        Net income   $115,891   $328,157   $(212,266 )  (64.7 ) %
PER SHARE DATA  
    Basic earnings   $.21   $.69   $(.48 )  (69.6 ) %
    Diluted earnings    .21    .68    (.47 )  (69.1 )
    Weighted average shares -               Basic    551,018,984    477,112,074            
                                                         Diluted    555,543,993    482,325,535            
PERFORMANCE RATIOS BASED ON NET INCOME  
    Return on average assets    .51  %  1.68  %          
    Return on average equity    4.50    17.66            

NOTES:   Applicable ratios are annualized.
  (1) Operating earnings statements exclude the effect of merger-related and other nonrecurring charges. These charges totaled $263.4 million and $7.8 million, net of tax, in the third quarters of 2003 and 2002, respectively. See Reconciliation Tables included herein.
  (2) Excluding purchase accounting transactions, noninterest income would have increased $72.9 million, or 16.5% for the quarter, compared to the same period in 2002.
  (3) Excluding purchase accounting transactions, noninterest expense would have increased $37.2 million, or 5.5% for the quarter, compared to the same period in 2002.
  (4) Excludes securities gains (losses), foreclosed property expense, provisions for or the recaptures of the impairment of mortgage servicing rights, gains or losses on mortgage banking-related derivatives, merger-related charges and other nonrecurring charges. See Reconciliation Tables included herein.
  (5) Cash basis performance information excludes the effect on earnings of amortization expense applicable to intangible assets, the unamortized balances of intangibles from assets and equity, and net amortization of purchase accounting mark-to-market adjustments. See Reconciliation Tables included herein.



QUARTERLY PERFORMANCE SUMMARY   Tom A. Nicholson    
BB&T Corporation (NYSE:BBT)  Senior Vice President  (336) 733-3058  
Page 6  Investor Relations  FAX (336) 733-3132  

For the Nine Months Ended Increase (Decrease)
(Dollars in thousands, except per share data) 9/30/03 9/30/02 $ %
OPERATING EARNINGS STATEMENTS (1)                    
    Interest income - taxable equivalent   $3,283,644   $3,446,585   $(162,941 )  (4.7 ) %
    Interest expense    996,923    1,291,433    (294,510 )  (22.8 )
      Net interest income - taxable equivalent    2,286,721    2,155,152    131,569    6.1  
    Less: Taxable equivalent adjustment    84,665    115,763    (31,098 )  (26.9 )
      Net interest income    2,202,056    2,039,389    162,667    8.0  
    Provision for loan & lease losses    189,500    179,000    10,500    5.9  
      Net interest income after provision for loan & lease losses    2,012,556    1,860,389    152,167    8.2  
    Noninterest income (2)    1,418,120    1,135,774    282,346    24.9  
    Noninterest expense (3)    1,927,686    1,637,025    290,661    17.8  
    Operating earnings before income taxes    1,502,990    1,359,138    143,852    10.6  
    Provision for income taxes    456,005    384,920    71,085    18.5  
      Operating earnings (1)   $1,046,985   $974,218   $72,767    7.5  %
PER SHARE DATA BASED ON OPERATING EARNINGS  
    Basic earnings   $2.10   $2.06   $.04    1.9  %
    Diluted earnings    2.09    2.04    .05    2.5  
    Weighted average shares -               Basic    498,048,765    472,764,083            
                                                         Diluted    502,026,007    478,363,530            
    Dividends paid on common shares   $.90   $.81   $.09    11.1  %
PERFORMANCE RATIOS BASED ON OPERATING EARNINGS  
    Return on average assets    1.67  %  1.74  %
    Return on average equity    16.49    18.60            
    Net yield on earning assets (taxable equivalent)    4.12    4.26  
    Noninterest income as a percentage of  
      total income (taxable equivalent) (4)    37.6    34.3            
    Efficiency ratio (taxable equivalent) (4)    52.2    49.8  
CASH BASIS PERFORMANCE  
    BASED ON OPERATING EARNINGS (1)(5)  
    Cash basis operating earnings     $ 1,071,986   $ 985,111   $86,875    8.8  %
    Diluted earnings per share    2.14    2.06    .08    3.9  
    Return on average tangible assets    1.77  %  1.79  %
    Return on average tangible equity    24.45    23.71            
    Efficiency ratio (taxable equivalent) (4)    51.2    49.3  
For the Nine Months Ended Increase (Decrease)
(Dollars in thousands, except per share data) 9/30/03 9/30/02 $ %
INCOME STATEMENTS                    
    Interest income - taxable equivalent   $3,283,644   $3,446,585   $(162,941 )  (4.7 ) %
    Interest expense    996,923    1,291,433    (294,510 )  (22.8 )
      Net interest income - taxable equivalent    2,286,721    2,155,152    131,569    6.1  
    Less: Taxable equivalent adjustment    84,665    115,763    (31,098 )  (26.9 )
      Net interest income    2,202,056    2,039,389    162,667    8.0  
    Provision for loan & lease losses    189,500    179,000    10,500    5.9  
      Net interest income after provision for loan & lease losses    2,012,556    1,860,389    152,167    8.2  
    Noninterest income    1,418,120    1,135,774    282,346    24.9  
    Noninterest expense    2,371,974    1,665,892    706,082    42.4  
    Income before income taxes and cumulative effect of change in accounting principle    1,058,702    1,330,271    (271,569 )  (20.4 )
    Provision for income taxes    298,826    374,297    (75,471 )  (20.2 )
      Income before cumulative effect of change in accounting principle    759,876    955,974    (196,098 )  (20.5 )
      Cumulative effect of change in accounting principle    --    9,780    (9,780 )  NM  
        Net income   $759,876   $965,754   $(205,878 )  (21.3 ) %
PER SHARE DATA  
    Basic earnings  
      Income before cumulative effect of change in accounting principle   $1.53   $2.02   $(.49 )  (24.3 ) %
      Cumulative effect of change in accounting principle    --    .02    (.02 )  NM  
      Net income    1.53    2.04    (.51 )  (25.0 )
    Diluted earnings  
      Income before cumulative effect of change in accounting principle    1.51    2.00    (.49 )  (24.5 )
      Cumulative effect of change in accounting principle    --    .02    (.02 )  NM  
      Net income   $1.51   $2.02   $(.51 )  (25.2 ) %
PERFORMANCE RATIOS BASED ON NET INCOME  
    Return on average assets    1.21  %  1.72  %          
    Return on average equity       11.97     18.44  
NOTES:   Applicable ratios are annualized.
  (1) Operating earnings statements exclude the effect of merger-related and other nonrecurring charges and the cumulative effect of a change in accounting principle, which resulted in the recognition of income totaling $9.8 million in the first quarter of 2002. Merger-related and other nonrecurring charges, net of tax, totaled $287.1 million and $18.2 million in the first nine months of 2003 and 2002, respectively. See Reconciliation Tables included herein.
  (2) Excluding purchase accounting transactions, noninterest income would have increased $197.5 million, or 15.1% for the nine months ended September 30, 2003, compared to 2002.
  (3) Excluding purchase accounting transactions, noninterest expense would have increased $111.8 million, or 5.6% for the nine months ended September 30, 2003, compared to 2002.
  (4) Excludes securities gains (losses), foreclosed property expense, provisions for or the recaptures of the impairment of mortgage servicing rights, gains or losses on mortgage banking-related derivatives, merger-related charges and other nonrecurring charges. See Reconciliation Tables included herein.
  (5) Cash basis performance information excludes the effect on earnings of amortization expense applicable to intangible assets, the unamortized balances of intangibles from assets and equity and net amortization of purchase accounting mark-to-market adjustments. See Reconciliation Tables included herein.
  NM - not meaningful.



QUARTERLY PERFORMANCE SUMMARY   Tom A. Nicholson    
BB&T Corporation (NYSE:BBT)  Senior Vice President  (336) 733-3058  
Page 7  Investor Relations  FAX (336) 733-3132  

As of / For the Nine Months Ended Increase (Decrease)
(Dollars in thousands) 9/30/03 9/30/02 $ %
SELECTED BALANCE SHEET DATA
End of period balances                    
Securities available for sale   $16,032,688   $16,416,181   $(383,493 )  (2.3 ) %
Securities held to maturity    57,076    51,401    5,675    11.0  
Trading securities    710,387    121,525    588,862    484.6  
  Total securities    16,800,151    16,589,107    211,044    1.3  
Commercial loans & leases    30,939,186    28,955,027    1,984,159    6.9  
Consumer loans    17,955,999    12,708,072    5,247,927    41.3  
Revolving credit loans    1,111,208    1,010,860    100,348    9.9  
Mortgage loans    11,166,084    10,390,742    775,342    7.5  
  Total loans & leases    61,172,477    53,064,701    8,107,776    15.3  
Allowance for loan & lease losses    791,527    723,688    67,839    9.4  
Other earning assets    603,425    518,476    84,949    16.4  
  Total earning assets    78,410,936    69,629,079    8,781,857    12.6  
  Total assets    90,355,131    78,186,831    12,168,300    15.6  
Noninterest-bearing deposits    10,909,953    7,967,366    2,942,587    36.9  
Savings & interest checking    4,217,404    2,970,575    1,246,829    42.0  
Money rate savings    20,231,596    15,636,969    4,594,627    29.4  
CDs and other time deposits    25,936,345    23,236,561    2,699,784    11.6  
  Total deposits    61,295,298    49,811,471    11,483,827    23.1  
Short-term borrowed funds    6,294,995    4,797,992    1,497,003    31.2  
Long-term debt    9,837,910    13,384,826    (3,546,916 )  (26.5 )
  Total interest-bearing liabilities    66,518,250    60,026,923    6,491,327    10.8  
  Total shareholders' equity   $10,214,832   $7,534,817   $2,680,015    35.6  %
Average balances  
Securities, at amortized cost   $17,098,464   $17,220,687   $(122,223 )  (.7 ) %
Commercial loans & leases    29,763,898    27,750,576    2,013,322    7.3  
Consumer loans    14,541,536    12,042,514    2,499,022    20.8  
Revolving credit loans    1,060,949    970,308    90,641    9.3  
Mortgage loans    11,198,645    9,159,645    2,039,000    22.3  
  Total loans & leases    56,565,028    49,923,043    6,641,985    13.3  
Allowance for loan & lease losses    747,833    694,420    53,413    7.7  
Other earning assets    534,210    422,283    111,927    26.5  
  Total earning assets    74,197,702    67,566,013    6,631,689    9.8  
  Total assets    83,713,853    74,886,034    8,827,819    11.8  
Noninterest-bearing deposits    9,008,067    7,016,475    1,991,592    28.4  
Savings & interest checking    3,742,356    3,373,876    368,480    10.9  
Money rate savings    17,568,757    14,488,268    3,080,489    21.3  
CDs and other time deposits    25,173,205    23,673,182    1,500,023    6.3  
  Total deposits    55,492,385    48,551,801    6,940,584    14.3  
Short-term borrowed funds    4,849,076    5,652,086    (803,010 )  (14.2 )
Long-term debt    12,308,015    11,727,122    580,893    5.0  
  Total interest-bearing liabilities    63,641,409    58,914,534    4,726,875    8.0  
  Total shareholders' equity   $8,489,258   $7,001,964   $1,487,294    21.2 %

As of / For the Quarter Ended
(Dollars in thousands) 9/30/03 6/30/03 3/31/03 12/31/02 9/30/02
MISCELLANEOUS INFORMATION (1)
Unrealized appreciation (depreciation) on                        
  securities available for sale, net of tax   $ 98,196   $ 240,474   $ 280,309   $ 329,149   $ 333,476  
Derivatives (notional value)    9,625,035    12,377,125    13,195,050    11,697,739    9,476,733  
Fair value of derivatives portfolio    184,467    274,749    179,474    149,498    79,380  
Common stock prices (daily close):                          High    38.15    35.90    38.63    38.23    38.40  
                                                                              Low       33.77    31.75    31.15    31.26    32.18  
                                                                 End of period    35.91    34.30    31.43    36.99    35.04  
Weighted average shares -                                     Basic    551,018,984    471,713,450    470,529,359    474,905,234    477,112,074  
                                                                          Diluted    555,543,993    475,293,564    474,348,203    480,065,651    482,325,535  
End of period shares outstanding    548,886,598    472,118,220    471,218,625    470,452,260    480,439,801  
End of period banking offices    1,456    1,109    1,118    1,122    1,123  
ATMs    1,948    1,675    1,694    1,698    1,701  

NOTES:   All items referring to loans and leases include loans held for sale and are net of unearned income.
  (1) BB&T had approximately 27,000 full-time equivalent employees at September 30, 2003.



QUARTERLY PERFORMANCE SUMMARY   Tom A. Nicholson    
BB&T Corporation (NYSE:BBT)  Senior Vice President  (336) 733-3058  
Page 8  Investor Relations  FAX (336) 733-3132  

As of / For the Quarter Ended
(Dollars in thousands, except per share data) 9/30/03 6/30/03 3/31/03 12/31/02 9/30/02
OPERATING EARNINGS STATEMENTS (1)
    Interest income - taxable equivalent                        
    Interest & fees on loans & leases   $931,997   $853,094   $858,137   $899,264   $897,969  
    Interest & dividends on securities    191,261    218,872    224,940    236,880    267,667  
    Interest on short-term investments    1,798    1,744    1,801    1,879    1,922  
      Total interest income - taxable equivalent    1,125,056    1,073,710    1,084,878    1,138,023    1,167,558  
    Interest expense  
    Interest on deposits    184,168    192,505    207,624    231,021    254,248  
    Interest on short-term borrowed funds    14,651    15,494    13,664    18,770    24,140  
    Interest on long-term debt    93,291    134,112    141,414    145,360    146,515  
      Total interest expense    292,110    342,111    362,702    395,151    424,903  
    Net interest income - taxable equivalent    832,946    731,599    722,176    742,872    742,655  
    Less: Taxable equivalent adjustment    26,488    28,179    29,998    34,801    40,563  
      Net interest income    806,458    703,420    692,178    708,071    702,092  
    Provision for loan & lease losses    65,000    61,500    63,000    84,700    64,000  
      Net interest income after provision for                             
        loan & lease losses    741,458    641,920    629,178    623,371    638,092  
    Noninterest income  
    Service charges on deposits    121,981    96,645    96,778    105,686    104,754  
    Mortgage banking income (loss)    117,463    (32,711 )  59,972    103,010    (88,343 )
    Investment banking & brokerage fees & commissions    65,306    60,094    51,909    53,742    47,912  
    Trust revenue    31,871    26,248    26,009    19,750    27,388  
    Insurance commissions    103,592    101,500    88,658    87,618    80,401  
    Other nondeposit fees & commissions    73,312    60,770    56,272    58,135    54,145  
    Securities gains (losses), net    (29,127 )  109,500    34,234    1,508    135,519  
    Other noninterest income    27,705    39,050    31,089    27,172    31,583  
      Total noninterest income    512,103    461,096    444,921    456,621    393,359  
    Noninterest expense  
    Personnel expense    412,350    367,497    352,701    350,213    323,119  
    Occupancy & equipment expense    97,352    85,625    87,727    87,383    85,550  
    Foreclosed property expense    5,163    3,541    4,069    3,226    2,874  
    Amortization of intangibles    20,990    6,806    6,754    3,203    7,073  
    Other noninterest expense    173,393    155,610    148,108    165,128    145,863  
      Total noninterest expense    709,248    619,079    599,359    609,153    564,479  
    Operating earnings before income taxes    544,313    483,937    474,740    470,839    466,972  
    Provision for income taxes    165,055    147,009    143,941    127,122    131,003  
      Operating earnings (1)   $379,258   $336,928   $330,799   $343,717   $335,969  
PER SHARE DATA BASED ON  
    OPERATING EARNINGS  
    Basic earnings   $.69   $.71   $.70   $.72   $.70  
    Diluted earnings    .68    .71    .70    .72    .70  
    Dividends paid on common shares    .32    .29    .29    .29    .29  
    Book value per share   $18.61   $16.32   $16.05   $15.70   $15.68  
PERFORMANCE RATIOS BASED ON  
    OPERATING EARNINGS  
    Return on average assets    1.66  %  1.67  %  1.69  %  1.74  %  1.72  %
    Return on average equity    14.73    17.45    17.94    18.32    18.09  
    Net yield on earning assets (taxable equivalent)    4.17    4.06    4.13    4.22    4.25  
    Efficiency ratio (taxable equivalent) (2)    53.0    52.0    51.6    51.4    49.6  
    Noninterest income as a percentage of                                  
      total income (taxable equivalent) (2)    37.3    38.2    37.4    37.0    34.4  
    Equity as a percentage of total assets  
      end of period    11.3    9.6    9.5    9.2    9.6  
    Average earning assets as a percentage of                                  
      average total assets    87.6    89.3    89.2    89.5    89.8  
    Average loans & leases as a percentage of  
      average deposits    99.4    102.9    104.1    105.5    102.1  
CASH BASIS PERFORMANCE BASED ON  
    OPERATING EARNINGS (1) (3)  
    Cash basis operating earnings   $395,987   $341,080   $334,919   $345,564   $340,261  
    Diluted earnings per share    .71    .72    .71    .72    .71  
    Return on average tangible assets       1.81  %   1.73  %  1.76  %  1.79  %  1.78  %
    Return on average tangible equity    25.62    23.38    24.26    24.58    23.72  
    Efficiency ratio (taxable equivalent) (2)    51.2    51.4    51.0    51.1    49.0  
NOTES:   Applicable ratios are annualized.
  (1) Operating income statements exclude the effect of merger-related and other nonrecurring charges. These charges totaled $263.4 million, $20.7 million, $3.1 million, $6.5 million, and $7.8 million, net of tax, for the quarters ended September 30, 2003, June 30, 2003, March 31, 2003, December 31, 2002 and September 30, 2002, respectively. See Reconciliation Tables included herein.
  (2) Excludes securities gains (losses), foreclosed property expense, provisions for or the recaptures of the impairment of mortgage servicing rights, gains or losses on mortgage banking-related derivatives, merger-related charges and other nonrecurring charges. See Reconciliation Tables included herein.
  (3) Cash basis performance information excludes the effect on earnings of amortization expense applicable to intangible assets, the unamortized balances of intangibles from assets and equity and net amortization of purchase accounting mark-to-market adjustments. See Reconciliation Tables included herein.



QUARTERLY PERFORMANCE SUMMARY   Tom A. Nicholson    
BB&T Corporation (NYSE:BBT)  Senior Vice President  (336) 733-3058  
Page 9  Investor Relations  FAX (336) 733-3132  

As of / For the Quarter Ended
(Dollars in thousands) 9/30/03 6/30/03 3/31/03 12/31/02 9/30/02
SELECTED BALANCE SHEET DATA
    End of period balances                        
    Securities available for sale   $16,032,688   $16,030,474   $16,721,662   $17,599,477   $16,416,181  
    Securities held to maturity    57,076    55,099    57,489    55,523    51,401  
    Trading securities    710,387    180,711    172,789    148,488    121,525  
      Total securities    16,800,151    16,266,284    16,951,940    17,803,488    16,589,107  
    Commercial loans & leases    30,939,186    29,418,569    29,331,744    29,054,232    28,955,027  
    Consumer loans    17,955,999    13,097,987    12,865,697    12,811,120    12,708,072  
    Revolving credit loans    1,111,208    1,059,313    1,037,135    1,050,738    1,010,860  
    Mortgage loans    11,166,084    11,368,328    10,542,311    10,601,923    10,390,742  
      Total loans & leases    61,172,477    54,944,197    53,776,887    53,518,013    53,064,701  
    Allowance for loan & lease losses    791,527    719,576    716,276    723,685    723,688  
    Other earning assets    603,425    533,478    435,066    442,570    518,476  
      Total earning assets    78,410,936    71,351,630    70,709,082    71,227,929    69,629,079  
      Total assets    90,355,131    80,444,806    79,647,890    80,216,816    78,186,831  
    Noninterest-bearing deposits    10,909,953    9,238,605    8,614,360    7,864,338    7,967,366  
    Savings & interest checking    4,217,404    2,946,606    3,076,491    3,071,551    2,970,575  
    Money rate savings    20,231,596    16,608,916    16,388,917    17,188,942    15,636,969  
    CDs and other time deposits    25,936,345    23,561,639    23,161,261    23,155,185    23,236,561  
      Total deposits    61,295,298    52,355,766    51,241,029    51,280,016    49,811,471  
    Short-term borrowed funds    6,294,995    4,627,801    4,229,003    5,396,959    4,797,992  
    Long-term debt    9,837,910    12,831,350    13,565,934    13,587,841    13,384,826  
      Total interest-bearing liabilities    66,518,250    60,576,312    60,421,606    62,400,478    60,026,923  
      Total shareholders' equity    10,214,832    7,703,424    7,561,078    7,387,914    7,534,817  
    Goodwill    3,642,068    1,714,938    1,737,617    1,723,379    1,698,563  
    Core deposit & other intangibles    422,716    152,054    146,145    148,824    138,616  
      Total intangibles    4,064,784    1,866,992    1,883,762    1,872,203    1,837,179  
      Mortgage servicing rights   $327,376   $220,300   $313,805   $318,839   $280,821  
    Average balances  
    Securities, at amortized cost   $17,423,216   $17,432,923   $16,428,321   $16,103,478   $17,574,918  
    Commercial loans & leases    30,840,905    29,331,495    29,100,165    28,916,175    28,550,713  
    Consumer loans    17,798,918    12,972,732    12,798,003    12,771,340    12,557,457  
    Revolving credit loans    1,099,648    1,044,083    1,038,444    1,020,357    997,863  
    Mortgage loans    11,780,172    11,032,165    10,772,525    10,898,394    9,522,243  
      Total loans & leases    61,519,643    54,380,475    53,709,137    53,606,266    51,628,276  
    Allowance for loan & lease losses    792,914    720,432    729,456    731,126    716,160  
    Other earning assets    633,744    514,879    452,010    488,991    456,474  
      Total earning assets    79,576,603    72,328,277    70,589,468    70,198,735    69,659,668  
      Total assets    90,845,816    81,012,962    79,154,304    78,428,911    77,571,231  
    Noninterest-bearing deposits    10,973,849    8,326,827    7,687,410    7,753,037    7,383,310  
    Savings & interest checking    4,535,667    3,303,608    3,375,038    3,331,195    3,350,476  
    Money rate savings    20,029,818    16,406,576    16,228,100    15,821,819    15,110,502  
    CDs and other time deposits    26,350,439    24,824,328    24,322,564    23,892,511    24,708,799  
      Total deposits    61,889,773    52,861,339    51,613,112    50,798,562    50,553,087  
    Short-term borrowed funds    5,763,994    4,744,761    4,019,301    4,626,091    5,245,126  
    Long-term debt    10,205,592    13,173,214    13,582,346    13,344,191    12,313,297  
      Total interest-bearing liabilities    66,885,510    62,452,487    61,527,349    61,015,807    60,728,200  
      Total shareholders' equity   $10,215,142   $7,745,395   $7,477,149   $7,444,431   $7,370,304  
SELECTED CAPITAL INFORMATION (1)  
    Risk-based capital:  
      Tier 1   $6,268,371   $5,684,767   $5,497,767   $5,290,310   $5,523,128  
      Total    8,677,092    8,022,774    7,946,913    7,741,048    7,714,898  
    Risk-weighted assets    66,040,313    58,324,722    57,651,703    57,701,308    56,973,337  
    Average quarterly tangible assets    86,822,373    78,631,225    76,718,630    76,209,580    75,364,440  
    Risk-based capital ratios:  
      Tier 1    9.49  %  9.75  %  9.54  %  9.17  %  9.69  %
      Total    13.14    13.76    13.78    13.42    13.54  
    Leverage capital ratio    7.22    7.23    7.17    6.94    7.33  
    Equity as a percentage of total assets    11.3    9.6    9.5    9.2    9.6  
    Book value per share   $18.61   $16.32   $16.05   $15.70   $15.68  
NOTES:   All items referring to loans & leases include loans held for sale & are net of unearned income.
  (1) Current quarter risk-based capital information is preliminary.



QUARTERLY PERFORMANCE SUMMARY   Tom A. Nicholson    
BB&T Corporation (NYSE:BBT)  Senior Vice President  (336) 733-3058  
Page 10  Investor Relations  FAX (336) 733-3132  

As of / For the Quarter Ended
(Dollars in thousands) 9/30/03 6/30/03 3/31/03 12/31/02 9/30/02
ASSET QUALITY ANALYSIS
Allowance For Loan & Lease Losses                        
  Beginning balance   $719,576   $716,276   $723,685   $723,688   $706,446  
  Allowance for acquired loans, net    68,768    --    1,267    (16,075 )  16,861  
  Reclassification of allowance related                                  
    to unfunded commitments    --    --    (8,986 )  --    --  
  Provision for loan & lease losses    65,000    61,500    63,000    84,700    64,000  
    Charge-offs    (74,753 )  (76,815 )  (76,867 )  (83,067 )  (77,732 )
    Recoveries    12,936    18,615    14,177    14,439    14,113  
  Net charge-offs    (61,817 )  (58,200 )  (62,690 )  (68,628 )  (63,619 )
    Ending balance   $791,527   $719,576   $716,276   $723,685   $723,688  
Nonperforming Assets  
  Nonaccrual loans & leases   $355,420   $363,524   $392,701   $374,842   $358,823  
  Foreclosed real estate    70,178    64,347    60,110    55,448    46,378  
  Other foreclosed property    20,902    17,575    21,714    21,199    17,712  
  Restructured loans    613    145    175    175    2,358  
    Nonperforming assets   $447,113   $445,591   $474,700   $451,664   $425,271  
  Loans 90 days or more past due  
    & still accruing   $121,907   $97,479   $93,609   $115,047   $100,147  
  Loans 90 days or more past due & still accruing                                  
    as a percentage of total loans and leases    .20  %  .18  %  .17  %  .21  %  .19  %
Asset Quality Ratios  
  Nonaccrual and restructured loans & leases                                  
    as a percentage of total loans & leases    .58  %  .66  %  .73  %  .70  %  .68  %
  Nonperforming assets as a percentage of:  
    Total assets    .49    .55    .60    .56    .54  
    Loans & leases plus                                  
      foreclosed property    .73    .81    .88    .84    .80  
  Net charge-offs as a percentage of  
    average loans & leases    .40    .43    .47    .51    .49  
  Net charge-offs excluding specialized                                  
    lending as a percentage of average                                  
    loans & leases (1)    .30    .31    .35    .40    .39  
  Allowance for loan & lease losses as  
    a percentage of loans & leases    1.29    1.31    1.33    1.35    1.36  
  Allowance for loan & lease losses as                                  
    a percentage of loans & leases                                  
    held for investment    1.32    1.39    1.39    1.42    1.42  
  Ratio of allowance for loan & lease losses to:  
    Net charge-offs    3.23  x  3.08  x  2.82  x  2.66  x  2.87  x
    Nonaccrual and restructured loans & leases    2.22    1.98    1.82    1.93    2.00  

As of / For the Nine Months Ended Increase (Decrease)
9/30/03 9/30/02 $ %
Allowance For Loan & Lease Losses                    
  Beginning balance   $723,685   $644,418   $79,267    12.3  %
  Allowance for acquired loans, net    70,035    78,174    (8,139 )  NM  
  Reclassification of allowance related                            
    to unfunded commitments    (8,986 )  --    (8,986 )  NM  
  Provision for loan & lease losses    189,500    179,000    10,500    5.9  
    Charge-offs    (228,435 )  (214,082 )  (14,353 )  (6.7 )
    Recoveries    45,728    36,178    9,550    26.4  
  Net charge-offs    (182,707 )  (177,904 )  (4,803 )  (2.7 )
    Ending balance   $791,527   $723,688   $67,839    9.4  %
Asset Quality Ratios  
  Net charge-offs as a percentage of                            
    average loans & leases    .43  %  .48  %          
  Net charge-offs excluding specialized  
    lending as a percentage of average  
    loans & leases (1)    .32    .38            
  Ratio of allowance for loan & lease losses to                            
    net charge-offs    3.24  x  3.04  x          

For the Quarter Ended
9/30/03 6/30/03 3/31/03 12/31/02 9/30/02
ANNUALIZED INTEREST YIELDS / RATES (2)
Interest income:                        
Securities & other       4.28  %   4.92  %   5.38  %   5.76  %   5.98  %
Loans & leases    6.02    6.29    6.46    6.67    6.91  
  Total earning assets    5.62    5.95    6.20    6.45    6.67  
Interest expense:  
Interest-bearing deposits    1.43    1.73    1.92    2.13    2.34  
Short-term borrowed funds    .99    1.29    1.36    1.61    1.83  
Long-term debt    3.60    4.04    4.16    4.33    4.73  
  Total interest-bearing liabilities    1.73    2.19    2.38    2.57    2.78  
Net yield on earning assets    4.17  %  4.06  %  4.13  %  4.22  %  4.25  %
NOTES:   All items referring to loans & leases include loans held for sale & are net of unearned income. Applicable ratios are annualized.
  (1) Excludes net charge-offs and average loans from BB&T's specialized lending subsidiaries.
  (2) Fully taxable equivalent yields. Securities yields calculated based on amortized cost.
  NM - not meaningful.



QUARTERLY PERFORMANCE SUMMARY   Tom A. Nicholson    
BB&T Corporation (NYSE:BBT)  Senior Vice President  (336) 733-3058  
Page 11  Investor Relations  FAX (336) 733-3132  

For the Three Months Ended Increase (Decrease)
(Dollars in thousands) 9/30/03 9/30/02 $ %
SELECTED BALANCES ADJUSTED FOR PURCHASE ACQUISITIONS (1)
    Average Balances                    
    Commercial loans & leases   $30,840,905   $30,289,886   $551,019    1.8  %
    Consumer loans    17,798,918    17,368,224    430,694    2.5  
    Revolving credit loans    1,099,648    1,030,985    68,663    6.7  
    Mortgage loans    11,780,172    10,570,524    1,209,648    11.4  
      Total loans & leases    61,519,643    59,259,619    2,260,024    3.8  
    Noninterest-bearing deposits    10,973,849    9,386,072    1,587,777    16.9  
    Interest-bearing transaction accounts    8,999,955    8,018,866    981,089    12.2  
    CDs and other time deposits    26,350,439    28,102,647    (1,752,208 )  (6.2 )
    Other deposits    15,565,530    15,042,422    523,108    3.5  
      Total deposits   $61,889,773   $60,550,007   $1,339,766    2.2  %
SELECTED INCOME STATEMENT ITEMS BASED ON  
    OPERATING EARNINGS ADJUSTED FOR PURCHASE ACQUISITIONS (1)  
      Net interest income - taxable equivalent   $838,985   $877,173   $(38,188 )  (4.4 ) %
      Noninterest income  
    Service charges on deposits    121,981    123,317    (1,336 )  (1.1 )
    Mortgage banking income (2)    117,463    (85,548 )  203,011    NM  
    Investment banking & brokerage fees & commissions    65,306    48,629    16,677    34.3  
    Trust revenue    31,871    31,664    207    0.7  
    Insurance commissions    106,576    92,662    13,914    15.0  
    Other nondeposit fees & commissions    73,312    61,485    11,827    19.2  
    Securities gains (losses), net (2)    (29,127 )  135,519    (164,646 )  NM  
    Other income    26,633    33,359    (6,726 )  (20.2 )
      Total noninterest income    514,015    441,087    72,928    16.5  
      Noninterest expense  
    Personnel expense    413,561    381,319    32,242    8.5  
    Occupancy & equipment expense    97,504    100,646    (3,142 )  (3.1 )
    Other noninterest expense    201,263    193,130    8,133    4.2  
      Total noninterest expense   $712,328   $675,095   $37,233    5.5  %

For the Three Months Ended Increase (Decrease)
(Dollars in thousands) 9/30/03 6/30/03 $ %
SELECTED BALANCES ADJUSTED FOR PURCHASE ACQUISITIONS (1)
    Average Balances                    
    Commercial loans & leases    $30,840,905   $30,774,962   $65,943    0.9  %
    Consumer loans    17,798,918    17,585,796    213,122    4.8  
    Revolving credit loans    1,099,648    1,077,749    21,899    8.1  
    Mortgage loans    11,780,172    11,128,065    652,107    23.2  
      Total loans & leases    61,519,643    60,566,572    953,071    6.2  
    Noninterest-bearing deposits    10,973,849    10,462,773    511,076    19.4  
    Interest-bearing transaction accounts    8,999,955    8,857,599    142,356    6.4  
    CDs and other time deposits    26,350,439    27,457,088    (1,106,649 )  (16.0 )
    Other deposits    15,565,530    15,434,252    131,278    3.4  
      Total deposits   $61,889,773   $62,211,712   $(321,939 )  (2.1 )%
SELECTED INCOME STATEMENT ITEMS BASED ON OPERATING  
    EARNINGS ADJUSTED FOR PURCHASE ACQUISITIONS (1)  
      Net interest income - taxable equivalent   $838,985   $848,426   $(9,441 )  (4.4 ) %
      Noninterest income  
    Service charges on deposits    121,981    115,330    6,651    22.9  
    Mortgage banking income (2)    117,463    (32,581 )  150,044    NM  
    Investment banking & brokerage fees & commissions    65,306    60,581    4,725    30.9  
    Trust revenue    31,871    29,941    1,930    25.6  
    Insurance commissions    106,576    110,155    (3,579 )  (12.9 )
    Other nondeposit fees & commissions    73,312    68,472    4,840    28.0  
    Securities gains (losses), net (2)    (29,127 )  109,523    (138,650 )  NM  
    Other income    26,633    40,289    (13,656 )  (134.5 )
      Total noninterest income    514,015    501,710    12,305    9.7  
      Noninterest expense  
    Personnel expense    413,561    422,087    (8,526 )  (8.0 )
    Occupancy & equipment expense    97,504    98,284    (780 )  (3.1 )
    Other noninterest expense    201,263    189,585    11,678    24.4  
      Total noninterest expense   $712,328   $709,956   $2,372    1.3  %
NOTES:   Applicable growth rates are annualized.
  (1) Amounts adjusted to exclude growth that resulted from the timing of acquisitions during 2003 and 2002.
  (2) Mortgage banking income includes a recapture of $88.9 million for the three months ended September 30, 2003, and provisions for the impairment of mortgage servicing rights totaling $109.3 million, $36.9 million and $130.8 million for the three months ended June 30, 2003, March 31, 2003 and September 30, 2002, respectively. The recapture is substantially offset by mark-to-market adjustments on mortgage banking-related derivatives and net securities losses. The provisions for impairment are substantially offset by net securities gains.
  NM - not meaningful.



QUARTERLY PERFORMANCE SUMMARY   Tom A. Nicholson    
BB&T Corporation (NYSE:BBT)  Senior Vice President  (336) 733-3058  
Page 12  Investor Relations  FAX (336) 733-3132  

For the Nine Months Ended Increase (Decrease)
(Dollars in thousands) 9/30/03 9/30/02 $ %
SELECTED BALANCES ADJUSTED FOR PURCHASE ACQUISITIONS (1)
    Average Balances                    
    Commercial loans & leases   $30,752,712   $30,083,047   $669,665    2.2  %
    Consumer loans    17,622,915    17,075,633    547,282    3.2  
    Revolving credit loans    1,083,429    1,009,175    74,254    7.4  
    Mortgage loans    11,306,417    10,581,214    725,203    6.9  
      Total loans & leases    60,765,473    58,749,069    2,016,404    3.4  
    Noninterest-bearing deposits    10,394,969    9,087,048    1,307,921    14.4  
    Interest-bearing transaction accounts    10,085,249    7,891,108    2,194,141    27.8  
    CDs and other time deposits    26,976,662    27,704,559    (727,897 )  (2.6 )
    Other deposits    14,242,082    14,881,399    (639,317 )  (4.3 )
      Total deposits   $61,698,962   $59,564,114   $2,134,848    3.6  %
SELECTED INCOME STATEMENT ITEMS BASED ON  
    OPERATING EARNINGS ADJUSTED FOR PURCHASE ACQUISITIONS (1)  
      Net interest income - taxable equivalent   $2,528,914   $2,596,837   $(67,923 )  (2.6 ) %
      Noninterest income  
    Service charges on deposits    352,426    356,761    (4,335 )  (1.2 )
    Mortgage banking income (2)    145,085    (17,144 )  162,229    NM  
    Investment banking & brokerage fees & commissions    178,257    159,226    19,031    12.0  
    Trust revenue    91,430    94,035    (2,605 )  (2.8 )
    Insurance commissions    314,688    274,826    39,862    14.5  
    Other nondeposit fees & commissions    205,019    174,460    30,559    17.5  
    Securities gains (losses), net (2)    120,437    168,705    (48,268 )  (28.6 )
    Other income    99,194    98,132    1,062    1.1  
      Total noninterest income    1,506,536    1,309,001    197,535    15.1  
      Noninterest expense  
    Personnel expense    1,242,593    1,151,460    91,133    7.9  
    Occupancy & equipment expense    297,183    304,357    (7,174 )  (2.4 )
    Other noninterest expense    571,285    543,407    27,878    5.1  
      Total noninterest expense   $2,111,061   $1,999,224   $111,837    5.6  %

For the Three Months Ended
(Dollars in thousands, except per share data) 9/30/03 6/30/03 3/31/03 12/31/02 9/30/02
RECONCILIATION TABLE
Net income     $ 115,891   $ 316,237   $ 327,748   $ 337,255   $ 328,157  
  Merger-related charges, net of tax    14,829    6,998    3,051    6,462    7,812  
  Other, net of tax (5)    248,538    13,693    --    --    --  
Operating earnings    379,258    336,928    330,799    343,717    335,969  
  Amortization of intangibles, net of tax    12,804    4,152    4,120    1,847    4,292  
  Amortization of mark-to-market adjustments, net of tax    3,925    --    --    --    --  
Cash basis operating earnings    395,987    341,080    334,919    345,564    340,261  
Return on average assets    .51  %  1.57  %  1.68  %  1.71  %  1.68  %
  Effect of merger-related charges, net of tax    .06    .03    .01    .03    .04  
  Effect of other, net of tax (5)    1.09    .07    --    --    --  
Operating return on average assets    1.66    1.67    1.69    1.74    1.72  
  Effect of amortization of intangibles, net of tax (4)    .13    .06    .07    .05    .06  
  Effect of amortization of mark-to-market adjustments, net    .02    --    --    --    --  
Cash basis operating return on average  
   tangible assets    1.81    1.73    1.76    1.79    1.78  
Return on average equity    4.50  %  16.38  %  17.78  %  17.97  %  17.66  %
  Effect of merger-related charges, net of tax    .58    .36    .16    .35    .43  
  Effect of other, net of tax (5)    9.65    .71    --    --    --  
Operating return on average equity    14.73    17.45    17.94    18.32    18.09  
  Effect of amortization of intangibles, net of tax (4)    10.64    5.93    6.32    6.26    5.63  
  Effect of amortization of mark-to-market adjustments, net    .25    --    --    --    --  
Cash basis operating return on average                                  
  tangible equity    25.62    23.38    24.26    24.58    2.72  
Efficiency ratio (taxable equivalent) (3)    83.7  %  54.7  %  52.0  %  52.3  %  50.8  %
  Effect of merger-related charges    (1.7 )  (.9 )  (.4 )  (.9 )  (1.2 )
  Effect of other (5)    (29.0 )  (1.8 )  --    --    --  
Operating efficiency ratio (3)    53.0    52.0    51.6    51.4    49.6  
  Effect of amortization of intangibles    (1.6 )  (.6 )  (.6 )  (.3 )  (.6 )
  Effect of amortization of mark-to-market adjustments    (.2 )  --    --    --    --  
Cash basis operating efficiency ratio (3)    51.2    51.4    51.0    51.1    49.0  
Basic earnings per share   $.21   $.67   $.70   $.71   $.69  
  Effect of merger-related charges, net of tax    .03    .01    --    .01    .01  
  Effect of other, net of tax (5)    .45    .03    --    --    --  
Operating basic earnings per share    .69    .71    .70    .72    .70  
Diluted earnings per share   $.21   $.67   $.69   $.70   $.68  
  Effect of merger-related charges, net of tax    .03    .01    .01    .02    .02  
  Effect of other, net of tax (5)    .44    .03    --    --    --  
Operating diluted earnings per share    .68    .71    .70    .72    .70  
  Effect of amortization of intangibles, net of tax    .03    .01    .01    --    .01  
  Effect of amortization of mark-to-market adjustments, net    --    --    --    --    --  
Cash basis operating diluted earnings per share    .71    .72    .71    .72    .71  
NOTE: See Page 13 for footnote explanations.



QUARTERLY PERFORMANCE SUMMARY   Tom A. Nicholson    
BB&T Corporation (NYSE:BBT)  Senior Vice President  (336) 733-3058  
Page 13  Investor Relations  FAX (336) 733-3132  

For the Nine Months Ended
(Dollars in thousands, except per share data) 9/30/03 9/30/02
RECONCILIATION TABLE
Net income     $ 759,876   $ 965,754  
  Merger-related charges, net of tax    24,878    18,244  
  Other, net of tax (5)    262,231    (9,780 )
Operating earnings    1,046,985    974,218  
  Amortization of intangibles, net of tax    21,076    10,893  
  Amortization of mark-to-market adjustments, net of tax    3,925    --  
Cash basis operating earnings    1,071,986    985,111  
Return on average assets    1.21  %  1.72  %
  Effect of merger-related charges, net of tax    .04    .03  
  Effect of other, net of tax (5)    .42    (.01 )
Operating return on average assets    1.67    1.74  
  Effect of amortization of intangibles, net of tax (4)    .09    .05  
  Effect of amortization of mark-to-market adjustments, net of tax    .01    --  
Cash basis operating return on average tangible assets    1.77    1.79  
Return on average equity    11.97  %  18.44  %
  Effect of merger-related charges, net of tax    .39    .35  
  Effect of other, net of tax (5)    4.13    (.19 )
Operating return on average equity    16.49    18.60  
  Effect of amortization of intangibles, net of tax (4)    7.87    5.11  
  Effect of amortization of mark-to-market adjustments, net of tax    .09    --  
Cash basis operating return on average tangible equity    24.45    23.71  
Efficiency ratio (taxable equivalent) (3)    64.4  %  50.5  %
  Effect of merger-related charges    (1.1 )  (.8 )
  Effect of other (5)    (11.1 )  .1  
Operating efficiency ratio (3)    52.2    49.8  
  Effect of amortization of intangibles    (.9 )  (.5 )
  Effect of amortization of mark-to-market adjustments    (.1 )  --  
Cash basis operating efficiency ratio (3)    51.2    49.3  
Fee income ratio (3)    37.6  %  34.5  %
  Effect of other (5)    --    (.2 )
Operating fee income ratio (3)    37.6    34.3  
Basic earnings per share   $1.53   $2.04  
  Effect of merger-related charges, net of tax    .05    .04  
  Effect of other, net of tax (5)    .52    (.02 )
Operating basic earnings per share    2.10    2.06  
Diluted earnings per share   $1.51   $2.02  
  Effect of merger-related charges, net of tax    .05    .04  
  Effect of other, net of tax (5)    .53    (.02 )
Operating diluted earnings per share    2.09    2.04  
  Effect of amortization of intangibles, net of tax    .04    .02  
  Effect of amortization of mark-to-market adjustments, net of tax    .01    --  
Cash basis operating diluted earnings per share    2.14    2.06  

NOTES:   Applicable ratios are annualized.
  (1) Amounts adjusted to exclude growth that resulted from the timing of acquisitions during 2003 and 2002.
  (2) Mortgage banking income includes net provisions for the impairment of mortgage servicing rights totaling $57.3 million and $156.4 million for the nine months ended September 30, 2003 and 2002, respectively. These provisions are substantially offset by net securities gains.
  (3) Excludes securities gains (losses), foreclosed property expense, provisions for or recaptures of the impairment of mortgage servicing rights, and gains or losses on mortgage banking-related derivatives. Operating and cash basis ratios also exclude merger-related and other nonrecurring charges.
  (4) Reflects the effect of excluding intangible assets from average assets and average equity to calculate cash basis ratios.
  (5) Reflects nonrecurring contributions made by an affiliated trust totaling $13.7 million and a loss on early extinguishment of debt totaling $248.5 million in 2003, and a $9.8 million gain resulting from the cumulative effect of adopting a new accounting standard in 2002.
  NM - not meaningful.

S  I  G  N  A  T  U  R  E

     Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

                                                                                BB&T CORPORATION
                                                                                (Registrant)

                                                                                By: /S/ EDWARD D. VEST

                                                                                Edward D. Vest
                                                                                Senior Vice President and Controller
                                                                                (Principal Accounting Officer)

Date:       October 14, 2003