Quarterly Performance Summary issued January 13, 2004

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

January 13, 2004

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 14 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 fourth quarter 2003 earnings release.

EXHIBIT INDEX

Exhibit 99.1 Quarterly Performance Summary issued January 13, 2004

January 13, 2004

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 posts record operating results for 2003;
operating earnings up 9.6% in the fourth quarter

Merger charges and nonrecurring items cause 9.6% decrease in net income

          WINSTON-SALEM, N.C. — BB&T Corporation (NYSE: BBT) today reported earnings for the fourth quarter and the full year 2003. For the fourth quarter, net income totaled $305.0 million, or $.55 per diluted share. These results reflect decreases of 9.6% and 21.4%, respectively, compared with $337.3 million and $.70 per diluted share earned during the fourth quarter of 2002. The current period performance was negatively affected by merger-related expenses principally associated with the acquisition of First Virginia Banks, Inc., and a one-time charge related to deferred income taxes associated with BB&T’s leasing operations, which collectively totaled $71.8 million on an after-tax basis.

          Excluding the effects of the merger-related expenses and the one-time charge, operating earnings totaled $376.8 million for the fourth quarter of 2003, an increase of 9.6% compared to 2002. Diluted operating earnings per share for the fourth quarter were $.69, a decrease of 4.2% compared with $.72 earned during the same period last year.

          BB&T’s fourth quarter 2003 net income produced annualized returns on average assets and average shareholders’ equity of 1.34% and 11.98%, respectively. On an operating basis, the annualized returns on average assets and average shareholders’ equity were 1.66% and 14.80%, respectively.

MORE




          Cash basis operating results exclude the effects of intangible assets and related amortization expenses, net amortization of purchase accounting mark-to-market adjustments, merger-related charges and nonrecurring items. Cash basis operating earnings totaled $393.6 million for the fourth quarter of 2003, an increase of 13.9% compared to the fourth quarter of 2002. Fourth quarter cash basis diluted earnings per share were $.72, equal to the amount earned in the fourth quarter last year.

          Cash basis operating earnings for the fourth quarter of 2003 produced an annualized return on average tangible assets of 1.81% and an annualized return on average tangible shareholders’ equity of 25.84%.

          For the full year 2003, net income totaled $1.1 billion, or $2.07 per diluted share. These results reflect decreases of 18.3% and 23.9%, respectively, compared to 2002. Excluding merger-related charges and nonrecurring items, operating earnings for 2003 totaled $1.4 billion, an increase of 8.0% compared with the prior year, and operating earnings per diluted share were $2.77, an increase of 0.7% compared to 2002.

          “BB&T realized many significant accomplishments during 2003,” said Chairman and Chief Executive Officer John A. Allison. “We have made a number of important investments for the future, particularly our acquisition of First Virginia, the largest bank merger in our history, our pending acquisition of McGriff, Seibels & Williams, the largest insurance acquisition in our history, and our pending merger with Republic Bancshares, which will greatly enhance our franchise in Florida.

          “While we are reasonably pleased with our overall performance for 2003 and confident about our opportunities for the future, slow commercial loan demand in our core markets and the integration of recent acquisitions have slowed the pace of our earnings growth and will continue to do so into 2004,” said Allison. “Based on current internal forecasts, we project diluted operating earnings per share in the range of $2.85 to $2.95 for 2004, which equates to a range of $2.99 to $3.09 on a cash basis.” Calculated on a basis consistent with generally accepted accounting principles, management projects net income per diluted share for 2004 in the range of $2.81 to $2.91.

BB&T Again Named Nation’s #1 Small Business Lender

          For the fourth time in six years, the U.S. Small Business Administration has named BB&T the nation’s top “small business-friendly” lender. The annual ranking recognizes the financial institution from which small businesses were most successful in obtaining loans, and is an important measure of how well banks are meeting the credit needs of small businesses.

Noninterest Expenses Decrease Significantly

          BB&T’s noninterest expenses totaled $682.7 million in the fourth quarter of 2003 excluding $51.5 million in merger-related charges. Compared to the third quarter of 2003, noninterest expenses decreased 15.2% at an annualized rate excluding acquisitions. This decrease reflects initial cost savings and efficiencies from the recently completed acquisition of First Virginia as well as lower personnel costs resulting from slowed mortgage banking activity. Compared to the fourth quarter of 2002, noninterest expenses decreased 4.0% excluding the impact of acquisitions.

MORE




BB&T’s Noninterest Income Benefits from Solid Performances in Major Business Lines

          BB&T’s noninterest income generating businesses continued to experience overall growth despite a substantial decrease in income from mortgage banking. Total noninterest income was $471.0 million for the quarter, an increase of 3.2% compared with the same period in 2002. This increase was produced by solid growth from insurance commissions, investment banking and brokerage fees and commissions, fees from deposit-related services and other nondeposit fees and commissions.

          The growth in BB&T’s insurance agency network and insurance brokerage operations remained particularly strong with commissions increasing 16.5% to $102.1 million compared with $87.6 million earned during the fourth quarter of 2002. The growth in commission revenue resulted from both acquisitions and strong internal growth.

          BB&T’s investment banking and brokerage fees and commissions totaled $68.1 million for the fourth quarter of 2003, an increase of 26.6% compared to the $53.7 million earned in the fourth quarter last year. The increase resulted primarily because of growth in brokerage commissions and revenues from sales of annuities.

          Income from service charges on deposits totaled $122.1 million during the fourth quarter of 2003, an increase of 15.5% compared to the $105.7 million earned in the fourth quarter of 2002. BB&T’s total number of transaction accounts increased 26.1% during 2003, partially because of acquisitions, creating the increase in service charge income.

          Other nondeposit fees and commissions increased 26.6% to $73.6 million in the fourth quarter compared with the same quarter last year. This growth resulted primarily from higher bankcard income, which increased 25.5%, and fees from electronic payment services.

Asset Quality Remains Strong

          BB&T’s credit quality continued to improve during the fourth quarter and remains very strong. Nonperforming assets as a percentage of total assets were .49% at Dec. 31, 2003, equal to the ratio at Sept. 30, 2003, but down from .56% at Dec. 31, 2002. Annualized net charge-offs were .42% of average loans and leases for the fourth quarter of 2003, down from .51% in the fourth quarter of 2002. Excluding losses at BB&T’s specialized lending subsidiaries, annualized net charge-offs for the current quarter were .31% of average loans and leases compared to .40% for the same period in 2002. For the full year 2003, net charge-offs were .43% of average loans and leases, down from .48% in 2002.

BB&T Expands in Fast-Growing Markets and Profitable Business Lines

          On Oct. 13, 2003, BB&T successfully completed the systems conversion of the eight subsidiary banks acquired through the merger with First Virginia Banks, Inc., and on Oct. 14, 2003, more than 300 banking offices of the former First Virginia opened as BB&T branches. The acquisition of First Virginia substantially increased BB&T's market share in many of the most economically attractive markets in Virginia, Maryland, Washington, D.C., and Tennessee.

MORE




          On Dec. 2, 2003, BB&T announced plans to acquire Republic Bancshares Inc. ("Republic"), headquartered in St. Petersburg, Fla. Republic has $2.8 billion in assets and operates 71 banking offices along the Gulf Coast and in central and southern Florida, including key markets in Tampa, Clearwater, Orlando, West Palm Beach, Boca Raton and Fort Lauderdale. The merger would be BB&T's second in Florida following the acquisition of Regional Financial Corp. in Sept. 2002. These acquisitions represent the initial steps in BB&T's plans to expand and build a strong presence in Florida, one of America's fastest growing and economically dynamic states.

          On Nov. 11, 2003, BB&T Insurance Services announced plans to acquire McGriff, Seibels & Williams Inc. (“MSW”) of Birmingham, Ala., the largest privately held commercial insurance broker headquartered in the Southeast and the second largest in the United States. MSW specializes in large commercial and energy accounts, including many Fortune 500 companies, and its areas of expertise include energy and marine, financial services, commercial, construction, surety, employee benefits, healthcare and public entities. The acquisition of MSW will complement and diversify BB&T’s insurance operations and is expected to substantially increase BB&T’s revenues from insurance operations. Following the completion of this acquisition, which is expected in the first quarter of 2004, BB&T Insurance Services will be the sixth largest insurance broker in the nation.

          “Given the economic challenges of the last two years, we felt it was very important to expand and diversify our company to prepare for the future,” said Allison. “The acquisition of these companies will provide tremendous opportunities for growth and enhanced profitability as we integrate our products and sales system throughout the excellent First Virginia and Republic markets and utilize the national insurance presence provided through the McGriff acquisition.”

          At Dec. 31, 2003, BB&T had $90.5 billion in assets and operated more than 1,350 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 Jan.12 was $37.79 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 fourth quarter 2003 earnings conference call at 10:30 a.m. (EST) 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. (EST) Jan. 23.

#

          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)
(Dollars in thousands, except per share data) 12/31/03 12/31/02 $ %
OPERATING EARNINGS STATEMENTS (1)
     Interest income - taxable equivalent     $ 1,114,140   $ 1,138,023   $ (23,883 )   (2.1 ) %
     Interest expense    275,864    395,151    (119,287 )  (30.2 )
       Net interest income - taxable equivalent    838,276    742,872    95,404    12.8  
     Less: Taxable equivalent adjustment    26,600    34,801    (8,201 )  (23.6 )
       Net interest income    811,676    708,071    103,605    14.6  
     Provision for loan & lease losses    58,500    84,700    (26,200 )  (30.9 )
       Net interest income after provision for loan & lease losses    753,176    623,371    129,805    20.8  
     Noninterest income (2)    471,015    456,621    14,394    3.2  
     Noninterest expense (3)    682,685    609,153    73,532    12.1  
     Operating earnings before income taxes    541,506    470,839    70,667    15.0  
     Provision for income taxes    164,657    127,122    37,535    29.5  
       Operating earnings (1)   $ 376,849   $ 343,717   $ 33,132     9.6  %
PER SHARE DATA BASED ON OPERATING EARNINGS  
     Basic earnings   $ .69   $ .72   $ (.03 )  (4.2 ) %
     Diluted earnings    .69    .72    (.03 )  (4.2 )
     Weighted average shares -               Basic    544,871,908    474,905,234  
                                                           Diluted      549,858,403    480,065,651  
     Dividends paid on common shares   $.32   $.29   $.03     10.3  %
PERFORMANCE RATIOS BASED ON OPERATING EARNINGS  
     Return on average assets       1.66  %   1.74  %            
     Return on average equity       14.80     18.32  
     Net yield on earning assets (taxable equivalent)(4)       4.22     4.22  
     Efficiency ratio (taxable equivalent) (4)       52.7     51.4  
CASH BASIS PERFORMANCE  
     BASED ON OPERATING EARNINGS (1)(5)  
     Cash basis operating earnings     $ 393,646   $ 345,564   $ 48,082     13.9  %
     Diluted earnings per share       .72     .72     --     --  
     Return on average tangible assets       1.81  %   1.79  %
     Return on average tangible equity       25.84     24.58  
     Efficiency ratio (taxable equivalent) (4)       50.8     51.1  
For the Three Months Ended Increase (Decrease)
(Dollars in thousands, except per share data) 12/31/03 12/31/02 $ %
INCOME STATEMENTS
     Interest income     $ 1,155,813   $ 1,103,222   $ 52,591     4.8  %
     Interest expense    275,864    395,151    (119,287 )  (30.2 )
       Net interest income    879,949    708,071    171,878    24.3  
     Provision for loan & lease losses    58,500    84,700    (26,200 )  (30.9 )
       Net interest income after provision for loan & lease losses    821,449    623,371    198,078    31.8  
     Noninterest income    471,015    456,621    14,394    3.2  
     Noninterest expense    734,136    619,566    114,570    18.5  
     Income before income taxes    558,328    460,426    97,902    21.3  
     Provision for income taxes    253,301    123,171    130,130    105.6  
          Net income   $ 305,027   $ 337,255   $ (32,228 )   (9.6 ) %
PER SHARE DATA  
     Basic earnings   $ .56   $ .71   $ (.15 )  (21.1 ) %
     Diluted earnings    .55    .70    (.15 )  (21.4 )
     Weighted average shares -               Basic    544,871,908    474,905,234  
                                                          Diluted       549,858,403     480,065,651  
PERFORMANCE RATIOS BASED ON NET INCOME  
     Return on average assets       1.34  %   1.71  %
     Return on average equity       11.98     17.97  
NOTES:   Applicable ratios are annualized.
  (1) Operating earnings statements exclude the effect of merger-related and nonrecurring charges. These charges totaled $71.8 million and $6.5 million, net of tax, in the fourth quarters of 2003 and 2002, respectively. See Reconciliation Tables included herein.
  (2) Excluding purchase accounting transactions, noninterest income would have decreased $25.8 million, or 5.2% for the quarter, compared to the same period in 2002.
  (3) Excluding purchase accounting transactions, noninterest expense would have decreased $28.2 million, or 4.0% for the quarter, compared to the same period in 2002.
  (4) Excludes securities gains (losses), foreclosed property expense, provisions for or recaptures of the impairment of mortgage servicing rights, gains or losses on mortgage banking-related derivatives, merger-related charges and 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 the 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 Twelve Months Ended Increase (Decrease)
(Dollars in thousands, except per share data) 12/31/03 12/31/02 $ %
OPERATING EARNINGS STATEMENTS (1)
     Interest income - taxable equivalent     $ 4,397,784   $ 4,584,608   $ (186,824 )   (4.1 ) %
     Interest expense    1,272,787    1,686,584    (413,797 )  (24.5 )
       Net interest income - taxable equivalent    3,124,997    2,898,024    226,973    7.8  
     Less: Taxable equivalent adjustment    111,265    150,564    (39,299 )  (26.1 )
       Net interest income    3,013,732    2,747,460    266,272    9.7  
     Provision for loan & lease losses    248,000    263,700    (15,700 )  (6.0 )
       Net interest income after provision for loan & lease losses    2,765,732    2,483,760    281,972    11.4  
     Noninterest income (2)    1,889,135    1,592,395    296,740    18.6  
     Noninterest expense (3)    2,610,371    2,246,178    364,193    16.2  
     Operating earnings before income taxes    2,044,496    1,829,977    214,519    11.7  
     Provision for income taxes    620,662    512,042    108,620    21.2  
       Operating earnings (1)   $1,423,834   $1,317,935   $105,899    8.0 %  
PER SHARE DATA BASED ON OPERATING EARNINGS  
     Basic earnings   $2.79   $2.78   $.01    .4  %
     Diluted earnings    2.77    2.75    .02    .7  
     Weighted average shares -               Basic    509,850,763    473,303,770  
                                                          Diluted    514,082,392    478,792,558  
     Dividends paid on common shares   $1.22   $1.10   $.12    10.9  %
PERFORMANCE RATIOS BASED ON OPERATING EARNINGS  
     Return on average assets       1.67  %   1.74  %
     Return on average equity       16.01     18.53  
     Net yield on earning assets (taxable equivalent)(4)       4.15     4.25  
     Noninterest income as a percentage of  
       total income (taxable equivalent) (4)       36.9     35.0  
     Efficiency ratio (taxable equivalent) (4)       52.4     50.2  
CASH BASIS PERFORMANCE  
     BASED ON OPERATING EARNINGS (1)(5)  
     Cash basis operating earnings   $ 1,465,632   $ 1,330,675   $ 134,957    10.1  %
     Diluted earnings per share    2.85    2.78    .07    2.5  
     Return on average tangible assets       1.78  %   1.79  %
     Return on average tangible equity       24.81     23.93  
     Efficiency ratio (taxable equivalent) (4)       51.1     49.8  
For the Twelve Months Ended Increase (Decrease)
(Dollars in thousands, except per share data) 12/31/03 12/31/02 $ %
INCOME STATEMENTS
     Interest income     $ 4,354,792   $ 4,434,044   $ (79,252 )   (1.8 ) %
     Interest expense    1,272,787    1,686,584    (413,797 )  (24.5 )
       Net interest income    3,082,005    2,747,460    334,545    12.2  
     Provision for loan & lease losses    248,000    263,700    (15,700 )  (6.0 )
       Net interest income after provision for loan & lease losses    2,834,005    2,483,760    350,245    14.1  
     Noninterest income    1,889,135    1,592,395    296,740    18.6  
     Noninterest expense    3,106,110    2,285,458    820,652    35.9  
     Income before income taxes and cumulative effect of change in accounting principle    1,617,030    1,790,697    (173,667 )  (9.7 )
     Provision for income taxes    552,127    497,468    54,659    11.0  
       Income before cumulative effect of change in accounting principle    1,064,903    1,293,229    (228,326 )  (17.7 )
       Cumulative effect of change in accounting principle    --    9,780    (9,780 )  NM  
          Net income   $1,064,903   $1,303,009   $(238,106 )  (18.3 ) %
PER SHARE DATA  
     Basic earnings  
       Income before cumulative effect of change in accounting principle   $2.09   $2.73   $(.64 )  (23.4 ) %
       Cumulative effect of change in accounting principle    --    .02    (.02 )  NM  
       Net income    2.09    2.75    (.66 )  (24.0 )
     Diluted earnings  
       Income before cumulative effect of change in accounting principle    2.07    2.70    (.63 )  (23.3 )
       Cumulative effect of change in accounting principle    --    .02    (.02 )  NM  
       Net income   $2.07   $2.72   $(.65 )  (23.9 ) %
PERFORMANCE RATIOS BASED ON NET INCOME  
     Return on average assets       1.25  %   1.72  %
     Return on average equity       11.97     18.32  
NOTES: (1) Operating earnings statements exclude the effect of merger-related and 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 nonrecurring charges, net of tax, totaled $358.9 million and $24.7 million in 2003 and 2002, respectively. See Reconciliation Tables included herein.
  (2) Excluding purchase accounting transactions, noninterest income would have increased $171.7 million, or 9.5% for the twelve months ended December 31, 2003, compared to 2002.
  (3) Excluding purchase accounting transactions, noninterest expense would have increased $83.6 million, or 3.1% for the twelve months ended December 31, 2003, compared to 2002.
  (4) Excludes securities gains (losses), foreclosed property expense, provisions for or recaptures of the impairment of mortgage servicing rights, gains or losses on mortgage banking-related derivatives, merger-related charges and 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 the 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 Twelve Months Ended Increase (Decrease)
(Dollars in thousands) 12/31/03 12/31/02 $ %
CONSOLIDATED BALANCE SHEETS
End of period balances
Cash and due from banks     $ 2,217,961   $ 1,929,650   $ 288,311     14.9  %
Interest-bearing deposits with banks    271,157    148,122    123,035    83.1  
Federal funds sold and other earning assets    332,849    294,448    38,401    13.0  
Securities available for sale    15,562,954    17,599,477    (2,036,523 )  (11.6 )
Securities held to maturity    60,122    55,523    4,599    8.3  
Trading securities    693,819    148,488    545,331    367.3  
  Total securities    16,316,895    17,803,488    (1,486,593 )  (8.4 )
Commercial loans & leases    31,335,752    29,054,232    2,281,520    7.9  
Direct retail loans    12,130,101    9,400,230    2,729,871    29.0  
Sales finance loans    6,035,662    3,410,890    2,624,772    77.0  
Revolving credit loans    1,180,480    1,050,738    129,742    12.3  
Mortgage loans    11,623,391    10,601,923    1,021,468    9.6  
  Total loans & leases    62,305,386    53,518,013    8,787,373    16.4  
Allowance for loan & lease losses    784,937    723,685    61,252    8.5  
  Total earning assets    79,208,578    71,227,929    7,980,649    11.2  
Premises and equipment, net    1,201,342    1,072,101    129,241    12.1  
Goodwill    3,616,526    1,723,379    1,893,147    109.9  
Other intangible assets    401,944    148,824    253,120    170.1  
Other assets    4,587,490    4,302,476    285,014    6.6  
  Total assets    90,466,613    80,216,816    10,249,797    12.8  
Noninterest-bearing deposits    11,098,251    7,864,338    3,233,913    41.1  
Money rate savings, savings & interest checking       24,656,038     20,260,493     4,395,545     21.7  
CDs and other time deposits    23,595,496    23,155,185    440,311    1.9  
  Total deposits    59,349,785    51,280,016    8,069,769    15.7  
Short-term borrowed funds    7,334,900    5,396,959    1,937,941    35.9  
Long-term debt    10,807,700    13,587,841    (2,780,141 )  (20.5 )
  Total interest-bearing liabilities    66,394,134    62,400,478    3,993,656    6.4  
Other liabilities    3,039,497    2,564,086    475,411    18.5  
  Total liabilities    80,531,882    72,828,902    7,702,980    10.6  
  Total shareholders' equity     $ 9,934,731   $ 7,387,914   $ 2,546,817     34.5  %
Average balances  
Securities, at amortized cost   $ 17,057,880   $ 16,939,089   $ 118,791    .7 %  
Commercial loans & leases    30,090,041    28,044,371    2,045,670    7.3  
Direct retail loans    10,642,719    8,938,416    1,704,303    19.1  
Sales finance loans    4,786,113    3,287,802    1,498,311    45.6  
Revolving credit loans    1,079,692    982,923    96,769    9.8  
Mortgage loans    11,258,504    9,597,905    1,660,599    17.3  
  Total loans & leases    57,857,069    50,851,417    7,005,652    13.8  
Allowance for loan & lease losses    759,569    703,672    55,897    7.9  
Other earning assets    548,403    439,097    109,306    24.9  
  Total earning assets    75,463,352    68,229,603    7,233,749    10.6  
  Total assets    85,327,728    75,779,033    9,548,695    12.6  
Noninterest-bearing deposits    9,514,435    7,202,129    2,312,306    32.1  
Money rate savings, savings & interest checking       22,124,600     18,187,514     3,937,086     21.6  
CDs and other time deposits    25,309,123    23,728,465    1,580,658    6.7  
  Total deposits    56,948,158    49,118,108    7,830,050    15.9  
Short-term borrowed funds    5,140,843    5,393,479    (252,636 )  (4.7 )
Long-term debt    11,710,281    12,134,712    (424,431 )  (3.5 )
  Total interest-bearing liabilities    64,284,847    59,444,170    4,840,677    8.1  
  Total shareholders' equity   $ 8,895,232   $ 7,113,490   $ 1,781,742    25.0 %

As of / For the Quarter Ended
(Dollars in thousands) 12/31/03 9/30/03 6/30/03 3/31/03 12/31/02
MISCELLANEOUS INFORMATION (1)
Unrealized appreciation (depreciation) on                                        
  securities available for sale, net of tax        $ 11,450   $ 98,196   $ 240,474   $ 280,309   $ 329,149  
Derivatives (notional value)         14,608,690    9,625,035    12,377,125    13,195,050    11,697,739  
Fair value of derivatives portfolio         136,025    184,467    274,749    179,474    149,498  
Common stock prices (daily close):    High    39.66    38.15    35.90    38.63    38.23  
     Low    36.52    33.77    31.75    31.15    31.26  
     End of period    38.64    35.91    34.30    31.43    36.99  
Weighted average shares -    Basic    544,871,908    551,018,984    471,713,450    470,529,359    474,905,234  
     Diluted    549,858,403    555,543,993    475,293,564    474,348,203    480,065,651  
End of period shares outstanding         541,942,987    548,886,598    472,118,220    471,218,625    470,452,260  
End of period banking offices         1,359    1,456    1,109    1,118    1,122  
ATMs         1,880    1,948    1,675    1,694    1,698  

NOTES:   All items referring to loans and leases include loans held for sale and are net of unearned income.
  (1) BB&T had approximately 26,300 full-time equivalent employees at December 31, 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) 12/31/03 9/30/03 6/30/03 3/31/03 12/31/02
OPERATING EARNINGS STATEMENTS (1)
     Interest income - taxable equivalent
     Interest & fees on loans & leases     $ 925,614   $ 931,997   $ 853,094   $ 858,137   $ 899,264  
     Interest & dividends on securities      186,210    191,261    218,872    224,940    236,880  
     Interest on short-term investments    2,316    1,798    1,744    1,801    1,879  
       Total interest income - taxable equivalent    1,114,140    1,125,056    1,073,710    1,084,878    1,138,023  
     Interest expense  
     Interest on deposits    171,380    184,168    192,505    207,624    231,021  
     Interest on short-term borrowed funds    15,033    14,651    15,494    13,664    18,770  
     Interest on long-term debt    89,451    93,291    134,112    141,414    145,360  
       Total interest expense    275,864    292,110    342,111    362,702    395,151  
     Net interest income - taxable equivalent    838,276    832,946    731,599    722,176    742,872  
     Less: Taxable equivalent adjustment    26,600    26,488    28,179    29,998    34,801  
       Net interest income    811,676    806,458    703,420    692,178    708,071  
     Provision for loan & lease losses    58,500    65,000    61,500    63,000    84,700  
       Net interest income after provision for                                  
          loan & lease losses    753,176    741,458    641,920    629,178    623,371  
     Noninterest income  
     Service charges on deposits    122,120    121,981    96,645    96,778    105,686  
     Mortgage banking income (loss)    53,786    117,463    (32,711 )  59,972    103,010  
     Investment banking & brokerage fees & commissions    68,052    65,306    60,094    51,909    53,742  
     Trust revenue    29,099    31,871    26,248    26,009    19,750  
     Insurance commissions    102,070    103,592    101,500    88,658    87,618  
     Other nondeposit fees & commissions    73,618    73,312    60,770    56,272    58,135  
     Securities gains (losses), net    (7,529 )  (29,127 )  109,500    34,234    1,508  
     Other noninterest income    29,799    27,705    39,050    31,089    27,172  
       Total noninterest income    471,015    512,103    461,096    444,921    456,621  
     Noninterest expense  
     Personnel expense    374,788    412,350    367,497    352,701    350,213  
     Occupancy & equipment expense    100,463    97,352    85,625    87,727    87,383  
     Foreclosed property expense    6,556    5,163    3,541    4,069    3,226  
     Amortization of intangibles    21,100    20,990    6,806    6,754    3,203  
     Other noninterest expense    179,778    173,393    155,610    148,108    165,128  
       Total noninterest expense    682,685    709,248    619,079    599,359    609,153  
     Operating earnings before income taxes    541,506    544,313    483,937    474,740    470,839  
     Provision for income taxes    164,657    165,055    147,009    143,941    127,122  
       Operating earnings (1)   $ 376,849   $ 379,258   $ 336,928   $ 330,799   $ 343,717  
PER SHARE DATA BASED ON  
     OPERATING EARNINGS  
     Basic earnings   $ .69   $ .69   $ .71   $ .70   $ .72  
     Diluted earnings    .69    .68    .71    .70    .72  
     Dividends paid on common shares    .32    .32    .29    .29    .29  
     Book value per share   $ 18.33   $ 18.61   $ 16.32   $ 16.05   $ 15.70  
PERFORMANCE RATIOS BASED ON  
     OPERATING EARNINGS  
     Return on average assets       1.66  %   1.66  %   1.67  %   1.69  %   1.74  %
     Return on average equity    14.80    14.73    17.45    17.94    18.32  
     Net yield on earning assets (taxable equivalent) (2)    4.22    4.17    4.06    4.13    4.22  
     Efficiency ratio (taxable equivalent) (2)    52.7    53.0    52.0    51.6    51.4  
     Noninterest income as a percentage of                                  
       total income (taxable equivalent) (2)    34.7    37.3    38.2    37.4    37.0  
     Equity as a percentage of total assets  
       end of period    11.0    11.3    9.6    9.5    9.2  
     Average earning assets as a percentage of                                  
       average total assets    87.9    87.6    89.3    89.2    89.5  
     Average loans & leases as a percentage of  
       average deposits    100.7    99.4    102.9    104.1    105.5  
CASH BASIS PERFORMANCE BASED ON  
     OPERATING EARNINGS (1) (3)  
     Cash basis operating earnings   $ 393,646   $ 395,987   $ 341,080   $ 334,919   $ 345,564  
     Diluted earnings per share    .72    .71    .72    .71    .72  
     Return on average tangible assets       1.81  %   1.81  %   1.73  %   1.76  %   1.79  %
     Return on average tangible equity    25.84    25.62    23.38    24.26    24.58  
     Efficiency ratio (taxable equivalent) (2)    50.8    51.2    51.4    51.0    51.1  
NOTES:   Applicable ratios are annualized.
  (1) Operating income statements exclude the effect of merger-related and nonrecurring charges. These charges totaled $71.8 million, $263.4 million, $20.7 million, $3.1 million, and $6.5 million, net of tax, for the quarters ended December 31, 2003, September 30, 2003, June 30, 2003, March 31, 2003 and December 31, 2002, respectively. See Reconciliation Tables included herein.
  (2) Excludes securities gains (losses), foreclosed property expense, provisions for or recaptures of the impairment of mortgage servicing rights, gains or losses on mortgage banking-related derivatives, merger-related charges and 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 the 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) 12/31/03 9/30/03 6/30/03 3/31/03 12/31/02
SELECTED BALANCE SHEET DATA
     End of period balances
     Securities available for sale     $ 15,562,954   $ 16,032,688   $ 16,030,474   $ 16,721,662   $ 17,599,477  
     Securities held to maturity    60,122    57,076    55,099    57,489    55,523  
     Trading securities    693,819    710,387    180,711    172,789    148,488  
       Total securities    16,316,895    16,800,151    16,266,284    16,951,940    17,803,488  
     Commercial loans & leases    31,335,752    30,939,186    29,418,569    29,331,744    29,054,232  
     Direct retail loans    12,130,101    11,791,148    9,716,242    9,477,267    9,400,230  
     Sales finance loans    6,035,662    6,164,851    3,381,745    3,388,430    3,410,890  
     Revolving credit loans    1,180,480    1,111,208    1,059,313    1,037,135    1,050,738  
     Mortgage loans    11,623,391    11,166,084    11,368,328    10,542,311    10,601,923  
       Total loans & leases    62,305,386    61,172,477    54,944,197    53,776,887    53,518,013  
     Allowance for loan & lease losses    784,937    791,527    719,576    716,276    723,685  
     Other earning assets    604,006    603,425    533,478    435,066    442,570  
       Total earning assets    79,208,578    78,410,936    71,351,630    70,709,082    71,227,929  
       Total assets    90,466,613    90,355,131    80,444,806    79,647,890    80,216,816  
     Noninterest-bearing deposits    11,098,251    10,909,953    9,238,605    8,614,360    7,864,338  
     Money rate savings, savings & interest checking       24,656,038     24,449,000     19,555,522     19,465,408     20,260,493  
     CDs and other time deposits    23,595,496    25,936,345    23,561,639    23,161,261    23,155,185  
       Total deposits    59,349,785    61,295,298    52,355,766    51,241,029    51,280,016  
     Short-term borrowed funds    7,334,900    6,294,995    4,627,801    4,229,003    5,396,959  
     Long-term debt    10,807,700    9,837,910    12,831,350    13,565,934    13,587,841  
       Total interest-bearing liabilities    66,394,134    66,518,250    60,576,312    60,421,606    62,400,478  
       Total shareholders' equity    9,934,731    10,214,832    7,703,424    7,561,078    7,387,914  
     Goodwill    3,616,526    3,642,068    1,714,938    1,737,617    1,723,379  
     Core deposit & other intangibles    401,944    422,716    152,054    146,145    148,824  
       Total intangibles    4,018,470    4,064,784    1,866,992    1,883,762    1,872,203  
       Mortgage servicing rights   $ 334,931    327,376   $ 220,300   $ 313,805   $ 318,839  
     Average balances  
     Securities, at amortized cost   $ 16,937,451   $ 17,423,216   $ 17,432,923   $ 16,428,321   $ 16,103,478  
     Commercial loans & leases    31,051,475    30,847,264    29,331,495    29,100,165    28,916,175  
     Direct retail loans    11,931,318    11,597,522    9,586,676    9,417,240    9,353,640  
     Sales finance loans    6,146,540    6,185,324    3,386,056    3,380,763    3,417,700  
     Revolving credit loans    1,136,268    1,098,690    1,044,083    1,038,444    1,020,357  
     Mortgage loans    11,425,458    11,790,843    11,032,165    10,772,525    10,898,394  
       Total loans & leases    61,691,059    61,519,643    54,380,475    53,709,137    53,606,266  
     Allowance for loan & lease losses    794,394    792,914    720,432    729,456    731,126  
     Other earning assets    590,519    633,744    514,879    452,010    488,991  
       Total earning assets    79,219,029    79,576,603    72,328,277    70,589,468    70,198,735  
       Total assets    90,116,726    90,845,816    81,012,962    79,154,304    78,428,911  
     Noninterest-bearing deposits    10,967,480    11,023,396    8,326,827    7,687,410    7,753,037  
     Money rate savings, savings & interest checking       24,588,081     24,515,938     19,710,184     19,603,138     19,153,014  
     CDs and other time deposits    25,712,445    26,350,439    24,824,328    24,322,564    23,892,511  
       Total deposits    61,268,006    61,889,773    52,861,339    51,613,112    50,798,562  
     Short-term borrowed funds    6,006,630    5,763,994    4,744,761    4,019,301    4,626,091  
     Long-term debt    9,936,570    10,205,592    13,173,214    13,582,346    13,344,191  
       Total interest-bearing liabilities    66,243,726    66,835,963    62,452,487    61,527,349    61,015,807  
       Total shareholders' equity   $ 10,099,916   $ 10,215,142   $ 7,745,395   $ 7,477,149   $ 7,444,431  
SELECTED CAPITAL INFORMATION (1)  
     Risk-based capital:  
       Tier 1   $ 6,160,586   $ 6,274,986   $ 5,684,767   $ 5,497,767   $ 5,290,310  
       Total    8,206,100    8,683,707    8,022,774    7,946,913    7,741,048  
     Risk-weighted assets    66,022,956    65,442,593    58,324,722    57,651,703    57,701,308  
     Average quarterly tangible assets    86,151,577    86,828,988    78,631,225    76,718,630    76,209,580  
     Risk-based capital ratios:  
       Tier 1       9.33  %   9.59  %   9.75  %   9.54  %   9.17  %
       Total    12.43    13.27    13.76    13.78    13.42  
     Leverage capital ratio    7.15    7.23    7.23    7.17    6.94  
     Equity as a percentage of total assets    11.0    11.3    9.6    9.5    9.2  
     Book value per share   $ 18.33   $ 18.61   $ 16.32   $ 16.05   $ 15.70  
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) 12/31/03 9/30/03 6/30/03 3/31/03 12/31/02
ASSET QUALITY ANALYSIS
Allowance For Loan & Lease Losses
  Beginning balance     $ 791,527   $ 719,576   $ 716,276   $ 723,685   $ 723,688  
  Allowance for acquired loans, net    --    68,768    --    1,267    (16,075 )
  Reclassification of allowance related                                  
     to unfunded commitments    --    --    --    (8,986 )  --  
  Provision for loan & lease losses    58,500    65,000    61,500    63,000    84,700  
     Charge-offs    (86,840 )  (74,753 )  (76,815 )  (76,867 )  (83,067 )
     Recoveries    21,750    12,936    18,615    14,177    14,439  
  Net charge-offs    (65,090 )  (61,817 )  (58,200 )  (62,690 )  (68,628 )
     Ending balance   $ 784,937   $ 791,527   $ 719,576   $ 716,276   $ 723,685  
Nonperforming Assets  
  Nonaccrual loans & leases   $ 350,440   $ 355,420   $ 363,524   $ 392,701   $ 374,842  
  Foreclosed real estate    78,964    70,178    64,347    60,110    55,448  
  Other foreclosed property    17,106    20,902    17,575    21,714    21,199  
  Restructured loans    592    613    145    175    175  
     Nonperforming assets   $ 447,102   $ 447,113   $ 445,591   $ 474,700   $ 451,664  
  Loans 90 days or more past due  
     & still accruing   $ 116,758   $ 121,907   $ 97,479   $ 93,609   $ 115,047  
  Loans 90 days or more past due & still accruing                                  
     as a percentage of total loans and leases       .19  %   .20  %   .18  %   .17  %   .21  %
Asset Quality Ratios  
  Nonaccrual and restructured loans & leases                                  
     as a percentage of total loans & leases       .56  %   .58  %   .66  %   .73  %   .70  %
  Nonperforming assets as a percentage of:  
     Total assets    .49    .49    .55    .60    .56  
     Loans & leases plus                                  
        foreclosed property    .72    .73    .81    .88    .84  
  Net charge-offs as a percentage of  
     average loans & leases    .42    .40    .43    .47    .51  
  Net charge-offs excluding specialized                                  
     lending as a percentage of average                                  
     loans & leases (1)    .31    .30    .31    .35    .40  
  Allowance for loan & lease losses as  
     a percentage of loans & leases    1.26    1.29    1.31    1.33    1.35  
  Allowance for loan & lease losses as                                  
     a percentage of loans & leases                                  
     held for investment    1.27    1.32    1.39    1.39    1.42  
  Ratio of allowance for loan & lease losses to:  
     Net charge-offs       3.04  x   3.23  x   3.08  x   2.82  x   2.66  x
     Nonaccrual and restructured loans & leases    2.24    2.22    1.98    1.82    1.93  

As of / For the Twelve Months Ended Increase (Decrease)
12/31/03 12/31/02 $ %
Allowance For Loan & Lease Losses
  Beginning balance     $ 723,685   $ 644,418   $ 79,267    12.3 %
  Allowance for acquired loans, net    70,035    62,099    7,936    NM  
  Reclassification of allowance related                    
     to unfunded commitments    (8,986 )  --    (8,986 )  NM  
  Provision for loan & lease losses    248,000    263,700    (15,700 )  (6.0 )
     Charge-offs    (315,275 )  (297,149 )  (18,126 )  (6.1 )
     Recoveries    67,478    50,617    16,861    33.3  
  Net charge-offs    (247,797 )  (246,532 )  (1,265 )  (.5 )
     Ending balance   $ 784,937   $ 723,685   $ 61,252    8.5 %  
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       3.17  x   2.94  x
For the Quarter Ended
12/31/03 9/30/03 6/30/03 3/31/03 12/31/02
ANNUALIZED INTEREST YIELDS / RATES (2)
Interest income:                        
Securities & other       4.30    4.28    4.92    5.38    5.76  
Loans & leases    5.96    6.02    6.29    6.46    6.67  
  Total earning assets    5.60    5.62    5.95    6.20    6.45  
Interest expense:  
Interest-bearing deposits    1.35    1.44    1.73    1.92    2.13  
Short-term borrowed funds    .98    .99    1.29    1.36    1.61  
Long-term debt    3.55    3.60    4.04    4.16    4.33  
  Total interest-bearing liabilities    1.65    1.73    2.19    2.38    2.57  
Net yield on earning assets    4.22    4.17    4.06    4.13    4.22  
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. Excludes nonrecurring items. 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) 12/31/03 12/31/02 $ %
SELECTED BALANCES ADJUSTED FOR PURCHASE ACQUISITIONS (1)
     Average Balances
     Commercial loans & leases     $ 31,051,475   $ 30,538,793   $ 512,682     1.7  %
     Direct retail loans    11,931,318    11,236,918    694,400    6.2  
     Sales finance loans    6,146,540    6,290,085    (143,545 )  (2.3 )
     Revolving credit loans    1,136,268    1,054,650    81,618    7.7  
     Mortgage loans    11,425,458    11,193,803    231,655    2.1  
       Total loans & leases    61,691,059    60,314,249    1,376,810    2.3  
     Noninterest-bearing deposits    10,966,663    9,846,676    1,119,987    11.4  
     Interest-bearing transaction accounts    9,034,282    8,506,118    528,164    6.2  
     CDs and other time deposits    25,683,632    26,464,612    (780,980 )  (3.0 )
     Other deposits    15,553,799    14,736,763    817,036    5.5  
       Total deposits   $ 61,238,376   $ 59,554,169   $ 1,684,207    2.8  %
SELECTED INCOME STATEMENT ITEMS BASED ON  
     OPERATING EARNINGS ADJUSTED FOR PURCHASE ACQUISITIONS (1)  
       Net interest income - taxable equivalent   $ 844,315   $ 868,622   $ (24,307 )  (2.8 ) %
       Noninterest income  
     Service charges on deposits    122,120    125,385    (3,265 )  (2.6 )
     Mortgage banking income (2)    53,786    103,390    (49,604 )   (48.0 )
     Investment banking & brokerage fees & commissions    68,052    54,383    13,669    25.1  
     Trust revenue    29,099    23,166    5,933    25.6  
     Insurance commissions    104,695    97,085    7,610    7.8  
     Other nondeposit fees & commissions    73,618    65,775    7,843    11.9  
     Securities gains (losses), net (2)    (7,529 )  2,024    (9,553 )  NM  
     Other income    29,799    28,271    1,528    5.4  
       Total noninterest income    473,640    499,479    (25,839 )  (5.2 )
       Noninterest expense  
     Personnel expense    375,739    407,967    (32,228 )  (7.9 )
     Occupancy & equipment expense    100,622    101,218    (596 )  (0.6 )
     Other noninterest expense    208,658    204,070    4,588    2.2  
       Total noninterest expense   $ 685,019   $ 713,255   $ (28,236 )  (4.0 ) %

For the Three Months Ended Increase (Decrease)
(Dollars in thousands) 12/31/03 9/30/03 $ %
SELECTED BALANCES ADJUSTED FOR PURCHASE ACQUISITIONS (1)
     Average Balances
     Commercial loans & leases     $ 31,051,475   $ 30,847,264   $ 204,211     2.6  %
     Direct retail loans    11,931,318    11,597,522    333,796    11.4  
     Sales finance loans    6,146,540    6,185,324    (38,784 )  (2.5 )
     Revolving credit loans    1,136,268    1,098,690    37,578    13.6  
     Mortgage loans    11,425,458    11,790,843    (365,385 )   (12.3 )
       Total loans & leases    61,691,059    61,519,643    171,416    1.1  
     Noninterest-bearing deposits    10,966,663    11,015,110    (48,447 )  (1.7 )
     Interest-bearing transaction accounts    9,034,282    8,977,154    57,128    2.5  
     CDs and other time deposits    25,683,632    26,019,828    (336,196 )  (5.1 )
     Other deposits    15,553,799    15,289,363    264,436    6.9  
       Total deposits   $ 61,238,376   $ 61,301,455   $ (63,079 )  (0.4 ) %
SELECTED INCOME STATEMENT ITEMS BASED ON OPERATING  
     EARNINGS ADJUSTED FOR PURCHASE ACQUISITIONS (1)  
       Net interest income - taxable equivalent   $ 844,315   $ 838,985   $ 5,330    2.5  %
       Noninterest income  
     Service charges on deposits    122,120    121,981    139    0.5  
     Mortgage banking income (2)    53,786    117,463    (63,677 )  NM  
     Investment banking & brokerage fees & commissions    68,052    65,306    2,746    16.7  
     Trust revenue    29,099    31,871    (2,772 )   (34.5 )
     Insurance commissions    104,695    106,576    (1,881 )  (7.0 )
     Other nondeposit fees & commissions    73,618    73,312    306    1.7  
     Securities gains (losses), net (2)    (7,529 )  (29,127 )  21,598     NM  
     Other income    29,799    26,633    3,166    47.2  
       Total noninterest income    473,640    514,015    (40,375 )   (31.2 )
       Noninterest expense  
     Personnel expense    375,739    413,561    (37,822 )   (36.3 )
     Occupancy & equipment expense    100,622    97,504    3,118    12.7  
     Other noninterest expense    208,658    201,263    7,395    14.6  
       Total noninterest expense   $ 685,019   $ 712,328   $ (27,309 )   (15.2 ) %
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 recaptures of $20.4 million and $88.9 million for the three months ended December 31, 2003 and September 30, 2003, respectively, and provisions for the impairment of mortgage servicing rights totaling $109.3 million and $36.9 million for the three months ended June 30, 2003 and March 31, 2003, respectively. 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 Twelve Months Ended Increase (Decrease)
(Dollars in thousands) 12/31/03 12/31/02 $ %
SELECTED BALANCES ADJUSTED FOR PURCHASE ACQUISITIONS (1)
     Average Balances
     Commercial loans & leases     $ 30,832,941   $ 30,232,189   $ 600,752     2.0  %
     Direct retail loans    11,545,980    10,960,368    585,612    5.3  
     Sales finance loans    6,177,615    6,242,091    (64,476 )  (1.0 )
     Revolving credit loans    1,096,235    1,021,966    74,269    7.3  
     Mortgage loans    11,346,000    10,686,969    659,031    6.2  
       Total loans & leases    60,998,771    59,143,583    1,855,188    3.1  
     Noninterest-bearing deposits    10,584,247    9,333,719    1,250,528    13.4  
     Interest-bearing transaction accounts    8,892,334    8,029,417    862,917    10.7  
     CDs and other time deposits    26,377,032    27,118,299    (741,267 )  (2.7 )
     Other deposits    15,244,512    14,611,530    632,982    4.3  
       Total deposits   $ 61,098,125   $ 59,092,965   $ 2,005,160     3.4  %
SELECTED INCOME STATEMENT ITEMS BASED ON  
     OPERATING EARNINGS ADJUSTED FOR PURCHASE ACQUISITIONS (1)  
       Net interest income - taxable equivalent   $3,373,229   $3,465,459   $(92,230 )  (2.7 ) %
       Noninterest income  
     Service charges on deposits    474,546    482,146    (7,600 )  (1.6 )
     Mortgage banking income (2)    198,871    86,246    112,625    130.6  
     Investment banking & brokerage fees & commissions    246,309    213,609    32,700    15.3  
     Trust revenue    120,529    117,201    3,328    2.8  
     Insurance commissions    419,383    371,911    47,472    12.8  
     Other nondeposit fees & commissions    278,637    240,235    38,402    16.0  
     Securities gains (losses), net (2)    112,908    170,729    (57,821 )  (33.9 )
     Other income    128,993    126,403    2,590    2.0  
       Total noninterest income    1,980,176    1,808,480    171,696    9.5  
       Noninterest expense  
     Personnel expense    1,618,332    1,559,427    58,905    3.8  
     Occupancy & equipment expense    397,805    405,575    (7,770 )  (1.9 )
     Other noninterest expense    779,943    747,477    32,466    4.3  
       Total noninterest expense   $2,796,080   $2,712,479   $83,601    3.1  %
For the Three Months Ended
(Dollars in thousands, except per share data) 12/31/03 9/30/03 6/30/03 3/31/03 12/31/02
RECONCILIATION TABLE
Net income     $ 305,027   $ 115,891   $ 316,237   $ 327,748   $ 337,255  
   Merger-related charges, net of tax    30,176    14,829    6,998    3,051    6,462  
   Other, net of tax (5)    41,646    248,538    13,693    --    --  
Operating earnings    376,849    379,258    336,928    330,799    343,717  
   Amortization of intangibles, net of tax    12,871    12,804    4,152    4,120    1,847  
   Amortization of mark-to-market adjustments, net of tax    3,926    3,925    --    --    --  
Cash basis operating earnings    393,646    395,987    341,080    334,919    345,564  
Return on average assets       1.34  %   .51  %   1.57  %   1.68  %   1.71  %
   Effect of merger-related charges, net of tax    .13    .06    .03    .01    .03  
   Effect of other, net of tax (5)    .19    1.09    .07    --    --  
Operating return on average assets    1.66    1.66    1.67    1.69    1.74  
   Effect of amortization of intangibles, net of tax (4)    .13    .13    .06    .07    .05  
   Effect of amortization of mark-to-market adjustments, net    .02    .02    --    --    --  
Cash basis operating return on average  
    tangible assets    1.81    1.81    1.73    1.76    1.79  
Return on average equity       11.98  %   4.50  %   16.38  %   17.78  %   17.97  %
   Effect of merger-related charges, net of tax    1.19    .58    .36    .16    .35  
   Effect of other, net of tax (5)    1.63    9.65    .71    --    --  
Operating return on average equity    14.80    14.73    17.45    17.94    18.32  
   Effect of amortization of intangibles, net of tax (4)    10.89    10.64    5.93    6.32    6.26  
   Effect of amortization of mark-to-market adjustments, net    .15    .25    --    --    --  
Cash basis operating return on average                                  
   tangible equity    25.84    25.62    23.38    24.26    24.58  
Efficiency ratio (taxable equivalent) (3)       59.7  %   83.7  %   54.7  %   52.0  %   52.3  %
   Effect of merger-related charges    (4.0 )  (1.7 )  (.9 )  (.4 )  (.9 )
   Effect of other (5)    (3.0 )  (29.0 )  (1.8 )  --    --  
Operating efficiency ratio (3)    52.7    53.0    52.0    51.6    51.4  
   Effect of amortization of intangibles    (1.6 )  (1.6 )  (.6 )  (.6 )  (.3 )
   Effect of amortization of mark-to-market adjustments    (.3 )  (.2 )  --    --    --  
Cash basis operating efficiency ratio (3)    50.8    51.2    51.4    51.0    51.1  
Basic earnings per share   $ .56   $ .21   $ .67   $ .70   $ .71  
   Effect of merger-related charges, net of tax    .06    .03    .01    --    .01  
   Effect of other, net of tax (5)    .07    .45    .03    --    --  
Operating basic earnings per share    .69    .69    .71    .70    .72  
Diluted earnings per share   $ .55   $ .21   $ .67   $ .69   $ .70  
   Effect of merger-related charges, net of tax    .05    .03    .01    .01    .02  
   Effect of other, net of tax (5)    .09    .44    .03    --    --  
Operating diluted earnings per share    .69    .68    .71    .70    .72  
   Effect of amortization of intangibles, net of tax    .02    .02    .01    .01    --  
   Effect of amortization of mark-to-market adjustments, net    .01    .01    --    --    --  
Cash basis operating diluted earnings per share    .72    .71    .72    .71    .72  
Net yield on earning assets (taxable equivalent)       3.89  %   4.17  %   4.06  %   4.13  %   4.22  %
   Effect of other, net of tax (5)    .33    --    --    --    --  
Operating net yield on earning assets    4.22    4.17    4.06    4.13    4.22  
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 Twelve Months Ended
(Dollars in thousands, except per share data) 12/31/03 12/31/02
RECONCILIATION TABLE
Net income     $ 1,064,903   $ 1,303,009  
   Merger-related charges, net of tax       55,054     24,706  
   Other, net of tax (5)    303,877    (9,780 )
Operating earnings    1,423,834    1,317,935  
   Amortization of intangibles, net of tax    33,947    12,740  
   Amortization of mark-to-market adjustments, net of tax    7,851    --  
Cash basis operating earnings    1,465,632    1,330,675  
Return on average assets       1.25  %   1.72  %
   Effect of merger-related charges, net of tax    .06    .03  
   Effect of other, net of tax (5)    .36    (.01 )
Operating return on average assets    1.67    1.74  
   Effect of amortization of intangibles, net of tax (4)    .10    .05  
   Effect of amortization of mark-to-market adjustments, net of tax    .01    --  
Cash basis operating return on average tangible assets    1.78    1.79  
Return on average equity       11.97  %   18.32  %
   Effect of merger-related charges, net of tax    .62    .35  
   Effect of other, net of tax (5)    3.42    (.14 )
Operating return on average equity    16.01    18.53  
   Effect of amortization of intangibles, net of tax (4)    7.90    5.40  
   Effect of amortization of mark-to-market adjustments, net of tax    .90    --  
Cash basis operating return on average tangible equity    24.81    23.93  
Efficiency ratio (taxable equivalent) (3)       63.2  %   51.1  %
   Effect of merger-related charges    (1.8 )  (.9 )
   Effect of other (5)    (9.0 )  --  
Operating efficiency ratio (3)    52.4    50.2  
   Effect of amortization of intangibles    (1.2 )  (.4 )
   Effect of amortization of mark-to-market adjustments    (.1 )  --  
Cash basis operating efficiency ratio (3)    51.1    49.8  
Fee income ratio (3)       37.3  %   35.1  %
   Effect of other (5)    (.4 )  (.1 )
Operating fee income ratio (3)    36.9    35.0  
Basic earnings per share   $ 2.09   $ 2.75  
   Effect of merger-related charges, net of tax    .11    .05  
   Effect of other, net of tax (5)    .59    (.02 )
Operating basic earnings per share    2.79    2.78  
Diluted earnings per share     $ 2.07   $ 2.72  
   Effect of merger-related charges, net of tax    .11    .05  
   Effect of other, net of tax (5)    .59    (.02 )
Operating diluted earnings per share    2.77    2.75  
   Effect of amortization of intangibles, net of tax    .07    .03  
   Effect of amortization of mark-to-market adjustments, net of tax    .01    --  
Cash basis operating diluted earnings per share    2.85    2.78  
Net yield on earning assets (taxable equivalent)       4.06  %   4.25  %
   Effect of other, net of tax (5)    .09    --  
Operating net yield on earning assets    4.15    4.25  
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 $36.8 million and $152.4 million for the twelve months ended December 31, 2003 and 2002, respectively. These provisions are substantially offset by 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 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 in the second quarter of 2003, a loss on early extinguishment of debt totaling $248.5 million in the third quarter of 2003, a one-time charge related to deferred income taxes associated with BB&T's leasing operations totaling $41.6 million in the fourth quarter of 2003, and a $9.8 million gain resulting from the cumulative effect of adopting a new accounting standard in the first quarter of 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:      January 13, 2004