Retail Banking at Key Financial Services Analysts Association Newport, Rhode Island June 18, 2003 Patrick J. Swanick, President, Retail Banking & Electronic Services

Retail Banking Initiatives Revenue, Revenue, Revenue, Deposit growth – –Rolled out Free Checking Nationwide – –Offering competitive deposit rates – –Introduced KeyMiles Continental Airlines Debit Card Retail Banking (Expense)

Free Checking, with KeyMiles Debit Card Retail Banking

Forecast Debit Card Revenue Growth #4 Small Business and #8 Consumer MasterCard Debit Issuer Nationwide Percentage of Active Users and Transactions per Cardholder Exceed National Averages Retail Banking $ in millions

Retail Banking Initiatives Revenue, Revenue, Revenue, (Expense) Deposit growth – –Rolled out Free Checking Nationwide – –Offering competitive deposit rates – –Introduced KeyMiles Continental Airlines Debit Card Retail Banking New client acquisition – –Added new RMs and BDOs – –Adding new KeyCenters and ATMs – –Identifying acquisition opportunities Increase cross-sell – –Licensing RMs to sell investments – –Certifying RMs to handle small business clients

Total Revenue (TE) by Line of Business 1Q021Q03 $ in millions 1Q02 1Q03 $ % Retail Banking$ 311$ 320 $ 9 +3% Small Business Consumer Finance Corporate Banking249234(15)(6) Real Estate Capital9084( 6)(7) Equipment Finance Investment Mgmt Services213192( 21)(10) Investment Mgmt Services 18% Consumer Banking 47% Corporate & Investment Banking 35% Change Investment Mgmt Services 17% Consumer Banking 49% Corporate & Investment Banking 34% Retail Banking

1Q02 1Q03 $ % Retail Banking$ 54$ 62$ 8 +15% Small Business Consumer Finance Corporate Banking5951(8)(14) Real Estate Capital3630(6)(17) Equipment Finance Investment Mgmt Services2320(3)(13) Net Income by Line of Business 1Q021Q03 Corporate & Investment Banking 48% Consumer Banking 43% Investment Mgmt Services 9% Investment Mgmt Services 11% Consumer Banking 37% Corporate & Investment Banking 52% Change $ in millions Retail Banking

% Change 1Q03 vs. 1Q024Q02 1Q03 1Q02 4Q02* Noninterest Bearing$8.6$9.9$9.814%(6)% NOW & MMDA Savings Deposits CDs Under 100k (12)(14) Total Core Deposits$37.3$39.3$ %+12% $ in billions Average Core Deposit Growth *Annualized Retail Banking

1Q03 vs. 1Q02 Commercial$37,140$37,088$36,497$36,367$36,463(1.8)% Consumer22,90823,96724,59124,30824,6837.7% Exit Portfolios Auto2,4992,0411,7051,3711,135 (54.6) Commercial (40.1) Average Loans $ in millions $63,488$63,928$63,486$62,677$62,845 % Change Retail Banking

Overview 902 KeyCenters 2,179 ATMs KEY-2-YOU Key.com 12 State Footprint 2.2 Million Clients 6,100+ Employees $1.3+ Billion Revenues Retail Banking

Strategic Priorities for 2003 RETENTION Retain All Clients/Relationships Keep All High Performing Employees EXPANSION Drive Deeper Cross-Selling Foster 1Key Leadership ACQUISITION Attract New Relationship Clients & COIs Actively Recruit New High Potential Employees

KeyCenter Network Summary Retail Banking

New Customer Acquisition (Millions) Projected Organic Customer Growth Projected Customer Growth with Acquisitions Selected Initiatives Supporting Acquisition: Multiple new product introductions (Free Checking, Continental/Key Miles Debit Card, Relationship Mortgage, Home Loan First, Student Checking, etc.) Increased marketing spend, with clear, forceful messages More KeyCenters & ATMs; “Grand Re-Openings” of newer KeyCenters Added sales capacity – More RMs, SSAs, BDOs, COIs & TeleSales staff Additional strategic bank acquisitions (like UBT)

Retail Banking Client Retention Selected Initiatives Supporting Retention: Enhanced client contact strategy through KeyCenter and Outbound TeleSales Staffs and Direct Mail Harland Modeling – “Likely to Attrite” scores Fee changes/modifications Expanded KeyCenter hours Annual Attrition Rate

Client Satisfaction Grows Aggregate hospitality scores for Key’s branch network. The scale is 1-5: 1 = Strongly Disagree 5 = Strongly Agree Q 2003 The scale is 1-10: 1 = Very Dissatisfied 10 = Very Satisfied 8.99 Historical ScaleCurrent Scale Retail Banking

Relationship Building Profit Contribution per Customer Retail Banking

Retail Services per Household Focus on Cross-Sell Retail Banking

Transaction Migration Continues Percentage of Transactions 31% 37% 11% 21%

Retail Banking Revenue Generation Through TeleSales $ Booked (Millions)

Growing Online Banking Penetration Retail Banking

Key.com Reviews l Third parties continue to rate Key.com highly l Key was rated as one of the best bank websites that effectively communicates its commitment to diversity. (DiversityInc. Dec. 2002) Evaluator Ranking & Number of Companies RatedRating CategoryDate Speer & Associates#1/10Transactional CapabilitiesQ1 ‘03 Gomez#1/15Small Business Ease of UseQ3 '02 Speer & Associates#2/10Business DevelopmentQ1 ‘03 Gomez#2/15Small Business Overall ScoreQ3 '02 Speer & Associates#2/10Small Business Internet BankingQ2 ‘03 Gomez#5/30Consumer Overall ScoreQ2 '03 Gomez#4/30Consumer Ease of UseQ2 '03 Gomez#6/30Consumer Relationship ServicesQ2 '03

Revenue per Sales FTE (Thousands) Relationship Building Retail Banking

Summary Key’s Retail Bank is positioned for growth…   Retention, expansion & acquisition initiatives are working.   Strategic acquisitions and DeNovo expansion will supplement organic growth.   Service quality and convenience, delivered by the best people, provide the foundation for our distinctiveness in the marketplace.

PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995 FORWARD-LOOKING STATEMENT DISCLOSURE The presentation and discussion, including related questions and answers, and presentation materials, contain forward-looking statements about issues like anticipated second quarter and full- year 2003 earnings, anticipated level of net loan charge-offs and nonperforming assets and anticipated improvement in profitability and competitiveness. Forward-looking statements by their nature are subject to assumptions, risks and uncertainties. Actual results could differ materially from those contained in or implied by such forward-looking statements for a variety of factors including: changes in interest rates; continued weakness in the economy, which could materially impact credit quality trends and the ability to generate loans; failure of the capital markets to function consistent with customary levels; delay in or inability to execute strategic initiatives designed to grow revenues and/or manage expenses; consummation of significant business combinations or divestitures; new legal obligations or restrictions or unfavorable resolution of litigation; further disruption in the economy or the general business climate as a result of terrorist activities or military actions; and changes in accounting, tax or regulatory practices or requirements.

Retail Banking Question & Answer Session

Patrick J. Swanick President, Retail Banking & Electronic Services KeyBank 127 Public Square Cleveland, Ohio USA Phone: (216) Fax: (216) Retail Banking