Your task is to complete a brief analysis of the financial condition of Fifth Third Bank, NA as of year-end 2011. You will examine the trends in performance and conduct a peer group analysis. The table below contains data for Fifth Third Bank and for its peer group (peer group consists of five banks: Huntington Bank, KeyBank, Chase Bank, TD Bank, and Capital One) for the past four year-ends.

Using the data in the table, answer the following questions, and make sure that your discussion includes a discussion of the main ratios in each category:

PROFITABILITY: What is the trend in the banks profitability? What is the source of the trend in profitability? How does the banks profitability compare to its peer group? (8 points)

ASSET QUALITY: Perform an assessment of Fifth Third Banks asset quality. What are the trends in asset quality? How does this compare to the banks peer group? Are there notable differences in growth rates in assets? (7 points)

c) CAPITAL ADEQUACY: Does Fifth Third Bank meet the minimum capital adequacy requirements for a bank under Basel III?[1] Please assume that Tier 1 capital presented in the Table includes only common equity and retained earnings, which are common-equity capital. What are the trends in capital adequacy ratios for Fifth Third Bank and how do they compare to its peer group? (8 points)

[1] No need to consider capital conservation buffer or countercyclical buffer. Please concentrate on the basic capital requirements only.