Investor Presentaiton

Federal Education Loans Segment "Core Earnings" Basis Selected Financial Information and Ratios ($ In millions) Q4 20 Q4 19 2020 2019 Segment net interest margin 1.06% 0.87% 0.99% 0.83% FFELP Loans: Provision for loan losses $8 $13 $30 Full Year and 4th Quarter Highlights Federal Education Q4 20 Net Interest Margin: 106 basis points Q4 20 Charge-off Rate: 7 basis points Full year net interest margin improved 19% from the prior year, primarily driven by a favorable interest rate environment Charge-offs $9 $9 $49 $42 Charge-off rate 0.07% 0.06% 0.10% 0.07% Greater than 30-days 9.2% 11.7% 9.2% 11.7% delinquency rate Greater than 90-days 4.6% 5.8% 4.6% 5.8% - delinquency rate Q4 20 forbearance rate declined 52% from its peak of 28.5% in Q2 20 Forbearance rate increased to 13.8% from 12.2% in the year ago quarter Forbearance rate 13.8% 12.2% 13.8% 12.2% Average FFELP Loans $59,389 $65,642 $61,522 $68,271 Operating Expense $70 $89 $287 Net Income $134 $136 $537 $359 $525 Charge-offs were unchanged from the year ago quarter Number of accounts 5.6 5.6 5.6 5.6 serviced for ED (in millions) Total federal loans serviced Continue to provide payment relief options to borrowers who have been negatively impacted by the COVID-19 emergency $284 $287 $284 $287 (in billions) Contingent collections receivables inventory - $10.2 $19.0 $10.2 $19.0 education loans (billions) © 2021 Navient Solutions, LLC. All rights reserved. III 45

View entire presentation