WE ARE EXPECTING INCREASE IN INTEREST RATES, JOINING US TO TALK MORE ABOUT THE ABOVE SINCE FINANCIAL GROUP CEO BRUCE, THANKS FOR JOINING US.>>LET’S TALK ABOUT YOUR EXPECTATIONS, FOR THIS ECONOMY, BECAUSE THERE IS ALL WORRIES ABOUT WHAT IS GOING ON IN EUROPE GOING TO HIT U.S., AS WELL AS THAT THINGS ARE GOING TO SLOW DOWN IN THE COMING TWO YEARS IS THAT WHAT YOU ARE SEEING FROM YOUR –>>NO ACTUALLY DOMESTIC ECONOMY STILL VERY GOOD SHAPE I THINK GDP GROWTH WILL EXCEED 3% MAY BE 2 1/2 OR 3 NECKS YEAR UNEMPLOYMENT ON THE WAY TO 3 1/2 INFLATION UNDER CONTROL, SIGNS OF VERY HEALTHY ECONOMY.>>RICK WAS WITH US FROM BLACKROCK NOTING FEDERAL RESERVE RAISED RATES 10 SIMES SINCE ZERO HOW HAS IT IMPACTED YOUR BUSINESS.>>BANKS TYPICALLY BENEFIT BASED ON THE WAY BALANCE SHEET IS POSITIONED AGENCY RATES MOVE UP LOANS REPLACE QUICKLY DEPOSIT RATES MORE SLOWLY WE ARE BENEFITING, AND HASN’T BEEN ENOUGH TO REALLY SLOW LOAN DEMAND WE CONTINUED TO SEE REASONABLY GOOD DEMAND I THINK GIVEN THE POINT FED MOVED QUICKLY THE MARKET ANTICIPATES A HIKE IN DECEMBER, THEN MAYBE A PAUSE, MAYBE ONE NEXT YEAR, MOST PROBABLY TWO. I WOULD AGREE WITH I THINK IT IS THERE HAS BEEN A LOT OF MEDICINE SIT BACK SEE HOW PATIENTLY HAS RESPONDED.>>THAT IS A VERY DIFFERENT EXCEPTION THAN SIX MONTHS AGO.>>WHERE ARE YOU SEEING MOST DEMAND FOR COMMERCIAL LOANS RIGHT NOW WHAT SECTORS WHAT BUSINESSES.>>I THINK THAT SECTORS THAT HAVE BEEN FASTER GROWING TECHNOLOGY, HEALTH CARE, WE’VE SEEN REASONABLE GROWTH ENERGY STILL A LOT OF EXPLORATION TAKING PLACE. AND ALSO GENERAL INDUSTRIALS IN GENERAL FOLKS HAVE GOOD CASH FLOW, AND WE CONTINUE TO SEE GOOD BORROWING DEMAND.>>YOU ARE BANK FOR IPHONE IF YOU HAVE A PLAN FOR IPHONE, CITIZENS HAS THE EXCLUSIVE FINANCING PARTNERSHIP WITH APPLE MORE THAN HALF IPHONE BUYER OPT FOR INSTALLMENT PLANS WHAT DOES THAT TELL YOU –>>I THINK A GREAT PROGRAM APPLE DESIGNED ABOUT TERRIFIC CUSTOMER EXPERIENCE WHERE YOU CAN TAKE ADVANTAGE OF NEW LEAVES UPGRADED YOUR PHONE WE PROVIDE FINANCING FOR THAT DO I THINK THERE IS AN AVENUE TO LEVERAGE WHAT WE’VE DESIGNED TO START CHANGE POINT OF SALE MODEL LOOKING AT OTHER PARTNERSHIPS STAY TUNED ON THAT IN TERMS OF GROWTH GOING FORWARD YOU PRESENTED I AM LOOKING AT NOTES YOU HAVE YOU WERE RELEVERING POST IPO TELL US HOW ALLOCATING CAPITAL RIGHT NOW.>>IT HAS BEEN PRETTY BALANCED PROBABLY GROWING COMMERCIAL BANK FASTER THAN CONSUMER BANK MORE LOAN DEMAND ON COMMERCIAL SIDE A GREAT CONSUMER BANK WANT TO SCALE UP HIRED EXPERIENCED LOAN OFFERS FROM OTHER BANKS MOVED INTO OTHER REGIONS, SO WE’VE SEEN NICE GROWTH THERE, ON THES CONSUMER SIDE WE’VE FOCUSED ON NICHES MAY BE LESS COMPETITION EDUCATION REFINANCED LOANS BIG SPOT FOR US AREAS LIKE APPLE FINANCING POINT OF SALE FINANCING.>>WHAT ISS CONSUMER LOOK LIKE IN TERMS OF FINANCIAL HEALTH WHETHER THEY HAVE TAKEN ON TOO MUCH DEBT OR NOT?>>I THINK THE CONSUMER HAS BEEN FAIRLY CONSERVATIVE THERE IS NOT EXTREMELY AMOUNTS OF DESHLT TO HAVE YOU WATCH THE SUB PRIME SPACE, BUT ULTIMATELY –>>AUTOS ONE –>>THAT IS RIGHT.>>TALKING ABOUT THAT.>>BUT IF YOU LOOK AT THE BENEFITS, TO REGULAR FOLKS, TODAY WE’VE HAD REAL WAGE GROWTH THIS YEAR FOR THE FIRST TIME IN A LONG TIME THAT IS POSITIVE. TAX REFORM HAS PUT CASH BACK IN POCKETS, SO I THINK WITH HOLED BENEFIT TAX BENEFIT LOWER ISING BENEFITING INDIVIDUAL SAVINGS RATES STAYED UP CONSUMERS HAVE MORE BUYING POWER, POSITIVE.>>DO YOU NEED TO ACQUIRE TO GAIN MORE SCALE? OBVIOUSLY THE NUMBER OF BANKS HAS SHRUNK, IN THE LAST DECADE, WHAT DOES THE ACQUISITION STORY LOOK LIKE FOR YOU?>>WE’VE BEEN ACQUIRING, FEE BASED BUSINESSES, IF WE WANT TO GET DEEPER IN SOME OF OUR SERVICES THAT WE CAN OFFER TO CUSTOMERS WE BOUGHT M&A SHOP LAST YEAR BOUGHT A WELT ADVISORY RECENTLY BOUGHT A MORTGAGE COMPANY THIS YEAR, WE HAVEN’T FOCUSED ON FULL BANKS ONE OF THE THINGS WE DID TO GROW THE FIRST REGIONAL BANK TO LAUNCH, A NATIONAL DIGITAL BANK CITIZENS ACCESS ON TRACK TO HAVE OVER 2 1/2 BILLION DEPOSITS LESS THAN SIX MONTHS VERY SUCCESSFUL AS WELL YOU DON’T NECESSARILY HAVE TO GROW WITH BRICK AND MORTAR YOU HAVE TO GET GOOD DIGITAL GAIN WHERE OPPORTUNITY LIES.>>AN OPPORTUNITIES BUILT RISK CYBERSECURITY IS AN ISSUE GROWING CONCERN DATE BREACHES ALL THE TIME WHAT ARE YOU DOING IN THAT REGARD IN MORE AND MORE PEOPLE USING ONLINE BANKING AS A TOOL HOW DO YOU PROTECT ABOUT THE INFORMATION.>>IT IS REALLY, REALLY IMPORTANT. AND YOU START WITH LEADERSHIP SO WE BROUGHT IN A VERY EXPERIENCED HEAD OF OUR CYBERSECURITY AREA SHE IS POPULATED AREA WITH A LOT OF GOOD PEOPLE WE’VE GIVEN HER TOOLS LATEST TECHNOLOGY SHE NEEDS TO MAKE SURE OUR CUSTOMERS INFORMATION IS SECURE.