First Tennessee Bank Extends PULSE Participation, Signs Exclusive PIN Debit Agreement; Long-Term Agreement Includes ATM and PIN

HOUSTON--(BUSINESS WIRE)--April 5, 2006--First Tennessee Bank, a nationwide, diversified financial services institution owned by First Horizon National Corp. (NYSE:FHN), has signed a seven-year participation agreement with PULSE EFT Association LP, one of the nation's leading ATM/debit networks. As part of the agreement, First Tennessee -- a PULSE participant since 1997 -- will now utilize PULSE exclusively for PIN debit transactions at the point of sale.

This exclusive arrangement means that all of the PIN debit transactions made on First Tennessee's approximately 500,000 debit cards will be switched and settled on the PULSE network. First Tennessee also will utilize PULSE as its primary ATM network.

"Establishing this exclusive PIN debit agreement with a large regional financial institution such as First Tennessee Bank is significant for PULSE for several reasons. The agreement not only will bring incremental volume to the network but, more importantly, provides further evidence of the value proposition PULSE's competitive pricing and high-quality services offer financial institutions of all sizes," said David Schneider, PULSE president.

Mike Marzec, senior vice president of strategic planning and manager of electronic banking for First Tennessee Bank, has been named to the PULSE Financial Institution Oversight Committee. The committee -- created following PULSE's acquisition by Discover Financial Services -- is composed principally of executives from PULSE financial institution participants and advises PULSE on key issues relative to its operations.

"By participating on the committee, Mike will present First Tennessee's perspective on important issues facing the network and the payments industry," said Schneider. "He also will serve as a voice for all of PULSE's financial institution participants."

"PULSE offers the value, the national ATM and POS terminal coverage and the scope of services that are needed to support First Tennessee's growth and expansion," said Marzec. "We already use PULSE's ATM and POS services, and the fact that we are deepening our relationship with the network through this exclusive agreement shows the importance we place on establishing a solid, cost-effective foundation for electronic payment services. I look forward to further expanding our collaboration with PULSE by joining its Financial Institution Oversight Committee."

About First Tennessee

First Tennessee Bank is part of First Horizon National Corp. (NYSE:FHN). The 13,000 employees of First Horizon provide financial services to individuals and business customers through hundreds of offices located in more than 40 states. The corporation's three major brands -- FTN Financial, First Horizon and First Tennessee -- provide customers with a broad range of products and services including:

-- Capital markets, one of the nation's top underwriters of U.S. government agency securities

-- Mortgage banking, one of the nation's top 20 mortgage originators and top 15 servicers, which earned a top-10 ranking in customer satisfaction from J.D. Power and Associates

-- Retail/commercial banking, with the largest market share in Tennessee and one of the highest customer retention rates of any bank in the country

About PULSE EFT Association LP

PULSE is one of the nation's leading ATM/debit networks, currently serving more than 4,200 banks, credit unions and savings institutions across the country. PULSE is owned by Discover Financial Services LLC, a business unit of Morgan Stanley (NYSE:MS). The network links cardholders with nearly 250,000 ATMs and approximately 3.4 million POS terminals at retail locations nationwide. The company is also a valued resource for consumer research related to electronic payments and is committed to providing its participants with education on evolving products, services and trends in the payments industry. For more information, visit www.pulse-eft.com.

Contacts
PULSE EFT Association, Houston
Mary Brown, 800-420-2122
or
First Tennessee
Mike Marzec, 901-272-5498