News Release   Corporate Communications

Media	Investors
Janis Smith	Bob Strickland
(415) 396-7711	(415) 396-0523

Wednesday, January 16, 2008
WELLS FARGO REPORTS RECORD ANNUAL REVENUE
WITH DOUBLE-DIGIT REVENUE GROWTH

Full Year 2007:

• Record revenue of $39.4 billion

• Positive operating leverage (revenue growth of 10.4 percent; expense growth of 9.5 percent)

• Net income of $8.06 billion, including previously announced $1.4 billion (pre tax) credit reserve build and $203 million (pre tax) Visa litigation expense

• Diluted earnings per share of $2.38, including credit reserve build ($0.27) and Visa litigation expense ($0.04)

Fourth Quarter 2007:

• Record revenue of $10.2 billion

• Net income of $1.36 billion, including $1.4 billion (pre tax) credit reserve build

• Diluted earnings per share of $0.41, including $0.27 credit reserve build

• Strong loan growth

○	Average loans up 20 percent from prior year; up 27 percent (annualized) from prior quarter
○	Average commercial and commercial real estate loans up 24 percent from prior year; up 37 percent (annualized) from prior quarter

• Average core deposits up 11 percent from prior year; up 11 percent (annualized) from prior quarter

• Net interest margin of 4.62 percent, up 7 basis points from prior quarter

Selected Financial Information	Full Year									Fourth Quarter
							%									%
	2007			2006			Change			2007			2006			Change
Diluted earnings per share	$	2.38		$	2.47			(4	)%	$	0.41		$	0.64			(36	)%
Net income (in billions)		8.06			8.42			(4	)		1.36			2.18			(38	)
Net charge-offs as % of avg. total loans		1.03	%		0.73	%		41			1.28	%		0.92	%		39
Nonperforming loans as % of total loans		0.70			0.52			35			0.70			0.52			35
Allowance as a % of total loans		1.44			1.24			16			1.44			1.24			16
Revenue (in billions)	$	39.39		$	35.69			10		$	10.21		$	9.41			8
Average loans (in billions)		344.8			306.9			12			374.4			312.2			20
Average core deposits (in billions)		303.1			268.9			13			314.8			283.8			11
Net interest margin		4.74	%		4.83	%		(2	)		4.62	%		4.93	%		(6	)

- 2 -

SAN FRANCISCO — Wells Fargo & Company (NYSE:WFC) reported diluted earnings per common share of $2.38 for 2007 compared with $2.47 in 2006. Net income was $8.06 billion compared with $8.42 billion in 2006. Full year results included the impact of the previously announced $1.4 billion (pre tax) credit reserve build ($0.27 per share) and $203 million Visa litigation expense ($0.04 per share) for 2007 and $95 million ($0.02 per share) of Visa litigation expense for 2006. Net income was $1.36 billion, or $0.41 per share, for fourth quarter 2007 compared with $2.18 billion, or $0.64 per share, for fourth quarter 2006. Fourth quarter results included the impact of the $1.4 billion (pre tax) credit reserve build ($0.27 per share).

“Despite the industry headwinds and challenging economic environment, our outstanding team members produced record revenue for both the fourth quarter and full year,” said President and CEO John Stumpf. “We expect the environment to remain challenging in 2008, particularly in the consumer sector, but we’re as committed as ever to satisfying all our customers’ financial needs and believe we have the right strategy and team in place to do just that. Our talented team did exceptionally well in fundamental areas such as account, revenue and deposit growth and we expanded distribution and cross-sell to both consumer and commercial customers. Our diversified business model, financial strength and rigorous execution have enabled us to manage through challenging times better than most and 2007 proved that. It was also a productive year for acquisitions, including our acquisitions of Placer Sierra Bancorp and Greater Bay Bancorp. We also recently agreed to acquire the banking operations of United Bancorporation of Wyoming, which will make us the largest bank in our nation’s ninth fastest-growing state. This is not the first economic downturn our industry has seen and it won’t be the last. That’s why we’ve built our model and our team to meet customer needs as a priority through all economic conditions — a commitment every bit as strong today as it’s been over our 156-year history.”

Financial Performance
“Despite the challenging environment in 2007, Wells Fargo had a strong year and strong fourth quarter,” said Chief Financial Officer Howard Atkins. “We believe we will be among the few large banks in the U.S. that achieved both double-digit top line revenue growth as well as positive operating leverage (revenue growth of 10.4 percent exceeding expense growth of 9.5 percent). Our pre-tax pre-provision profit (revenue less noninterest expense) rose to an annual record of $16.6 billion, up 12 percent from the prior year, and, on a strong fourth quarter, to a quarterly record of $4.3 billion, up 8 percent year-over-year, and 12 percent (annualized) on a linked-quarter basis. The strength of these business results reflected record sales and double-digit growth in loans, deposits and fee income for the full year,” said Atkins.

“While we were not immune to the unexpectedly sharp and rapid downturn in housing, and our earnings were reduced in the fourth quarter by the $1.4 billion credit reserve build, primarily for home equity losses, we largely avoided the problems and costly asset write-downs many large financial institutions incurred. We maintained one of the highest return on equity ratios among large bank holding companies, at 17.1 percent, as well as one of the strongest capital positions in the industry for 2007. With our strong capital position, the challenges facing the industry and the significant upward re-pricing of asset spreads, we are finding significantly more opportunities now for acquisitions, portfolio purchases, and attractive loan and asset purchases than we have seen in the past five years.”

- 3 -

Revenue
Revenue for the year was a record $39.4 billion, up 10 percent from $35.7 billion in 2006. Revenue increased 8 percent in the fourth quarter to $10.2 billion, another record, up $792 million from a year ago. On a linked-quarter basis, revenue growth accelerated to 14 percent (annualized), up $352 million. “Our strong revenue growth was driven by solid, across the board volume growth in loans, deposits and fee-based products,” said Atkins. “Many of our businesses continued to post double-digit, year-over-year revenue growth, including business direct, wealth management, credit and debit card, global remittance services, personal credit management, home mortgage, asset-based lending, asset management, specialized financial services and international.”

Loans
Average loans of $374.4 billion in fourth quarter 2007 grew $62.2 billion, or 20 percent, from fourth quarter 2006. On a linked-quarter basis, average loans increased $23.7 billion, or 27 percent (annualized). Average commercial and commercial real estate loans increased $28.4 billion, or 24 percent, from fourth quarter 2006 and increased $12.6 billion, or 37 percent (annualized), on a linked-quarter basis. This was the 13^th consecutive quarter of double-digit, year-over-year growth in average commercial and commercial real estate loans.

Average consumer loans increased $32.8 billion, or 18 percent, from a year ago and increased $10.9 billion, or 21 percent (annualized), on a linked-quarter basis. Average real estate 1-4 family junior lien mortgage and credit card loans grew at double-digit rates from a year ago. The acquisition of Greater Bay Bancorp added $5.1 billion of average total loans in the fourth quarter, including $4.7 billion of commercial loans and $400 million of consumer loans.

Deposits
Average core deposits of $314.8 billion for fourth quarter 2007 increased $31.0 billion, or 11 percent, from fourth quarter 2006. On a linked-quarter basis, average core deposits grew $8.7 billion, or 11 percent (annualized). Average mortgage escrow deposits were $19.8 billion for fourth quarter 2007, down $392 million from fourth quarter 2006 and down $2.6 billion on a linked-quarter basis. Excluding mortgage escrow balances, total average core deposits grew 12 percent from fourth quarter 2006 and 16 percent (annualized) on a linked-quarter basis. Average retail core deposits grew $14.2 billion, or 6 percent, from fourth quarter 2006 and increased $5.6 billion, or 10 percent (annualized), on a linked-quarter basis. Average net new consumer checking accounts grew 4.7 percent from fourth quarter 2006, including 5.7 percent net new consumer account growth in California. The acquisition of Greater Bay Bancorp added $3.6 billion of average deposits in the fourth quarter, $3.4 billion of which were retail core deposits.

Net Interest Income
Net interest income increased $438 million, or 9 percent, from a year ago and increased $208 million, or 16 percent (annualized), from third quarter 2007 due to solid earning asset growth (up 16 percent year-over-year and up 10 percent (annualized) on a linked-quarter basis) combined with a 7 basis point expansion in the net interest margin to 4.62 percent on a linked-quarter basis. “The Company continued to have one of the highest net interest margins among large U.S. bank holding companies,” said Atkins. Net interest income was reduced by approximately $22 million in the quarter due to the impact of temporarily elevated short-term London Interbank Offered Rates (LIBOR).

- 4 -

Noninterest Income
Noninterest income increased $354 million, or 8 percent, from fourth quarter 2006 and increased 12 percent (annualized) on a linked-quarter basis. Noninterest income increased across the Company’s businesses from fourth quarter 2006, with double-digit increases in debit and credit card fees (up 22 percent), deposit service charges (up 13 percent) and insurance fees (up 24 percent), along with a solid increase in trust and investment fees (up 9 percent). Capital markets and equity investment results also were strong during the quarter. Mortgage banking noninterest income increased $154 million, or 23 percent, from fourth quarter 2006, because net servicing fee income growth exceeded the impact of a 20 percent decline in home mortgage originations.

The 12 percent annualized growth in noninterest income on a linked-quarter basis reflected, in part, strong double-digit annualized growth in trust and investment fees, card fees and insurance income. During the quarter, mortgage banking noninterest income was impacted by changes in interest rates, widening credit spreads and other housing/credit market conditions, including:

•     ($268) million

Write-down of the mortgage warehouse/pipeline, write-down of mortgage loans repurchased during the quarter, an increase in the repurchase reserve for projected early payment defaults, and a decline in servicing value of loans held in the mortgage warehouse.

•     $280 million

Increase in mortgage servicing income reflecting a $1.9 billion reduction in the value of mortgage servicing rights (MSRs) due to the decline in mortgage rates during the quarter, offset by a $2.2 billion gain on the financial instruments hedging the MSRs. The ratio of MSRs to related loans serviced for others was 1.20 percent, the lowest capitalization ratio in 10 quarters and 15 basis points below the third quarter.

Unrealized net gains on securities available for sale were $680 million at December 31, 2007, up from $581 million at September 30, 2007. “We continued to maintain a relatively low-risk, highly liquid and very valuable available for sale portfolio,” said Atkins.

Noninterest Expense
Noninterest expense increased $489 million, or 9 percent, from fourth quarter 2006 and increased $229 million from third quarter 2007. Noninterest expense for fourth quarter 2007 included $43 million in integration and severance costs, as well as $33 million in expenses reflecting the Company’s proportionate share of Visa’s accrual for certain additional litigation matters. As previously reported, the Company revised its third quarter 2007 results to reflect $170 million of litigation expenses associated with indemnification obligations arising from the Company’s ownership interest in Visa. “We continued to invest in our people and our businesses in 2007, opening 87 regional banking stores,” said Atkins. “Despite these investments, our efficiency ratio was 57.8 percent in fourth quarter 2007, of which 60 basis points was due to the acquisition of Greater Bay Bancorp and related integration expense.”

Income Taxes
The Company’s effective tax rate for full year 2007 was 30.70 percent compared with 33.44 percent for 2006. Income tax expense for 2007 included FIN 48 tax benefits of $235 million, of which $130 million was in the fourth quarter, as well as the impact of lower pre-tax earnings in relation to the level of tax-exempt income and tax credits. The tax benefits recorded in 2007 primarily related to the resolution of certain matters with federal and state taxing authorities and statute expirations,

- 5 -

reduced by accruals for uncertain tax positions, in accordance with FASB Interpretation No. 48, Accounting for Uncertainty in Income Taxes.

Credit Quality
“2007 was a challenging year for credit,” said Chief Credit Officer Mike Loughlin. “We largely avoided many higher-risk wholesale and consumer loan products and practices that are problematic to the industry. However, we did not fully appreciate the severity of the residential real estate downturn and its impact on our home equity portfolio, particularly our third party-originated, higher loan-to-value second mortgages.” The fourth quarter 2007 provision was $2.6 billion, which included fourth quarter 2007 net charge-offs of $1.2 billion and the previously disclosed $1.4 billion fourth quarter credit reserve build, largely for losses in the National Home Equity Group (Home Equity) portfolio, particularly in discontinued third party origination channels.

Net Charge-offs: Fourth Quarter 2007
Fourth quarter 2007 net charge-offs were $1.21 billion (1.28 percent of average total loans, annualized) compared with $892 million (1.01 percent) in third quarter 2007 and $726 million (0.92 percent) in fourth quarter 2006.

	December 31, 2007					September 30, 2007
	Net loan		As a %			Net loan			As a %
	charge-offs		of average			charge-offs			of average
	(in millions)		loans			(in millions)			loans
Commercial and commercial real estate:
Commercial	$	186		0.85	%	$	120			0.60	%
Other real estate mortgage		3		0.02			(2	)		0.01
Real estate construction		9		0.19			2			0.06
Lease financing		4		0.24			5			0.27
Total commercial and commercial real estate		202		0.54			125			0.37
Consumer:
Real estate 1-4 family first mortgage		34		0.19			16			0.11
Real estate 1-4 family junior lien		277		1.46			153			0.83
Credit card		223		5.01			176			4.30
Other revolving credit and installment		421		2.97			368			2.68
Total consumer		955		1.74			713			1.36
Foreign		55		2.81			54			2.86
Total loans	$	1,212		1.28	%	$	892			1.01	%

“Credit performance within the overall portfolio varied by loan type,” said Loughlin. Commercial and commercial real estate charge-offs increased $77 million, almost entirely due to the commercial category, largely consisting of charge-offs on loans originated through our business direct channel. Business direct consists primarily of unsecured lines of credit to small firms and sole proprietors. These lines tend to perform in a manner similar to credit cards. The remaining balance of commercial (other real estate mortgage, real estate construction and lease financing) continued to have extremely low charge-off rates. While real estate 1-4 family first mortgage charge-off rates increased in the fourth quarter in the aggregate, total charge-offs were very low, only $34 million on a $71 billion portfolio. Credit card charge-offs increased $47 million in the quarter, about one-third of which was due to growth. After having been at uncharacteristically low levels, card charge-off rates increased to 5 percent in the fourth quarter and were largely in line with industry standards, reflecting some stress on the consumer. Charge-offs in other revolving credit and installment loans,

- 6 -

largely in the auto portfolio, increased to $421 million in the fourth quarter. The $28 million increase in auto charge-offs in the fourth quarter was consistent with historical, second half of the year seasonal trends.

Charge-offs in the real estate 1-4 family junior lien category, primarily Home Equity loans, increased $124 million in the fourth quarter, primarily due to Home Equity losses. The large and rapid deterioration in residential real estate values in many markets led to greater loss severity in our higher loan-to-value portfolio segments. As previously disclosed, the Company identified approximately $12 billion of higher-loss content Home Equity loans, primarily sourced through third party originators, which were segregated into a liquidating portfolio for dedicated account management and collections. The liquidating portfolio produced $47.6 million in net charge-offs for the month of December, 2007 with an annualized loss rate of 4.80 percent compared with 0.86 percent for the remaining portfolio during December. Details are provided in the table below.

Home Equity Portfolios as of December 31, 2007

	Liquidating			Remaining
($ in billions)	Portfolio			Portfolio
Outstanding balances		$11.9			$72.3
December 2007 loss rate (annualized)		4.80	%		0.86	%
CLTV* > 90%		55	%		25	%
Avg. FICO		725			735
Wells Fargo retail originated		< 1	%		98	%
$ in 1st lien		$  0.4			$11.4
$ in 2nd lien behind a WF 1st		3.4			38.1
% in California		38	%		36	%

* Combined loan to value ratio greater than 90% based primarily on automated appraisal updates as of September 30, 2007

Net Charge-offs: 2007
Full year 2007 net charge-offs were $3.54 billion (1.03 percent of average total loans) compared with $2.25 billion (0.73 percent) during 2006. Total wholesale charge-offs (excluding business direct) were 0.08 percent of total loans, and remained at historically low levels. Total 2007 charge-offs increased $78 million from prior year, centered in residential real estate construction and industries related to home building. Home Equity charge-offs totaled $595 million (0.73 percent of average Home Equity loans) in 2007 compared with $110 million (0.14 percent) in 2006. “The majority of the Home Equity charge-offs were centered in the indirect origination and 90 percent or greater combined loan-to-value portfolios where we have discontinued activities and segregated the loans into the liquidating portfolio,” said Loughlin. “We also experienced increased charge-offs in our unsecured consumer portfolios, in part due to growth and in part due to increased economic stress in households. Full year 2007 auto charge-offs were $1.02 billion (3.45 percent of average auto loans) compared with $857 million (3.15 percent) in 2006. These results were consistent with our expectations and represent a stabilization of new business originations and collections activities within this business. Given the weakness in housing and overall state of the U.S. economy, it is likely that net charge-offs will be higher in 2008.”

- 7 -

Nonperforming Assets
Total nonperforming assets were $3.87 billion (1.01 percent of loans) at December 31, 2007, and included $2.68 billion of nonperforming loans, $535 million of fully insured Government National Mortgage Association (GNMA) repurchases, and $649 million of foreclosed real estate and repossessed vehicles. This compares with $3.18 billion (0.88 percent) at September 30, 2007, consisting of $2.09 billion of nonperforming loans, $487 million of GNMA repurchases and $603 million of foreclosed and repossessed assets.

“The majority of the increase in nonperforming assets was concentrated in the first mortgage loan portfolio ($132 million in Wells Fargo Home Mortgage and $230 million in Wells Fargo Financial real estate) and was due to the national rise in foreclosure rates,” said Loughlin. “Additionally, due to illiquid market conditions, we have decided to hold more foreclosed properties than we have historically.”

Loans 90 days or more past due and still accruing totaled $6.39 billion, $5.53 billion, and $5.07 billion at December 31, 2007, September 30, 2007 and December 31, 2006, respectively. For the same periods, the total included $4.83 billion, $4.26 billion and $3.91 billion, respectively, in advances pursuant to our servicing agreement to GNMA mortgage pools whose repayments are insured by the Federal Housing Administration or guaranteed by the Department of Veteran Affairs.

Loans 90 Days or More Past Due and Still Accruing
(Excluding Insured/Guaranteed GNMA Balances)

	Dec. 31,		Sept. 30,		Dec. 31,
(in millions)	2007		2007		2006
Commercial and commercial real estate:
Commercial	$	32	$	14	$	15
Other real estate mortgage		10		22		3
Real estate construction		24		10		3
Total commercial and commercial real estate		66		46		21
Consumer:
Real estate 1-4 family first mortgage		286		225		154
Real estate 1-4 family junior lien mortgage		201		127		63
Credit card		402		303		262
Other revolving credit and installment		552		520		616
Total consumer		1,441		1,175		1,095
Foreign		52		42		44
Total	$	1,559	$	1,263	$	1,160

Allowance for Credit Losses
The allowance for credit losses, including unfunded credit commitments, was $5.52 billion at December 31, 2007, an increase of $1.50 billion, or 37 percent, from the prior quarter, attributable to the $1.4 billion credit reserve build, and loan loss reserves from the Greater Bay Bancorp acquisition. “The $5.52 billion allowance provides increased coverage of loans outstanding,” said Loughlin. “We believe the allowance is adequate for losses inherent in the loan portfolio at December 31, 2007.”

- 8 -

Business Segment Performance
Wells Fargo has three lines of business for management reporting: Community Banking, Wholesale Banking and Wells Fargo Financial. Net income of the three business segments was:

	Full Year							Fourth Quarter
					%							%
Net income (in millions)	2007		2006		Change			2007		2006		Change
Community Banking	$	5,293	$	5,550		(5	)	$	693	$	1,532		(55	)
Wholesale Banking		2,283		2,018		13			590		491		20
Wells Fargo Financial		481		852		(44	)		78		158		(51	)

More financial information about the business segments is on pages 28 and 29.

Community Banking offers a complete line of diversified financial products and services for consumers and small businesses including investment, insurance and trust services primarily in 23 midwestern and western states, and mortgage and home equity loans in all 50 states.

Selected Financial Information	Full Year							Fourth Quarter
					%							%
(in millions)	2007		2006		Change			2007		2006		Change
Total revenue	$	25,538	$	23,032		11		$	6,660	$	6,130		9
Provision for credit losses		3,187		887		259			2,082		275		657
Noninterest expense		15,000		13,917		8			3,904		3,558		10
Net income		5,293		5,550		(5	)		693		1,532		(55	)
Average loans (in billions)		194.0		178.0		9			210.9		175.7		20
Average assets (in billions)		330.8		320.2		3			347.0		311.9		11

Community Banking reported net income of $5.29 billion for 2007 (including the $1.4 billion pre-tax credit reserve build), down from $5.55 billion for 2006. Pre-tax pre-provision profit (revenue less noninterest expense) increased $1.42 billion, or 16 percent, from 2006. Revenue growth of 11 percent was driven by loan growth of 9 percent and double-digit fee income growth. Noninterest expense for 2007 increased 8 percent (3 percentage points less than revenue, representing positive operating leverage) driven by investments in technology, distribution and sales staff. The provision for credit losses for 2007 increased $2.3 billion from 2006, including the $1.4 billion credit reserve build.

Regional Banking highlights

• Record core product solutions (sales) of 19.7 million, up 11 percent from 2006 on a comparable basis

• Core sales per platform sales banker FTE (active, full-time equivalent) of 4.93 per day, up from 4.75 in 2006 on a comparable basis

• Retail bank household cross-sell of 5.5 products per household

• Sales of Wells Fargo Packages^® (a checking account and at least three other products) up 21 percent from 2006, purchased by 69 percent of new checking account customers

• Consumer checking accounts up a net 4.7 percent from prior year

• Team member engagement ratio (engaged to actively disengaged) over 8.5 to 1 improved from 7.1 to 1 in 2006

• Store-based customer loyalty scores up 7 percent from 2006

• Business Banking

○	Store-based business solutions up 16 percent from 2006 on a comparable basis
○	Loans to small businesses (loans primarily less than $100,000 on our business direct platform) up 19 percent from 2006

- 9 -

○	Business checking accounts up a net 3.6 percent from 2006
○	Business Banking household cross-sell at 3.5, up from 3.3 in 2006
○	Sales of Wells Fargo Business Services Packages (a business checking account and at least three other business products) up 30 percent from 2006, purchased by 45 percent of new business checking account customers

“Thanks to our dedicated Regional Banking team, focused on our vision of earning all of our customers’ business, we provided a record 19.7 million core product solutions in 2007, up 11 percent from 2006 on a comparable basis,” said Carrie Tolstedt, senior EVP, Community Banking. “Our retail bank household cross-sell was 5.5, nearly 1 in 4 households have 8 or more products, and 69 percent of new checking account customers purchased Wells Fargo Packages. Sales of store-based business solutions increased 16 percent from 2006 on a comparable basis, and sales of Wells Fargo Business Services Packages rose 30 percent. We know our talented and dedicated team members drive our success. In 2007, our team member engagement ratio rose to over 8.5 to 1, up from 7.1 to 1 in 2006. Five years ago, it was 2.5 to 1. We continue to focus on the customer experience, performing 50,000 store-based customer surveys per month. We've now completed over two million surveys since we began surveying four years ago. For customers transacting at the teller line, welcoming and wait time survey scores were up 11 percent and customer loyalty scores improved 7 percent from 2006. In 2007, we opened 87 banking stores and converted 39 stores from Placer Sierra Bancshares and 3 stores purchased from National City Bank, bringing our total retail store count to 3,298. We welcomed Greater Bay Bancorp to our team in the fourth quarter, with conversion to our network planned for early in 2008. To better serve our customers, we added 153 webATM^® machines and converted 908 to Envelope-Free^SM webATM machines bringing our total to 1,314 primarily in Northern California.”

Home Mortgage and Home Equity highlights

• Mortgage originations of $272 billion in 2007, down 7 percent from prior year

• Record $1.53 trillion owned mortgage servicing portfolio, up 12 percent from prior year

• Mortgage servicing customers of 10 million

• Mortgage application pipeline of $43 billion, compared with $48 billion at December 31, 2006

• National Home Equity Group portfolio of $84 billion, up 6 percent from December 31, 2006

“Despite the sharp downturn in housing and the disruption in the secondary markets, our home mortgage businesses performed relatively well compared with many of the players in the industry,” said Mark Oman, senior EVP, Home and Consumer Finance Group. “During the year, our teams have taken the appropriate actions to reduce credit and capital markets risk, lower our cost structures, and strengthen our mortgage sales force by selectively hiring highly-successful sales representatives from our competitors. Total fourth quarter originations declined 20 percent from 2006 to $56 billion, primarily reflecting actions we took to exit or reduce volume in third party channels for non-prime, non-conforming and home equity products. Retail mortgage originations declined only 3 percent in the quarter. In 2007, we again benefited from a balanced business model. As origination volumes have slowed, so have servicing prepayments. As a result, we continued to grow the servicing business, with our owned servicing portfolio reaching $1.53 trillion at year-end, up 12 percent from 2006. We also continued to work hard to keep customers in their homes. Our foreclosure rate remained well below industry averages, and we were a leader in HOPE NOW, a new national alliance of mortgage counselors, mortgage servicers, capital markets, investors and the group government to help at-risk homeowners facing foreclosure or higher adjustable rate mortgage resets.”

- 10 -

Wealth Management Group highlights

• Wells Fargo Wealth Management Group named among top 10 wealth managers in U.S. by Barron’s

• Revenue up 14 percent in fourth quarter from prior year, up 10 percent (annualized) from prior quarter

• Average loans up 21 percent in fourth quarter from prior year, up 24 percent (annualized) from prior quarter

• Brokerage assets under administration of $103 billion, up 17 percent from prior year

Internet highlights

• 9.68 million active online consumer customers, up 13 percent from prior year, serving 65 percent of all consumer checking accounts

• 4.84 million online money movement customers, up 18 percent from prior year

• 981,000 active online small business customers, up 18 percent from prior year

Wholesale Banking serves customers coast to coast, including middle market banking, corporate banking, commercial real estate, treasury management, asset-based lending, insurance brokerage, foreign exchange, trade services, specialized lending, equipment finance, capital markets activities and asset management.

Selected Financial Information	Full Year								Fourth Quarter
					%						%
(in millions)	2007		2006		Change		2007		2006		Change
Total revenue	$	8,341	$	7,234		15	$	2,142	$	1,883		14
Provision for credit losses		69		16		331		36		25		44
Noninterest expense		4,772		4,114		16		1,212		1,105		10
Net income		2,283		2,018		13		590		491		20
Average loans (in billions)		85.6		71.4		20		95.1		75.0		27
Average assets (in billions)		113.1		97.1		16		128.1		97.9		31

• Double-digit growth in revenue, earnings, loans and deposits from prior year

• Record net income of $2.28 billion in 2007, up 13 percent from 2006, 9^th consecutive year of record earnings

• Asset Management Group revenue up 13 percent from prior year, up 15 percent (annualized) from prior quarter

• Acquired 16 commercial insurance brokerages in 2007, 4 in fourth quarter

• Active users of Commercial Electronic Office^® internet portal up 26 percent from same period last year

“Our Wholesale Banking team achieved outstanding results,” said Dave Hoyt, senior EVP, Wholesale Banking Group. “For the 14^th consecutive quarter, we achieved double-digit, year-over-year growth in loans. Despite unsettled financial market conditions, we continued to build deeper relationships with our customers, with an average of 6.1 products per wholesale relationship and over 7.6 products per middle market commercial relationship. We continued to grow market share by adding more offices, introducing new products and services, and attracting talented professionals to help our customers succeed financially. We achieved record revenue in sales of foreign exchange and interest rate risk management products.

“Many of our customers are experiencing benefits of electronically scanning and sending their checks via internet for deposit with us safely and securely, surpassing the volume of paper check

- 11 -

deposits for the first time. On several days in October, we processed electronically more than one million check images and more than $2 billion in deposits in a single day. We received 106 million checks electronically in 2007, more than three times 2006, and $254 billion was deposited electronically in 2007, more than double the volume in 2006.”

Wholesale Banking’s net income was $590 million and $2.3 billion in fourth quarter and full year 2007, respectively, up 20 percent and 13 percent, for the same periods from a year ago. Fourth quarter 2007 revenue increased 14 percent to $2.1 billion and full year revenue was up 15 percent, driven by strong loan and deposit growth and higher fee income. Average loans grew to $95.1 billion, up 27 percent from a year ago, including $2.6 billion from the CIT Construction acquisition, as well as double-digit increases across nearly all wholesale lending businesses. Average core deposits were $61.5 billion, up 40 percent from a year ago, all in interest-bearing balances. Noninterest income increased $113 million from fourth quarter 2006 due to higher trust and investment income (reflecting a 16 percent increase in assets under management), deposit service charges, foreign exchange and insurance, partially offset by a lower level of capital markets and commercial real estate brokerage activity given challenges in certain sectors of the market environment. Noninterest expense increased $107 million from a year ago, mainly due to higher personnel-related costs, including additional team members and higher incentive expenses, as well as commissions and other expenses directly related to higher sales volumes, continued investments, and acquisitions.

Wells Fargo Financial offers consumer loans primarily through real estate-secured debt consolidation products, automobile financing, consumer and private-label credit cards and commercial services to consumers and businesses throughout the United States, Canada, Puerto Rico and the Pacific Rim.

Selected Financial Information	Full Year									Fourth Quarter
					%							%
(in millions)	2007		2006		Change			2007		2006		Change
Total revenue	$	5,511	$	5,425		2		$	1,403	$	1,400		—
Provision for credit losses		1,683		1,301		29			494		426		16
Noninterest expense		3,052		2,806		9			784		748		5
Net income		481		852		(44	)		78		158		(51	)
Average loans (in billions)		65.2		57.5		13			68.4		61.5		11
Average assets (in billions)		71.1		62.9		13			74.7		67.0		11

• Average loans up 13 percent from prior year

○	Real estate-secured receivables up 25 percent to $27.3 billion
○	Auto finance receivables flat at $27.4 billion

Wells Fargo Financial’s net income in the fourth quarter was $78 million, down $80 million from a year ago when the Company completed the final portion of its divestiture of some of its Latin American operations. For the full year, net income was $481 million, down from $852 million last year, in part as a result of the Latin American sale and a $50 million reversal of Hurricane Katrina-related reserves both in 2006, while 2007 included higher losses and slower growth in the auto portfolio.

“Our real estate-secured portfolio, largely consisting of $24 billion of debt-consolidation loans in the U.S., continued to experience solid growth, in part due to lower levels of prepayments,” said Tom Shippee, president and CEO of Wells Fargo Financial. “Overall credit quality on this real estate-secured portfolio remained good, with losses of only $18 million in the fourth quarter,

- 12 -

although delinquencies and nonaccrual loans did increase in the quarter, reflecting some signs of consumer stress.

“Results in 2007 were significantly impacted by the auto business stemming from a decision in late 2006 to slow the growth rate of this business in order to concentrate on reducing losses, delinquencies, and to improve the loan collection process. Growth in losses did slow in 2007, delinquencies remained lower than a year ago - although they increased somewhat late in the year primarily due to seasonality - and the targeted improvements in the collection process have now been completed. While overall risk in this business has been reduced, revenue growth has moderated as we slowed the business down.

“As the year progressed, we focused on aggressively managing costs on several fronts, including closing 89 consumer stores in the U.S. and 16 in Canada, representing a 9 percent reduction in our store network. This was made possible by the consolidation of our auto lending and consumer lending platforms in 2006, which helped eliminate redundancies and provided for more efficient use of store space, without reducing the total sales force. Full year expenses grew only 9 percent, with a 5 percent increase in the fourth quarter compared with a year ago, which was less than half the rate of our fourth quarter receivables growth.”

Recorded Message
A recorded message reviewing Wells Fargo’s results is available at 5:30 a.m. Pacific Time through January 19, 2008. Dial 877-660-6853 (domestic) or 201-612-7415 (international). Enter account number 286 and conference ID 266655. The call is also available on the internet at www.wellsfargo.com/ir and http://www.vcall.com/IC/CEPage.asp?ID=124308.

The following appears in accordance with the Private Securities Litigation Reform Act of 1995:

This news release contains forward-looking statements about the Company, including the statements that we believe the allowance for credit losses was adequate for losses inherent in the loan portfolio at December 31, 2007 and that net charge-offs will likely be higher in 2008 than they were in 2007. Do not unduly rely on forward-looking statements. They give our expectations about the future and are not guarantees. Forward-looking statements speak only as of the date they are made, and we do not undertake any obligation to update them to reflect changes that occur after that date.

There are a number of factors that could cause results to differ significantly from our expectations, including further deterioration in the credit quality of our home equity, real estate, auto or other loan portfolios, or in the value of the collateral securing those loans, due to higher interest rates, increased unemployment, declining home or auto values, or other economic factors. For a discussion of factors that may cause actual results to differ from expectations, refer to our Annual Report on Form 10-K for the year ended December 31, 2006, as updated by our Quarterly Report on Form 10-Q for the quarter ended September 30, 2007, filed with the Securities and Exchange Commission (SEC) and available on the SEC’s website at www.sec.gov.

Any factor described in this news release or in any document referred to in this news release could, by itself or together with one or more other factors, adversely affect the Company’s business, earnings and/or financial condition.

Wells Fargo & Company is a diversified financial services company with $575 billion in assets, providing banking, insurance, investments, mortgage and consumer finance to more than 23 million customers from almost 6,000 stores and the internet (wellsfargo.com) across North America and elsewhere internationally. Wells Fargo Bank, N.A. is the only bank in the U.S., and one of two banks worldwide, to have the highest possible credit rating from both Moody’s Investors Service, “Aaa,” and Standard & Poor’s Ratings Services, “AAA.”

# # #

-13-

Wells Fargo & Company and Subsidiaries
SUMMARY FINANCIAL DATA (1)
	Quarter ended December 31,						%			Year ended December 31,						%
($ in millions, except per share amounts)	2007			2006			Change			2007			2006			Change
For the Period
Net income	$	1,361		$	2,181			(38	) %	$	8,057		$	8,420			(4	)	%
Diluted earnings per common share		0.41			0.64			(36	)		2.38			2.47			(4	)
Profitability ratios (annualized):
Net income to average total assets (ROA)		0.97	%		1.79	%		(46	)		1.55	%		1.73	%		(10	)
Net income to average stockholders’ equity (ROE)		11.25			19.02			(41	)		17.12			19.52			(12	)
Efficiency ratio (2)		57.8			57.5			1			57.9			58.4			(1	)
Total revenue	$	10,205		$	9,413			8		$	39,390		$	35,691			10
Dividends declared per common share		0.31			0.28			11			1.18			1.08			9
Average common shares outstanding		3,327.6			3,379.4			(2	)		3,348.5			3,368.3			(1	)
Diluted average common shares outstanding		3,352.2			3,424.0			(2	)		3,382.8			3,410.1			(1	)
Average loans	$	374,372		$	312,166			20		$	344,775		$	306,911			12
Average assets		555,647			482,585			15			520,752			486,023			7
Average core deposits (3)		314,808			283,790			11			303,091			268,853			13
Average retail core deposits (4)		234,210			220,025			6			228,667			215,788			6
Net interest margin		4.62	%		4.93	%		(6	)		4.74	%		4.83	%		(2	)
At Period End
Securities available for sale	$	72,951		$	42,629			71		$	72,951		$	42,629			71
Loans		382,195			319,116			20			382,195			319,116			20
Allowance for loan losses		5,307			3,764			41			5,307			3,764			41
Goodwill		13,106			11,275			16			13,106			11,275			16
Assets		575,442			481,996			19			575,442			481,996			19
Core deposits (3)		311,731			288,068			8			311,731			288,068			8
Stockholders’ equity		47,628			45,814			4			47,628			45,814			4
Capital ratios:
Stockholders’ equity to assets		8.28	%		9.51	%		(13	)		8.28	%		9.51	%		(13	)
Risk-based capital (5)
Tier 1 capital		7.59			8.93			(15	)		7.59			8.93			(15	)
Total capital		10.68			12.49			(14	)		10.68			12.49			(14	)
Tier 1 leverage (5)		6.83			7.88			(13	)		6.83			7.88			(13	)
Book value per common share	$	14.45		$	13.57			6		$	14.45		$	13.57			6
Team members (active, full-time equivalent)		159,800			158,000			1			159,800			158,000			1
Common Stock Price
High	$	37.78		$	36.99			2		$	37.99		$	36.99			3
Low		29.29			34.90			(16	)		29.29			30.31			(3	)
Period end		30.19			35.56			(15	)		30.19			35.56			(15	)

(1)	Results for third quarter 2007 and second quarter 2006 have been revised to reflect $170 million and $95 million, respectively, of litigation expenses associated with indemnification obligations arising from the Company’s ownership interest in Visa.
(2)	The efficiency ratio is noninterest expense divided by total revenue (net interest income and noninterest income).
(3)	Core deposits are noninterest-bearing deposits, interest-bearing checking, savings certificates, market rate and other savings, and certain foreign deposits (Eurodollar sweep balances).
(4)	Retail core deposits are total core deposits excluding Wholesale Banking core deposits and retail mortgage escrow deposits.
(5)	The December 31, 2007, ratios are preliminary.

-14-

Wells Fargo & Company and Subsidiaries
FIVE QUARTER SUMMARY FINANCIAL DATA (1)
	Quarter ended
	Dec. 31,			Sept. 30,			June 30,			Mar. 31,			Dec. 31,
($ in millions, except per share amounts)	2007			2007			2007			2007			2006
For the Quarter
Net income	$	1,361		$	2,173		$	2,279		$	2,244		$	2,181
Diluted earnings per common share		0.41			0.64			0.67			0.66			0.64
Profitability ratios (annualized):
Net income to average total assets (ROA)		0.97	%		1.59	%		1.82	%		1.89	%		1.79	%
Net income to average stockholders’ equity (ROE)		11.25			18.22			19.57			19.68			19.02
Efficiency ratio (2)		57.8			57.5			57.9			58.5			57.5
Total revenue	$	10,205		$	9,853		$	9,891		$	9,441		$	9,413
Dividends declared per common share		0.31			0.31			0.28			0.28			0.28
Average common shares outstanding		3,327.6			3,339.6			3,351.2			3,376.0			3,379.4
Diluted average common shares outstanding		3,352.2			3,374.0			3,389.3			3,416.1			3,424.0
Average loans	$	374,372		$	350,683		$	331,970		$	321,429		$	312,166
Average assets		555,647			541,533			502,686			482,105			482,585
Average core deposits (3)		314,808			306,135			300,535			290,586			283,790
Average retail core deposits (4)		234,210			228,633			228,006			223,729			220,025
Net interest margin		4.62	%		4.55	%		4.89	%		4.95	%		4.93	%
At Quarter End
Securities available for sale	$	72,951		$	57,440		$	72,179		$	45,443		$	42,629
Loans		382,195			362,922			342,800			325,487			319,116
Allowance for loan losses		5,307			3,829			3,820			3,772			3,764
Goodwill		13,106			12,018			11,983			11,275			11,275
Assets		575,442			548,727			539,865			485,901			481,996
Core deposits (3)		311,731			303,853			300,602			296,469			288,068
Stockholders’ equity		47,628			47,566			47,239			46,073			45,814
Capital ratios:
Stockholders’ equity to assets		8.28	%		8.67	%		8.75	%		9.48	%		9.51	%
Risk-based capital (5)
Tier 1 capital		7.59			8.17			8.55			8.68			8.93
Total capital		10.68			11.07			11.71			12.09			12.49
Tier 1 leverage (5)		6.83			7.26			7.89			7.81			7.88
Book value per common share	$	14.45		$	14.30		$	14.05		$	13.75		$	13.57
Team members (active, full-time equivalent)		159,800			158,800			158,700			159,600			158,000
Common Stock Price
High	$	37.78		$	37.99		$	36.49		$	36.64		$	36.99
Low		29.29			32.66			33.93			33.01			34.90
Period end		30.19			35.62			35.17			34.43			35.56

(1)	Results for third quarter 2007 and second quarter 2006 have been revised to reflect $170 million and $95 million, respectively, of litigation expenses associated with indemnification obligations arising from the Company’s ownership interest in Visa.
(2)	The efficiency ratio is noninterest expense divided by total revenue (net interest income and noninterest income).
(3)	Core deposits are noninterest-bearing deposits, interest-bearing checking, savings certificates, market rate and other savings, and certain foreign deposits (Eurodollar sweep balances).
(4)	Retail core deposits are total core deposits excluding Wholesale Banking core deposits and retail mortgage escrow deposits.
(5)	The December 31, 2007, ratios are preliminary.

-15-

Wells Fargo & Company and Subsidiaries
CONSOLIDATED STATEMENT OF INCOME
	Quarter ended December 31,				%			Year ended December 31,					%
(in millions, except per share amounts)	2007		2006		Change			2007		2006			Change
INTEREST INCOME
Trading assets	$	36	$	46		(22	)%	$	173	$	225			(23	)	%
Securities available for sale		981		726		35			3,451		3,278			5
Mortgages held for sale		456		627		(27	)		2,150		2,746			(22	)
Loans held for sale		19		13		46			70		47			49
Loans		7,699		6,701		15			29,040		25,611			13
Other interest income		51		118		(57	)		293		332			(12	)
Total interest income		9,242		8,231		12			35,177		32,239			9
INTEREST EXPENSE
Deposits		2,136		1,901		12			8,152		7,174			14
Short-term borrowings		380		162		135			1,245		992			26
Long-term debt		1,238		1,118		11			4,806		4,122			17
Total interest expense		3,754		3,181		18			14,203		12,288			16
NET INTEREST INCOME		5,488		5,050		9			20,974		19,951			5
Provision for credit losses		2,612		726		260			4,939		2,204			124
Net interest income after provision for credit losses		2,876		4,324		(33	)		16,035		17,747			(10	)
NONINTEREST INCOME
Service charges on deposit accounts		788		695		13			3,050		2,690			13
Trust and investment fees		802		735		9			3,149		2,737			15
Card fees		588		481		22			2,136		1,747			22
Other fees		577		550		5			2,292		2,057			11
Mortgage banking		831		677		23			3,133		2,311			36
Operating leases		153		190		(19	)		703		783			(10	)
Insurance		370		299		24			1,530		1,340			14
Net gains (losses) on debt securities available for sale		60		51		18			209		(19	)		—
Net gains from equity investments		222		256		(13	)		734		738			(1	)
Other		326		429		(24	)		1,480		1,356			9
Total noninterest income		4,717		4,363		8			18,416		15,740			17
NONINTEREST EXPENSE
Salaries		2,055		1,812		13			7,762		7,007			11
Incentive compensation		840		793		6			3,284		2,885			14
Employee benefits		558		501		11			2,322		2,035			14
Equipment		370		339		9			1,294		1,252			3
Net occupancy		413		367		13			1,545		1,405			10
Operating leases		124		157		(21	)		561		630			(11	)
Other		1,540		1,442		7			6,056		5,623			8
Total noninterest expense		5,900		5,411		9			22,824		20,837			10
INCOME BEFORE INCOME TAX EXPENSE		1,693		3,276		(48	)		11,627		12,650			(8	)
Income tax expense		332		1,095		(70	)		3,570		4,230			(16	)
NET INCOME	$	1,361	$	2,181		(38	)	$	8,057	$	8,420			(4	)
EARNINGS PER COMMON SHARE	$	0.41	$	0.65		(37	)	$	2.41	$	2.50			(4	)
DILUTED EARNINGS PER COMMON SHARE	$	0.41	$	0.64		(36	)	$	2.38	$	2.47			(4	)
DIVIDENDS DECLARED PER COMMON SHARE	$	0.31	$	0.28		11		$	1.18	$	1.08			9
Average common shares outstanding		3,327.6		3,379.4		(2	)		3,348.5		3,368.3			(1	)
Diluted average common shares outstanding		3,352.2		3,424.0		(2	)		3,382.8		3,410.1			(1	)

-16-

Wells Fargo & Company and Subsidiaries
FIVE QUARTER CONSOLIDATED STATEMENT OF INCOME
	Quarter ended
	Dec. 31,		Sept. 30,		June 30,			Mar. 31,		Dec. 31,
(in millions, except per share amounts)	2007		2007		2007			2007		2006
INTEREST INCOME
Trading assets	$	36	$	37	$	47		$	53	$	46
Securities available for sale		981		1,032		752			686		726
Mortgages held for sale		456		586		578			530		627
Loans held for sale		19		19		17			15		13
Loans		7,699		7,477		7,100			6,764		6,701
Other interest income		51		72		79			91		118
Total interest income		9,242		9,223		8,573			8,139		8,231
INTEREST EXPENSE
Deposits		2,136		2,218		1,941			1,857		1,901
Short-term borrowings		380		464		265			136		162
Long-term debt		1,238		1,261		1,171			1,136		1,118
Total interest expense		3,754		3,943		3,377			3,129		3,181
NET INTEREST INCOME		5,488		5,280		5,196			5,010		5,050
Provision for credit losses		2,612		892		720			715		726
Net interest income after provision for credit losses		2,876		4,388		4,476			4,295		4,324
NONINTEREST INCOME
Service charges on deposit accounts		788		837		740			685		695
Trust and investment fees		802		777		839			731		735
Card fees		588		561		517			470		481
Other fees		577		566		638			511		550
Mortgage banking		831		823		689			790		677
Operating leases		153		171		187			192		190
Insurance		370		329		432			399		299
Net gains (losses) on debt securities available for sale		60		160		(42	)		31		51
Net gains from equity investments		222		173		242			97		256
Other		326		176		453			525		429
Total noninterest income		4,717		4,573		4,695			4,431		4,363
NONINTEREST EXPENSE
Salaries		2,055		1,933		1,907			1,867		1,812
Incentive compensation		840		802		900			742		793
Employee benefits		558		518		581			665		501
Equipment		370		295		292			337		339
Net occupancy		413		398		369			365		367
Operating leases		124		136		148			153		157
Other		1,540		1,589		1,530			1,397		1,442
Total noninterest expense		5,900		5,671		5,727			5,526		5,411
INCOME BEFORE INCOME TAX EXPENSE		1,693		3,290		3,444			3,200		3,276
Income tax expense		332		1,117		1,165			956		1,095
NET INCOME	$	1,361	$	2,173	$	2,279		$	2,244	$	2,181
EARNINGS PER COMMON SHARE	$	0.41	$	0.65	$	0.68		$	0.66	$	0.65
DILUTED EARNINGS PER COMMON SHARE	$	0.41	$	0.64	$	0.67		$	0.66	$	0.64
DIVIDENDS DECLARED PER COMMON SHARE	$	0.31	$	0.31	$	0.28		$	0.28	$	0.28
Average common shares outstanding		3,327.6		3,339.6		3,351.2			3,376.0		3,379.4
Diluted average common shares outstanding		3,352.2		3,374.0		3,389.3			3,416.1		3,424.0

-17-

Wells Fargo & Company and Subsidiaries
CONSOLIDATED BALANCE SHEET

	December 31,						%
(in millions, except shares)	2007			2006			Change
ASSETS
Cash and due from banks	$	14,757		$	15,028			(2	)	%
Federal funds sold, securities purchased under resale agreements and other short-term investments		2,754			6,078			(55	)
Trading assets		7,727			5,607			38
Securities available for sale		72,951			42,629			71
Mortgages held for sale (includes $24,998 carried at fair value at December 31, 2007)		26,815			33,097			(19	)
Loans held for sale		948			721			31
Loans		382,195			319,116			20
Allowance for loan losses		(5,307	)		(3,764	)		41
Net loans		376,888			315,352			20
Mortgage servicing rights:
Measured at fair value (residential MSRs)		16,763			17,591			(5	)
Amortized		466			377			24
Premises and equipment, net		5,122			4,698			9
Goodwill		13,106			11,275			16
Other assets		37,145			29,543			26
Total assets	$	575,442		$	481,996			19
LIABILITIES
Noninterest-bearing deposits	$	84,348		$	89,119			(5	)
Interest-bearing deposits		260,112			221,124			18
Total deposits		344,460			310,243			11
Short-term borrowings		53,255			12,829			315
Accrued expenses and other liabilities		30,706			25,965			18
Long-term debt		99,393			87,145			14
Total liabilities		527,814			436,182			21
STOCKHOLDERS’ EQUITY
Preferred stock		450			384			17
Common stock — $1-2/3 par value, authorized 6,000,000,000 shares; issued 3,472,762,050 shares		5,788			5,788			—
Additional paid-in capital		8,212			7,739			6
Retained earnings		38,970			35,215			11
Cumulative other comprehensive income		725			302			140
Treasury stock — 175,659,842 shares and 95,612,189 shares		(6,035	)		(3,203	)		88
Unearned ESOP shares		(482	)		(411	)		17
Total stockholders’ equity		47,628			45,814			4
Total liabilities and stockholders’ equity	$	575,442		$	481,996			19

-18-

Wells Fargo & Company and Subsidiaries
FIVE QUARTER CONSOLIDATED BALANCE SHEET

	Dec. 31,			Sept. 30,			June 30,			Mar. 31,			Dec. 31,
(in millions)	2007			2007			2007			2007			2006
ASSETS
Cash and due from banks	$	14,757		$	12,200		$	12,714		$	12,485		$	15,028
Federal funds sold, securities purchased under resale agreements and other short-term investments		2,754			4,546			5,163			4,668			6,078
Trading assets		7,727			7,298			7,289			6,525			5,607
Securities available for sale		72,951			57,440			72,179			45,443			42,629
Mortgages held for sale		26,815			29,699			34,580			32,286			33,097
Loans held for sale		948			1,011			887			829			721
Loans		382,195			362,922			342,800			325,487			319,116
Allowance for loan losses		(5,307	)		(3,829	)		(3,820	)		(3,772	)		(3,764	)
Net loans		376,888			359,093			338,980			321,715			315,352
Mortgage servicing rights:
Measured at fair value (residential MSRs)		16,763			18,223			18,733			17,779			17,591
Amortized		466			460			418			400			377
Premises and equipment, net		5,122			5,002			4,973			4,864			4,698
Goodwill		13,106			12,018			11,983			11,275			11,275
Other assets		37,145			41,737			31,966			27,632			29,543
Total assets	$	575,442		$	548,727		$	539,865		$	485,901		$	481,996
LIABILITIES
Noninterest-bearing deposits	$	84,348		$	82,365		$	89,809		$	89,067		$	89,119
Interest-bearing deposits		260,112			252,591			234,934			222,090			221,124
Total deposits		344,460			334,956			324,743			311,157			310,243
Short-term borrowings		53,255			41,729			40,838			13,181			12,829
Accrued expenses and other liabilities		30,706			28,884			33,215			25,163			25,965
Long-term debt		99,393			95,592			93,830			90,327			87,145
Total liabilities		527,814			501,161			492,626			439,828			436,182
STOCKHOLDERS’ EQUITY
Preferred stock		450			545			637			740			384
Common stock		5,788			5,788			5,788			5,788			5,788
Additional paid-in capital		8,212			8,089			8,027			7,875			7,739
Retained earnings		38,970			38,645			37,603			36,377			35,215
Cumulative other comprehensive income (loss)		725			291			(236	)		289			302
Treasury stock		(6,035	)		(5,209	)		(3,898	)		(4,204	)		(3,203	)
Unearned ESOP shares		(482	)		(583	)		(682	)		(792	)		(411	)
Total stockholders’ equity		47,628			47,566			47,239			46,073			45,814
Total liabilities and stockholders’ equity	$	575,442		$	548,727		$	539,865		$	485,901		$	481,996

-19-

Wells Fargo & Company and Subsidiaries
FIVE QUARTER AVERAGE BALANCES
	Quarter ended
	Dec. 31,			Sept. 30,			June 30,			Mar. 31,			Dec. 31,
(in millions)	2007			2007			2007			2007			2006
EARNING ASSETS
Federal funds sold, securities purchased under resale agreements and other short-term investments	$	2,972		$	4,219		$	4,849		$	5,867		$	7,751
Trading assets		4,248			4,043			4,572			4,305			3,950
Debt securities available for sale:
Securities of U.S. Treasury and federal agencies		926			871			839			753			786
Securities of U.S. states and political subdivisions		5,995			5,021			4,383			3,532			3,406
Mortgage-backed securities:
Federal agencies		35,434			52,681			35,406			30,640			31,718
Private collateralized mortgage obligations		14,270			4,026			3,816			3,993			5,130
Total mortgage-backed securities		49,704			56,707			39,222			34,633			36,848
Other debt securities (1)		8,465			5,822			5,090			5,778			6,406
Total debt securities available for sale (1)		65,090			68,421			49,534			44,696			47,446
Mortgages held for sale (2)		28,327			35,552			36,060			32,343			37,878
Loans held for sale (2)		965			960			864			794			659
Loans:
Commercial and commercial real estate:
Commercial		86,958			79,713			73,932			71,063			68,402
Other real estate mortgage		35,863			32,641			31,736			30,590			29,882
Real estate construction		18,510			16,914			16,393			15,892			15,775
Lease financing		6,583			6,026			5,559			5,503			5,500
Total commercial and commercial real estate		147,914			135,294			127,620			123,048			119,559
Consumer:
Real estate 1-4 family first mortgage		69,262			63,929			58,283			54,444			50,836
Real estate 1-4 family junior lien mortgage		75,272			73,476			70,390			69,079			68,208
Credit card		17,689			16,261			14,950			14,557			13,737
Other revolving credit and installment		56,546			54,165			53,464			53,539			53,206
Total consumer		218,769			207,831			197,087			191,619			185,987
Foreign		7,689			7,558			7,263			6,762			6,620
Total loans (2)		374,372			350,683			331,970			321,429			312,166
Other		1,552			1,396			1,329			1,327			1,333
Total earning assets	$	477,526		$	465,274		$	429,178		$	410,761		$	411,183
FUNDING SOURCES
Deposits:
Interest-bearing checking	$	5,254		$	5,160		$	5,193		$	4,615		$	4,477
Market rate and other savings		156,260			149,194			145,185			140,934			135,673
Savings certificates		42,560			41,080			39,729			38,514			36,382
Other time deposits		10,874			10,948			4,574			9,312			19,838
Deposits in foreign offices		44,991			41,326			32,841			27,647			24,425
Total interest-bearing deposits		259,939			247,708			227,522			221,022			220,795
Short-term borrowings		34,074			36,415			21,066			11,498			13,470
Long-term debt		98,012			94,686			90,931			89,027			85,809
Total interest-bearing liabilities		392,025			378,809			339,519			321,547			320,074
Portion of noninterest-bearing funding sources		85,501			86,465			89,659			89,214			91,109
Total funding sources	$	477,526		$	465,274		$	429,178		$	410,761		$	411,183
NONINTEREST-EARNING ASSETS
Cash and due from banks	$	12,127		$	11,579		$	11,655		$	11,862		$	12,379
Goodwill		13,091			12,008			11,435			11,274			11,259
Other		52,903			52,672			50,418			48,208			47,764
Total noninterest-earning assets	$	78,121		$	76,259		$	73,508		$	71,344		$	71,402
NONINTEREST-BEARING FUNDING SOURCES
Deposits	$	86,632		$	88,991		$	91,256		$	88,769		$	91,259
Other liabilities		29,019			26,413			25,221			25,536			25,749
Stockholders’ equity		47,971			47,320			46,690			46,253			45,503
Noninterest-bearing funding sources used to fund earning assets		(85,501	)		(86,465	)		(89,659	)		(89,214	)		(91,109	)
Net noninterest-bearing funding sources	$	78,121		$	76,259		$	73,508		$	71,344		$	71,402
TOTAL ASSETS	$	555,647		$	541,533		$	502,686		$	482,105		$	482,585

(1)	Includes certain preferred securities.
(2)	Nonaccrual loans are included in their respective loan categories.

-20-

Wells Fargo & Company and Subsidiaries
CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS’ EQUITY
	Year ended December 31,
(in millions)	2007			2006
Balance, beginning of period	$	45,814		$	40,660
Cumulative effect from adoption of:
FAS 156 (1)		—			101
FSP 13-2 (2)		(71	)		—
Net income		8,057			8,420
Other comprehensive income (loss), net of tax, related to:
Translation adjustments		23			—
Investment securities and other interests held		(164	)		(31	)
Derivative instruments and hedging activities		322			70
Defined benefit pension plans		242			—
Common stock issued		1,876			1,764
Common stock issued for acquisitions		2,125			—
Common stock repurchased		(7,418	)		(1,965	)
Preferred stock released to ESOP		418			355
Common stock dividends		(3,955	)		(3,641	)
Adoption of FAS 158 (3)		—			(402	)
Other, net		359			483
Balance, end of period	$	47,628		$	45,814

(1)	Financial Accounting Standard No. 156, Accounting for Servicing of Financial Assets — an amendment of FASB Statement No. 140.
(2)	FASB Staff Position 13-2, Accounting for a Change or Projected Change in the Timing of Cash Flows Related to Income Taxes Generated by a Leveraged Lease Transaction.
(3)	Financial Accounting Standard No. 158, Employers’ Accounting for Defined Benefit Pension and Other Postretirement Plans — an amendment of FASB Statements No. 87, 88, 106, and 132(R).

-21-

Wells Fargo & Company and Subsidiaries
FIVE QUARTER LOANS
	Dec. 31,			Sept. 30,			June 30,			Mar. 31,			Dec. 31,
(in millions)	2007			2007			2007			2007			2006
Commercial and commercial real estate:
Commercial	$	90,468		$	82,598		$	77,560		$	72,268		$	70,404
Other real estate mortgage		36,747			33,227			32,336			31,542			30,112
Real estate construction		18,854			17,301			16,552			15,869			15,935
Lease financing		6,772			6,089			5,979			5,494			5,614
Total commercial and commercial real estate		152,841			139,215			132,427			125,173			122,065
Consumer:
Real estate 1-4 family first mortgage		71,415			66,877			61,177			55,982			53,228
Real estate 1-4 family junior lien mortgage		75,565			74,632			72,398			69,489			68,926
Credit card		18,762			17,129			15,567			14,594			14,697
Other revolving credit and installment		56,171			57,180			53,701			53,445			53,534
Total consumer		221,913			215,818			202,843			193,510			190,385
Foreign		7,441			7,889			7,530			6,804			6,666
Total loans (net of unearned income)	$	382,195		$	362,922		$	342,800		$	325,487		$	319,116
FIVE QUARTER NONACCRUAL LOANS AND OTHER ASSETS
	Dec. 31,			Sept. 30,			June 30,			Mar. 31,			Dec. 31,
(in millions)	2007			2007			2007			2007			2006
Nonaccrual loans:
Commercial and commercial real estate:
Commercial	$	432		$	399		$	395		$	350		$	331
Other real estate mortgage		128			133			129			114			105
Real estate construction		293			188			81			82			78
Lease financing		45			38			29			31			29
Total commercial and commercial real estate		898			758			634			577			543
Consumer:
Real estate 1-4 family first mortgage (1)		1,272			886			663			701			688
Real estate 1-4 family junior lien mortgage		280			238			228			233			212
Other revolving credit and installment		184			160			155			195			180
Total consumer		1,736			1,284			1,046			1,129			1,080
Foreign		45			46			53			46			43
Total nonaccrual loans		2,679			2,088			1,733			1,752			1,666
As a percentage of total loans		0.70	%		0.58	%		0.51	%		0.54	%		0.52	%
Foreclosed assets:
GNMA loans (2)		535			487			423			381			322
Other		649			603			554			528			423
Real estate and other nonaccrual investments (3)		5			5			5			5			5
Total nonaccrual loans and other assets	$	3,868		$	3,183		$	2,715		$	2,666		$	2,416
As a percentage of total loans		1.01	%		0.88	%		0.79	%		0.82	%		0.76	%

(1)	Includes nonaccrual mortgages held for sale.
(2)	Consistent with regulatory reporting requirements, foreclosed real estate securing Government National Mortgage Association (GNMA) loans is classified as nonperforming. Both principal and interest for GNMA loans secured by the foreclosed real estate are fully collectible because the GNMA loans are insured by the Federal Housing Administration or guaranteed by the Department of Veterans Affairs.
(3)	Includes real estate investments (contingent interest loans accounted for as investments) that would be classified as nonaccrual if these assets were recorded as loans.

-22-

Wells Fargo & Company and Subsidiaries
CHANGES IN THE ALLOWANCE FOR CREDIT LOSSES
	Quarter ended												Year ended
	Dec. 31,				Sept. 30,				Dec. 31,				Dec. 31,				Dec. 31,
(in millions)	2007				2007				2006				2007				2006
Balance, beginning of period	$	4,018			$	4,007			$	3,978			$	3,964			$	4,057
Provision for credit losses		2,612				892				726				4,939				2,204
Loan charge-offs:
Commercial and commercial real estate:
Commercial		(221	)			(155	)			(139	)			(629	)			(414	)
Other real estate mortgage		(4	)			—				(2	)			(6	)			(5	)
Real estate construction		(9	)			(3	)			(1	)			(14	)			(2	)
Lease financing		(9	)			(8	)			(8	)			(33	)			(30	)
Total commercial and commercial real estate		(243	)			(166	)			(150	)			(682	)			(451	)
Consumer:
Real estate 1-4 family first mortgage		(38	)			(22	)			(22	)			(109	)			(103	)
Real estate 1-4 family junior lien mortgage		(291	)			(167	)			(56	)			(648	)			(154	)
Credit card		(253	)			(205	)			(154	)			(832	)			(505	)
Other revolving credit and installment		(532	)			(473	)			(513	)			(1,913	)			(1,685	)
Total consumer		(1,114	)			(867	)			(745	)			(3,502	)			(2,447	)
Foreign		(70	)			(69	)			(59	)			(265	)			(281	)
Total loan charge-offs		(1,427	)			(1,102	)			(954	)			(4,449	)			(3,179	)
Loan recoveries:
Commercial and commercial real estate:
Commercial		35				35				27				119				111
Other real estate mortgage		1				2				5				8				19
Real estate construction		—				1				1				2				3
Lease financing		5				3				5				17				21
Total commercial and commercial real estate		41				41				38				146				154
Consumer:
Real estate 1-4 family first mortgage		4				6				6				22				26
Real estate 1-4 family junior lien mortgage		14				14				9				53				36
Credit card		30				29				24				120				96
Other revolving credit and installment		111				105				136				504				537
Total consumer		159				154				175				699				695
Foreign		15				15				15				65				76
Total loan recoveries		215				210				228				910				925
Net loan charge-offs		(1,212	)			(892	)			(726	)			(3,539	)			(2,254	)
Allowances related to business combinations/other		100				11				(14	)			154				(43	)
Balance, end of period	$	5,518			$	4,018			$	3,964			$	5,518			$	3,964
Components:
Allowance for loan losses	$	5,307			$	3,829			$	3,764			$	5,307			$	3,764
Reserve for unfunded credit commitments		211				189				200				211				200
Allowance for credit losses	$	5,518			$	4,018			$	3,964			$	5,518			$	3,964
Net loan charge-offs (annualized) as a percentage of average total loans		1.28		%		1.01		%		0.92		%		1.03		%		0.73		%

-23-

Wells Fargo & Company and Subsidiaries
FIVE QUARTER CHANGES IN THE ALLOWANCE FOR CREDIT LOSSES
	Quarter ended
	Dec. 31,				Sept. 30,				June 30,				Mar. 31,				Dec. 31,
(in millions)	2007				2007				2007				2007				2006
Balance, beginning of quarter	$	4,018			$	4,007			$	3,965			$	3,964			$	3,978
Provision for credit losses		2,612				892				720				715				726
Loan charge-offs:
Commercial and commercial real estate:
Commercial		(221	)			(155	)			(127	)			(126	)			(139	)
Other real estate mortgage		(4	)			—				(1	)			(1	)			(2	)
Real estate construction		(9	)			(3	)			(2	)			—				(1	)
Lease financing		(9	)			(8	)			(9	)			(7	)			(8	)
Total commercial and commercial real estate		(243	)			(166	)			(139	)			(134	)			(150	)
Consumer:
Real estate 1-4 family first mortgage		(38	)			(22	)			(25	)			(24	)			(22	)
Real estate 1-4 family junior lien mortgage		(291	)			(167	)			(107	)			(83	)			(56	)
Credit card		(253	)			(205	)			(191	)			(183	)			(154	)
Other revolving credit and installment		(532	)			(473	)			(434	)			(474	)			(513	)
Total consumer		(1,114	)			(867	)			(757	)			(764	)			(745	)
Foreign		(70	)			(69	)			(64	)			(62	)			(59	)
Total loan charge-offs		(1,427	)			(1,102	)			(960	)			(960	)			(954	)
Loan recoveries:
Commercial and commercial real estate:
Commercial		35				35				25				24				27
Other real estate mortgage		1				2				3				2				5
Real estate construction		—				1				—				1				1
Lease financing		5				3				4				5				5
Total commercial and commercial real estate		41				41				32				32				38
Consumer:
Real estate 1-4 family first mortgage		4				6				6				6				6
Real estate 1-4 family junior lien mortgage		14				14				16				9				9
Credit card		30				29				30				31				24
Other revolving credit and installment		111				105				139				149				136
Total consumer		159				154				191				195				175
Foreign		15				15				17				18				15
Total loan recoveries		215				210				240				245				228
Net loan charge-offs		(1,212	)			(892	)			(720	)			(715	)			(726	)
Allowances related to business combinations/other		100				11				42				1				(14	)
Balance, end of quarter	$	5,518			$	4,018			$	4,007			$	3,965			$	3,964
Components:
Allowance for loan losses	$	5,307			$	3,829			$	3,820			$	3,772			$	3,764
Reserve for unfunded credit commitments		211				189				187				193				200
Allowance for credit losses	$	5,518			$	4,018			$	4,007			$	3,965			$	3,964
Net loan charge-offs (annualized) as a percentage of average total loans		1.28		%		1.01		%		0.87		%		0.90		%		0.92		%
Allowance for loan losses as a percentage of:
Total loans		1.39		%		1.06		%		1.11		%		1.16		%		1.18		%
Nonaccrual loans		198				183				220				215				226
Nonaccrual loans and other assets		137				120				141				141				156
Allowance for credit losses as a percentage of:
Total loans		1.44		%		1.11		%		1.17		%		1.22		%		1.24		%
Nonaccrual loans		206				192				231				226				238
Nonaccrual loans and other assets		143				126				148				149				164

-24-

Wells Fargo & Company and Subsidiaries
NONINTEREST INCOME
	Quarter ended December 31,				%				Year ended December 31,					%
(in millions)	2007		2006		Change				2007		2006			Change
Service charges on deposit accounts	$	788	$	695		13		%	$	3,050	$	2,690			13		%
Trust and investment fees:
Trust, investment and IRA fees		585		525		11				2,305		2,033			13
Commissions and all other fees		217		210		3				844		704			20
Total trust and investment fees		802		735		9				3,149		2,737			15
Card fees		588		481		22				2,136		1,747			22
Other fees:
Cash network fees		47		44		7				193		184			5
Charges and fees on loans		274		241		14				1,011		976			4
All other fees		256		265		(3	)			1,088		897			21
Total other fees		577		550		5				2,292		2,057			11
Mortgage banking:
Servicing income, net		543		314		73				1,511		893			69
Net gains on mortgage loan origination/sales activities		220		305		(28	)			1,289		1,116			16
All other		68		58		17				333		302			10
Total mortgage banking		831		677		23				3,133		2,311			36
Operating leases		153		190		(19	)			703		783			(10	)
Insurance		370		299		24				1,530		1,340			14
Net gains from trading activities		62		213		(71	)			544		544			—
Net gains (losses) on debt securities available for sale		60		51		18				209		(19	)		—
Net gains from equity investments		222		256		(13	)			734		738			(1	)
All other		264		216		22				936		812			15
Total	$	4,717	$	4,363		8			$	18,416	$	15,740			17
NONINTEREST EXPENSE
	Quarter ended December 31,				%				Year ended December 31,					%
(in millions)	2007		2006		Change				2007		2006			Change
Salaries	$	2,055	$	1,812		13		%	$	7,762	$	7,007			11		%
Incentive compensation		840		793		6				3,284		2,885			14
Employee benefits		558		501		11				2,322		2,035			14
Equipment		370		339		9				1,294		1,252			3
Net occupancy		413		367		13				1,545		1,405			10
Operating leases		124		157		(21	)			561		630			(11	)
Outside professional services		250		273		(8	)			899		942			(5	)
Outside data processing		127		113		12				482		437			10
Travel and entertainment		134		141		(5	)			474		542			(13	)
Contract services		114		165		(31	)			448		579			(23	)
Operating losses		68		40		70				437		275			59
Insurance		59		39		51				416		257			62
Advertising and promotion		100		102		(2	)			412		456			(10	)
Postage		85		77		10				345		312			11
Telecommunications		80		66		21				321		279			15
Stationery and supplies		61		60		2				220		223			(1	)
Security		47		49		(4	)			176		179			(2	)
Core deposit intangibles		32		27		19				113		112			1
All other		383		290		32				1,313		1,030			27
Total	$	5,900	$	5,411		9			$	22,824	$	20,837			10

-25-

Wells Fargo & Company and Subsidiaries
FIVE QUARTER NONINTEREST INCOME
	Quarter ended
	Dec. 31,		Sept. 30,			June 30,			Mar. 31,		Dec. 31,
(in millions)	2007		2007			2007			2007		2006
Service charges on deposit accounts	$	788	$	837		$	740		$	685	$	695
Trust and investment fees:
Trust, investment and IRA fees		585		573			610			537		525
Commissions and all other fees		217		204			229			194		210
Total trust and investment fees		802		777			839			731		735
Card fees		588		561			517			470		481
Other fees:
Cash network fees		47		51			50			45		44
Charges and fees on loans		274		246			253			238		241
All other fees		256		269			335			228		265
Total other fees		577		566			638			511		550
Mortgage banking:
Servicing income, net		543		797			(45	)		216		314
Net gains (losses) on mortgage loan origination/sales activities		220		(61	)		635			495		305
All other		68		87			99			79		58
Total mortgage banking		831		823			689			790		677
Operating leases		153		171			187			192		190
Insurance		370		329			432			399		299
Net gains (losses) from trading activities		62		(43	)		260			265		213
Net gains (losses) on debt securities available for sale		60		160			(42	)		31		51
Net gains from equity investments		222		173			242			97		256
All other		264		219			193			260		216
Total	$	4,717	$	4,573		$	4,695		$	4,431	$	4,363
FIVE QUARTER NONINTEREST EXPENSE
	Quarter ended
	Dec. 31,		Sept. 30,			June 30,			Mar. 31,		Dec. 31,
(in millions)	2007		2007			2007			2007		2006
Salaries	$	2,055	$	1,933		$	1,907		$	1,867	$	1,812
Incentive compensation		840		802			900			742		793
Employee benefits		558		518			581			665		501
Equipment		370		295			292			337		339
Net occupancy		413		398			369			365		367
Operating leases		124		136			148			153		157
Outside professional services		250		222			235			192		273
Outside data processing		127		123			121			111		113
Travel and entertainment		134		113			118			109		141
Contract services		114		103			113			118		165
Operating losses		68		225			57			87		40
Insurance		59		81			148			128		39
Advertising and promotion		100		108			113			91		102
Postage		85		88			85			87		77
Telecommunications		80		79			81			81		66
Stationery and supplies		61		54			52			53		60
Security		47		42			44			43		49
Core deposit intangibles		32		28			27			26		27
All other		383		323			336			271		290
Total	$	5,900	$	5,671		$	5,727		$	5,526	$	5,411

-26-

Wells Fargo & Company and Subsidiaries
AVERAGE BALANCES, YIELDS AND RATES PAID (TAXABLE-EQUIVALENT BASIS) (1)(2)
	Quarter ended December 31,
	2007								2006
							Interest								Interest
	Average			Yields/			income/		Average			Yields/			income/
(in millions)	balance			rates			expense		balance			rates			expense
EARNING ASSETS
Federal funds sold, securities purchased under resale agreements and other short-term investments	$	2,972			4.45	%	$	34	$	7,751			5.19	%	$	102
Trading assets		4,248			3.39			37		3,950			5.12			50
Debt securities available for sale (3):
Securities of U.S. Treasury and federal agencies		926			4.18			9		786			4.28			9
Securities of U.S. states and political subdivisions		5,995			7.41			110		3,406			7.62			62
Mortgage-backed securities:
Federal agencies		35,434			6.15			534		31,718			6.20			483
Private collateralized mortgage obligations		14,270			5.99			214		5,130			6.19			78
Total mortgage-backed securities		49,704			6.11			748		36,848			6.20			561
Other debt securities (4)		8,465			7.45			161		6,406			7.20			115
Total debt securities available for sale (4)		65,090			6.38			1,028		47,446			6.40			747
Mortgages held for sale (5)		28,327			6.44			456		37,878			6.62			627
Loans held for sale (5)		965			7.72			19		659			7.60			13
Loans:
Commercial and commercial real estate:
Commercial		86,958			7.88			1,726		68,402			8.27			1,426
Other real estate mortgage		35,863			7.22			652		29,882			7.49			563
Real estate construction		18,510			7.35			343		15,775			8.07			321
Lease financing		6,583			5.92			97		5,500			5.66			78
Total commercial and commercial real estate		147,914			7.57			2,818		119,559			7.93			2,388
Consumer:
Real estate 1-4 family first mortgage		69,262			7.12			1,235		50,836			7.53			961
Real estate 1-4 family junior lien mortgage		75,272			7.92			1,503		68,208			8.16			1,403
Credit card		17,689			12.79			565		13,737			13.30			457
Other revolving credit and installment		56,546			9.54			1,359		53,206			9.67			1,297
Total consumer		218,769			8.48			4,662		185,987			8.80			4,118
Foreign		7,689			11.55			224		6,620			11.97			199
Total loans (5)		374,372			8.18			7,704		312,166			8.54			6,705
Other		1,552			4.95			17		1,333			5.17			18
Total earning assets	$	477,526			7.75			9,295	$	411,183			8.01			8,262
FUNDING SOURCES
Deposits:
Interest-bearing checking	$	5,254			2.96			39	$	4,477			3.11			35
Market rate and other savings		156,260			2.63			1,035		135,673			2.69			918
Savings certificates		42,560			4.33			465		36,382			4.33			398
Other time deposits		10,874			4.45			122		19,838			5.27			264
Deposits in foreign offices		44,991			4.19			475		24,425			4.65			286
Total interest-bearing deposits		259,939			3.26			2,136		220,795			3.42			1,901
Short-term borrowings		34,074			4.42			380		13,470			4.77			162
Long-term debt		98,012			5.06			1,245		85,809			5.20			1,120
Total interest-bearing liabilities		392,025			3.81			3,761		320,074			3.95			3,183
Portion of noninterest-bearing funding sources		85,501			—			—		91,109			—			—
Total funding sources	$	477,526			3.13			3,761	$	411,183			3.08			3,183
Net interest margin and net interest income on a taxable-equivalent basis (6)					4.62	%	$	5,534					4.93	%	$	5,079
NONINTEREST-EARNING ASSETS
Cash and due from banks	$	12,127							$	12,379
Goodwill		13,091								11,259
Other		52,903								47,764
Total noninterest-earning assets	$	78,121							$	71,402
NONINTEREST-BEARING FUNDING SOURCES
Deposits	$	86,632							$	91,259
Other liabilities		29,019								25,749
Stockholders’ equity		47,971								45,503
Noninterest-bearing funding sources used to fund earning assets		(85,501	)							(91,109	)
Net noninterest-bearing funding sources	$	78,121							$	71,402
TOTAL ASSETS	$	555,647							$	482,585

(1)	Our average prime rate was 7.52% and 8.25% for the quarters ended December 31, 2007 and 2006, respectively. The average three-month London Interbank Offered Rate (LIBOR) was 5.03% and 5.37% for the same quarters, respectively.
(2)	Interest rates and amounts include the effects of hedge and risk management activities associated with the respective asset and liability categories.
(3)	Yields are based on amortized cost balances computed on a settlement date basis.
(4)	Includes certain preferred securities.
(5)	Nonaccrual loans and related income are included in their respective loan categories.
(6)	Includes taxable-equivalent adjustments primarily related to tax-exempt income on certain loans and securities. The federal statutory tax rate was 35% for the periods presented.

-27-

Wells Fargo & Company and Subsidiaries
AVERAGE BALANCES, YIELDS AND RATES PAID (TAXABLE-EQUIVALENT BASIS) (1)(2)
	Year ended December 31,
	2007								2006
							Interest								Interest
	Average			Yields/			income/		Average			Yields/			income/
(in millions)	balance			rates			expense		balance			rates			expense
EARNING ASSETS
Federal funds sold, securities purchased under resale agreements and other short-term investments	$	4,468			4.99	%	$	223	$	5,515			4.80	%	$	265
Trading assets		4,291			4.37			188		4,958			4.95			245
Debt securities available for sale (3):
Securities of U.S. Treasury and federal agencies		848			4.26			36		875			4.36			39
Securities of U.S. states and political subdivisions		4,740			7.37			342		3,192			7.98			245
Mortgage-backed securities:
Federal agencies		38,592			6.10			2,328		36,691			6.04			2,206
Private collateralized mortgage obligations		6,548			6.12			399		6,640			6.57			430
Total mortgage-backed securities		45,140			6.10			2,727		43,331			6.12			2,636
Other debt securities (4)		6,295			7.52			477		6,204			7.10			439
Total debt securities available for sale (4)		57,023			6.34			3,582		53,602			6.31			3,359
Mortgages held for sale (5)		33,066			6.50			2,150		42,855			6.41			2,746
Loans held for sale (5)		896			7.76			70		630			7.40			47
Loans:
Commercial and commercial real estate:
Commercial		77,965			8.17			6,367		65,720			8.13			5,340
Other real estate mortgage		32,722			7.38			2,414		29,344			7.32			2,148
Real estate construction		16,934			7.80			1,321		14,810			7.94			1,175
Lease financing		5,921			5.84			346		5,437			5.72			311
Total commercial and commercial real estate		133,542			7.82			10,448		115,311			7.78			8,974
Consumer:
Real estate 1-4 family first mortgage		61,527			7.25			4,463		57,509			7.27			4,182
Real estate 1-4 family junior lien mortgage		72,075			8.12			5,851		64,255			7.98			5,126
Credit card		15,874			13.58			2,155		12,571			13.29			1,670
Other revolving credit and installment		54,436			9.71			5,285		50,922			9.60			4,889
Total consumer		203,912			8.71			17,754		185,257			8.57			15,867
Foreign		7,321			11.68			855		6,343			12.39			786
Total loans (5)		344,775			8.43			29,057		306,911			8.35			25,627
Other		1,402			5.07			71		1,357			4.97			68
Total earning assets	$	445,921			7.93			35,341	$	415,828			7.79			32,357
FUNDING SOURCES
Deposits:
Interest-bearing checking	$	5,057			3.16			160	$	4,302			2.86			123
Market rate and other savings		147,939			2.78			4,105		134,248			2.40			3,225
Savings certificates		40,484			4.38			1,773		32,355			3.91			1,266
Other time deposits		8,937			4.87			435		32,168			4.99			1,607
Deposits in foreign offices		36,761			4.57			1,679		20,724			4.60			953
Total interest-bearing deposits		239,178			3.41			8,152		223,797			3.21			7,174
Short-term borrowings		25,854			4.81			1,245		21,471			4.62			992
Long-term debt		93,193			5.18			4,824		84,035			4.91			4,124
Total interest-bearing liabilities		358,225			3.97			14,221		329,303			3.73			12,290
Portion of noninterest-bearing funding sources		87,696			—			—		86,525			—			—
Total funding sources	$	445,921			3.19			14,221	$	415,828			2.96			12,290
Net interest margin and net interest income on a taxable-equivalent basis (6)					4.74	%	$	21,120					4.83	%	$	20,067
NONINTEREST-EARNING ASSETS
Cash and due from banks	$	11,806							$	12,466
Goodwill		11,957								11,114
Other		51,068								46,615
Total noninterest-earning assets	$	74,831							$	70,195
NONINTEREST-BEARING FUNDING SOURCES
Deposits	$	88,907							$	89,117
Other liabilities		26,557								24,467
Stockholders’ equity		47,063								43,136
Noninterest-bearing funding sources used to fund earning assets		(87,696	)							(86,525	)
Net noninterest-bearing funding sources	$	74,831							$	70,195
TOTAL ASSETS	$	520,752							$	486,023

(1)	Our average prime rate was 8.05% and 7.96% for the years ended December 31, 2007 and 2006, respectively. The average three-month London Interbank Offered Rate (LIBOR) was 5.30% and 5.20% for the same periods, respectively.
(2)	Interest rates and amounts include the effects of hedge and risk management activities associated with the respective asset and liability categories.
(3)	Yields are based on amortized cost balances computed on a settlement date basis.
(4)	Includes certain preferred securities.
(5)	Nonaccrual loans and related income are included in their respective loan categories.
(6)	Includes taxable-equivalent adjustments primarily related to tax-exempt income on certain loans and securities. The federal statutory tax rate was 35% for the periods presented.

-28-

Wells Fargo & Company and Subsidiaries
OPERATING SEGMENT RESULTS (1)
(income/expense in millions,	Community					Wholesale				Wells Fargo				Consolidated
average balances in billions)	Banking					Banking				Financial				Company
Quarter ended December 31,	2007			2006		2007		2006		2007		2006		2007		2006
Net interest income	$	3,475		$	3,248	$	933	$	787	$	1,080	$	1,015	$	5,488	$	5,050
Provision for credit losses		2,082			275		36		25		494		426		2,612		726
Noninterest income		3,185			2,882		1,209		1,096		323		385		4,717		4,363
Noninterest expense		3,904			3,558		1,212		1,105		784		748		5,900		5,411
Income before income tax expense		674			2,297		894		753		125		226		1,693		3,276
Income tax expense (benefit)		(19	)		765		304		262		47		68		332		1,095
Net income	$	693		$	1,532	$	590	$	491	$	78	$	158	$	1,361	$	2,181
Average loans	$	210.9		$	175.7	$	95.1	$	75.0	$	68.4	$	61.5	$	374.4	$	312.2
Average assets (2)		347.0			311.9		128.1		97.9		74.7		67.0		555.6		482.6
Average core deposits		253.3			239.8		61.5		44.0		—		—		314.8		283.8
Year ended December 31,
Net interest income	$	13,365		$	13,117	$	3,382	$	2,924	$	4,227	$	3,910	$	20,974	$	19,951
Provision for credit losses		3,187			887		69		16		1,683		1,301		4,939		2,204
Noninterest income		12,173			9,915		4,959		4,310		1,284		1,515		18,416		15,740
Noninterest expense		15,000			13,917		4,772		4,114		3,052		2,806		22,824		20,837
Income before income tax expense		7,351			8,228		3,500		3,104		776		1,318		11,627		12,650
Income tax expense		2,058			2,678		1,217		1,086		295		466		3,570		4,230
Net income	$	5,293		$	5,550	$	2,283	$	2,018	$	481	$	852	$	8,057	$	8,420
Average loans	$	194.0		$	178.0	$	85.6	$	71.4	$	65.2	$	57.5	$	344.8	$	306.9
Average assets (2)		330.8			320.2		113.1		97.1		71.1		62.9		520.8		486.0
Average core deposits		249.8			233.5		53.3		35.3		—		0.1		303.1		268.9

(1)

The management accounting process measures the performance of the operating segments based on our management structure and is not necessarily comparable with other similar information for other financial services companies. We define our operating segments by product type and customer segment. If the management structure and/or the allocation process changes, allocations, transfers and assignments may change. To reflect a change in the allocation of income taxes for management reporting adopted in second quarter 2007, results for prior periods have been revised.

(2)

The Consolidated Company balance includes unallocated goodwill held at the enterprise level of $5.8 billion for all periods presented.

-29-

Wells Fargo & Company and Subsidiaries
FIVE QUARTER OPERATING SEGMENT RESULTS (1)
	Quarter ended
	Dec. 31,			Sept. 30,		June 30,		Mar. 31,		Dec. 31,
(income/expense in millions, average balances in billions)	2007			2007		2007		2007		2006
COMMUNITY BANKING
Net interest income	$	3,475		$	3,367	$	3,299	$	3,224	$	3,248
Provision for credit losses		2,082			446		353		306		275
Noninterest income		3,185			3,110		3,031		2,847		2,882
Noninterest expense		3,904			3,789		3,667		3,640		3,558
Income before income tax expense		674			2,242		2,310		2,125		2,297
Income tax expense (benefit)		(19	)		747		757		573		765
Net income	$	693		$	1,495	$	1,553	$	1,552	$	1,532
Average loans	$	210.9		$	197.4	$	186.6	$	180.8	$	175.7
Average assets		347.0			348.2		320.0		307.0		311.9
Average core deposits		253.3			250.6		250.9		243.9		239.8
WHOLESALE BANKING
Net interest income	$	933		$	854	$	814	$	781	$	787
Provision for credit losses		36			19		1		13		25
Noninterest income		1,209			1,149		1,336		1,265		1,096
Noninterest expense		1,212			1,154		1,269		1,137		1,105
Income before income tax expense		894			830		880		896		753
Income tax expense		304			287		310		316		262
Net income	$	590		$	543	$	570	$	580	$	491
Average loans	$	95.1		$	87.5	$	81.4	$	77.9	$	75.0
Average assets		128.1			115.8		107.1		101.0		97.9
Average core deposits		61.5			55.5		49.6		46.7		44.0
WELLS FARGO FINANCIAL
Net interest income	$	1,080		$	1,059	$	1,083	$	1,005	$	1,015
Provision for credit losses		494			427		366		396		426
Noninterest income		323			314		328		319		385
Noninterest expense		784			728		791		749		748
Income before income tax expense		125			218		254		179		226
Income tax expense		47			83		98		67		68
Net income	$	78		$	135	$	156	$	112	$	158
Average loans	$	68.4		$	65.8	$	64.0	$	62.7	$	61.5
Average assets		74.7			71.7		69.8		68.3		67.0
CONSOLIDATED COMPANY
Net interest income	$	5,488		$	5,280	$	5,196	$	5,010	$	5,050
Provision for credit losses		2,612			892		720		715		726
Noninterest income		4,717			4,573		4,695		4,431		4,363
Noninterest expense		5,900			5,671		5,727		5,526		5,411
Income before income tax expense		1,693			3,290		3,444		3,200		3,276
Income tax expense		332			1,117		1,165		956		1,095
Net income	$	1,361		$	2,173	$	2,279	$	2,244	$	2,181
Average loans	$	374.4		$	350.7	$	332.0	$	321.4	$	312.2
Average assets (2)		555.6			541.5		502.7		482.1		482.6
Average core deposits		314.8			306.1		300.5		290.6		283.8

(1)

The management accounting process measures the performance of the operating segments based on our management structure and is not necessarily comparable with other similar information for other financial services companies. We define our operating segments by product type and customer segment. If the management structure and/or the allocation process changes, allocations, transfers and assignments may change. To reflect a change in the allocation of income taxes for management reporting adopted in second quarter 2007, results for prior periods have been revised.

(2)

The Consolidated Company balance includes unallocated goodwill held at the enterprise level of $5.8 billion for all periods presented.

-30-

Wells Fargo & Company and Subsidiaries
FIVE QUARTER CONSOLIDATED MORTGAGE SERVICING
	Quarter ended
	Dec. 31,			Sept. 30,			June 30,			Mar. 31,			Dec. 31,
(in millions)	2007			2007			2007			2007			2006
Residential MSRs measured using the fair value method:
Fair value, beginning of quarter	$	18,223		$	18,733		$	17,779		$	17,591		$	17,712
Purchases		314			188			142			159			222
Servicing from securitizations or asset transfers		872			951			1,029			828			843
Sales		—			(292	)		(1,422	)		—			(469	)
Net additions (reductions)		1,186			847			(251	)		987			596
Changes in fair value:
Due to changes in valuation model inputs or assumptions (1)		(1,935	)		(638	)		2,013			(11	)		66
Other changes in fair value (2)		(711	)		(719	)		(808	)		(788	)		(783	)
Total changes in fair value		(2,646	)		(1,357	)		1,205			(799	)		(717	)
Fair value, end of quarter	$	16,763		$	18,223		$	18,733		$	17,779		$	17,591
(1)   Principally reflects changes in discount rates and prepayment speed assumptions, mostly due to changes in interest rates.
(2)   Represents changes due to collection/realization of expected cash flows over time.
	Quarter ended
	Dec. 31,			Sept. 30,			June 30,			Mar. 31,			Dec. 31,
(in millions)	2007			2007			2007			2007			2006
Amortized MSRs:
Balance, beginning of quarter	$	460		$	418		$	400		$	377		$	328
Purchases		19			46			26			29			53
Servicing from securitizations or asset transfers		7			12			11			10			9
Amortization		(20	)		(16	)		(19	)		(16	)		(13	)
Balance, end of quarter (1)	$	466		$	460		$	418		$	400		$	377
Fair value of amortized MSRs:
Beginning of quarter	$	602		$	561		$	484		$	457		$	440
End of quarter		573			602			561			484			457

(1)   There was no valuation allowance recorded for the periods presented.

-31-

Wells Fargo & Company and Subsidiaries
FIVE QUARTER CONSOLIDATED MORTGAGE SERVICING (CONTINUED)
	Quarter ended
	Dec. 31,				Sept. 30,				June 30,				Mar. 31,				Dec. 31,
(in millions)	2007				2007				2007				2007				2006
Servicing income, net:
Servicing fees (1)	$	994			$	970			$	1,007			$	1,054			$	1,011
Changes in fair value of residential MSRs:
Due to changes in valuation model inputs or assumptions (2)		(1,935	)			(638	)			2,013				(11	)			66
Other changes in fair value (3)		(711	)			(719	)			(808	)			(788	)			(783	)
Total changes in fair value of residential MSRs		(2,646	)			(1,357	)			1,205				(799	)			(717	)
Amortization		(20	)			(16	)			(19	)			(16	)			(13	)
Net derivative gains (losses) from economic hedges (4)		2,215				1,200				(2,238	)			(23	)			33
Total servicing income, net	$	543			$	797			$	(45	)		$	216			$	314
Market-related valuation changes to MSRs, net of hedge results (2) + (4)	$	280			$	562			$	(225	)		$	(34	)		$	99
(1)   Includes contractually specified servicing fees, late charges and other ancillary revenues.
(2)   Principally reflects changes in discount rates and prepayment speed assumptions, mostly due to changes in interest rates.
(3)   Represents changes due to collection/realization of expected cash flows over time.
(4)   Represents results from free-standing derivatives (economic hedges) used to hedge the risk of changes in fair value of MSRs.
	Dec. 31,				Sept. 30,				June 30,				Mar. 31,				Dec. 31,
(in billions)	2007				2007				2007				2007				2006
Managed servicing portfolio:
Loans serviced for others (1)	$	1,430			$	1,380			$	1,347			$	1,309			$	1,280
Owned loans serviced (2)		98				97				96				88				86
Total owned servicing		1,528				1,477				1,443				1,397				1,366
Sub-servicing		23				22				24				26				19
Total managed servicing portfolio	$	1,551			$	1,499			$	1,467			$	1,423			$	1,385
Ratio of MSRs to related loans serviced for others		1.20		%		1.35		%		1.42		%		1.39		%		1.41		%
Weighted-average note rate (owned servicing only)		6.01		%		5.98		%		5.95		%		5.93		%		5.92		%
(1)   Consists of 1-4 family first mortgage and commercial mortgage loans.
(2)   Consists of mortgages held for sale and 1-4 family first mortgage loans.

-32-

Wells Fargo & Company and Subsidiaries
SELECTED FIVE QUARTER RESIDENTIAL MORTGAGE PRODUCTION DATA
	Quarter ended
	Dec. 31,			Sept. 30,			June 30,			Mar. 31,			Dec. 31,
(in billions)	2007			2007			2007			2007			2006
Application Data:
Wells Fargo Home Mortgage first mortgage quarterly applications	$	91		$	95		$	114		$	113		$	90
Refinances as a percentage of applications		52	%		40	%		40	%		46	%		50	%
Wells Fargo Home Mortgage first mortgage unclosed pipeline, at quarter end	$	43		$	45		$	56		$	57		$	48
	Quarter ended
	Dec. 31,			Sept. 30,			June 30,			Mar. 31,			Dec. 31,
(in billions)	2007			2007			2007			2007			2006
Residential Real Estate Originations: (1)
Quarter:
Wells Fargo Home Mortgage first mortgage loans:
Retail	$	28		$	29		$	32		$	26		$	29
Correspondent/Wholesale		22			29			36			31			29
Home equity loans and lines		4			7			9			8			9
Wells Fargo Financial		2			3			3			3			3
Total	$	56		$	68		$	80		$	68		$	70
Year-to-date	$	272		$	216		$	148		$	68		$	294

(1) Consists of residential real estate originations from all Wells Fargo channels.