-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, P+0DrmW3Ir+zoaBeM8oZ3xq8QtSuOkqFZ4NFLXnYXNu2rLlny4bV7/MYfUdex1dk wTC+lycrY7iNEY2WD1htkw== 0000912057-97-013128.txt : 19970416 0000912057-97-013128.hdr.sgml : 19970416 ACCESSION NUMBER: 0000912057-97-013128 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 3 CONFORMED PERIOD OF REPORT: 19970415 ITEM INFORMATION: Other events ITEM INFORMATION: Financial statements and exhibits FILED AS OF DATE: 19970415 SROS: NYSE SROS: PSE FILER: COMPANY DATA: COMPANY CONFORMED NAME: WELLS FARGO & CO CENTRAL INDEX KEY: 0000105598 STANDARD INDUSTRIAL CLASSIFICATION: NATIONAL COMMERCIAL BANKS [6021] IRS NUMBER: 132553920 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-06214 FILM NUMBER: 97581427 BUSINESS ADDRESS: STREET 1: 420 MONTGOMERY ST CITY: SAN FRANCISCO STATE: CA ZIP: 94163 BUSINESS PHONE: 4154771000 MAIL ADDRESS: STREET 1: 343 SANSOME ST 3RD FL STREET 2: WELLS FARGO BANK CITY: SAN FRANCISCO STATE: CA ZIP: 94163 8-K 1 FORM 8-K SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 8-K CURRENT REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 Date of Report (date of earliest event reported): April 15, 1997 WELLS FARGO & COMPANY (Exact name of registrant as specified in its charter) Delaware 1-6214 No. 13-2553920 (State or other jurisdiction (Commission File (IRS Employer of incorporation) Number) Identification No.) 420 Montgomery Street, San Francisco, California 94163 (Address of principal executive offices) (Zip Code) Registrant's telephone number, including area code: (415) 477-1000 Not applicable (Former name or former address, if changed since last report) Item 5: OTHER EVENTS Attached hereto as Exhibit 99 is a Press Release announcing Wells Fargo & Company's financial results for the quarter ended March 31, 1997. Final financial statements with additional analyses will be filed as part of the Company's Form 10-Q in May 1997. Item 7: FINANCIAL STATEMENTS AND EXHIBITS (c) Exhibits 27 Financial Data Schedule 99 Copy of the Press Release announcing Wells Fargo & Company's financial results for the quarter ended March 31, 1997. SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized, on April 15, 1997. WELLS FARGO & COMPANY By: /s/ FRANK A. MOESLEIN --------------------------------------- Frank A. Moeslein Executive Vice President and Controller EX-27 2 EXHIBIT 27
9 THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE 8-K DATED APRIL 15, 1997 FOR THE PERIOD ENDED MARCH 31, 1997 AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL INFORMATION. 1,000,000 3-MOS DEC-31-1997 JAN-01-1997 MAR-31-1997 8,530 0 209 0 12,634 0 0 65,436 1,922 101,863 76,427 1,926 3,642 6,177 0 425 450 12,720 101,863 1,549 208 16 1,773 422 561 1,212 105 4 1,117 630 339 0 0 339 3.62 0 6.14 645 0 10 0 2,018 270 69 1,922 0 0 0
EX-99 3 EXHIBIT 99 Cindy Koehn 415/396-3099 Investor Relations FOR IMMEDIATE RELEASE Tues., April 15, 1997 WELLS FARGO REPORTS FIRST QUARTER EARNINGS FIRST QUARTER PER SHARE EARNINGS OF $3.62 VS. $1.12 IN FOURTH QUARTER 1996 Wells Fargo & Co. (NYSE:WFC) today reported net income of $339 million for the first quarter 1997. Per share earnings for the quarter were $3.62. Return on average assets (ROA) was 1.31 percent and return on average common equity (ROE) was 10.02 percent for the quarter. Cash earnings for the first quarter of 1997 were $4.88 per share. Cash ROA was 1.90 percent; cash ROE was 36.67 percent. Cash earnings are earnings before the amortization of goodwill and nonqualifying core deposit intangibles. "We're pleased that we've met our expense reduction target this quarter," said Chairman Paul Hazen. "We are now half-way to our goal of $800 million in gross annual expense reductions. However, due to runoff in our loan and deposit portfolios we are not where we would like to be with respect to revenue." Since the Company's results for the first quarter of 1997 reflect the effects of the First Interstate merger which was completed on April 1, 1996, these results are not comparable to the reported results for the first quarter of 1996. Net interest income on a taxable-equivalent basis was $1.2 billion in the first quarter of 1997. The Company's net interest margin for the first quarter of 1997 was 6.14 percent. Noninterest income (NII) in the first quarter of 1997 was $640 million. Noninterest expense (NIE) in the first quarter of 1997 was $1.1 billion. -more- 2/WF Earnings The loan loss provision was $105 million for the first quarter. Net charge-offs in the first quarter of 1997 totaled $201 million, or 1.23 percent of average loans (annualized). The largest category of net charge-offs was credit card loans ($104 million). At March 31, 1997, the allowance for loan losses equaled 2.94 percent of total loans. Total nonaccrual and restructured loans were $655 million at March 31, 1997. Foreclosed assets were $207 million at March 31, 1997. At March 31, 1997, the Company's preliminary risk-based capital ratios were 12.00 percent for total risk-based capital and 7.75 percent for Tier 1 risk- based capital, exceeding the minimum regulatory guidelines of 8 percent and 4 percent, respectively. The leverage ratio at March 31, 1997 was 6.60 percent. The ratio of common equity to total assets at March 31, 1997 was 12.93 percent. ________________ The following appears in accordance with the Securities Litigation Reform Act: This press release includes forward-looking statements that involve inherent risks and uncertainties. A number of important factors could cause actual results to differ materially from those in the forward-looking statements. Those factors include fluctuations in interest rates, inflation, government regulations, the progress of integrating First Interstate and economic conditions and competition in the geographic and business areas in which the Company conducts its operations. ### VISIT WELLS FARGO ON THE WORLD WIDE WEB AT http://www.wellsfargo.com -3- Wells Earnings
Wells Fargo & Company and Subsidiaries SUMMARY FINANCIAL DATA -- NEWS RELEASE - ------------------------------------------------------------------------------------------------------------------------ % Change Quarter ended March 31, 1997 from -------------------------------------------------------------------- MARCH 31, Dec. 31, March 31, Dec. 31, March 31, (in millions) 1997 1996 1996 1996 1996 - ------------------------------------------------------------------------------------------------------------------------ FOR THE QUARTER Net income $ 339 $ 123 $ 264 176% 28% Net income applicable to common stock 329 103 254 219 30 Per common share Net income $ 3.62 $ 1.12 $ 5.39 223 (33) Dividends declared 1.30 1.30 1.30 -- -- Average common shares outstanding 90.8 92.2 47.0 (2) 93 Profitability ratios (annualized) Net income to average total assets (ROA) 1.31% 0.45% 2.16% 191 (39) Net income applicable to common stock to average common stockholders' equity (ROE) 10.02 2.99 28.34 235 (65) Efficiency ratio (1) 60.3% 82.0% 55.1% (26) 9 Average loans $ 65,493 $ 67,097 $ 35,025 (2) 87 Average assets 105,430 107,308 49,134 (2) 115 Average core deposits 77,622 80,776 36,819 (4) 111 Net interest margin 6.14% 6.14% 6.18% -- (1) NET INCOME AND RATIOS EXCLUDING GOODWILL AND NONQUALIFYING CORE DEPOSIT INTANGIBLE AMORTIZATION AND BALANCES (CASH OR TANGIBLE) (2) Net income applicable to common stock $ 443 $ 222 $ 262 100 69 Net income per common share 4.88 2.41 5.58 102 (13) ROA 1.90% 0.97% 2.25% 96 (16) ROE 36.67 16.99 32.74 116 12 Efficiency ratio 52.9 74.0 54.3 (29) (3) AT QUARTER END Investment securities $ 12,634 $ 13,505 $ 8,435 (6) 50 Loans 65,436 67,389 35,167 (3) 86 Allowance for loan losses 1,922 2,018 1,681 (5) 14 Goodwill 7,312 7,322 373 -- -- Assets 101,863 108,888 48,978 (6) 108 Core deposits 76,156 81,581 37,414 (7) 104 Common stockholders' equity 13,170 13,512 3,713 (3) 255 Stockholders' equity 13,595 14,112 4,202 (4) 224 Capital ratios Common stockholders' equity to assets 12.93% 12.41% 7.58% 4 71 Stockholders' equity to assets 13.35 12.96 8.58 3 56 Risk-based capital (3) Tier 1 capital 7.75 7.68 9.40 1 (18) Total capital 12.00 11.70 13.04 3 (8) Leverage (3) 6.60 6.65 7.91 (1) (17) Book value per common share $ 146.37 $ 147.72 $ 79.01 (1) 85 Staff (active, full-time equivalent) 34,486 36,902 18,748 (7) 84 COMMON STOCK PRICE High $ 319.25 $ 289.88 $ 261.25 10 22 Low 271.00 250.25 203.13 8 33 Quarter end 284.13 269.75 261.25 5 9 - ------------------------------------------------------------------------------------------------------------------------
(1) The efficiency ratio is defined as noninterest expense divided by the total of net interest income and noninterest income. (2) Nonqualifying core deposit intangible (CDI) amortization and average balance excluded from these calculations are, with the exception of the efficiency ratio, net of applicable taxes. The after-tax amounts for the amortization and average balance of nonqualifying CDI were $32 million and $1,095 million for the quarter ended March 31, 1997, respectively. Goodwill amortization and average balance (which are not tax effected) were $83 million and $7,306 million for the quarter ended March 31, 1997, respectively. (3) The March 31, 1997 ratios are preliminary. -4-
Wells Fargo & Company and Subsidiaries CONSOLIDATED STATEMENT OF INCOME ------------------------------------------------------------------------------------------------------------------- Quarter ended March 31, ---------------------- % (in millions) 1997 1996 Change ------------------------------------------------------------------------------------------------------------------- INTEREST INCOME Federal funds sold and securities purchased (1) under resale agreements $ 5 $ 2 150% (2) Investment securities 208 128 63 (3) Loans 1,549 875 77 (4) Other 11 1 -- ------- ------- (5) Total interest income 1,773 1,006 76 ------- ------- INTEREST EXPENSE (6) Deposits 422 241 75 Federal funds purchased and securities sold (7) under repurchase agreements 31 36 (14) (8) Commercial paper and other short-term borrowings 2 5 (60) (9) Senior and subordinated debt 81 48 69 Guaranteed preferred beneficial interests in (10) Company's subordinated debentures 25 -- -- ------- ------- (11) Total interest expense 561 330 70 ------- ------- (12) NET INTEREST INCOME 1,212 676 79 (13) Provision for loan losses 105 -- -- ------- ------- Net interest income after (14) provision for loan losses 1,107 676 64 ------- ------- NONINTEREST INCOME (15) Service charges on deposit accounts 221 122 81 (16) Fees and commissions 214 118 81 (17) Trust and investment services income 109 59 85 (18) Investment securities gains 4 -- -- (19) Other 92 55 67 ------- ------- (20) Total noninterest income 640 354 81 ------- ------- NONINTEREST EXPENSE (21) Salaries 341 181 88 (22) Incentive compensation 41 32 28 (23) Employee benefits 95 54 76 (24) Equipment 94 55 71 (25) Net occupancy 102 53 92 (26) Goodwill 83 9 822 (27) Core deposit intangible 62 10 520 (28) Other 299 173 73 ------- ------- (29) Total noninterest expense 1,117 567 97 ------- ------- INCOME BEFORE INCOME TAX (30) EXPENSE 630 463 36 (31) Income tax expense 291 199 46 ------- ------- (32) NET INCOME $ 339 $ 264 28% ======= ======= ======= NET INCOME APPLICABLE TO (33) COMMON STOCK $ 329 $ 254 30% ======= ======= ======= PER COMMON SHARE (34) Net income $ 3.62 $ 5.39 (33)% ======= ======= ======= (35) Dividends declared $ 1.30 $ 1.30 --% ======= ======= ======= (36) Average common shares outstanding 90.8 47.0 93% ======= ======= ======= -------------------------------------------------------------------------------------------------------------------
-5-
Wells Fargo & Company and Subsidiaries CONSOLIDATED BALANCE SHEET ------------------------------------------------------------------------------------------------------------------- % Change March 31, 1997 from -------------------- MAR. 31, Dec. 31, Mar. 31, Dec. 31, Mar. 31, (in millions) 1997 1996 1996 1996 1996 ------------------------------------------------------------------------------------------------------------------- ASSETS (1) Cash and due from banks $ 8,530 $ 11,736 $ 2,721 (27)% 213% Federal funds sold and securities (2) purchased under resale agreements 209 187 49 12 327 (3) Investment securities at fair value 12,634 13,505 8,435 (6) 50 (4) Loans 65,436 67,389 35,167 (3) 86 (5) Allowance for loan losses 1,922 2,018 1,681 (5) 14 -------- -------- -------- (6) Net loans 63,514 65,371 33,486 (3) 90 -------- -------- -------- (7) Due from customers on acceptances 96 197 79 (51) 22 (8) Accrued interest receivable 611 665 316 (8) 93 (9) Premises and equipment, net 2,310 2,406 859 (4) 169 (10) Core deposit intangible 1,901 2,038 156 (7) -- (11) Goodwill 7,312 7,322 373 -- -- (12) Other assets 4,746 5,461 2,504 (13) 90 -------- -------- -------- (13) Total assets $101,863 $108,888 $ 48,978 (6)% 108% ======== ======== ======== === === LIABILITIES (14) Noninterest-bearing deposits $ 25,337 $ 29,073 $ 9,740 (13)% 160% (15) Interest-bearing deposits 51,090 52,748 28,066 (3) 82 -------- -------- -------- (16) Total deposits 76,427 81,821 37,806 (7) 102 Federal funds purchased and securities (17) sold under repurchase agreements 1,685 2,029 2,243 (17) (25) (18) Commercial paper and other short-term borrowings 241 401 225 (40) 7 (19) Acceptances outstanding 96 197 79 (51) 22 (20) Accrued interest payable 242 171 110 42 120 (21) Other liabilities 3,400 3,947 1,166 (14) 192 (22) Senior debt 1,940 2,120 1,881 (8) 3 (23) Subordinated debt 2,938 2,940 1,266 -- 132 Guaranteed preferred beneficial interests in (24) Company's subordinated debentures 1,299 1,150 -- 13 -- STOCKHOLDERS' EQUITY (25) Preferred stock 425 600 489 (29) (13) Common stock - $5 par value, authorized 150,000,000 shares; issued and outstanding 89,977,610 shares, (26) 91,474,425 shares and 46,999,455 shares 450 457 235 (2) 91 (27) Additional paid-in capital 9,801 10,287 1,136 (5) 763 (28) Retained earnings 2,959 2,749 2,366 8 25 (29) Cumulative foreign currency translation adjustments -- (4) (4) (100) (100) (30) Investment securities valuation allowance (40) 23 (20) -- 100 -------- -------- -------- (31) Total stockholders' equity 13,595 14,112 4,202 (4) 224 -------- -------- -------- (32) Total liabilities and stockholders' equity $101,863 $108,888 $ 48,978 (6)% 108% ======== ======== ======== === === -------------------------------------------------------------------------------------------------------------------
-6-
Wells Fargo & Company and Subsidiaries CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY - -------------------------------------------------------------------------------------------------------------- Quarter ended March 31, ----------------------- (in millions) 1997 1996 - -------------------------------------------------------------------------------------------------------------- BALANCE, BEGINNING OF QUARTER $14,112 $4,055 Net income 339 264 Common stock issued under employee benefit and dividend reinvestment plans 24 7 Preferred stock redeemed (175) -- Common stock repurchased (517) (6) Preferred stock dividends (10) (10) Common stock dividends (119) (62) Change in foreign currency translation adjustments 4 -- Change in investment securities valuation allowance (63) (46) -------- -------- BALANCE, END OF QUARTER $13,595 $4,202 ======== ======== - --------------------------------------------------------------------------------------------------------------
LOANS - -------------------------------------------------------------------------------------------------------------- MARCH 31, December 31, March 31, (in millions) 1997 1996 1996 - -------------------------------------------------------------------------------------------------------------- Commercial $19,025 $19,515 $ 9,393 Real estate 1-4 family first mortgage 10,032 10,425 4,346 Other real estate mortgage 11,497 11,860 8,274 Real estate construction 2,243 2,303 1,312 Consumer: Real estate 1-4 family junior lien mortgage 6,112 6,278 3,303 Credit card 5,232 5,462 3,928 Other revolving credit and monthly payment 7,984 8,374 2,590 -------- -------- -------- Total consumer 19,328 20,114 9,821 Lease financing 3,152 3,003 1,991 Foreign 159 169 30 -------- -------- -------- Total loans $65,436 $67,389 $35,167 ======== ======== ======== - --------------------------------------------------------------------------------------------------------------
-7-
Wells Fargo & Company and Subsidiaries CHANGES IN THE ALLOWANCE FOR LOAN LOSSES - ------------------------------------------------------------------------------------------------------------------------ Quarter ended -------------------------------------- MARCH 31, December 31, March 31, (in millions) 1997 1996 1996 - ------------------------------------------------------------------------------------------------------------------------ BALANCE, BEGINNING OF QUARTER $2,018 $2,137 $1,794 Sale of former First Interstate banks -- (11) -- Provision for loan losses 105 70 -- Loan charge-offs: Commercial (69) (49) (13) Real estate 1-4 family first mortgage (5) (6) (4) Other real estate mortgage (8) (11) (3) Real estate construction (1) (3) (1) Consumer: Real estate 1-4 family junior lien mortgage (6) (5) (4) Credit card (115) (112) (86) Other revolving credit and monthly payment (56) (62) (20) -------- -------- -------- Total consumer (177) (179) (110) Lease financing (10) (9) (6) -------- -------- -------- Total loan charge-offs (270) (257) (137) -------- -------- -------- Loan recoveries: Commercial 13 24 5 Real estate 1-4 family first mortgage 1 2 3 Other real estate mortgage 22 14 4 Real estate construction 1 5 1 Consumer: Real estate 1-4 family junior lien mortgage 2 2 1 Credit card 11 11 5 Other revolving credit and monthly payment 16 19 3 -------- -------- -------- Total consumer 29 32 9 Lease financing 3 2 2 -------- -------- -------- Total loan recoveries 69 79 24 -------- -------- -------- Total net loan charge-offs (201) (178) (113) -------- -------- -------- BALANCE, END OF QUARTER $1,922 $2,018 $1,681 ======== ======== ======== Total net loan charge-offs as a percentage of average loans (annualized) 1.23% 1.04% 1.30% ======== ======== ======== Allowance as a percentage of total loans 2.94% 3.00% 4.78% ======== ======== ======== - ------------------------------------------------------------------------------------------------------------------------
-8-
Wells Fargo & Company and Subsidiaries NONACCRUAL AND RESTRUCTURED LOANS AND OTHER ASSETS - ------------------------------------------------------------------------------------------------------------------------ MARCH 31, December 31, March 31, (in millions) 1997 1996 1996 - ------------------------------------------------------------------------------------------------------------------------ Nonaccrual loans: Commercial $199 $223 $120 Real estate 1-4 family first mortgage 97 99 61 Other real estate mortgage 306 349 289 Real estate construction 24 25 44 Consumer: Real estate 1-4 family junior lien mortgage 16 15 11 Other revolving credit and monthly payment 1 1 -- Lease financing 2 2 -- -------- -------- -------- Total nonaccrual loans 645 714 525 Restructured loans 10 10 12 -------- -------- -------- Nonaccrual and restructured loans 655 724 537 As a percentage of total loans 1.0% 1.1% 1.5% Foreclosed assets 207 219 198 Real estate investments (1) 5 4 7 -------- -------- -------- Total nonaccrual and restructured loans and other assets $867 $947 $742 ======== ======== ======== - ------------------------------------------------------------------------------------------------------------------------
(1) Represents the amount of real estate investments (contingent interest loans accounted for as investments) that would be classified as nonaccrual if such assets were loans. Real estate investments totaled $158 million, $154 million and $115 million at March 31, 1997, December 31, 1996 and March 31, 1996, respectively. -9-
Wells Fargo & Company and Subsidiaries NONINTEREST INCOME - ------------------------------------------------------------------------------------------------------------------------ Quarter ended March 31, --------------------- % (in millions) 1997 1996 Change - ------------------------------------------------------------------------------------------------------------------------ Service charges on deposit accounts $221 $122 81% Fees and commissions: Credit card membership and other credit card fees 45 26 73 Debit and credit card merchant fees 22 15 47 Charges and fees on loans 31 17 82 Shared ATM network fees 39 13 200 Mutual fund and annuity sales fees 16 8 100 All other 61 39 56 ------ ------ Total fees and commissions 214 118 81 Trust and investment services income: Asset management and custody fees 61 35 74 Mutual fund management fees 40 21 90 All other 8 3 167 ------ ------ Total trust and investment services income 109 59 85 Investment securities gains 4 -- -- Income from equity investments accounted for by the: Cost method 51 35 46 Equity method 16 2 700 Check printing charges 17 9 89 Gains from dispositions of operations 7 5 40 Gains on sales of loans 6 4 50 Losses on dispositions of premises and equipment (30) (11) 173 All other 25 11 127 ------ ------ Total $640 $354 81% ====== ====== ====== - ------------------------------------------------------------------------------------------------------------------------
NONINTEREST EXPENSE - ------------------------------------------------------------------------------------------------------------------------ Quarter ended March 31, --------------------- % (in millions) 1997 1996 Change - ------------------------------------------------------------------------------------------------------------------------ Salaries $ 341 $181 88% Incentive compensation 41 32 28 Employee benefits 95 54 76 Equipment 94 55 71 Net occupancy 102 53 92 Goodwill 83 9 822 Core deposit intangible: Nonqualifying (1) 54 -- -- Qualifying 8 10 (20) Contract services 56 42 33 Operating losses 42 14 200 Telecommunications 38 16 138 Postage 23 15 53 Security 22 6 267 Stationery and supplies 21 10 110 Check printing 15 7 114 Outside professional services 15 13 15 Travel and entertainment 14 9 56 Outside data processing 13 3 333 Advertising and promotion 13 13 -- Foreclosed assets (9) 2 -- All other 36 23 57 ------ ------ ------ Total $1,117 $567 97% ====== ====== ====== - ------------------------------------------------------------------------------------------------------------------------
(1) Amortization of core deposit intangibles acquired after February 1992 that are subtracted from stockholders' equity in computing regulatory capital for bank holding companies. -10-
Wells Fargo & Company and Subsidiaries AVERAGE BALANCES, YIELDS AND RATES PAID (TAXABLE-EQUIVALENT BASIS) (1) ----------------------------------------------------------------------------------------------------------------------------- Quarter ended March 31, -------------------------------------------------------------------- 1997 1996 -------------------------------- -------------------------------- INTEREST Interest AVERAGE YIELDS/ INCOME/ Average Yields/ income/ (in millions) BALANCE RATES EXPENSE balance rates expense ----------------------------------------------------------------------------------------------------------------------------- EARNING ASSETS Federal funds sold and securities purchased (1) under resale agreements $ 374 5.43% $ 5 $ 125 5.68% $ 2 Investment securities at fair value (2): (2) U.S. Treasury securities 2,916 6.04 43 1,356 5.52 18 Securities of U.S. government agencies (3) and corporations 6,703 6.41 107 4,991 5.95 75 (4) Private collateralized mortgage obligations 3,134 6.57 52 2,078 6.05 31 (5) Other securities 368 6.35 6 225 7.70 4 -------- -------- -------- -------- (6) Total investment securities at fair value 13,121 6.36 208 8,650 5.95 128 Loans: (7) Commercial 18,406 8.98 409 9,308 9.96 231 (8) Real estate 1-4 family first mortgage 10,236 7.41 189 4,400 7.56 83 (9) Other real estate mortgage 11,550 10.89 310 8,197 9.23 188 (10) Real estate construction 2,299 9.75 55 1,327 9.98 33 Consumer: (11) Real estate 1-4 family junior lien mortgage 6,170 9.30 142 3,334 8.50 71 (12) Credit card 5,330 14.07 188 3,933 15.56 153 (13) Other revolving credit and monthly payment 8,271 9.27 189 2,598 11.19 71 -------- -------- -------- -------- (14) Total consumer 19,771 10.57 519 9,865 12.02 295 (15) Lease financing 3,079 8.84 68 1,897 9.20 44 (16) Foreign 152 7.34 3 31 6.96 1 -------- -------- -------- -------- (17) Total loans 65,493 9.57 1,553 35,025 10.03 875 (18) Other 706 6.25 11 69 6.34 1 -------- -------- -------- -------- (19) Total earning assets $ 79,694 8.99 1,777 $43,869 9.21 1,006 ======== ======== ======== ======== FUNDING SOURCES Deposits: (20) Interest-bearing checking $ 1,913 1.14 5 $ 856 .99 2 (21) Market rate and other savings 34,103 2.55 214 17,991 2.52 113 (22) Savings certificates 15,518 5.05 193 8,636 5.24 113 (23) Other time deposits 180 3.94 2 341 7.26 6 (24) Deposits in foreign offices 559 5.13 7 524 5.42 7 -------- -------- -------- -------- (25) Total interest-bearing deposits 52,273 3.27 421 28,348 3.41 241 Federal funds purchased and securities sold (26) under repurchase agreements 2,425 5.18 31 2,706 5.36 36 (27) Commercial paper and other short-term borrowings 230 5.07 2 405 5.27 5 (28) Senior debt 2,001 6.19 31 1,710 6.26 26 (29) Subordinated debt 2,939 6.92 51 1,266 6.85 22 Guaranteed preferred beneficial interests in Company's (30) subordinated debentures 1,251 7.85 25 -- -- -- -------- -------- -------- -------- (31) Total interest-bearing liabilities 61,119 3.72 561 34,435 3.86 330 (32) Portion of noninterest-bearing funding sources 18,575 -- -- 9,434 -- -- -------- -------- -------- -------- (33) Total funding sources $ 79,694 2.85 561 $43,869 3.03 330 ======== -------- ======== -------- NET INTEREST MARGIN AND NET INTEREST INCOME ON (34) A TAXABLE-EQUIVALENT BASIS (3) 6.14% $1,216 6.18% $ 676 ====== ======== ====== ======== NONINTEREST-EARNING ASSETS (35) Cash and due from banks $ 9,956 $ 2,873 (36) Goodwill 7,306 377 (37) Other 8,474 2,015 -------- -------- Total noninterest-earning assets $ 25,736 $ 5,265 ======== ======== NONINTEREST-BEARING FUNDING SOURCES (38) Deposits $ 26,088 $ 9,336 (39) Other liabilities 4,370 1,277 (40) Preferred stockholders' equity 548 489 (41) Common stockholders' equity 13,305 3,597 Noninterest-bearing funding sources used to (42) fund earning assets (18,575) (9,434) -------- -------- (43) Net noninterest-bearing funding sources $ 25,736 $ 5,265 ======== ======== (44) TOTAL ASSETS $105,430 $49,134 ======== ======== - -----------------------------------------------------------------------------------------------------------------------------
(1) The average prime rate of Wells Fargo Bank was 8.27% and 8.33% for the quarters ended March 31, 1997 and 1996, respectively. The average three-month London Interbank Offered Rate (LIBOR) was 5.57% and 5.40% for the same quarters, respectively. (2) Yields are based on amortized cost balances. The average amortized cost balances for investment securities at fair value totaled $13,116 million and $8,614 million for the quarters ended March 31, 1997 and 1996, respectively. (3) Includes taxable-equivalent adjustments that primarily relate to income on certain loans and securities that is exempt from federal and applicable state income taxes. The federal statutory tax rate was 35% for the quarters ended March 31, 1997 and 1996. -----END PRIVACY-ENHANCED MESSAGE-----