Short-Term Borrowings

12 Months Ended

Dec. 31, 2016

NOTE 12 _{Short-Term Borrowings (a)}

The following table is a summary of short-term borrowings for the last three years:


	2016					2015					2014
(Dollars in Millions)	Amount		Rate			Amount		Rate			Amount		Rate

At year-end
Federal funds purchased	$	447		.30	%	$	647		.23	%	$	886		.12	%
Securities sold under agreements to repurchase		801		.12			1,092		.02			948		.05
Commercial paper		10,010		.30			22,022		.21			22,197		.12
Other short-term borrowings		2,705		1.00			4,116		.69			5,862		.51
Total	$	13,963		.43	%	$	27,877		.27	%	$	29,893		.19	%
Average for the year
Federal funds purchased^(b)	$	1,015		17.17	%	$	1,169		15.05	%	$	2,366		7.94	%
Securities sold under agreements to repurchase		891		.18			973		.10			798		1.07
Commercial paper		14,827		.26			21,892		.12			21,227		.12
Other short-term borrowings		3,173		1.67			3,926		1.13			5,861		.78
Total^(b)	$	19,906		1.34	%	$	27,960		.89	%	$	30,252		.88	%
Maximum month-end balance
Federal funds purchased	$	2,487				$	1,868				$	3,258
Securities sold under agreements to repurchase		1,177					1,124					948
Commercial paper		21,441					23,101					22,322
Other short-term borrowings		6,771					7,656					7,417

(a)

Interest and rates are presented on a fully taxable-equivalent basis utilizing a tax rate of 35 percent.

(b)

Average federal funds purchased and total short-term borrowings rates include amounts paid by the Company to certain corporate card customers for paying outstanding noninterest-bearing corporate card balances within certain timeframes per specific agreements. These activities reduce the Company’s short-term funding needs, and if they did not occur, the Company would use other funding alternatives, including the use of federal funds purchased. The amount of this compensation expense paid by the Company and included in federal funds purchased and total short-term borrowings rates for 2016, 2015 and 2014 was $171 million, $175 million and $186 million, respectively.