Table 11

Line of Business Financial Performance


	Corporate and Commercial Banking									Consumer and Business Banking
Three Months Ended June 30 (Dollars in Millions)	2018			2017			Percent Change			2018		2017		Percent Change
Condensed Income Statement
Net interest income (taxable-equivalent basis)	$	725		$	725			–	%	$	1,539	$	1,466		5.0	%
Noninterest income		223			242			(7.9	)		590		606		(2.6	)
Securities gains (losses), net		–			–			–			–		–		–
Total net revenue		948			967			(2.0	)		2,129		2,072		2.8
Noninterest expense		403			393			2.5			1,347		1,295		4.0
Other intangibles		1			1			–			7		7		–
Total noninterest expense		404			394			2.5			1,354		1,302		4.0
Income before provision and income taxes		544			573			(5.1	)		775		770		.6
Provision for credit losses		(12	)		(18	)		33.3			60		90		(33.3	)
Income before income taxes		556			591			(5.9	)		715		680		5.1
Income taxes and taxable-equivalent adjustment		139			215			(35.3	)		179		247		(27.5	)
Net income		417			376			10.9			536		433		23.8
Net (income) loss attributable to noncontrolling interests		–			–			–			–		–		–
Net income attributable to U.S. Bancorp	$	417		$	376			10.9		$	536	$	433		23.8
Average Balance Sheet
Commercial	$	74,813		$	73,399			1.9	%	$	10,028	$	10,227		(1.9	)%
Commercial real estate		18,697			20,820			(10.2	)		18,172		18,503		(1.8	)
Residential mortgages		6			6			–			57,591		55,778		3.3
Credit card		–			–			–			–		–		–
Other retail		1			–			*			53,409		52,479		1.8
Total loans, excluding covered loans		93,517			94,225			(.8	)		139,200		136,987		1.6
Covered loans		–			–			–			2,897		3,533		(18.0	)
Total loans		93,517			94,225			(.8	)		142,097		140,520		1.1
Goodwill		1,647			1,647			–			3,681		3,681		–
Other intangible assets		11			14			(21.4	)		2,932		2,730		7.4
Assets		102,585			103,105			(.5	)		156,803		154,221		1.7
Noninterest-bearing deposits		33,379			36,438			(8.4	)		27,565		27,287		1.0
Interest checking		9,545			9,545			–			50,599		47,332		6.9
Savings products		42,448			45,780			(7.3	)		62,203		60,645		2.6
Time deposits		18,370			13,556			35.5			12,779		12,804		(.2	)
Total deposits		103,742			105,319			(1.5	)		153,146		148,068		3.4
Total U.S. Bancorp shareholders’ equity		10,500			9,921			5.8			12,244		11,435		7.1

	Corporate and Commercial Banking									Consumer and Business Banking
Six Months Ended June 30 (Dollars in Millions)	2018			2017			Percent Change			2018		2017		Percent Change
Condensed Income Statement
Net interest income (taxable-equivalent basis)	$	1,447		$	1,433			1.0	%	$	3,069	$	2,894		6.0	%
Noninterest income		431			490			(12.0	)		1,160		1,177		(1.4	)
Securities gains (losses), net		–			(3	)		*			–		–		–
Total net revenue		1,878			1,920			(2.2	)		4,229		4,071		3.9
Noninterest expense		797			778			2.4			2,668		2,574		3.7
Other intangibles		2			2			–			14		14		–
Total noninterest expense		799			780			2.4			2,682		2,588		3.6
Income before provision and income taxes		1,079			1,140			(5.4	)		1,547		1,483		4.3
Provision for credit losses		2			18			(88.9	)		116		155		(25.2	)
Income before income taxes		1,077			1,122			(4.0	)		1,431		1,328		7.8
Income taxes and taxable-equivalent adjustment		269			408			(34.1	)		358		483		(25.9	)
Net income		808			714			13.2			1,073		845		27.0
Net (income) loss attributable to noncontrolling interests		–			–			–			–		–		–
Net income attributable to U.S. Bancorp	$	808		$	714			13.2		$	1,073	$	845		27.0
Average Balance Sheet
Commercial	$	74,813		$	72,912			2.6	%	$	9,931	$	10,069		(1.4	)%
Commercial real estate		18,915			21,062			(10.2	)		18,194		18,527		(1.8	)
Residential mortgages		6			7			(14.3	)		57,327		55,510		3.3
Credit card		–			–			–			–		–		–
Other retail		1			–			*			54,203		52,083		4.1
Total loans, excluding covered loans		93,735			93,981			(.3	)		139,655		136,189		2.5
Covered loans		–			–			–			2,972		3,625		(18.0	)
Total loans		93,735			93,981			(.3	)		142,627		139,814		2.0
Goodwill		1,647			1,647			–			3,681		3,681		–
Other intangible assets		11			14			(21.4	)		2,902		2,749		5.6
Assets		102,615			102,712			(.1	)		157,164		153,932		2.1
Noninterest-bearing deposits		33,893			36,697			(7.6	)		27,456		27,122		1.2
Interest checking		9,519			9,401			1.3			49,988		46,809		6.8
Savings products		43,188			47,291			(8.7	)		61,867		60,244		2.7
Time deposits		17,452			13,023			34.0			12,678		13,003		(2.5	)
Total deposits		104,052			106,412			(2.2	)		151,989		147,178		3.3
Total U.S. Bancorp shareholders’ equity		10,459			9,801			6.7			12,232		11,478		6.6

*	Not meaningful

(a)

Presented net of related rewards and rebate costs and certain partner payments of $533 million and $493 million for the three months ended June 30, 2018 and 2017, respectively, and $1.1 billion and $961 million for the six months ended June 30, 2018 and 2017, respectively.

(b)

Includes revenue generated from certain contracts with customers of $1.9 billion and $1.8 billion for the three months ended June 30, 2018 and 2017, respectively, and $3.7 billion and $3.5 billion for the six months ended June 30, 2018 and 2017, respectively.


Wealth Management and Investment Services								Payment Services									Treasury and Corporate Support									Consolidated Company
2018		2017			Percent Change			2018			2017			Percent Change			2018			2017			Percent Change			2018			2017			Percent Change

	$ 290	$	260			11.5	%	$	592		$	581			1.9	%	$	80		$	68			17.6	%	$	3,226		$	3,100			4.1	%
	430		412			4.4			903	(a)		850	(a)		6.2			258			229			12.7			2,404	(b)		2,339	(b)		2.8
	–		–			–			–			–			–			10			9			11.1			10			9			11.1
	720		672			7.1			1,495			1,431			4.5			348			306			13.7			5,640			5,448			3.5
	443		388			14.2			705			665			6.0			147			200			(26.5	)		3,045			2,941			3.5
	4		5			(20.0	)		28			30			(6.7	)		–			–			–			40			43			(7.0	)
	447		393			13.7			733			695			5.5			147			200			(26.5	)		3,085			2,984			3.4
	273		279			(2.2	)		762			736			3.5			201			106			89.6			2,555			2,464			3.7
	–		(1	)		*			281			283			(.7	)		(2	)		(4	)		50.0			327			350			(6.6	)
	273		280			(2.5	)		481			453			6.2			203			110			84.5			2,228			2,114			5.4
	68		102			(33.3	)		120			165			(27.3	)		(36	)		(127	)		71.7			470			602			(21.9	)
	205		178			15.2			361			288			25.3			239			237			.8			1,758			1,512			16.3
	–		–			–			–			(6	)		*			(8	)		(6	)		(33.3	)		(8	)		(12	)		33.3
	$ 205	$	178			15.2		$	361		$	282			28.0		$	231		$	231			–		$	1,750		$	1,500			16.7

	$ 3,737	$	3,375			10.7	%	$	8,963		$	7,975			12.4	%	$	812		$	662			22.7	%	$	98,353		$	95,638			2.8	%
	519		507			2.4			–			–			–			2,469			2,719			(9.2	)		39,857			42,549			(6.3	)
	3,232		2,752			17.4			–			–			–			5			8			(37.5	)		60,834			58,544			3.9
	–		–			–			21,220			20,631			2.9			–			–			–			21,220			20,631			2.9
	1,645		1,684			(2.3	)		408			464			(12.1	)		–			–			–			55,463			54,627			1.5
	9,133		8,318			9.8			30,591			29,070			5.2			3,286			3,389			(3.0	)		275,727			271,989			1.4
	–		–			–			–			–			–			–			6			*			2,897			3,539			(18.1	)
	9,133		8,318			9.8			30,591			29,070			5.2			3,286			3,395			(3.2	)		278,624			275,528			1.1
	1,569		1,567			.1			2,536			2,458			3.2			–			–			–			9,433			9,353			.9
	66		83			(20.5	)		392			408			(3.9	)		–			–			–			3,401			3,235			5.1
	12,107		11,437			5.9			36,552			34,779			5.1			146,442			142,563			2.7			454,489			446,105			1.9
	14,767		15,952			(7.4	)		1,085			1,015			6.9			2,191			2,018			8.6			78,987			82,710			(4.5	)
	9,737		10,362			(6.0	)		–			–			–			37			51			(27.5	)		69,918			67,290			3.9
	43,084		43,333			(.6	)		106			102			3.9			561			441			27.2			148,402			150,301			(1.3	)
	3,887		4,285			(9.3	)		3			2			50.0			2,476			224			*			37,515			30,871			21.5
	71,475		73,932			(3.3	)		1,194			1,119			6.7			5,265			2,734			92.6			334,822			331,172			1.1
	2,424		2,365			2.5			6,602			6,228			6.0			17,552			18,324			(4.2	)		49,322			48,273			2.2

Wealth Management and Investment Services								Payment Services									Treasury and Corporate Support									Consolidated Company
2018		2017			Percent Change			2018			2017			Percent Change			2018			2017			Percent Change			2018			2017			Percent Change

	$ 572	$	503			13.7	%	$	1,202		$	1,177			2.1	%	$	133		$	123			8.1	%	$	6,423		$	6,130			4.8	%
	861		810			6.3			1,751	(a)		1,648	(a)		6.3			468			444			5.4			4,671	(b)		4,569	(b)		2.2
	–		–			–			–			–			–			15			41			(63.4	)		15			38			(60.5	)
	1,433		1,313			9.1			2,953			2,825			4.5			616			608			1.3			11,109			10,737			3.5
	857		779			10.0			1,408			1,308			7.6			331			367			(9.8	)		6,061			5,806			4.4
	8		10			(20.0	)		55			61			(9.8	)		–			–			–			79			87			(9.2	)
	865		789			9.6			1,463			1,369			6.9			331			367			(9.8	)		6,140			5,893			4.2
	568		524			8.4			1,490			1,456			2.3			285			241			18.3			4,969			4,844			2.6
	1		–			*			553			524			5.5			(4	)		(2	)		*			668			695			(3.9	)
	567		524			8.2			937			932			.5			289			243			18.9			4,301			4,149			3.7
	142		191			(25.7	)		234			339			(31.0	)		(142	)		(270	)		47.4			861			1,151			(25.2	)
	425		333			27.6			703			593			18.5			431			513			(16.0	)		3,440			2,998			14.7
	–		–			–			–			(13	)		*			(15	)		(12	)		(25.0	)		(15	)		(25	)		40.0
	$ 425	$	333			27.6		$	703		$	580			21.2		$	416		$	501			(17.0	)	$	3,425		$	2,973			15.2

	$ 3,699	$	3,283			12.7	%	$	8,660		$	7,794			11.1	%	$	809		$	636			27.2	%	$	97,912		$	94,694			3.4	%
	515		510			1.0			–			–			–			2,486			2,753			(9.7	)		40,110			42,852			(6.4	)
	3,167		2,699			17.3			–			–			–			5			8			(37.5	)		60,505			58,224			3.9
	–		–			–			21,252			20,737			2.5			–			–			–			21,252			20,737			2.5
	1,633		1,653			(1.2	)		416			472			(11.9	)		–			–			–			56,253			54,208			3.8
	9,014		8,145			10.7			30,328			29,003			4.6			3,300			3,397			(2.9	)		276,032			270,715			2.0
	–		–			–			–			–			–			–			10			*			2,972			3,635			(18.2	)
	9,014		8,145			10.7			30,328			29,003			4.6			3,300			3,407			(3.1	)		279,004			274,350			1.7
	1,569		1,567			.1			2,539			2,455			3.4			–			–			–			9,436			9,350			.9
	68		85			(20.0	)		394			422			(6.6	)		–			–			–			3,375			3,270			3.2
	11,997		11,444			4.8			36,364			34,672			4.9			146,249			140,961			3.8			454,389			443,721			2.4
	14,558		14,905			(2.3	)		1,106			1,019			8.5			2,221			1,986			11.8			79,234			81,729			(3.1	)
	10,590		10,234			3.5			–			–			–			39			46			(15.2	)		70,136			66,490			5.5
	42,385		42,748			(.8	)		105			101			4.0			535			448			19.4			148,080			150,832			(1.8	)
	3,792		4,519			(16.1	)		3			2			50.0			3,327			212			*			37,252			30,759			21.1
	71,325		72,406			(1.5	)		1,214			1,122			8.2			6,122			2,692			*			334,702			329,810			1.5
	2,412		2,383			1.2			6,612			6,316			4.7			17,360			18,121			(4.2	)		49,075			48,099			2.0