8-K

UNITED STATES

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): May 18, 2011

State Street Corporation

(Exact name of registrant as specified in its charter)

Massachusetts	001-07511	04-2456637
(State of Incorporation)	(Commission File Number)	(IRS Employer Identification Number)

One Lincoln Street, Boston, Massachusetts	02111
(Address of principal executive offices)	(Zip code)

Registrant’s telephone number, including area code: (617) 786-3000

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

¨ Written communications pursuant to Rule 425 under the Securities Act

¨ Soliciting material pursuant to Rule 14a-12 under the Exchange Act

¨ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act

¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act

Item 7.01. Regulation FD Disclosure.

Attached hereto as Exhibit 99.1 and Exhibit 99.2 are slides and related information to be presented at the 2011 annual meeting of shareholders of State Street Corporation, which will be held at One Lincoln Street, 36^th Floor, Boston, Massachusetts, on Wednesday, May 18^th, 2011, at 10:00 a.m. local time.

The information in this Item 7.01, and in Exhibit 99.1 and Exhibit 99.2 attached to this Form 8-K, shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, nor shall this Item 7.01, such Exhibit 99.1 or Exhibit 99.2 or any of the information contained therein be deemed incorporated by reference in any filing under the Securities Exchange Act of 1934 or the Securities Act of 1933, except as shall be expressly set forth by specific reference in such filing.

Item 9.01. Financial Statements and Exhibits.

(d) Exhibits

99.1	Slides for the presentation by Joseph L. Hooley at the Annual Meeting of Shareholders of State Street Corporation (such Exhibit 99.1 is furnished and not filed).
99.2	Reconciliations of consolidated reported results of operations to consolidated operating-basis results of operations, and descriptions of tangible common equity and tier 1 common ratios (such Exhibit 99.2 is furnished and not filed).

- 2 -

SIGNATURES

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 hereunto duly authorized.

STATE STREET CORPORATION
By:	/s/ James J. Malerba
Name:	James J. Malerba
Title:	Executive Vice President, Corporate Controller and Chief Accounting Officer

Date: May 18, 2011

S-1

EXHIBIT INDEX

Exhibit No.	Description
99.1	Slides for the presentation by Joseph L. Hooley at the Annual Meeting of Shareholders of State Street Corporation (such Exhibit 99.1 is furnished and not filed).
99.2	Reconciliations of consolidated reported results of operations to consolidated operating-basis results of operations, and descriptions of tangible common equity and tier 1 common ratios (such Exhibit 99.2 is furnished and not filed).

EI-1

EX-99.1

Annual Meeting of Shareholders

18 May 2011

Exhibit 99.1

Building from Strength

Joseph L. Hooley

Chairman, President and

Chief Executive Officer

3

Reminder

This presentation contains “forward-looking statements” within the meaning of U.S. securities laws, including statements about industry trends, management’s expectations about

our financial performance, market growth, acquisitions and divestitures, new technologies, services and opportunities and earnings, management’s confidence in our strategies and

other matters that do not relate strictly to historical facts. Forward-looking statements are often identified by such forward-looking terminology as “expect,” “look,” “believe,”

“anticipate,” “estimate,” “seek,” “may,” “will,” “trend,” “target” and “goal,” or similar statements or variations of such terms.  Forward-looking statements are subject to various risks

and uncertainties, which change over time, are based on management’s expectations and assumptions at the time the statements are made, and are not guarantees of future

results. Management’s expectations and assumptions, and the continued validity of the forward-looking statements, are subject to change due to a broad range of factors affecting

the national and global economies, the equity, debt, currency and other financial markets, as well as factors specific to State Street and its subsidiaries, including State Street Bank.

Therefore, actual outcomes and results may differ materially from what is expressed in those statements, and those statements should not be relied upon as representing our

expectations or beliefs as of any date subsequent to May 18, 2011.

Important factors that could cause changes in the expectations or assumptions on which forward-looking statements are based include, but are not limited to: the manner in which

the Federal Reserve and other regulators implement the Dodd-Frank Act and other regulatory initiatives in the U.S. and internationally, including any increases in the minimum

regulatory capital ratios applicable to us and regulatory developments that result in changes to our operating model, or other changes to the provision of our services in order to

comply with or respond to such regulations; required regulatory capital ratios under Basel II and Basel III, in each case as fully implemented by State Street and State Street Bank

(and in the case of Basel III, when finally adopted by the Federal Reserve), which may result in the need for substantial additional capital or increased levels of liquidity in the future;

changes in law or regulation that may adversely affect our, our clients’ or our counterparties’ business activities and the products or services that we sell, including additional or

increased taxes or assessments thereon, capital adequacy requirements and changes that expose us to risks related to compliance; financial market disruptions and the economic

recession, whether in the U.S. or internationally; the liquidity of the U.S. and international securities markets, particularly the markets for fixed-income securities, and the liquidity

requirements of our clients; increases in the volatility of, or declines in the levels of, our net interest revenue, changes in the composition of the assets on our consolidated

statement of condition and the possibility that we may be required to change the manner in which we fund those assets; the financial strength and continuing viability of the

counterparties with which we or our clients do business and to which we have investment, credit or financial exposure; the credit quality, credit agency ratings, and fair values of the

securities in our investment securities portfolio, a deterioration or downgrade of which could lead to other-than-temporary impairment of the respective securities and the recognition

of an impairment loss in our consolidated statement of income; delays or difficulties in the execution of our previously announced global multi-year program designed to enhance

our operating model, which could lead to changes in our estimates of the charges, expenses or savings associated with the planned program, resulting in increased volatility of our

earnings; the maintenance of credit agency ratings for our debt and depository obligations as well as the level of credibility of credit agency ratings; the risks that acquired

businesses will not be integrated successfully, or that the integration will take longer than anticipated, that expected synergies will not be achieved or unexpected disynergies will be

experienced, that client and deposit retention goals will not be met, that other regulatory or operational challenges will be experienced and that disruptions from the transaction will

harm relationships with clients, employees or regulators; the ability to complete acquisitions, divestitures and joint ventures, including the ability to obtain regulatory approvals, the

ability to arrange financing as required and the ability to satisfy closing conditions; the performance of and demand for the products and services we offer, including the level and

timing of redemptions and withdrawals from our collateral pools and other collective investment products; the possibility that our clients will incur substantial losses in investment

pools where we act as agent, and the possibility of significant reductions in the valuation of assets; our ability to attract deposits and other low-cost, short-term funding; potential

changes to the competitive environment, including changes due to the effects of consolidation, and perceptions of State Street as a suitable service provider or counterparty; the

level and volatility of interest rates and the performance and volatility of securities, credit, currency and other markets in the U.S. and internationally; our ability to measure the fair

value of the investment securities on our consolidated statement of condition; the results of litigation, government investigations and similar disputes or proceedings; our ability to

control operating risks, information technology systems risks and outsourcing risks, and our ability to protect our intellectual property rights, the possibility of errors in the

quantitative models we use to manage our business and the possibility that our controls will prove insufficient, fail or be circumvented; adverse publicity or other reputational harm;

our ability to grow revenue, attract and/or retain and compensate highly skilled people, control expenses and attract the capital necessary to achieve our business goals and comply

with regulatory requirements; the potential for new products and services to impose additional costs on us and expose us to increased operational risk; changes in accounting

standards and practices; and changes in tax legislation and in the interpretation of existing tax laws by U.S. and non-U.S. tax authorities that affect the amount of taxes due. 

Other important factors that could cause actual results to differ materially from those indicated by any forward-looking statements are set forth in our 2010 Annual Report on Form

10-K and our subsequent SEC filings.  We encourage investors to read these filings, particularly the sections on risk factors, for additional information with respect to any forward-

looking statements and prior to making any investment decision. The forward-looking statements contained in this presentation speak only as of the date hereof, May 18, 2011, and

we do not undertake efforts to revise those forward-looking statements to reflect events after that date. 

4

Building from Strength

2010:  A Year of Transition

Strategic Direction

Investing in Communities and Corporate Social Responsibility

2011: Progress

Agenda

5

2010: A Year of Transition

6

Building from Strength

2010: A Year of Transition

INCREASED CAPITAL

FLEXIBILITY

•

Repositioned investment portfolio to lay the foundation to

restore the dividend and prepare for Basel III ahead of

implementation dates

•

90% of investment portfolio assets rated  AAA / AA*

ADDRESSED  ISSUES FROM

FINANCIAL CRISIS

•

Reached settlement with SEC on fixed-income issues

•

Implemented solution to provide clients in securities

lending program with improved access to liquidity

•

Strengthened risk infrastructure

DEEPENED CLIENT

RELATIONSHIPS

•

Added $1.4T in assets to be serviced

•

Added $160B in gross new asset management business

•

Launched new products and services

EXPANDED MARKET SHARE

•

Strategic acquisitions advanced State Street’s market share

in Europe and key client segments

INITIATED OPS AND IT

TRANSFORMATION PROGRAM

•

Multi-year strategic transformational plan in place

•

Broad-based organizational focus

*

As of March 31, 2011.

7

Building from Strength

State Street Corporation

“Well

Capitalized”

1

3/31/11

12/31/10

12/31/09

Tier 1 Leverage

5.0%

2

8.7%

8.2%

8.5%

Tier 1 Capital

6.0%

19.6%

20.5%

17.7%

Tier 1 Common Ratio

3

----

17.5%

18.1%

15.6%

Total Capital

10.0%

21.6%

22.0%

19.1%

Tangible Common Equity

4

----

7.4%

7.6%

6.6%

CAPITAL RATIOS

2010: A Year of Transition –

Increased Capital Flexibility

Capital Ratios Exceed Regulatory “Well Capitalized”

Requirements

1  Except as noted in note 4 below, minimum “Well Capitalized” as defined by Federal regulators under Basel I.

2  Minimum “Well Capitalized,” as defined by Federal regulators, applies to State Street Bank and Trust only and therefore stated  only as a reference point.

3  The tier 1 common ratio is not required by GAAP or on a recurring basis by bank regulations.  See State Street’s website (www.statestreet.com) for a description of this ratio and

    related reconciliations.

4  As defined by State Street.  The TCE ratio is not required by GAAP or by bank regulations. See State Street’s website (www.statestreet.com) for a description of this ratio and 

    related reconciliations.

8

Building from Strength

2010: A Year of Transition –

Deepened Client Relationships

Growing Momentum in Core Businesses

2000

2010

Top 100 clients

11.4 products

13.2 products

Top 1,000 clients

7.1 products

7.9 products

Expanded Relationships

New Clients

INVESTMENT

SERVICING

•

Babson Capital Management

•

Charles Schwab

•

Legg Mason Global Asset Management

•

Martin Currie

•

Norges Bank

•

Guotai Nasdaq-100 Index Fund

•

Marshall Wace

•

National Employment Savings Trust

(NEST)

•

PineBridge Investments

•

REST Industry Super

INVESTMENT

MANAGEMENT

•

AT&T

•

Stichting Pensionefonds Ahold

•

Mass PRIM

•

AP7

•

NY State Teachers

•

Lincoln Financial Group

•

Previambiante

•

Pegaso Pension Fund

•

Qsuper

•

Alliance Bernstein

•

Illinois State Teachers

•

UAW

9

Building from Strength

No. 2 Manager

of Worldwide

Institutional Assets

Pensions & Investments

2010 Money

Managers Survey

HF

Administrator

of

the

Year

and PE Fund Administrator

of the Year

International Custody and

Fund Administration

2010 Americas Service

Provider Awards

Transition Manager

of the Year

2010

Global Pensions

Awards

No. 1 Custodian for

Institutional Investors

Global Custodian

2010

Global Custody Survey

No. 1 Among Custodians*

Global Investor / isf

2010 Beneficial

Owners Survey

No. 1 Global Custodian

in Asia Pacific

Global Investor / isf

2010 Global Custody Survey

Equity Lender of the Year

Global Investor / isf

2010 Equity Lending Survey

Best Multi-Asset Class

Trading Platform

(FX Connect)

Profit & Loss

2010 Digital Markets Awards

Most Recognized

ETF Brand, Americas

exchangetradedfunds.com

2010 Global ETF Awards

2010: A Year of Transition –

Deepened Client Relationships

MARKET RECOGNITION

*

Weighted by lendable assets.

10

INTESA SANPAOLO’S

SECURITIES SERVICES

•

State Street is now:

–

Leading asset servicer in Italy

–

No. 2 asset servicer of offshore funds in

Luxembourg

and

Ireland

1

•

Goal to retain 90% of revenue of ~€293M 

•

Additional cross-sell opportunities

MOURANT  INTERNATIONAL

FINANCE ADMINISTRATION

•

State Street is now No. 1 in Alternative Asset

Servicing

globally

2

:

–

Hedge funds

–

Private equity

–

Real estate assets

•

Annualized revenue of about $100 million

•

Additional cross-sell opportunities

BANK OF IRELAND

ASSET MANAGEMENT

•

Expected to deepen SSgA’s capabilities across key

investment strategies

Building from Strength

1  Fitzrovia 12/10.

2  ICFA Annual Fund Administration Survey, 2010; HFN Biannual Fund Administration Survey 6/10.

2010: A Year of Transition –

Expanded Market Share

11

Building from Strength

SUPPORTING GROWTH

•

Market expansion

•

Mergers and acquisitions

•

Geographic expansion

ENABLING PRODUCTIVITY

•

Business process excellence

•

Flexible global workforce

•

Global shared services

ACCELERATING INNOVATION

•

New product development

•

Technology leadership

•

Global solutions

BENEFITING THE  CLIENT

•

Service excellence

•

Time to market

•

New products and services

2010: A Year of Transition –

Initiated Ops and IT Transformation Program

Expect to Save Between $575M and $625M by the End of 2014

12

Building from Strength

2010: A Year of Transition

$ in millions

12/31/10

1

12/31/09

1

% Change

Operating-basis revenue

$8,714

$8,138

+7.1%

Operating-basis expenses

$6,176

$5,667

+ 9.0%

Operating-basis EPS

$3.40

$3.32

+2.4%

Operating-basis ROE

10.4%

12.6%

-220 bps

FOR THE TWELVE MONTHS ENDED

•

Responded effectively to the global financial crisis

•

Strengthened capital position

•

Deepened client relationships

•

Expanded market share

•

Launched Ops and IT Transformational Program

1

Financial data presented on an operating or non-GAAP basis (which is adjusted to exclude, among other things, discount accretion).  For a description of GAAP to operating-basis

results,

and

related

reconciliations,

please

see

the

Appendix

on

State

Street’s

website

(www.statestreet.com)

or

State

Street‘s

current

Report

on

Form

8-K

filed

with

the

SEC

on

the date hereof.

13

Strategic Direction

14

Building from Strength

Strategic Direction

–

Secular Trends Support Growth

GLOBALIZATION

•

Asset managers increasingly invest beyond

their borders

•

Asset management industry globalizing product and

distribution strategies

RETIREMENT SAVINGS

•

Driven by demographics, especially in Europe and Asia

•

Evolution of retirement / savings schemes

OUTSOURCING

•

Growing global trend driven by complexity, cost and

risk management

•

Expanding into middle and front office

CONSOLIDATION

•

Non-core activity for universal banks

•

Increasing requirement for global capabilities

15

Year ended

12/31/00

2

Year ended

12/31/10

% Change

Operating-basis revenue

$3.45B

$8.71B

+152%

Operating-basis non-US revenue

$0.94B

$3.18B

+238%

Employees

3

17,281

28,670

+66%

Non-US

employees

3

3,463

12,518

+261%

Building from Strength

1  Financial data presented on an operating-basis (which is adjusted to exclude, among other things, discount accretion). For a description of operating-basis revenue and related

reconciliations,

see

State

Street’s

website

(www.statestreet.com)

or

State

Street’s

current

report

on

Form

8-K

filed

with

the

SEC

on

the

date

hereof.

2  Data exclude the revenue and employees associated with the Corporate Trust and Private Asset Management businesses divested in 2002 and 2003, respectively.  

3  At period end.

Strategic

Direction

–

Globalization1

16

Building from Strength

Non-US Retirement Growth

US Retirement Growth

$13.6T

$16.6T

$12.8T

$15.6T

$20.1T

10.5%

CAGR

7.8%

CAGR

$6.6T

$8.1T

$7.0T

$8.1T

$11.3T

10.8%

CAGR

8.3%

CAGR

Almost 50% of expected retirement asset

growth (2008 –

2014) will come from Europe

Strategic Direction –

Retirement Savings

Global Retirement Assets are Expected to Grow 32% ($7.7 Trillion) from 2010 through 2014

Source:

Cerulli

Associates

“Global

Markets

2010”

statistics

DC and IRA assets will lead US retirement

growth, with 8.6% and 10.1% expected

CAGRs (2008 –

2014)

DB

DC

IRA

2005

2007

2008

2010E

2014F

2005

2007

2008

2010E

2014F

APAC

Europe

Latin America

Other

17

Building from Strength

INVESTMENT MANAGER

OPERATIONS OUTSOURCING

•

Leading provider with more than $7 trillion

of AUA

•

Market

sized

at

approximately

$53

trillion

1

HEDGE FUND SERVICING

•

Second

largest

servicer

in

the

world

2

with

about

$470

billion

3

of

AUA

in

hedge

fund

assets

•

Market sized at

$1.7 trillion

4

and growing at an

estimated

19%

CAGR

through

2013

5

INVESTMENT

MANAGEMENT SOLUTIONS

•

Customized strategic and tactical asset allocation

solutions through flexible and efficient portfolio

implementation across and within global asset

classes

Strategic Direction

–

Outsourcing

1  Pension & Investment,/Watson Wyatt World 500, 12/28/09.

2  ICFA Annual Fund Administration Survey, 2010.

3  As of March 31, 2011.

4  Hedge Fund Research, 3/31/10.

5  McKinsey, 7/09.

18

Source: Company  reports, Global Custody.net, Institutional  Investor Global Custodian Survey.

*

Data for BNY, State Street, & CACEIS reflect  AUA  as of 12/31/2010; as of 9/30/10 for, BNP Paribas, Societe Generale, & Brown Brothers; as of 6/30/10 for  RBC Dexia & HSBC ; 

all

others

reflect

AUC

data:

JP

Morgan,

Citi,

&

Northern

Trust

as

of

12/31/10;

Nordea,

NAB,

&

SEB

as

of

9/30/10;

Pictet

as

of

6/30/10;

Mitsubishi,

UBS,

SIX

SIS,

&

Santander:

as of 3/31/10. 

19

Investing in Communities and

Corporate Social Responsibility

Building from Strength

Investing in Communities and Corporate Social Responsibility

Provided 619 Grants Worldwide

20

21

Building from Strength

Investing in Communities and Corporate Social Responsibility

Volunteerism

PROJECTS INCLUDED

•

Environmental cleanups

•

Food sorting and service

•

Distance and web-based volunteerism

•

Youth Mentoring

•

Support Pledge-a-thons

EXECUTIVES ACTIVE WITH

MANY NON-PROFIT

ORGANIZATIONS INCLUDING

•

Boys & Girls Club of Boston

•

Boston Partners in Education

•

Boston Symphony Orchestra

•

Earthwatch Institute

•

Women’s Lunch Place

•

Oxfam Hong Kong

•

Urban League of Eastern Massachusetts

78,000 Volunteer Hours Dedicated by State Street Employees and Alumni

22

Building from Strength

CORPORATE

RESPONSIBILITY

PRACTICES

Organization

Ranking

Newsweek

Magazine:

Greenest US Companies

No. 35 of Top 500

Carbon Disclosure Project

First time on S&P 500 Business Leadership Index

Dow Jones Sustainability World

and North America Indices

One of only three U.S. financial services companies

listed on both indices

CR

Magazine’s

100 Best Corporate Citizens

One of only three financial services

companies listed

•

Established new Executive Corporate Responsibility Committee

•

Recent accolades include:

Annual CSR Report One of the Only Independently Verified

Reports Among US-based Financial Services Firms

Investing in Communities and Corporate Social Responsibility

23

2011: Progress

24

Building from Strength

2011: Progress –

Recent Update

CAPITAL DEPLOYMENT

DIVIDEND PAYOUT

•

Announced increase in quarterly dividend to $0.18 per

share at a 20% payout ratio

SHARE REPURCHASE

PROGRAM

•

Board approved up to $675M in share purchase

program for 2011

BUSINESS

INVESTMENTS

•

Fund organic growth

•

Continue to evaluate accretive acquisition

opportunities to expand our global footprint, accelerate

our growth, and extend our product capabilities

25

Building from Strength

$ in millions, except per share data

Q1 2011

1

Q1 2010

1

Change

Operating-basis revenue

$2,330

$2,116

+10.1%

Operating-basis expenses

$1,683

$1,566

+7.5%

Operating-basis EPS

$0.88

$0.75

+17.3%

Operating-basis ROE

9.9%

10.0%

-10 bps

Positive operating leverage

2

260 bps

2011: Progress –

Recent Update

Q1 2011 COMPARED TO Q1 2010

1

Financial

data

presented

on

an

operating

basis

(which

is

adjusted

to

exclude,

among

other

things,

discount

accretion).

For

a

description

of

GAAP

to

operating-basis

results,

and

related reconciliations, please see the Appendix on State Street’s website (www.statestreet.com) or State Street‘s current Report on Form 8-K filed with the SEC on the date

hereof.

2

Operating leverage represents the difference between the growth rate of total revenue and the growth rate of total expenses, each determined on an operating basis.

26

Building from Strength

STT

+15%

S & P

Fin. +8%

BK 0%

NTRS

-7%

Strong Annual Share Performance

Bank of New York Mellon Corp.

Northern Trust Corp.

S&P 500 / Financials

State Street Corp.

27

Building from Strength

Delivering Long-Term

Shareholder Value

Summary

Successfully Transitioned

Through Crisis in 2010

Well-Positioned Against

Secular Growth Trends

Financial and Capital Strength

Executing our Strategic Plan

28

29

EX-99.2

Appendix

Exhibit 99.2

1

Non-GAAP Financial Measures

This presentation includes financial information presented on a GAAP basis as well as on an operating basis.

Operating-basis financial information is a non-GAAP presentation. Management measures and compares certain

financial information on an operating basis, as it believes that this presentation supports meaningful comparisons

from period to period and the analysis of comparable financial trends with respect to State Street's normal

ongoing business operations. Management believes that operating-basis financial information, which reports

revenue from non-taxable sources on a fully taxable-equivalent basis and excludes the impact of revenue and

expenses outside of the normal course of business, facilitates an investor's understanding and analysis of State

Street's underlying financial performance and trends in addition to financial information prepared in accordance

with GAAP.

This presentation also includes capital ratios in addition to, or adjusted from, those calculated in accordance with

applicable regulatory requirements. These include capital ratios based on tangible common equity and tier 1

common capital. These non-regulatory measures are non-GAAP financial measures. Management presently

evaluates the non-GAAP capital ratios presented in this presentation to aid in its understanding of State Street's

capital position under a variety of standards, including presently applicable and evolving regulatory

requirements. Management believes that the use of the non-GAAP capital ratios described in this presentation

similarly aids in an investor's understanding of State Street's capital position and therefore is of interest to

investors.

In addition to the reconciliations described in the discussions on the next slide of the capital ratios referenced in

this presentation, the Appendix to this presentation also includes reconciliations of operating-basis results to

GAAP-basis results referenced in this presentation.

Non-GAAP financial measures should be considered in addition to, not as a substitute for or superior to, financial

measures determined in accordance with GAAP and capital ratios determined in accordance with presently

applicable regulatory requirements.

2

Capital Ratios

The

total

capital,

the

tier

1

risk-based

capital,

or

tier

1

capital,

and

tier

1

leverage

ratios,

as

applicable,

are

each calculated in accordance with applicable bank regulatory requirements.

The

ratio

of

tangible

common

equity

to

adjusted

tangible

assets,

or

TCE

ratio,

is

calculated

by

dividing

The

tier

1

risk-based

common,

or

tier

1

common,

ratio

is

calculated

by

dividing

(a)

tier

1

capital

less

non-

The total capital, the tier 1 capital, and the tier 1 leverage ratios are capital ratios used regularly by bank regulatory

authorities to evaluate State Street’s capital adequacy. The tier 1 common ratio is sometimes used by the Federal

Reserve in connection with its supervisory capital assessment programs. The TCE ratio is another capital ratio

management believes provides additional context for understanding and assessing State Street's capital adequacy.

consolidated total common shareholders' equity by consolidated total assets, after reducing both amounts by

goodwill and other intangible assets net of related deferred taxes. Total assets reflected in the TCE ratio also

exclude cash balances on deposit at the Federal Reserve Bank and other central banks in excess of required

reserves. The TCE ratio is not required by GAAP or by bank regulations, but is a metric used by management to

evaluate the adequacy of State Street's capital levels. Since there is no authoritative requirement to calculate the

TCE ratio, our TCE ratio is not necessarily comparable to similar capital measures disclosed or used by other

companies in the financial services industry. Tangible common equity and adjusted tangible assets are non-GAAP

financial measures and should be considered in addition to, not as a substitute for or superior to, financial

measures determined in accordance with GAAP. Reconciliations with respect to the calculation of the TCE ratio as

of March 31, 2011, December 31, 2010 and December 31, 2009 are provided in the Appendix.

common elements including qualifying perpetual preferred stock, qualifying minority interest in subsidiaries and

qualifying trust preferred securities, by (b) total risk-weighted assets, which assets are calculated in accordance

with applicable bank regulatory requirements. The tier 1 common ratio is not required by GAAP or on a recurring

basis by bank regulations. Management is currently monitoring this ratio, along with the other capital ratios

described in this presentation, in evaluating State Street's capital levels and believes that, at this time, the ratio may

be of interest to investors. Reconciliations with respect to tier 1 common capital as of March 31, 2011, December

31, 2010 and December 31, 2009 are provided in the Appendix.

STATE STREET CORPORATION

Tangible Common Equity and Tier 1 Common ratios - Reconciliations

As of Period-End

The ratio of tangible common equity to adjusted tangible assets, or TCE ratio, is calculated by dividing consolidated total common shareholders’ equity by consolidated total assets, after reducing both amounts by goodwill and other intangible assets net of related deferred taxes. Total assets reflected in the TCE ratio also exclude cash balances on deposit at the Federal Reserve Bank and other central banks in excess of required reserves. The TCE ratio is not required by GAAP or by bank regulations, but is a metric used by management to evaluate the adequacy of State Street’s capital levels. Since there is no authoritative requirement to calculate the TCE ratio, our TCE ratio is not necessarily comparable to similar capital measures disclosed or used by other companies in the financial services industry. Tangible common equity and adjusted tangible assets are non-GAAP financial measures and should be considered in addition to, not as a substitute for or superior to, financial measures determined in accordance with GAAP.

The tier 1 risk-based common, or tier 1 common, ratio is calculated by dividing tier 1 capital, which is calculated in accordance with applicable bank regulatory requirements, less non-common elements, including preferred stock and qualifying trust preferred securities, by total risk-weighted assets, which assets are also calculated in accordance with applicable bank regulatory requirements. The tier 1 common ratio is not required by GAAP or on a recurring basis by bank regulations. However, this ratio has been used by the Federal Reserve in connection with its evaluation of the capital adequacy of certain large U.S. bank holding companies. In addition, management is currently monitoring this ratio, along with the other capital ratios, in evaluating State Street’s capital levels and believes that, at this time, the ratio may be of interest to investors.

The table set forth below presents the calculation of State Street’s ratio of tier 1 common capital to total risk-weighted assets.

		March 31,			December 31,			December 31,
(Dollars in millions)		2011			2010			2009
Consolidated Total Assets		$	171,796		$	160,505		$	157,946
Less:
Goodwill			5,720			5,597			4,550
Other intangible assets			2,644			2,593			1,810
Excess reserves held at central banks			13,295			16,612			21,731
Adjusted assets			150,137			135,703			129,855
Plus deferred tax liabilities			781			747			521
Total tangible assets	A	$	150,918		$	136,450		$	130,376
Consolidated Total Common Shareholders’ Equity		$	18,680		$	17,787		$	14,491
Less:
Goodwill			5,720			5,597			4,550
Other intangible assets			2,644			2,593			1,810
Adjusted equity			10,316			9,597			8,131
Plus deferred tax liabilities			781			747			521
Total tangible common equity	B	$	11,097		$	10,344		$	8,652
Tangible common equity ratio	B/A		7.4	%		7.6	%		6.6	%
Tier 1 Capital		$	13,077		$	12,325		$	12,005
Less:
Trust preferred securities			950			1,450			1,450
Preferred stock			500			—			—
Tier 1 common capital	C	$	11,627		$	10,875		$	10,555
Total risk-weighted assets	D		66,597			60,177			67,691
Ratio of tier 1 common capital to total risk-weighted assets	C/D		17.5	%		18.1	%		15.6	%

STATE STREET CORPORATION

RECONCILIATION OF REPORTED RESULTS TO OPERATING-BASIS RESULTS

State Street prepares its consolidated financial statements in accordance with accounting principles generally accepted in the United States, or GAAP. State Street also presents certain financial information on an “operating” basis as well as a GAAP, or reported, basis. Management measures and compares certain financial information on an operating basis, as it believes that this presentation supports meaningful comparisons from period to period and the analysis of comparable financial trends with respect to State Street’s normal ongoing business operations. Management believes that operating-basis financial information, which reports revenue from non-taxable sources on a fully taxable-equivalent basis and excludes the impact of revenue and expenses outside of the normal course of business, facilitates an investor’s understanding and analysis of State Street’s underlying financial performance and trends in addition to financial information prepared in accordance with GAAP.

(Dollars in millions, except per share amounts)	Year Ended December 31, 2009									Year Ended December 31, 2010									% Change
	Reported Results			Adjustments			Operating Results			Reported Results			Adjustments			Operating Results			2010 vs 2009
Total fee revenue	$	5,935					$	5,935		$	6,540					$	6,540
Net interest revenue		2,564		$	(502)	(1)		2,062			2,699		$	(583)	(7)		2,116
Gains (Losses) related to investment securities, net		141			—			141			(286	)		344	(8)		58
Total revenue		8,640			(502)			8,138			8,953			(239)			8,714			7.1	%
Provision for loan losses		149			—			149			25			—			25
Total expenses		5,966			(299)	(2)		5,667			6,842			(666)	(9)		6,176			9.0	%
Income before income tax expense and extraordinary loss		2,525			(203)			2,322			2,086			427			2,513
Income tax expense		722			(156)	(3)		566			530			146	(10)		676
Tax-equivalent adjustment		—			126	(4)		126			—			129	(4)		129
Income before extraordinary loss		1,803			(173)			1,630			1,556			152			1,708
Extraordinary loss, net of tax		(3,684	)		3,684	(5)		—			—			—			—
Net income (loss)	$	(1,881	)	$	3,511		$	1,630		$	1,556		$	152		$	1,708
Adjustments to net income (loss):
Prepayment of preferred stock discount	$	(106	)	$	106	(6)	$	—
Dividend on preferred stock		(46	)		—			(46	)
Accretion of preferred stock discount		(11	)		—			(11	)
Earnings allocated to participating securities		—			—			—		$	(16	)	$	(2)	(11)	$	(18	)
		(163	)		106			(57	)		(16	)	$	(2)		$	(18	)
Net income before extraordinary loss available to common shareholders	$	1,640		$	(67)		$	1,573			1,540		$	150		$	1,690
Net income (loss) available to common shareholders	$	(2,044	)	$	3,617		$	1,573			1,540		$	150		$	1,690
Diluted earnings per common share before extraordinary loss	$	3.46		$	(.14)		$	3.32			3.09		$	.31		$	3.40			2.4	%
Diluted earnings (loss) per common share		(4.31	)		7.63			3.32			3.09		$	.31		$	3.40
Average diluted common shares outstanding (in thousands)		474,003			474,003			474,003			497,924			497,924			497,924
Return on common equity before extraordinary loss		13.2	%		(0.6	)%		12.6	%		9.5	%		0.9	%		10.4	%

⁽¹⁾ Represents tax-equivalent adjustment of $126 million, not included in reported results, net of $24 million of revenue related to the AMLF, $621 million of discount accretion related to former conduit securities and interest expense of $17 million related to the AMLF.

⁽²⁾ Represents $250 million related to a provision for legal exposure associated with certain fixed-income strategies managed by SSgA and $49 million of merger and integration costs.

⁽³⁾ Represents net tax effect of non-operating adjustments.

⁽⁴⁾ Represents tax-equivalent adjustment, not included in reported results.

⁽⁵⁾ Represents extraordinary loss related to the May 2009 consolidation of the asset-backed commercial paper conduits onto State Street’s balance sheet.

⁽⁶⁾ Represents $106 million of prepayment of preferred stock discount in connection with redemption of the U.S.Treasury’s preferred stock investment under the TARP Capital Purchase Program.

⁽⁷⁾ Represents tax-equivalent adjustment of $129 million, not included in reported results, net of $712 million of discount accretion related to former conduit assets.

⁽⁸⁾ Represents a net loss related to a repositioning of the investment portfolio.

⁽⁹⁾ Represents a $7 million tax on bonus payments to employees in the U.K.; a $414 million charge, composed of a one-time cash contribution of $330 million to SSgA lending fund collateral pools and liquidating trusts and $9 million of associated costs, and $75 million to establish a reserve to address potential inconsistencies in connection with the application of redemption restrictions applicable to cash collateral pools underlying the agency lending program, and $245 million of acquisition and restructuring costs (composed of $156 million of restructuring charges related to a business operations and information technology transformation program and merger and integration costs of $89 million).

⁽¹⁰⁾ Represents a discrete tax benefit of $180 million generated by the restructuring of former non-U.S. conduit securities, net of the net tax effect of non-operating adjustments.

⁽¹¹⁾ Represents effect of the difference between reported and operating-basis earnings on allocation to participating securities.

STATE STREET CORPORATION

RECONCILIATION OF REPORTED RESULTS TO OPERATING-BASIS RESULTS

State Street prepares its consolidated financial statements in accordance with accounting principles generally accepted in the United States, or GAAP. State Street also presents certain financial information on an “operating” basis as well as a GAAP, or reported, basis. Management measures and compares certain financial information on an operating basis, as it believes that this presentation supports meaningful comparisons from period to period and the analysis of comparable financial trends with respect to State Street’s normal ongoing business operations. Management believes that operating-basis financial information, which reports revenue from non-taxable sources on a fully taxable-equivalent basis and excludes the impact of revenue outside of the normal course of business, facilitates an investor’s understanding and analysis of State Street’s underlying financial performance and trends in addition to financial information prepared in accordance with GAAP.

(Dollars in millions)	Year Ended December 31, 2000							Year Ended December 31, 2010								% Change
	Reported Results		Adjustments			Operating -Basis Results		Reported Results			Adjustments			Operating -Basis Results		2010 vs 2009
Total fee revenue	$	2,690	$	(197)	(1)	$	2,493	$	6,540					$	6,540
Net interest revenue		894		65	(2)		959		2,699		$	(583)	(3)		2,116
Gains related to investment securities, net		2					2		(286	)		344	(4)		58
Total revenue	$	3,586	$	(132)		$	3,454	$	8,953		$	(239)		$	8,714		152.3	%

⁽¹⁾ Represents revenue associated with the Corporate Trust and Private Management businesses divested in 2002 and 2003, respectively.

⁽²⁾ Represents tax-equivalent adjustment of $65 million, not included in reported results.

⁽³⁾ Represents tax-equivalent adjustment of $129 million, not included in reported results, net of $712 million of discount accretion related to former conduit securities.

⁽⁴⁾ Represents a net loss related to a repositioning of the investment portfolio.

STATE STREET CORPORATION

RECONCILIATION OF REPORTED RESULTS TO OPERATING-BASIS RESULTS

State Street prepares its consolidated financial statements in accordance with accounting principles generally accepted in the United States, or GAAP. State Street also presents certain financial information on an “operating” basis as well as a GAAP, or reported, basis. Management measures and compares certain financial information on an operating basis, as it believes that this presentation supports meaningful comparisons from period to period and the analysis of comparable financial trends with respect to State Street’s normal ongoing business operations. Management believes that operating-basis financial information, which reports revenue from non-taxable sources on a fully taxable-equivalent basis and excludes the impact of revenue and expenses outside of the normal course of business, facilitates an investor’s understanding and analysis of State Street’s underlying financial performance and trends in addition to financial information prepared in accordance with GAAP.

(Dollars in millions, except per share amounts)	Quarter Ended March 31, 2010									Quarter Ended March 31, 2011									% Change
	Reported Results			Adjustments			Operating-Basis Results			Reported Results			Adjustments			Operating-Basis Results			Q1 2011 vs Q1 2010
Total fee revenue		1,540					$	1,540		$	1,791					$	1,791
Net interest revenue		661		$	(180	)(1)		481			577		$	(31	)(6)		546
Gains (Losses) related to investment securities, net		95			—			95			(7	)		—			(7	)
Total revenue		2,296			(180	)		2,116			2,361			(31	)		2,330			10.1	%
Provision for loan losses		15			—			15			(1	)		—			(1	)
Total expenses		1,579			(13	)(2)		1,566			1,702			(19	)(7)		1,683			7.5	%
Income before income tax expense		702			(167	)		535			660			(12	)		648
Income tax expense		207			(75	)(3)		132			189			(16	)(3)		173
Tax-equivalent adjustment		—			32	(4)		32			—			31	(4)		31
Net Income	$	495		$	(124	)	$	371		$	471		$	(27	)	$	444
Earnings allocated to participating securities	$	(3	)	$	1	(5)	$	(2	)	$	(5	)	$	—		$	(5	)
Net income available to common shareholders	$	492		$	(123	)	$	369		$	466		$	(27	)	$	439
Diluted earnings per common share	$	.99		$	(.24	)	$	.75		$	.93		$	(.05	)	$	.88			17.3	%
Average diluted common shares outstanding (in thousands)		498,056			498,056			498,056			500,980			500,980			500,980
Return on common equity		13.4	%		(3.4	)%		10.0	%		10.5	%		(0.6	)%		9.9	%

⁽¹⁾ Represents tax-equivalent adjustment of $32 million, not included in reported results, net of $212 million of discount accretion related to former conduit securities.

⁽²⁾ Represents $13 million of merger and integration costs.

⁽³⁾ Represents net tax effect of non-operating adjustments.

⁽⁴⁾ Represents tax-equivalent adjustment, not included in reported results.

⁽⁵⁾ Represents effect of the difference between reported and operating-basis earnings on allocation to participating securities.

⁽⁶⁾ Represents tax-equivalent adjustment of $31 million, not included in reported results, net of $62 million of discount accretion related to former conduit securities.

⁽⁷⁾ Represents $14 million of merger and integration costs and $5 million of restructuring charges related to a business operations and information technology transformation program.