Bank of America 2004 Annual Report Download - page 93

92 BANK OF AMERICA 2004
Table VIII Quarterly Average Balances and Interest Rates – Fully Taxable-equivalent Basis
Fourth Quarter 2004 Third Quarter 2004
Interest Interest
Average Income/ Yield/ Average Income/ Yield/
(Dollars in millions) Balance Expense Rate Balance Expense Rate
Earning assets
Time deposits placed and other short-term investments $ 15,620 $ 128 3.24% $ 14,726 $ 127 3.45%
Federal funds sold and securities
purchased under agreements to resell 149,226 712 1.90 128,339 484 1.50
Trading account assets 110,585 1,067 3.85 98,459 975 3.96
Securities 171,173 2,083 4.87 169,515 2,095 4.94
Loans and leases(1):
Residential mortgage 178,879 2,459 5.49 175,046 2,371 5.41
Credit card 49,366 1,351 10.88 45,818 1,265 10.98
Home equity lines 48,336 609 5.01 44,309 514 4.62
Direct/Indirect consumer 39,526 551 5.55 38,951 538 5.49
Other consumer(2) 7,557 153 8.07 7,693 152 7.91
Total consumer 323,664 5,123 6.31 311,817 4,840 6.19
Commercial – domestic 121,412 1,917 6.28 122,093 1,855 6.04
Commercial real estate 31,355 392 4.98 30,792 344 4.44
Commercial lease financing 20,204 254 5.01 20,125 233 4.64
Commercial – foreign 18,828 272 5.76 18,251 245 5.34
Total commercial 191,799 2,835 5.88 191,261 2,677 5.57
Total loans and leases 515,463 7,958 6.15 503,078 7,517 5.95
Other earning assets 35,937 456 5.08 34,266 460 5.33
Total earning assets(3) 998,004 12,404 4.96 948,383 11,658 4.90
Cash and cash equivalents 31,028 29,469
Other assets, less allowance for loan and lease losses 123,519 118,831
Total assets $ 1,152,551 $1,096,683
Interest-bearing liabilities
Domestic interest-bearing deposits:
Savings $ 36,927 $ 36 0.39% $ 36,823 $ 35 0.38%
NOW and money market deposit accounts 234,596 589 1.00 233,602 523 0.89
Consumer CDs and IRAs 109,243 711 2.59 101,250 668 2.63
Negotiable CDs, public funds and other time deposits 7,563 81 4.27 5,654 69 4.85
Total domestic interest-bearing deposits 388,329 1,417 1.45 377,329 1,295 1.37
Foreign interest-bearing deposits(4):
Banks located in foreign countries 17,953 275 6.11 17,864 307 6.83
Governments and official institutions 5,843 33 2.21 5,021 22 1.80
Time, savings and other 30,459 104 1.36 29,513 87 1.17
Total foreign interest-bearing deposits 54,255 412 3.02 52,398 416 3.16
Total interest-bearing deposits 442,584 1,829 1.64 429,727 1,711 1.58
Federal funds purchased, securities sold under agreements
to repurchase and other short-term borrowings 252,384 1,543 2.43 226,025 1,152 2.03
Trading account liabilities 37,387 352 3.74 37,706 333 3.51
Long-term debt 99,588 724 2.91 98,361 626 2.54
Total interest-bearing liabilities(3) 831,943 4,448 2.13 791,819 3,822 1.92
Noninterest-bearing sources:
Noninterest-bearing deposits 167,352 158,151
Other liabilities 55,156 50,321
Shareholders’ equity 98,100 96,392
Total liabilities and shareholders’ equity $ 1,152,551 $1,096,683
Net interest spread 2.83 2.98
Impact of noninterest-bearing sources 0.35 0.32
Net interest income/yield on earning assets $ 7,956 3.18% $ 7,836 3.30%
(1) Nonperforming loans are included in the respective average loan balances. Income on these nonperforming loans is recognized on a cash basis.
(2) Includes consumer finance of $3,473, $3,644, $3,828 and $3,999 in the fourth, third, second and first quarters of 2004, and $3,938 in the fourth quarter of 2003, respectively; foreign consumer of
$3,523, $3,304, $3,256 and $1,989 in the fourth, third, second and first quarters of 2004, and $1,939 in the fourth quarter of 2003, respectively; and consumer lease financing of $561, $745, $1,058
and $1,491 in the fourth, third, second and first quarters of 2004 and $1,860 in the fourth quarter of 2003, respectively.
(3) Interest income includes the impact of interest rate risk management contracts, which increased interest income on the underlying assets $496, $531, $658 and $715 in the fourth, third, second and
first quarters of 2004 and $884 in the fourth quarter of 2003, respectively. These amounts were substantially offset by corresponding decreases in the income earned on the underlying assets. Interest
expense includes the impact of interest rate risk management contracts, which increased interest expense on the underlying liabilities $155, $217, $333 and $183 in the fourth, third, second and first
quarters of 2004 and $90 in the fourth quarter of 2003, respectively. These amounts were substantially offset by corresponding decreases in the interest paid on the underlying liabilities. For further
information on interest rate contracts, see “Interest Rate Risk Management” beginning on page 76.
(4) Primarily consists of time deposits in denominations of $100,000 or more.