Bank of America 2005 Annual Report Download - page 51

Bank of America Corporation and Subsidiaries
Consolidated Balance Sheet
December 31
2005 2004
(Dollars in millions) As Previously Reported(1) Restated As Previously Reported Restated
Loans and leases, net of allowance for loan and lease losses ........... $ 565,737 $ 565,746 $ 513,211 $ 513,187
Total assets .................................................... 1,291,795 1,291,803 1,110,457 1,110,432
Accrued expenses and other liabilities ............................. 31,749 31,938 41,243 41,590
Long-term debt ................................................. 101,338 100,848 98,078 97,116
Total liabilities ................................................. 1,190,571 1,190,270 1,010,812 1,010,197
Retainedearnings .............................................. 67,205 67,552 58,006 58,773
Accumulated other comprehensive income (loss) .................... (7,518) (7,556) (2,587) (2,764)
Total shareholders’ equity ........................................ 101,224 101,533 99,645 100,235
Total liabilities and shareholders’ equity ........................... $1,291,795 $1,291,803 $1,110,457 $1,110,432
(1) The Corporation provided unaudited financial information relating to 2005 in its current report on Form 8-K filed on January 23,
2006.
The impact of the restatement on our Consolidated Balance Sheet was to reverse fair value basis adjustments to
items that previously qualified as fair value hedged items such as Loans and Leases, and Long-term Debt. Additionally,
changes in the fair value of derivative instruments that previously qualified for cash flow hedge accounting were
reversed from Accumulated OCI and recorded in income. Tax effects of these adjustments impacted Accrued Expenses
and Other Liabilities. Accordingly, as of December 31, 2005 and 2004, this resulted in an increase of $9 million and a
decrease of $24 million in Loans and Leases, an increase in Accrued Expenses and Other Liabilities of $189 million and
$347 million, a decrease in Long-term Debt of $490 million and $962 million, an increase in Retained Earnings of $347
million and $767 million, and a decrease in Accumulated OCI of $38 million and $177 million.
The following tables set forth the effects of the restatement relating to derivative transactions on major caption
items within our Consolidated Statement of Income and our Consolidated Balance Sheet for the quarters in 2005 and
2004. Although the year and fourth quarter of 2005 are not restated, this information was previously provided in the
Corporation’s current report on Form 8-K filed on January 23, 2006, and therefore, is included as part of the restatement
information.
See Note 23 of the Consolidated Financial Statements for restated quarterly financial statements.
Bank of America Corporation and Subsidiaries
Consolidated Statement of Income
2005 Quarters
Fourth Third Second First
(Dollars in millions, except per
share information)
As
Previously
Reported(1) Restated
As
Previously
Reported Restated
As
Previously
Reported Restated
As
Previously
Reported Restated
Totalinterestincome ............. $16,030 $16,018 $15,222 $15,205 $14,291 $14,267 $13,153 $13,136
Total interest expense ............. 8,170 8,159 7,449 7,470 6,641 6,630 5,280 5,630
Netinterestincome ............... 7,860 7,859 7,773 7,735 7,650 7,637 7,873 7,506
Total noninterest income .......... 6,262 5,951 6,834 6,416 6,365 6,955 6,149 6,032
Total revenue .................... 14,122 13,810 14,607 14,151 14,015 14,592 14,022 13,538
Gains on sales of debt securities .... 71 71 29 29 325 325 659 659
Income before income taxes ........ 5,473 5,161 6,192 5,736 6,446 7,023 7,044 6,560
Income tax expense ............... 1,705 1,587 2,065 1,895 2,150 2,366 2,349 2,167
Netincome ...................... $ 3,768 $ 3,574 $ 4,127 $ 3,841 $ 4,296 $ 4,657 $ 4,695 $ 4,393
Net income available to common
shareholders ................... $ 3,764 $ 3,570 $ 4,122 $ 3,836 $ 4,292 $ 4,653 $ 4,690 $ 4,388
Per common share information
Earnings ........................ $ 0.94 $ 0.89 $ 1.03 $ 0.96 $ 1.07 $ 1.16 $ 1.16 $ 1.09
Dilutedearnings ................. $ 0.93 $ 0.88 $ 1.02 $ 0.95 $ 1.06 $ 1.14 $ 1.14 $ 1.07
(1) The Corporation provided unaudited financial information relating to the fourth quarter of 2005 in its current report on Form 8-K
filed on January 23, 2006.
15