Wells Fargo 2012 Annual Report Download - page 123

Wells Fargo & Company and Subsidiaries
Consolidated Statement of Income
Year ended December 31,
(in millions, except per share amounts) 2012 2011 2010
Interest income
Trading assets $ 1,358 1,440 1,098
Securities available for sale 8,098 8,475 9,666
Mortgages held for sale 1,825 1,644 1,736
Loans held for sale 41 58 101
Loans 36,482 37,247 39,760
Other interest income 587 548 435
Total interest income 48,391 49,412 52,796
Interest expense
Deposits 1,727 2,275 2,832
Short-term borrowings 79 80 92
Long-term debt 3,110 3,978 4,888
Other interest expense 245 316 227
Total interest expense 5,161 6,649 8,039
Net interest income 43,230 42,763 44,757
Provision for credit losses 7,217 7,899 15,753
Net interest income after provision for credit losses 36,013 34,864 29,004
Noninterest income
Service charges on deposit accounts 4,683 4,280 4,916
Trust and investment fees 11,890 11,304 10,934
Card fees 2,838 3,653 3,652
Other fees 4,519 4,193 3,990
Mortgage banking 11,638 7,832 9,737
Insurance 1,850 1,960 2,126
Net gains from trading activities 1,707 1,014 1,648
Net gains (losses) on debt securities available for sale (1) (128) 54 (324)
Net gains from equity investments (2) 1,485 1,482 779
Operating leases 567 524 815
Other 1,807 1,889 2,180
Total noninterest income 42,856 38,185 40,453
Noninterest expense
Salaries 14,689 14,462 13,869
Commission and incentive compensation 9,504 8,857 8,692
Employee benefits 4,611 4,348 4,651
Equipment 2,068 2,283 2,636
Net occupancy 2,857 3,011 3,030
Core deposit and other intangibles 1,674 1,880 2,199
FDIC and other deposit assessments 1,356 1,266 1,197
Other 13,639 13,286 14,182
Total noninterest expense 50,398 49,393 50,456
Income before income tax expense 28,471 23,656 19,001
Income tax expense 9,103 7,445 6,338
Net income before noncontrolling interests 19,368 16,211 12,663
Less: Net income from noncontrolling interests 471 342 301
Wells Fargo net income $ 18,897 15,869 12,362
Less: Preferred stock dividends and other 898 844 730
Wells Fargo net income applicable to common stock $ 17,999 15,025 11,632
Per share information
Earnings per common share $ 3.40 2.85 2.23
Diluted earnings per common share 3.36 2.82 2.21
Dividends declared per common share 0.88 0.48 0.20
Average common shares outstanding 5,287.6 5,278.1 5,226.8
Diluted average common shares outstanding 5,351.5 5,323.4 5,263.1
(1) Total other-than-temporary impairment (OTTI) losses (gains) were $3 million, $349 million and $500 million for the year ended December 31, 2012, 2011 and 2010,
respectively. Of total OTTI, losses of $240 million, $423 million and $672 million were recognized in earnings, and gains of $(237) million, $(74) million and $(172) million
were recognized as non-credit-related OTTI in other comprehensive income for the year ended December 31, 2012, 2011 and 2010, respectively.
(2) Includes OTTI losses of $176 million, $288 million and $268 million for the year ended December 31, 2012, 2011 and 2010, respectively.
The accompanying notes are an integral part of these statements.
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