US Bank 2005 Annual Report Download - page 31

RESIDENTIAL MORTGAGES AND RETAIL LOANS BY GEOGRAPHY
Residential Mortgages Retail Loans
At December 31, 2005 (Dollars in Millions) Loans Percent Loans Percent
California *********************************************************** $ 1,351 6.5% $ 5,292 11.6%
Colorado *********************************************************** 1,406 6.8 2,381 5.2
Illinois************************************************************** 1,402 6.8 2,354 5.2
Minnesota ********************************************************** 2,350 11.3 5,026 11.1
Missouri************************************************************ 1,549 7.4 2,517 5.5
Ohio*************************************************************** 1,487 7.2 3,335 7.3
Oregon ************************************************************ 964 4.6 1,986 4.3
Washington********************************************************* 1,245 6.0 2,217 4.9
Wisconsin ********************************************************** 1,136 5.5 2,532 5.5
Iowa, Kansas, Nebraska, North Dakota, South Dakota ******************* 1,536 7.4 3,125 6.8
Arkansas, Indiana, Kentucky, Tennessee******************************** 1,570 7.6 3,421 7.5
Idaho, Montana, Wyoming******************************************** 489 2.4 1,293 2.8
Arizona, Nevada, Utah *********************************************** 1,161 5.6 1,833 4.0
Total banking region ********************************************** 17,646 85.1 37,312 81.7
Outside the Company’s banking region********************************* 3,084 14.9 8,359 18.3
Total************************************************************ $20,730 100.0% $45,671 100.0%
Retail Total retail loans outstanding, which include credit sale were $1.8 billion in 2005, compared with $1.6 billion
card, retail leasing, home equity and second mortgages and in 2004. The balance of loans held for sale is primarily a
other retail loans, increased $2.5 billion (5.7 percent) at function of mortgage loan production during the past ninety
December 31, 2005, compared with December 31, 2004. days. During the fourth quarter of 2005, mortgage loan
The increase was driven by an increase in automobile loans production was approximately $6.1 billion compared with
and installment loans, credit cards, home equity loans, $4.4 billion during the same period of 2004.
student loans and retail leasing, which increased Investment Securities The Company uses its investment
$1.5 billion, $534 million, $352 million, $176 million and securities portfolio for several purposes. It serves as a
$172 million, respectively, during 2005. The increases in vehicle to manage interest rate and prepayment risk,
these loan categories were offset somewhat by a reduction generates interest and dividend income from the investment
in home equity lines of credit of $223 million during the of excess funds depending on loan demand, provides
year. Average retail loans increased $3.3 billion liquidity and is used as collateral for public deposits and
(7.9 percent) in 2005, reflecting growth in home equity wholesale funding sources. While it is the Company’s intent
lines, installment loans, retail leasing and credit card. Of the to hold its investment securities indefinitely, the Company
total retail loans and residential mortgages outstanding, may take actions in response to structural changes in the
approximately 82.8 percent were to customers located in balance sheet and related interest rate risks and to meet
the Company’s primary banking regions. Table 9 provides a liquidity requirements.
geographic summary of residential mortgages and retail At December 31, 2005, investment securities, both
loans outstanding as of December 31, 2005. available-for-sale and held-to-maturity, totaled
Loans Held for Sale At December 31, 2005, loans held for $39.8 billion, compared with $41.5 billion at December 31,
sale, consisting of residential mortgages to be sold in the 2004. The $1.7 billion (4.1 percent) decrease primarily
secondary market, were $1.7 billion, compared with reflected purchases of $13.2 billion of securities, more than
$1.4 billion at December 31, 2004. Average loans held for offset by sales, maturities and prepayments. During 2005,
SELECTED LOAN MATURITY DISTRIBUTION
Over One
One Year Through Over Five
December 31, 2005 (Dollars in Millions) or Less Five Years Years Total
Commercial **************************************************************** $18,928 $20,717 $ 3,297 $ 42,942
Commercial real estate******************************************************* 8,076 14,073 6,314 28,463
Residential mortgages ******************************************************* 898 2,630 17,202 20,730
Retail ********************************************************************** 14,005 19,845 11,821 45,671
Total loans ************************************************************** $41,907 $57,265 $38,634 $137,806
Total of loans due after one year with
Predetermined interest rates *********************************************** $ 44,503
Floating interest rates ***************************************************** $ 51,396
U.S. BANCORP 29
Table 9
Table 10