US Bank 2011 Annual Report Download - page 45

TABLE 16 Nonperforming Assets (a)
At December 31 (Dollars in Millions) 2011 2010 2009 2008 2007
Commercial
Commercial ................................................................. $ 280 $ 519 $ 866 $ 290 $128
Lease financing ............................................................. 32 78 125 102 53
Total commercial ........................................................ 312 597 991 392 181
Commercial Real Estate
Commercial mortgages ..................................................... 354 545 581 294 84
Construction and development ............................................. 545 748 1,192 780 209
Total commercial real estate ............................................. 899 1,293 1,773 1,074 293
Residential Mortgages (b) ................................................... 650 636 467 210 54
Credit Card .................................................................... 224 228 142 67 14
Other Retail
Retail leasing ............................................................... — — — — —
Other ....................................................................... 67 65 62 25 15
Total other retail .......................................................... 67 65 62 25 15
Total nonperforming loans, excluding covered loans ................. 2,152 2,819 3,435 1,768 557
Covered Loans ................................................................ 926 1,244 1,350 369 —
Total nonperforming loans ............................................ 3,078 4,063 4,785 2,137 557
Other Real Estate (c)(d) ...................................................... 404 511 437 190 111
Covered Other Real Estate (d) .............................................. 274 453 653 274 —
Other Assets ................................................................... 18 21 32 23 22
Total nonperforming assets ........................................... $3,774 $5,048 $5,907 $2,624 $690
Total nonperforming assets, excluding covered assets ............... $2,574 $3,351 $3,904 $1,981 $690
Excluding covered assets:
Accruing loans 90 days or more past due (b) ................................. $ 843 $1,094 $1,525 $ 967 $584
Nonperforming loans to total loans ............................................ 1.10% 1.57% 1.99% 1.02% .36%
Nonperforming assets to total loans plus other real estate (c)................. 1.32% 1.87% 2.25% 1.14% .45%
Including covered assets:
Accruing loans 90 days or more past due (b) ................................. $1,753 $2,184 $2,309 $1,554 $584
Nonperforming loans to total loans ............................................ 1.47% 2.06% 2.46% 1.16% .36%
Nonperforming assets to total loans plus other real estate (c)................. 1.79% 2.55% 3.02% 1.42% .45%
Changes in Nonperforming Assets
(Dollars in Millions)
Commercial and
Commercial
Real Estate
Credit Card,
Other Retail
and Residential
Mortgages (f)
Covered
Assets Total
Balance December 31, 2010 ................................................. $2,204 $1,147 $ 1,697 $ 5,048
Additions to nonperforming assets
New nonaccrual loans and foreclosed properties ............................ 1,514 750 626 2,890
Advances on loans ........................................................... 68 — 5 73
Total additions ............................................................. 1,582 750 631 2,963
Reductions in nonperforming assets
Paydowns, payoffs ........................................................... (677) (332) (453) (1,462)
Net sales ..................................................................... (463) (70) (385) (918)
Return to performing status .................................................. (246) (91) (291) (628)
Net charge-offs (e) ........................................................... (925) (305) 1 (1,229)
Total reductions ........................................................... (2,311) (798) (1,128) (4,237)
Net additions to (reductions in) nonperforming assets .................. (729) (48) (497) (1,274)
Balance December 31, 2011 ................................................. $1,475 $1,099 $ 1,200 $ 3,774
(a) Throughout this document, nonperforming assets and related ratios do not include accruing loans 90 days or more past due.
(b) Excludes $2.6 billion, $2.6 billion, $2.2 billion, $1.1 billion and $.6 billion at December 31, 2011, 2010, 2009, 2008 and 2007, respectively, of loans purchased from GNMA mortgage pools that
are 90 days or more past due that continue to accrue interest, as their repayments are primarily insured by the Federal Housing Administration or guaranteed by the Department of Veterans
Affairs.
(c) Foreclosured GNMA loans of $692 million, $575 million, $359 million, $209 million and $102 million at December 31, 2011, 2010, 2009, 2008 and 2007, respectively, continue to accrue
interest and are recorded as other assets and excluded from nonperforming assets because they are insured by the Federal Housing Administration or guaranteed by the Department of
Veterans Affairs.
(d) Includes equity investments in entities whose principal assets are other real estate owned.
(e) Charge-offs exclude actions for certain card products and loan sales that were not classified as nonperforming at the time the charge-off occurred.
(f) Residential mortgage information excludes changes related to residential mortgages serviced by others.
U.S. BANCORP 43