US Bank 2014 Annual Report Download - page 97

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Consolidation In February 2015, the FASB issued accounting
guidance, effective for the Company on January 1, 2016, with
early adoption permitted, related to the analysis required by
organizations to evaluate whether they should consolidate
certain legal entities. The Company does not expect the
adoption of this guidance to have a material impact on its
financial statements.
NOTE 3 BUSINESS COMBINATIONS
In June 2014, the Company acquired the Chicago-area
branch banking operations of the Charter One Bank
franchise (“Charter One”) owned by RBS Citizens Financial
Group. The acquisition included Charter One’s retail branch
network, small business operations and select middle
market relationships. The Company acquired approximately
$969 million of loans and $4.8 billion of deposits with this
transaction.
In February 2013, the Company acquired Collective
Point of Sale Solutions, a Canadian merchant processor. The
Company recorded approximately $34 million of assets,
including intangibles, and approximately $4 million of
liabilities with this transaction.
In November 2013, the Company acquired Quintillion
Holding Company Limited, a provider of fund administration
services to alternative investment funds. The Company
recorded approximately $57 million of assets, including
intangibles, and assumed approximately $10 million of
liabilities with this transaction.
NOTE 4 RESTRICTIONS ON CASH AND DUE FROM BANKS
The Federal Reserve Bank requires bank subsidiaries to
maintain minimum average reserve balances, either in the
form of cash or reserve balances held with the Federal
Reserve Bank. The amount of those required reserve
balances were approximately $2.0 billion and $1.8 billion at
December 31, 2014 and 2013, respectively. At December 31,
2014 and 2013, the Company held $4.4 billion and $1.9
billion, respectively, of balances at the Federal Reserve Bank.
These balances are included in cash and due from banks on
the Consolidated Balance Sheet.
U.S. BANCORP The power of potential
95