Wells Fargo 2010 Annual Report Download - page 175

December 31, 2010 December 31, 2009
Notional or Fair value Notional or Fair value
contractual Asset Liability contractual Asset Liability
(in millions) amount derivatives derivatives amount derivatives derivatives
Qualifying hedge contracts
Interest rate contracts (1) $ 110,314 7,126 1,614 119,966 6,425 1,302
Foreign exchange contracts 25,904 1,527 727 30,212 1,553 811
Total derivatives designated as
qualifying hedging instruments 8,653 2,341 7,978 2,113
Derivatives not designated as hedging instruments
Free-standing derivatives (economic hedges):
Interest rate contracts (2) 408,563 2,898 2,625 633,734 4,441 4,873
Equity contracts 176 - 46 300 - 2
Foreign exchange contracts 5,528 23 53 7,019 233 29
Credit contracts - protection purchased 396 80 - 577 261 -
Other derivatives 2,538 - 35 4,583 - 40
Subtotal 3,001 2,759 4,935 4,944
Customer accommodation, trading and other
free-standing derivatives (3):
Interest rate contracts 2,809,387 58,225 59,329 2,741,119 54,873 54,033
Commodity contracts 83,114 4,133 3,918 92,182 5,400 5,182
Equity contracts 73,278 3,272 3,450 71,572 2,459 3,067
Foreign exchange contracts 110,889 2,800 2,682 142,012 3,084 2,737
Credit contracts - protection sold 47,699 605 5,826 84,541 979 9,592
Credit contracts - protection purchased 44,776 4,661 588 86,014 9,354 1,089
Other derivatives 190 8 - 2,314 427 171
Subtotal 73,704 75,793 76,576 75,871
Total derivatives not designated as hedging instruments 76,705 78,552 81,511 80,815
Total derivatives before netting 85,358 80,893 89,489 82,928
Netting (4) (63,469) (70,009) (65,926) (73,303)
Total $ 21,889 10,884 23,563 9,625
(1) Notional amounts presented exclude $20.9 billion at both December 31, 2010 and 2009, of basis swaps that are combined with receive fixed-rate/pay floating-rate swaps
and designated as one hedging instrument.
(2) Includes free-standing derivatives (economic hedges) used to hedge the risk of changes in the fair value of residential MSRs, MHFS, interest rate lock commitments and
other interests held.
(3) Balances at December 31, 2009 have been revised to conform with the current presentation.
(4) Represents netting of derivative asset and liability balances, and related cash collateral, with the same counterparty subject to master netting arrangements. The amount of
cash collateral netted against derivative assets and liabilities was $5.5 billion and $12.1 billion, respectively, at December 31, 2010, and $5.3 billion and $14.1 billion,
respectively, at December 31, 2009.
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