Wells Fargo 2011 Annual Report Download - page 180

Note 13: Long-Term Debt (continued)
(continued from previous page)
December 31,
2011
2010
Maturity
Stated
(in millions)
date(s)
interest rate(s)
Other consolidated subsidiaries
Senior
Fixed-rate notes
2012-2016
3.70-6.125%
5,154
6,147
FixFloat notes
2020
6.795% through 2015, varies
20
20
Total senior debt - Other consolidated subsidiaries
5,174
6,167
Junior subordinated
Fixed-rate notes
-
10
Floating-rate notes
2027
0.928%
155
239
FixFloat notes
-
78
Total junior subordinated debt - Other
consolidated subsidiaries (3)
155
327
Long-term debt issued by VIE - Fixed rate
2012-2020
5.16-6.88%
81
84
Long-term debt issued by VIE - Floating rate
-
489
Mortgage notes and other debt of subsidiaries
2013-2018
Varies
129
127
Total long-term debt - Other consolidated subsidiaries
5,539
7,194
Total long-term debt
$
125,354
156,983
(1) On March 30, 2009, Wells Fargo issued $1.75 billion of 2.125% fixed senior unsecured notes and $1.75 billion of floating senior unsecured notes both maturing on
June 15, 2012. These notes are guaranteed under the Federal Deposit Insurance Corporation’s (FDIC) Temporary Liquidity Guarantee Program (TLGP) and are backed by the
full faith and credit of the United States.
(2) Primarily consists of long-term notes where the performance of the note is linked to an embedded equity, commodity, or currency index, or basket of indices accounted for
separately from the note as a free-standing derivative. For information on embedded derivatives, see Note 16 – Free-standing derivatives.
(3) Represents junior subordinated debentures held by unconsolidated wholly owned trusts formed for the sole purpose of issuing trust preferred securities. See Note 8 for
additional information on our trust preferred security structures.
We participated in the FDIC’s Temporary Liquidity
Guarantee Program (TLGP). The TLGP had two components: the
Debt Guarantee Program, which provided a temporary
guarantee of newly issued senior unsecured debt issued by
eligible entities; and the Transaction Account Guarantee
Program, which provided a temporary unlimited guarantee of
funds in noninterest-bearing transaction accounts at FDIC-
insured institutions. We opted out of the TLGP effective
January 1, 2010.
The aggregate annual maturities of long-term debt
obligations (based on final maturity dates) as of
December 31, 2011, are presented in the following table.
(in millions)
Parent
Company
2012
$
15,443
18,605
2013
10,023
14,290
2014
7,791
10,790
2015
3,753
8,949
2016
13,302
17,740
Thereafter
27,301
54,980
Total
$
77,613
125,354
The interest rates on floating-rate notes are determined
periodically by formulas based on certain money market rates,
subject, on certain notes, to minimum or maximum interest
rates.
As part of our long-term and short-term borrowing
arrangements, we are subject to various financial and
operational covenants. Some of the agreements under which
debt has been issued have provisions that may limit the merger
or sale of certain subsidiary banks and the issuance of capital
stock or convertible securities by certain subsidiary banks. At
December 31, 2011, we were in compliance with all the
covenants.
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