Wells Fargo 2011 Annual Report Download - page 47

Contractual Obligations
In addition to the contractual commitments and arrangements
previously described, which, depending on the nature of the
obligation, may or may not require use of our resources, we
enter into other contractual obligations in the ordinary course
of business, including debt issuances for the funding of
operations and leases for premises and equipment.
Table 15 summarizes these contractual obligations as of
December 31, 2011, excluding obligations for short-term
borrowing arrangements and pension and postretirement
benefit plans. More information on those obligations is in Note
12 (Short-Term Borrowings) and Note 20 (Employee Benefits
and Other Expenses) to Financial Statements in this Report.
Table 15: Contractual Obligations
Note(s) to
More
Financial
Less than
1-3
3-5
than
Indeterminate
(in millions)
Statements
1 year
years
years
5 years
maturity
Total
Contractual payments by period:
Deposits
11
$
98,309
26,945
14,502
3,427
776,887
(1)
920,070
Long-term debt (2)
7, 13
18,605
25,080
26,689
54,980
-
125,354
Operating leases
7
1,319
2,291
1,589
3,239
-
8,438
Unrecognized income tax obligations
21
10
-
-
-
2,219
2,229
Commitments to purchase debt securities
17
1,010
-
-
-
1,027
Purchase and other obligations (3)
454
311
125
6
-
896
Total contractual obligations
$
118,714
55,637
42,905
61,652
779,106
1,058,014
(1)
Includes interest-bearing and noninterest-bearing checking, and market rate and other savings accounts.
(2)
Includes obligations under capital leases of $116 million.
(3)
Includes agreements to purchase goods or services and an annual minimum property tax obligation.
We are subject to the income tax laws of the U.S., its states
and municipalities, and those of the foreign jurisdictions in
which we operate. We have various unrecognized tax
obligations related to these operations that may require future
cash tax payments to various taxing authorities. Because of
their uncertain nature, the expected timing and amounts of
these payments generally are not reasonably estimable or
determinable. We estimate the amount payable in the next 12
months based on the status of our tax examinations and
settlement discussions. See Note 21 (Income Taxes) to
Financial Statements in this Report for more information.
We enter into derivatives, which create contractual
obligations, as part of our interest rate risk management
process for our customers or for other trading activities. See
the “Risk Management – Asset/Liability” section and Note 16
(Derivatives) to Financial Statements in this Report for more
information.
Transactions with Related Parties
The Related Party Disclosures topic of the Financial
Accounting Standards Board (FASB) Accounting Standards
Codification (Codification) requires disclosure of material
related-party transactions, other than compensation
arrangements, expense allowances and other similar items in
the ordinary course of business. We had no material related-
party transactions required to be reported for the years ended
December 31, 2011, 2010 and 2009.
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