Wells Fargo 2014 Annual Report Download - page 133

Wells Fargo & Company and Subsidiaries
Consolidated Statement of Income
Year ended December 31,
(in millions, except per share amounts) 2014 2013 2012
Interest income
Trading assets $ 1,685 1,376 1,358
Investment securities 8,438 8,116 8,098
Mortgages held for sale 767 1,290 1,825
Loans held for sale 78 13 41
Loans 35,652 35,571 36,482
Other interest income 932 723 587
Total interest income 47,552 47,089 48,391
Interest expense
Deposits 1,096 1,337 1,727
Short-term borrowings 59 60 79
Long-term debt 2,488 2,585 3,110
Other interest expense 382 307 245
Total interest expense 4,025 4,289 5,161
Net interest income 43,527 42,800 43,230
Provision for credit losses 1,395 2,309 7,217
Net interest income after provision for credit losses 42,132 40,491 36,013
Noninterest income
Service charges on deposit accounts 5,050 5,023 4,683
Trust and investment fees 14,280 13,430 11,890
Card fees 3,431 3,191 2,838
Other fees 4,349 4,340 4,519
Mortgage banking 6,381 8,774 11,638
Insurance 1,655 1,814 1,850
Net gains from trading activities 1,161 1,623 1,707
Net gains (losses) on debt securities (1) 593 (29) (128)
Net gains from equity investments (2) 2,380 1,472 1,485
Lease income 526 663 567
Other 1,014 679 1,807
Total noninterest income 40,820 40,980 42,856
Noninterest expense
Salaries 15,375 15,152 14,689
Commission and incentive compensation 9,970 9,951 9,504
Employee benefits 4,597 5,033 4,611
Equipment 1,973 1,984 2,068
Net occupancy 2,925 2,895 2,857
Core deposit and other intangibles 1,370 1,504 1,674
FDIC and other deposit assessments 928 961 1,356
Other 11,899 11,362 13,639
Total noninterest expense 49,037 48,842 50,398
Income before income tax expense 33,915 32,629 28,471
Income tax expense 10,307 10,405 9,103
Net income before noncontrolling interests 23,608 22,224 19,368
Less: Net income from noncontrolling interests 551 346 471
Wells Fargo net income $ 23,057 21,878 18,897
Less: Preferred stock dividends and other 1,236 989 898
Wells Fargo net income applicable to common stock $ 21,821 20,889 17,999
Per share information
Earnings per common share $ 4.17 3.95 3.40
Diluted earnings per common share 4.10 3.89 3.36
Dividends declared per common share 1.35 1.15 0.88
Average common shares outstanding 5,237.2 5,287.3 5,287.6
Diluted average common shares outstanding 5,324.4 5,371.2 5,351.5
(1) Total other-than-temporary impairment (OTTI) losses were $18 million, $39 million and $3 million for the year ended December 31, 2014, 2013 and 2012, respectively. Of
total OTTI, losses of $49 million, $158 million and $240 million were recognized in earnings, and reversal of losses of $(31) million, $(119) million and $(237) million were
recognized as non-credit-related OTTI in other comprehensive income for the year ended December 31, 2014, 2013 and 2012, respectively.
(2) Includes OTTI losses of $273 million, $186 million and $176 million for the year ended December 31, 2014, 2013 and 2012, respectively.
The accompanying notes are an integral part of these statements.
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