Wells Fargo 2015 Annual Report Download - page 102

Risk Management - Asset/Liability Management (continued)
Table 52: Short-Term Borrowings
(in millions)
Dec 31,
2015
Sep 30,
2015
Jun 30,
2015
Quarter ended
Mar 31,
2015
Dec 31,
2014
Balance, period end
Federal funds purchased and securities sold under agreements to repurchase $ 82,948 74,652 71,439 64,400 51,052
Commercial paper 334 393 621 3,552 2,456
Other short-term borrowings 14,246 13,024 10,903 9,745 10,010
Total $ 97,528 88,069 82,963 77,697 63,518
Average daily balance for period
Federal funds purchased and securities sold under agreements to repurchase $ 88,949 79,445 72,429 58,881 51,509
Commercial paper 414 484 2,433 3,040 3,511
Other short-term borrowings 13,552 10,428 9,637 9,791 9,656
Total $ 102,915 90,357 84,499 71,712 64,676
Maximum month-end balance for period
Federal funds purchased and securities sold under agreements to repurchase (1)
Commercial paper (2)
Other short-term borrowings (3)
$ 89,800
461
14,246
80,961
510
13,024
71,811
2,713
10,903
66,943
3,552
10,068
51,052
3,740
10,010
(1)
(2)
(3)
Highest month-end balance in each of the last five quarters was in October, August, May and February 2015 and December 2014.
Highest month-end balance in each of the last five quarters was in November, July, April and March 2015 and November 2014.
Highest month-end balance in each of the last five quarters was in December, September, June and February 2015 and December 2014.
We access domestic and international capital markets for
long-term funding (generally greater than one year) through
issuances of registered debt securities, private placements and
asset-backed secured funding.
Parent Under SEC rules, our Parent is classified as a “well-
known seasoned issuer,” which allows it to file a registration
statement that does not have a limit on issuance capacity. In
May 2014, the Parent filed a registration statement with the SEC
for the issuance of senior and subordinated notes, preferred
stock and other securities. The Parent’s ability to issue debt and
other securities under this registration statement is limited by
the debt issuance authority granted by the Board. The Parent is
currently authorized by the Board to issue $60 billion in
outstanding short-term debt and $170 billion in outstanding
long-term debt. At December 31, 2015, the Parent had available
$39.4 billion in short-term debt issuance authority and
$46.0 billion in long-term debt issuance authority. The Parent’s
debt issuance authority granted by the Board includes short-
term and long-term debt issued to affiliates. In 2015, the Parent
issued $26.4 billion of senior notes, of which $17.0 billion were
registered with the SEC. In addition, in 2015, the Parent issued
$5.3 billion of subordinated notes, all of which were registered
with the SEC.
The Parent’s proceeds from securities issued were used for
general corporate purposes, and, unless otherwise specified in
the applicable prospectus or prospectus supplement, we expect
the proceeds from securities issued in the future will be used for
the same purposes. Depending on market conditions, we may
purchase our outstanding debt securities from time to time in
privately negotiated or open market transactions, by tender
offer, or otherwise.
Table 53 provides information regarding the Parent’s
medium-term note (MTN) programs, which are covered by the
long-term debt issuance authority granted by the Board. The
Parent may issue senior and subordinated debt securities under
Series N & O, and the European and Australian programmes.
Under Series K, the Parent may issue senior debt securities
linked to one or more indices or bearing interest at a fixed or
floating rate.
Table 53: Medium-Term Note (MTN) Programs
December 31, 2015
(in billions)
Date
established
Debt
issuance
authority
Available
for
issuance
MTN program:
Series N & O (1)(2)
Series K (1)(3)
European (4)(5)
European (4)(6)
Australian (4)(7)
May 2014
April 2010
December 2009
August 2013
June 2005 AUD
$ —
25.0
25.0
10.0
10.0
—
20.7
3.9
7.9
7.8
(1) SEC registered.
(2) The Parent can issue an indeterminate amount of debt securities, subject to
the debt issuance authority granted by the Board.
(3) As amended in April 2012 and March 2015.
(4) Not registered with the SEC. May not be offered in the United States without
applicable exemptions from registration.
(5) As amended in April 2012, April 2013, April 2014 and March 2015. For
securities to be admitted to listing on the Official List of the United Kingdom
Financial Conduct Authority and to trade on the Regulated Market of the
London Stock Exchange.
(6) As amended in May 2014 and April 2015, for securities that will not be
admitted to listing, trading and/or quotation by any stock exchange or
quotation system, or will be admitted to listing, trading and/or quotation by a
stock exchange or quotation system that is not considered to be a regulated
market.
(7) As amended in October 2005, March 2010 and September 2013.
Wells Fargo Bank, N.A. Wells Fargo Bank, N.A. is authorized
by its board of directors to issue $100 billion in outstanding
short-term debt and $125 billion in outstanding long-term debt.
At December 31, 2015, Wells Fargo Bank, N.A. had available
$99.98 billion in short-term debt issuance authority and
$66.3 billion in long-term debt issuance authority. In April 2015,
Wells Fargo Bank, N.A. established a $100 billion bank note
program under which, subject to any other debt outstanding
under the limits described above, it may issue $50 billion in
outstanding short-term senior notes and $50 billion in
outstanding long-term senior or subordinated notes. At
December 31, 2015, Wells Fargo Bank, N.A. had remaining
issuance capacity under the bank note program of $50.0 billion
in short-term senior notes and $50.0 billion in long-term senior
or subordinated notes. In January 2016, Wells Fargo Bank, N.A.
issued $3.5 billion of unregistered senior notes under the bank
note program. In addition, during 2015, Wells Fargo Bank, N.A.
executed advances of $10.5 billion with the Federal Home Loan
Wells Fargo & Company
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