JP Morgan Chase 2014 Annual Report Download - page 281

JPMorgan Chase & Co./2014 Annual Report 279
Note 22 – Preferred stock
At December 31, 2014 and 2013, JPMorgan Chase was
authorized to issue 200 million shares of preferred stock, in
one or more series, with a par value of $1.00 per share.
In the event of a liquidation or dissolution of the Firm,
JPMorgan Chase’s preferred stock then outstanding takes
precedence over the Firm’s common stock for the payment
of dividends and the distribution of assets.
The following is a summary of JPMorgan Chase’s non-cumulative preferred stock outstanding as of December 31, 2014 and
2013.
Shares at December 31,
(represented by
depositary shares)(a)
Carrying value
(in millions)
at December 31,
Issue date
Contractual
rate
in effect at
December 31,
2014
Earliest
redemption
date
Date at
which
dividend
rate
becomes
floating
Floating annual
rate of
three-month
LIBOR plus:
2014 2013 2014 2013
Fixed-rate:
Series O 125,750 125,750 $ 1,258 $ 1,258 8/27/2012 5.500% 9/1/2017 NA NA
Series P 90,000 90,000 900 900 2/5/2013 5.450 3/1/2018 NA NA
Series T 92,500 —925 — 1/30/2014 6.700 3/1/2019 NA NA
Series W 88,000 —880 — 6/23/2014 6.300 9/1/2019 NA NA
Fixed-to-floating rate:
Series I 600,000 600,000 6,000 6,000 4/23/2008 7.900% 4/30/2018 4/30/2018 LIBOR + 3.47 %
Series Q 150,000 150,000 1,500 1,500 4/23/2013 5.150 5/1/2023 5/1/2023 LIBOR + 3.25
Series R 150,000 150,000 1,500 1,500 7/29/2013 6.000 8/1/2023 8/1/2023 LIBOR + 3.30
Series S 200,000 —2,000 — 1/22/2014 6.750 2/1/2024 2/1/2024 LIBOR + 3.78
Series U 100,000 —1,000 — 3/10/2014 6.125 4/30/2024 4/30/2024 LIBOR + 3.33
Series V 250,000 —2,500 — 6/9/2014 5.000 7/1/2019 7/1/2019 LIBOR + 3.32
Series X 160,000 —1,600 — 9/23/2014 6.100 10/1/2024 10/1/2024 LIBOR + 3.33
Total preferred stock 2,006,250 1,115,750 $ 20,063 $ 11,158
(a) Represented by depositary shares.
Each series of preferred stock has a liquidation value and
redemption price per share of $10,000, plus any accrued
but unpaid dividends.
Dividends on fixed-rate preferred stock are payable
quarterly. Dividends on fixed-to-floating rate preferred
stock are payable semiannually while at a fixed rate, and
will become payable quarterly after converting to a floating
rate.
On September 1, 2013, the Firm redeemed all of the
outstanding shares of its 8.625% Non-Cumulative Preferred
Stock, Series J at their stated redemption value.
Redemption rights
Each series of the Firm’s preferred stock may be redeemed
on any dividend payment date on or after the earliest
redemption date for that series. All outstanding preferred
stock series except Series I may also be redeemed following
a capital treatment event, as described in the terms of each
series. Any redemption of the Firm’s preferred stock is
subject to non-objection from the Federal Reserve.
Subsequent events
Issuance of preferred stock
On February 12, 2015, the Firm issued $1.4 billion of
noncumulative preferred stock.
Note 23 – Common stock
At December 31, 2014 and 2013, JPMorgan Chase was
authorized to issue 9.0 billion shares of common stock with
a par value of $1 per share.
Common shares issued (newly issued or distributed from
treasury) by JPMorgan Chase during the years ended
December 31, 2014, 2013 and 2012 were as follows.
Year ended December 31,
(in millions) 2014 2013 2012
Total issued – balance at
January 1 and December 31 4,104.9 4,104.9 4,104.9
Treasury – balance at January 1 (348.8) (300.9) (332.2)
Purchase of treasury stock (82.3) (96.1) (33.5)
Share repurchases related to
employee stock-based awards(a) —— (0.2)
Issued from treasury:
Employee benefits and
compensation plans 39.8 47.1 63.7
Employee stock purchase plans 1.2 1.1 1.3
Total issued from treasury 41.0 48.2 65.0
Total treasury – balance at
December 31 (390.1) (348.8) (300.9)
Outstanding 3,714.8 3,756.1 3,804.0
(a) Participants in the Firm’s stock-based incentive plans may have
shares withheld to cover income taxes.