US Bank 2004 Annual Report Download - page 104
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Please find page 104 of the 2004 US Bank annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.In the normal course of business, the Company has Companies against losses that may result from third-party
unresolved charge-backs that are in process of resolution. claims relating to certain specified matters. The Company’s
The Company assesses the likelihood of its potential indemnification obligation related to these specified matters
liability based on the extent and nature of unresolved is capped at $17.5 million and can be terminated by the
charge-backs and its historical loss experience. At Company if there is a change in control event for Piper
December 31, 2004, the Company had a recorded liability Jaffray Companies. Through December 31, 2004, the
for potential losses of $31.8 million. In addition, the Company has paid approximately $3.3 million to Piper
Company had a $53.8 million liability for obligations Jaffray Companies under this agreement.
associated with its airline processing business. The Company is subject to various other litigation,
investigations and legal and administrative cases and
Other Guarantees The Company provides liquidity and proceedings that arise in the ordinary course of its
credit enhancement facilities to a Company-sponsored businesses. Due to their complex nature, it may be years
conduit, as more fully described in the Note 10. Although before some matters are resolved. While it is impossible to
management believes a draw against these facilities is ascertain the ultimate resolution or range of financial
remote, the maximum potential future payments guaranteed liability with respect to these contingent matters, the
by the Company under these arrangements were Company believes that the aggregate amount of such
approximately $5.7 billion at December 31, 2004. The liabilities will not have a material adverse effect on the
recorded fair value of the Company’s liability for the credit financial condition, results of operations or cash flows of
enhancement recourse obligation and liquidity facility was the Company.
$32.4 million at December 31, 2004, and was included in
other liabilities.
OTHER CONTINGENT LIABILITIES
In connection with the spin-off of Piper Jaffray Companies,
the Company has agreed to indemnify Piper Jaffray
102 U.S. BANCORP