US Bank 2004 Annual Report Download - page 34
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Please find page 34 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.government banking deposits in the Wholesale Banking deposits have also declined. Average noninterest-bearing
business line relative to a year ago. The decline also deposits were $29.8 billion in 2004, a decrease of
included certain product changes to migrate high-value $1.9 billion (6.0 percent), compared with 2003. While
customers with balances of $1.3 billion to the Company’s average branch-based noninterest-bearing deposits increased
Silver Elite interest checking product to further enhance 2.7 percent from a year ago, business-related noninterest-
customer retention. Corporate business deposits are bearing deposits, including government, corporate banking
declining as business customers utilize their deposit liquidity and mortgage banking deposits, and mortgage-related
to fund business growth. Mortgage banking activities escrow balances declined.
continue to decline directly related to the upward movement Interest-bearing savings deposits totaled $59.4 billion at
in interest rates since mid-2003. Government banking December 31, 2004, a decrease of $1.7 billion (2.7 percent)
Investment Securities
Available-for-Sale Held-to-Maturity
Weighted- Weighted-
Average Weighted- Average Weighted-
Amortized Fair Maturity in Average Amortized Fair Maturity in Average
December 31, 2004 (Dollars in Millions) Cost Value Years Yield (d) Cost Value Years Yield (d)
U.S. Treasury and agencies
Maturing in one year or less (a)*********** $ 601 $ 593 .19 3.24% $ — $ — — —%
Maturing after one year through five years 56 58 3.09 4.98 ————
Maturing after five years through ten years 27 28 7.52 4.47 ————
Maturing after ten years (a) ************** — ——— ————
Total *************************** $ 684 $ 679 .72 3.43% $ — $ — — —%
Mortgage-backed securities (b)
Maturing in one year or less ************* $ 1,716 $ 1,721 .57 4.01% $ — $ — — —%
Maturing after one year through five years 24,849 24,724 3.25 4.34 11 11 3.07 5.30
Maturing after five years through ten years 12,742 12,588 6.51 4.70 ————
Maturing after ten years ***************** 502 504 14.06 3.85 ————
Total *************************** $39,809 $39,537 4.31 4.43% $ 11 $ 11 3.07 5.30%
Asset-backed securities (b)
Maturing in one year or less ************* $ 39 $ 39 .65 5.61% $ — $ — — —%
Maturing after one year through five years 25 25 2.36 5.26 ————
Maturing after five years through ten years — — — — ————
Maturing after ten years ***************** — ——— ————
Total *************************** $ 64 $ 64 1.31 5.47% $ — $ — — —%
Obligations of state and political
subdivisions
Maturing in one year or less ************* $ 101 $ 102 .39 7.38% $ 10 $ 10 .25 6.44%
Maturing after one year through five years 97 101 2.49 7.24 35 37 2.66 6.55
Maturing after five years through ten years 6 7 6.38 7.82 19 20 6.90 6.57
Maturing after ten years ***************** 1 1 16.77 5.33 34 36 13.66 6.68
Total *************************** $ 205 $ 211 1.65 7.32% $ 98 $103 7.09 6.59%
Other debt securities
Maturing in one year or less ************* $ 8 $ 8 1.11 3.10% $ — $ — — —%
Maturing after one year through five years 86 86 2.35 11.00 18 18 3.23 5.20
Maturing after five years through ten years — — — — ————
Maturing after ten years ***************** 499 490 22.35 2.98 ————
Total *************************** $ 593 $ 584 19.16 4.15% $ 18 $ 18 3.23 5.20%
Other investments ******************** $ 270 $ 279 — —% $ — $ — — —%
Total investment securities (c)**************** $41,625 $41,354 4.45 4.43% $127 $132 6.19 6.28%
(a) In January 2005, approximately $450 million of floating-rate agency notes with an original maturity of June 2023 were called by the issuer. These notes are classified in the table as
maturing in one year or less.
(b) Information related to asset and mortgage-backed securities included above is presented based upon weighted-average maturities anticipating future prepayments.
(c) The weighted-average maturity of the available-for-sale investment securities was 5.12 years at December 31, 2003 with a corresponding weighted-average yield of 4.27%. The weighted-
average maturity of the held-to-maturity investment securities was 6.16 years at December 31, 2003 with a corresponding weighted-average yield of 6.05%.
(d) Average yields are presented on a fully-taxable equivalent basis. Yields on available-for-sale and held-to-maturity securities are computed based on historical cost balances. Average yield
and maturity calculations exclude equity securities that have no stated yield or maturity.
2004 2003
Amortized Percent Amortized Percent
At December 31 (Dollars in Millions) Cost of Total Cost of Total
U.S. Treasury and agencies************************************************************************ $ 684 1.6% $ 1,634 3.7%
Mortgage-backed securities *********************************************************************** 39,820 95.4 40,243 92.3
Asset-backed securities *************************************************************************** 64 .2 250 .6
Obligations of state and political subdivisions ******************************************************** 303 .7 473 1.1
Other securities and investments ******************************************************************* 881 2.1 993 2.3
Total investment securities ********************************************************************* $41,752 100.0% $43,593 100.0%
32 U.S. BANCORP
Table 10