US Bank 2005 Annual Report Download - page 86

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The following table is a summary of the Debentures included in long-term debt as of December 31, 2005:
Trust
Preferred
Securities Debentures Rate Earliest
Issuance Trust (Dollars in Millions) Issuance Date Amount Amount Type (a) Rate Maturity Date Redemption Date
Retail
USB Capital VIII ******************* December 2005 $ 375 $ 387 Fixed 6.35 December 2065 December 29, 2010
USB Capital VII ******************* August 2005 300 309 Fixed 5.88 August 2035 August 15, 2010
USB Capital VI ******************** March 2005 275 283 Fixed 5.75 March 2035 March 9, 2010
USB Capital V ******************** December 2001 300 309 Fixed 7.25 December 2031 December 7, 2006
USB Capital IV ******************** November 2001 500 515 Fixed 7.35 November 2031 November 1, 2006
USB Capital III ******************** May 2001 700 722 Fixed 7.75 May 2031 May 4, 2006
Institutional
Star Capital I********************** June 1997 150 155 Variable 5.26 June 2027 June 15, 2007
Mercantile Capital Trust I *********** February 1997 150 155 Variable 5.10 February 2027 February 1, 2007
U.S. Bancorp Capital I ************* December 1996 80 82 Fixed 8.27 December 2026 December 15, 2006
Firstar Capital Trust I *************** December 1996 150 155 Fixed 8.32 December 2026 December 15, 2006
FBS Capital I ********************* November 1996 77 80 Fixed 8.09 November 2026 November 15, 2006
Total************************** $3,057 $3,152
(a) The variable-rate Trust Preferred Securities and Debentures reprice quarterly based on three-month LIBOR.
SHAREHOLDERS’ EQUITY
At December 31, 2005 and 2004, the Company had acquisition is in the best interests of the Company and its
authority to issue 4 billion shares of common stock and shareholders, the Board may amend the plan or redeem the
50 million shares of preferred stock. The Company had rights for a nominal amount in order to permit the
1,815 million and 1,858 million shares of common stock acquisition to be completed without interference from the
outstanding at December 31, 2005 and 2004, respectively. plan. Until a right is exercised, the holder of a right has no
At December 31, 2005, the Company had 151 million rights as a shareholder of the Company. The rights expire
shares of common stock reserved for future issuances, on February 27, 2011.
primarily under stock option plans. On December 18, 2001, the Board of Directors
The Company has a preferred share purchase rights approved an authorization to repurchase 100 million shares
plan intended to preserve the long-term value of the of common stock through 2003. In 2003, the Company
Company by discouraging a hostile takeover of the repurchased 7 million shares of common stock under the
Company. Under the plan, each share of common stock plan, which expired in December of 2003. On
carries a right to purchase one one-thousandth of a share of December 16, 2003, the Board of Directors approved an
preferred stock. The rights become exercisable in certain authorization to repurchase 150 million shares of
limited circumstances involving a potential business outstanding common stock during the following 24 months.
combination transaction or an acquisition of shares of the During 2003, the Company repurchased 8 million shares
Company and are exercisable at a price of $100 per right, under the December 2003 plan. In 2004, the Company
subject to adjustment. Following certain other events, each repurchased 89 million shares of common stock under the
right entitles its holder to purchase for $100 an amount of plan. On December 21, 2004, the Board of Directors
common stock of the Company, or, in certain approved an authorization to repurchase 150 million shares
circumstances, securities of the acquirer, having a of outstanding common stock during the following
then-current market value of twice the exercise price of the 24 months. This new repurchase program replaces the
right. The dilutive effect of the rights on the acquiring Company’s December 16, 2003, program. In 2004, the
company is intended to encourage it to negotiate with the Company repurchased 5 million shares of common stock
Company’s Board of Directors prior to attempting a under the plan. During 2005, all share repurchases were
takeover. If the Board of Directors believes a proposed made under the 2004 plan.
The following table summarizes the Company’s common stock repurchased in each of the last three years:
(Dollars and Shares in Millions) Shares Value
2005 ****************************************************************************************************** 62 $1,807
2004 ****************************************************************************************************** 94 2,656
2003 ****************************************************************************************************** 15 417
84 U.S. BANCORP
Note 16