US Bank 2015 Annual Report Download - page 116

NOTE 15 SHAREHOLDERS’ EQUITY
At December 31, 2015 and 2014, the Company had authority
to issue 4 billion shares of common stock and 50 million
shares of preferred stock. The Company had 1.7 billion and
1.8 billion shares of common stock outstanding at
December 31, 2015 and 2014, respectively. The Company
had 80 million shares reserved for future issuances, primarily
under its stock incentive plans at December 31, 2015.
The number of shares issued and outstanding and the carrying amount of each outstanding series of the Company’s preferred
stock was as follows:
2015 2014
At December 31,
(Dollars in Millions)
Shares
Issued and
Outstanding
Liquidation
Preference Discount
Carrying
Amount
Shares
Issued and
Outstanding
Liquidation
Preference Discount
Carrying
Amount
Series A .......................... 12,510 $1,251 $145 $1,106 12,510 $1,251 $145 $1,106
Series B .......................... 40,000 1,000 – 1,000 40,000 1,000 – 1,000
Series F ........................... 44,000 1,100 12 1,088 44,000 1,100 12 1,088
Series G .......................... 43,400 1,085 10 1,075 43,400 1,085 10 1,075
Series H .......................... 20,000 500 13 487 20,000 500 13 487
Series I ........................... 30,000 750 5 745 – – – –
Total preferred stock(a) ............. 189,910 $5,686 $185 $5,501 159,910 $4,936 $180 $4,756
(a) The par value of all shares issued and outstanding at December 31, 2015 and 2014, was $1.00 per share.
During 2015, the Company issued depositary shares
representing an ownership interest in 30,000 shares of
Series I Non-Cumulative Perpetual Preferred Stock with a
liquidation preference of $25,000 per share (the “Series I
Preferred Stock”). The Series I Preferred Stock has no stated
maturity and will not be subject to any sinking fund or other
obligation of the Company. Dividends, if declared, will accrue
and be payable semiannually, in arrears, at a rate per annum
equal to 5.125 percent from the date of issuance to, but
excluding, January 15, 2021, and thereafter will accrue and
be payable quarterly at a floating rate per annum equal to
three-month LIBOR plus 3.486 percent. The Series I Preferred
Stock is redeemable at the Company’s option, in whole or in
part, on or after January 15, 2021. The Series I Preferred
stock is redeemable at the Company’s option, in whole, but
not in part, prior to January 15, 2021 within 90 days following
an official administrative or judicial decision, amendment to, or
change in the laws or regulations that would not allow the
Company to treat the full liquidation value of the Series I
Preferred Stock as Tier 1 capital for purposes of the capital
adequacy guidelines of the Federal Reserve.
During 2013, the Company issued depositary shares
representing an ownership interest in 20,000 shares of
Series H Non-Cumulative Perpetual Preferred Stock with a
liquidation preference of $25,000 per share (the “Series H
Preferred Stock”). The Series H Preferred Stock has no stated
maturity and will not be subject to any sinking fund or other
obligation of the Company. Dividends, if declared, will accrue
and be payable quarterly, in arrears, at a rate per annum
equal to 5.15 percent. The Series H Preferred Stock is
redeemable at the Company’s option, in whole or in part, on
or after July 15, 2018. The Series H Preferred stock is
redeemable at the Company’s option, in whole, but not in
part, prior to July 15, 2018 within 90 days following an official
administrative or judicial decision, amendment to, or change
in the laws or regulations that would not allow the Company
to treat the full liquidation value of the Series H Preferred
Stock as Tier 1 capital for purposes of the capital adequacy
guidelines of the Federal Reserve.
During 2012, the Company issued depositary shares
representing an ownership interest in 44,000 shares of
Series F Non-Cumulative Perpetual Preferred Stock with a
liquidation preference of $25,000 per share (the “Series F
Preferred Stock”), and depositary shares representing an
ownership interest in 43,400 shares of Series G Non-
Cumulative Perpetual Preferred Stock with a liquidation
preference of $25,000 per share (the “Series G Preferred
Stock”). The Series F Preferred Stock and Series G Preferred
Stock have no stated maturity and will not be subject to any
sinking fund or other obligation of the Company. Dividends, if
declared, will accrue and be payable quarterly, in arrears, at a
rate per annum equal to 6.50 percent from the date of
issuance to, but excluding, January 15, 2022, and thereafter
at a floating rate per annum equal to three-month LIBOR plus
4.468 percent for the Series F Preferred Stock, and 6.00
percent from the date of issuance to, but excluding, April 15,
2017, and thereafter at a floating rate per annum equal to
three-month LIBOR plus 4.86125 percent for the Series G
Preferred Stock. Both series are redeemable at the
Company’s option, in whole or in part, on or after January 15,
2022, for the Series F Preferred Stock and April 15, 2017, for
the Series G Preferred Stock. Both series are redeemable at
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