Wells Fargo 2012 Annual Report Download - page 90

Risk Management – Asset/Liability Management (continued)
from securities issued in the future will be used for the same
purposes. Depending on market conditions, we may purchase
our outstanding debt securities from time to time in privately
negotiated or open market transactions, by tender offer, or
otherwise.
Table 48 provides information regarding the Parent’s
medium-term note (MTN) programs. The Parent may issue
senior and subordinated debt securities under Series L & M, and
the European and Australian programmes. Under Series K, the
Parent may issue senior debt securities linked to one or more
indices or bearing interest at a fixed or floating rate.
Table 48: Medium-Term Note (MTN) Programs
December 31, 2012
Debt Available
Date issuance for
(in billions) established authority issuance
MTN program:
Series L & M (1) May 2012 $ 25.0 21.0
Series K (1)(3) April 2010 25.0 23.1
European (2)(3) December 2009 25.0 20.8
Australian (2)(4) June 2005 AUD 10.0 6.7
(1) SEC registered.
(2) Not registered with the SEC. May not be offered in the United States without
applicable exemptions from registration.
(3) As amended in April 2012.
(4) As amended in October 2005 and March 2010.
Wells Fargo Bank, N.A. Wells Fargo Bank, N.A. is authorized
by its board of directors to issue $100 billion in outstanding
short-term debt and $125 billion in outstanding long-term debt.
At December 31, 2012, Wells Fargo Bank, N.A. had available
$100 billion in short-term debt issuance authority and
$102.3 billion in long-term debt issuance authority. In March
2012, Wells Fargo Bank, N.A. established a $100 billion bank
note program under which, subject to any other debt
outstanding under the limits described above, it may issue
$50 billion in outstanding short-term senior notes and
$50 billion in outstanding long-term senior or subordinated
notes. During 2012, Wells Fargo Bank, N.A. issued $4.6 billion
of senior notes. At December 31, 2012, Wells Fargo Bank, N.A.
had remaining issuance capacity under the bank note program of
$50 billion in short-term senior notes and $45.4 billion in long-
term senior or subordinated notes. In February 2013, Wells
Fargo Bank, N.A. issued $3.0 billion of senior floating-rate
extendible notes.
Wells Fargo Canada Corporation In January 2012,
Wells Fargo Canada Corporation (WFCC, formerly known as
Wells Fargo Financial Canada Corporation), an indirect wholly
owned Canadian subsidiary of the Parent, qualified with the
Canadian provincial securities commissions a base shelf
prospectus for the distribution from time to time in Canada of up
to CAD $7.0 billion in medium-term notes. During 2012, WFCC
issued CAD $3.0 billion in medium-term notes. At
December 31, 2012, CAD $4.0 billion remained available for
future issuance. In January 2013, WFCC issued an additional
CAD $500 million in senior medium-term notes. All medium-
term notes issued by WFCC are unconditionally guaranteed by
the Parent.
FEDERAL HOME LOAN BANK MEMBERSHIP We are a member
of the Federal Home Loan Banks based in Dallas, Des Moines
and San Francisco (collectively, the FHLBs). Each member of the
FHLBs is required to maintain a minimum investment in capital
stock of the applicable FHLB. The board of directors of each
FHLB can increase the minimum investment requirements in
the event it has concluded that additional capital is required to
allow it to meet its own regulatory capital requirements. Any
increase in the minimum investment requirements outside of
specified ranges requires the approval of the Federal Housing
Finance Board. Because the extent of any obligation to increase
our investment in any of the FHLBs depends entirely upon the
occurrence of a future event, potential future payments to the
FHLBs are not determinable.
The FHLBs are a group of cooperatives that lending
institutions use to finance housing and economic development in
local communities. About 80% of U.S. lending institutions,
including Wells Fargo, rely on the FHLBs for low-cost funds. We
use the funds to support home mortgage lending and other
community investments.
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