US Bancorp USB

Alternate Symbol(s): USB.P.H | USB.P.R | USB.P.S | USB.P.A

Financial Services

U.S. Bancorp is a financial service holding company. The Company’s major lines of business are Wealth, Corporate, Commercial and Institutional Banking, Consumer and Business Banking, Payment Services, and Treasury and Corporate Support. The Company provides a range of financial services, including lending and depository services, cash management, capital markets, and trust and investment management services. It also engages in credit card services, merchant and ATM processing, and others. Its banking subsidiary, U.S. Bank National Association (USBNA), is engaged in the banking business, principally in domestic markets. USBNA provides a range of products and services to individuals, businesses, institutional organizations, governmental entities, and other financial institutions. Its non-banking subsidiaries offer investment and insurance products to the Company’s customers principally within its domestic markets, and fund administration services to a range of mutual and other funds.

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US Bancorp

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Post by bc4uon Oct 17, 2012 8:05am

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Post# 20492220

U.S. Bancorp Reports Record Earnings for the Third

U.S. Bancorp Reports Record Earnings for the Third Quarter of 2012

15.8 Percent Increase in Net Income Over Prior Year was Driven by Record Total Net Revenue

MINNEAPOLIS--(BUSINESS WIRE)--Oct. 17, 2012-- U.S. Bancorp (NYSE: USB) today reported record net income of $1,474 million for the third quarter of 2012, or $.74 per diluted common share. Earnings for the third quarter of 2012 were driven by year-over-year growth in total net revenue and positive operating leverage. Highlights for the third quarter of 2012 included:

Strong new lending activity of $66.6 billion during the third quarter, including:
$35.7 billion of new and renewed commercial and commercial real estate commitments
$2.4 billion of lines related to new credit card accounts
$28.5 billion of mortgage and other retail loan originations
Growth in average total loans of 7.3 percent over the third quarter of 2011 (9.6 percent excluding covered loans)
Growth in average total loans on a linked quarter basis of 1.6 percent, excluding the impact of a credit card portfolio sale, or 1.3 percent inclusive of the portfolio sale (2.0 percent excluding covered loans)
Growth in average total commercial loans of 18.8 percent over the third quarter of 2011 and 3.6 percent over the second quarter of 2012
Growth in average commercial and commercial real estate commitments of 21.0 percent year-over-year and 3.5 percent over the prior quarter
Significant growth in average deposits of 11.1 percent over the third quarter of 2011, including:
Growth in average noninterest-bearing deposits of 16.2 percent
Growth in average total savings deposits of 6.9 percent
Total net revenue growth of 8.0 percent over the third quarter of 2011 and 2.2 percent on a linked quarter basis, reaching a record high for the quarter
Net interest income growth of 6.1 percent over the third quarter of 2011 and 2.6 percent on a linked quarter basis
Average earning assets growth of 7.9 percent year-over-year and 1.7 percent on a linked quarter basis
Continued strong growth in lower cost core deposit funding on a year-over-year and linked quarter basis
Net interest margin of 3.59 percent for the third quarter of 2012, compared with 3.65 percent for the third quarter of 2011, and 3.58 percent for the second quarter of 2012
Year-over-year and linked quarter growth in fee-based revenue of 10.4 percent and 1.7 percent, respectively, led by higher mortgage banking revenue
Positive operating leverage on both a year-over-year and a linked quarter basis
Net charge-offs declined 19.6 percent year-over-year, while increasing 3.5 percent on a linked quarter basis. Provision for credit losses was $50 million less than net charge-offs
Net charge-offs increased by $18 million over the second quarter of 2012; included $54 million of incremental charge-offs due to a regulatory clarification
Annualized net charge-offs to average total loans ratio of .99 percent (.89 percent, excluding incremental charge-offs)
Allowance to period-end loans (excluding covered loans) was 2.26 percent at September 30, 2012, compared with 2.34 percent at June 30, 2012, and 2.66 percent at September 30, 2011
Nonperforming assets declined on both a linked quarter and year-over-year basis
Nonperforming assets (excluding covered assets) decreased 3.0 percent from the second quarter of 2012 (6.4 percent including covered assets)
Allowance to nonperforming assets (excluding covered assets) was 213 percent at September 30, 2012, compared with 210 percent at June 30, 2012, and 166 percent at September 30, 2011
Capital generation continues to fortify capital position; ratios at September 30, 2012 were:
Tier 1 capital ratio of 10.9 percent
Total risk based capital ratio of 13.3 percent
Tier 1 common equity to risk-weighted assets ratio of 9.0 percent
Tier 1 common equity ratio of approximately 8.2 percent using proposed rules for the Basel III standardized approach released June 2012

https://phx.corporate-ir.net/phoenix.zhtml?c=117565&p=irol-newsArticle&ID=1746324&highlight=

3Q 2012 Earnings Release - pdf version
3Q 2012 Business Line Schedules - pdf version
3Q 2012 Slide Presentation - pdf version
...are here...
https://phx.corporate-ir.net/phoenix.zhtml?c=117565&p=irol-news&nyo=0