Regulatory Capital Requirements

The Company and each of its subsidiary banks are subject to regulatory capital adequacy requirements promulgated by federal banking regulators. The FRB establishes capital requirements for the consolidated financial holding company, and the OCC has similar requirements for the Company’s national banks, including Wells Fargo Bank, N.A. (the Bank).

Table 23.1 presents regulatory capital information for Wells Fargo & Company and the Bank in accordance with Basel III capital requirements. We must calculate our risk-based capital

ratios under both the Standardized and Advanced Approaches. The Standardized Approach applies assigned risk weights to broad risk categories, while the calculation of risk-weighted assets (RWAs) under the Advanced Approach differs by requiring applicable banks to utilize a risk-sensitive methodology, which relies upon the use of internal credit models, and includes an operational risk component.

At September 30, 2022, the Bank and our other insured depository institutions were considered well-capitalized under the requirements of the Federal Deposit Insurance Act.

Table 23.1: Regulatory Capital Information


	Wells Fargo & Company								Wells Fargo Bank, N.A.
	Standardized Approach						Advanced Approach		Standardized Approach			Advanced Approach
(in millions, except ratios)	September 30, 2022				December 31, 2021		September 30, 2022	December 31, 2021	September 30, 2022		December 31, 2021	September 30, 2022	December 31, 2021
Regulatory capital:
Common Equity Tier 1	$	129,758			140,643		129,758	140,643	137,609		149,318	137,609	149,318
Tier 1	148,810				159,671		148,810	159,671	137,609		149,318	137,609	149,318
Total	182,690				196,308		173,520	186,580	160,488		173,044	151,250	163,213
Assets:
Risk-weighted assets	1,255,641				1,239,026		1,104,116	1,116,068	1,175,426		1,137,839	971,152	965,511
Adjusted average assets	1,852,392				1,915,585		1,852,392	1,915,585	1,693,679		1,758,479	1,693,679	1,758,479
Regulatory capital ratios:
Common Equity Tier 1 capital	10.33		%	*	11.35		11.75	12.60	11.71	*	13.12	14.17	15.47
Tier 1 capital	11.85			*	12.89		13.48	14.31	11.71	*	13.12	14.17	15.47
Total capital	14.55			*	15.84		15.72	16.72	13.65	*	15.21	15.57	16.90
Required minimum capital ratios:
Common Equity Tier 1 capital	9.10				9.60		8.50	9.00	7.00		7.00	7.00	7.00
Tier 1 capital	10.60				11.10		10.00	10.50	8.50		8.50	8.50	8.50
Total capital	12.60				13.10		12.00	12.50	10.50		10.50	10.50	10.50
	Wells Fargo & Company								Wells Fargo Bank, N.A.
	September 30, 2022						December 31, 2021		September 30, 2022			December 31, 2021
Regulatory leverage:
Total leverage exposure (1)	$	2,236,647					2,316,079		2,072,151			2,133,798
Supplementary leverage ratio (SLR) (1)	6.65					%	6.89		6.64			7.00
Tier 1 leverage ratio (2)	8.03						8.34		8.12			8.49
Required minimum leverage:
Supplementary leverage ratio	5.00						5.00		6.00			6.00
Tier 1 leverage ratio	4.00						4.00		4.00			4.00

*Denotes the binding ratio under the Standardized and Advanced Approaches at September 30, 2022.

(1)The SLR consists of tier 1 capital divided by total leverage exposure. Total leverage exposure consists of total average assets, less goodwill and other permitted tier 1 capital deductions (net of deferred tax liabilities), plus certain off-balance sheet exposures.

(2)The tier 1 leverage ratio consists of tier 1 capital divided by total average assets, excluding goodwill and certain other items as determined under the rule.

At September 30, 2022, the Common Equity Tier 1 (CET1), tier 1 and total capital ratio requirements for the Company included a global systemically important bank (G-SIB) surcharge of 1.50%. The G-SIB surcharge is not applicable to the Bank. In addition, the CET1, tier 1 and total capital ratio requirements for the Company included a stress capital buffer of 3.10% under the Standardized Approach and a capital conservation buffer of 2.50% under the Advanced Approach. The capital ratio requirements for the Bank included a capital conservation buffer of 2.50% under both the Standardized and Advanced Approaches. The Company is required to maintain these risk-based capital ratios and to maintain an SLR of at least 5.00% (composed of a 3.00% minimum requirement plus a supplementary leverage buffer of 2.00%) to avoid restrictions on capital distributions and discretionary bonus payments. The Bank is required to maintain an SLR of at least 6.00% to be considered well-capitalized under applicable regulatory capital adequacy rules.

Capital Planning Requirements

The FRB’s capital plan rule establishes capital planning and other requirements that govern capital distributions, including dividends and share repurchases, by certain large bank holding companies (BHCs), including Wells Fargo. The FRB conducts an annual Comprehensive Capital Analysis and Review exercise and has also published guidance regarding its supervisory expectations for capital planning, including capital policies regarding the process relating to common stock dividend and repurchase decisions in the FRB’s SR Letter 15-18. The Parent’s ability to make certain capital distributions is subject to the requirements of the capital plan rule and is also subject to the Parent meeting or exceeding certain regulatory capital minimums.

Loan and Dividend Restrictions

Federal law restricts the amount and the terms of both credit and non-credit transactions between a bank and its nonbank affiliates. Additionally, federal laws and regulations limit the dividends that a national bank may pay.

Our nonbank subsidiaries are also limited by certain federal and state statutory provisions and regulations covering the amount of dividends that may be paid in any given year. In addition, under a Support Agreement dated June 28, 2017, as amended and restated on June 26, 2019, among Wells Fargo & Company, the parent holding company (Parent), WFC Holdings, LLC, an intermediate holding company and subsidiary of the Parent (IHC), Wells Fargo Bank, N.A., Wells Fargo Securities, LLC, Wells Fargo Clearing Services, LLC, and certain other subsidiaries of the Parent designated from time to time as material entities for resolution planning purposes or identified from time to time as related support entities in our resolution plan, the IHC may be restricted from making dividend payments to the Parent if certain liquidity and/or capital metrics fall below defined triggers or if the Parent’s Board authorizes it to file a case under the U.S. Bankruptcy Code.

For additional information on loan and dividend restrictions, see Note 28 (Regulatory Capital Requirements and Other Restrictions) in our 2021 Form 10-K.

Cash Restrictions

Cash and cash equivalents may be restricted as to usage or withdrawal. Table 23.2 provides a summary of restrictions on cash and cash equivalents.

Table 23.2: Nature of Restrictions on Cash and Cash Equivalents


(in millions)	Sep 30, 2022		Dec 31, 2021
Reserve balance for non-U.S. central banks	$	237	382
Segregated for benefit of brokerage customers under federal and other brokerage regulations	809		830