Condensed Consolidating Financial Statements

6 Months Ended

Jun. 30, 2011

Financial Statements [Abstract]

Condensed Consolidating Financial Statements

Note 18: Condensed Consolidating Financial Statements

Following are the condensed consolidating financial statements of the Parent and Wells Fargo Financial, Inc. and its owned subsidiaries (WFFI).

Condensed Consolidating Statement of Income

						Other
						consolidating					Consolidated
(in millions)	Parent			WFFI		subsidiaries		Eliminations			Company
Quarter ended June 30, 2011
Dividends from subsidiaries:
Bank	$	3,103			-		-		(3,103	)		-
Nonbank		88			-		-		(88	)		-
Interest income from loans		-			551		8,886		(76	)		9,361
Interest income from subsidiaries		235			-		-		(235	)		-
Other interest income		57			28		2,938		-			3,023
Total interest income		3,483			579		11,824		(3,502	)		12,384
Deposits		-			-		594		-			594
Short-term borrowings		60			16		124		(180	)		20
Long-term debt		639			142		359		(131	)		1,009
Other interest expense		2			-		81		-			83
Total interest expense		701			158		1,158		(311	)		1,706
Net interest income		2,782			421		10,666		(3,191	)		10,678
Provision for credit losses		-			180		1,658		-			1,838
Net interest income after provision for credit losses		2,782			241		9,008		(3,191	)		8,840
Noninterest income
Fee income — nonaffiliates		-			24		6,020		-			6,044
Other		87			26		3,709		(158	)		3,664
Total noninterest income		87			50		9,729		(158	)		9,708
Noninterest expense
Salaries and benefits		(165	)		23		7,061		-			6,919
Other		(218	)		155		5,777		(158	)		5,556
Total noninterest expense		(383	)		178		12,838		(158	)		12,475
Income (loss) before income tax expense (benefit) and
equity in undistributed income of subsidiaries		3,252			113		5,899		(3,191	)		6,073
Income tax expense (benefit)		(30	)		26		2,005		-			2,001
Equity in undistributed income of subsidiaries		666			-		-		(666	)		-
Net income (loss) before noncontrolling interests		3,948			87		3,894		(3,857	)		4,072
Less: Net income from noncontrolling interests		-			-		124		-			124
Parent, WFFI, Other and Wells Fargo net income (loss)	$	3,948			87		3,770		(3,857	)		3,948
Quarter ended June 30, 2010
Dividends from subsidiaries:
Bank	$	5,975			-		-		(5,975	)		-
Nonbank		15			-		-		(15	)		-
Interest income from loans		-			693		9,622		(38	)		10,277
Interest income from subsidiaries		302			-		9		(311	)		-
Other interest income		86			30		3,079		-			3,195
Total interest income		6,378			723		12,710		(6,339	)		13,472
Deposits		-			-		714		-			714
Short-term borrowings		21			11		93		(104	)		21
Long-term debt		729			260		489		(245	)		1,233
Other interest expense		1			-		54		-			55
Total interest expense		751			271		1,350		(349	)		2,023
Net interest income		5,627			452		11,360		(5,990	)		11,449
Provision for credit losses		-			198		3,791		-			3,989
Net interest income after provision for credit losses		5,627			254		7,569		(5,990	)		7,460
Noninterest income
Fee income — nonaffiliates		-			26		6,027		-			6,053
Other		171			29		3,880		(188	)		3,892
Total noninterest income		171			55		9,907		(188	)		9,945
Noninterest expense
Salaries and benefits		(17	)		26		6,843		-			6,852
Other		207			210		5,665		(188	)		5,894
Total noninterest expense		190			236		12,508		(188	)		12,746
Income (loss) before income tax expense (benefit) and
equity in undistributed income of subsidiaries		5,608			73		4,968		(5,990	)		4,659
Income tax expense (benefit)		(118	)		26		1,606		-			1,514
Equity in undistributed income of subsidiaries		(2,664	)		-		-		2,664			-
Net income (loss) before noncontrolling interests		3,062			47		3,362		(3,326	)		3,145
Less: Net income from noncontrolling interests		-			-		83		-			83
Parent, WFFI, Other and Wells Fargo net income (loss)	$	3,062			47		3,279		(3,326	)		3,062

Condensed Consolidating Statements of Income

						Other
						consolidating					Consolidated
(in millions)	Parent			WFFI		subsidiaries		Eliminations			Company
Six months ended June 30, 2011
Dividends from subsidiaries:
Bank	$	4,695			-		-		(4,695	)		-
Nonbank		88			-		-		(88	)		-
Interest income from loans		-			1,129		17,818		(199	)		18,748
Interest income from subsidiaries		543			-		-		(543	)		-
Other interest income		105			57		5,946		-			6,108
Total interest income		5,431			1,186		23,764		(5,525	)		24,856
Deposits		-			-		1,209		-			1,209
Short-term borrowings		165			31		311		(461	)		46
Long-term debt		1,333			309		752		(281	)		2,113
Other interest expense		3			-		156		-			159
Total interest expense		1,501			340		2,428		(742	)		3,527
Net interest income		3,930			846		21,336		(4,783	)		21,329
Provision for credit losses		-			427		3,621		-			4,048
Net interest income after provision for credit losses		3,930			419		17,715		(4,783	)		17,281
Noninterest income
Fee income — nonaffiliates		-			52		11,866		-			11,918
Other		84			50		7,648		(314	)		7,468
Total noninterest income		84			102		19,514		(314	)		19,386
Noninterest expense
Salaries and benefits		25			50		14,037		-			14,112
Other		(65	)		300		11,175		(314	)		11,096
Total noninterest expense		(40	)		350		25,212		(314	)		25,208
Income (loss) before income tax expense (benefit) and
equity in undistributed income of subsidiaries		4,054			171		12,017		(4,783	)		11,459
Income tax expense (benefit)		(464	)		41		3,996		-			3,573
Equity in undistributed income of subsidiaries		3,189			-		-		(3,189	)		-
Net income (loss) before noncontrolling interests		7,707			130		8,021		(7,972	)		7,886
Less: Net income from noncontrolling interests		-			-		179		-			179
Parent, WFFI, Other and Wells Fargo net income (loss)	$	7,707			130		7,842		(7,972	)		7,707
Six months ended June 30, 2010
Dividends from subsidiaries:
Bank	$	5,975			-		-		(5,975	)		-
Nonbank		21			-		-		(21	)		-
Interest income from loans		-			1,419		18,972		(76	)		20,315
Interest income from subsidiaries		650			-		9		(659	)		-
Other interest income		164			60		6,158		-			6,382
Total interest income		6,810			1,479		25,139		(6,731	)		26,697
Deposits		-			-		1,449		-			1,449
Short-term borrowings		44			20		187		(212	)		39
Long-term debt		1,447			547		1,038		(523	)		2,509
Other interest expense		1			-		103		-			104
Total interest expense		1,492			567		2,777		(735	)		4,101
Net interest income		5,318			912		22,362		(5,996	)		22,596
Provision for credit losses		-			519		8,800		-			9,319
Net interest income after provision for credit losses		5,318			393		13,562		(5,996	)		13,277
Noninterest income
Fee income — nonaffiliates		-			54		11,806		-			11,860
Other		382			76		8,267		(339	)		8,386
Total noninterest income		382			130		20,073		(339	)		20,246
Noninterest expense
Salaries and benefits		(50	)		96		13,434		-			13,480
Other		465			357		10,900		(339	)		11,383
Total noninterest expense		415			453		24,334		(339	)		24,863
Income (loss) before income tax expense (benefit) and
equity in undistributed income of subsidiaries		5,285			70		9,301		(5,996	)		8,660
Income tax expense (benefit)		(208	)		25		3,098		-			2,915
Equity in undistributed income of subsidiaries		116			-		-		(116	)		-
Net income (loss) before noncontrolling interests		5,609			45		6,203		(6,112	)		5,745
Less: Net income from noncontrolling interests		-			-		136		-			136
Parent, WFFI, Other and Wells Fargo net income (loss)	$	5,609			45		6,067		(6,112	)		5,609

Condensed Consolidating Balance Sheets

						Other
						consolidating						Consolidated
(in millions)	Parent		WFFI			subsidiaries			Eliminations			Company
June 30, 2011
Assets
Cash and cash equivalents due from:
Subsidiary banks	$	28,337		182			-			(28,519	)		-
Nonaffiliates		15		220			112,230			-			112,465
Securities available for sale		11,309		2,835			172,154			-			186,298
Mortgages and loans held for sale		-		-			32,766			-			32,766
Loans		7		28,217			740,790			(17,093	)		751,921
Loans to subsidiaries:
Bank		3,885		-			-			(3,885	)		-
Nonbank		51,764		-			-			(51,764	)		-
Allowance for loan losses		-		(1,565	)		(19,328	)		-			(20,893	)
Net loans		55,656		26,652			721,462			(72,742	)		731,028
Investments in subsidiaries:
Bank		136,657		-			-			(136,657	)		-
Nonbank		15,864		-			-			(15,864	)		-
Other assets		7,512		1,051			190,082			(1,468	)		197,177
Total assets	$	255,350		30,940			1,228,694			(255,250	)		1,259,734
Liabilities and equity
Deposits	$	-		-			882,154			(28,519	)		853,635
Short-term borrowings		872		15,988			85,350			(48,329	)		53,881
Accrued expenses and other liabilities		11,995		1,492			59,411			(1,468	)		71,430
Long-term debt		93,189		11,689			49,514			(11,520	)		142,872
Indebtedness to subsidiaries		12,893		-			-			(12,893	)		-
Total liabilities		118,949		29,169			1,076,429			(102,729	)		1,121,818
Parent, WFFI, Other and Wells Fargo stockholders’ equity		136,401		1,771			150,750			(152,521	)		136,401
Noncontrolling interests		-		-			1,515			-			1,515
Total equity		136,401		1,771			152,265			(152,521	)		137,916
Total liabilities and equity	$	255,350		30,940			1,228,694			(255,250	)		1,259,734
December 31, 2010
Assets
Cash and cash equivalents due from:
Subsidiary banks	$	30,240		154			-			(30,394	)		-
Nonaffiliates		9		212			96,460			-			96,681
Securities available for sale		2,368		2,742			167,544			-			172,654
Mortgages and loans held for sale		-		-			53,053			-			53,053
Loans		7		30,329			742,807			(15,876	)		757,267
Loans to subsidiaries:
Bank		3,885		-			-			(3,885	)		-
Nonbank		53,382		-			-			(53,382	)		-
Allowance for loan losses		-		(1,709	)		(21,313	)		-			(23,022	)
Net loans		57,274		28,620			721,494			(73,143	)		734,245
Investments in subsidiaries:
Bank		133,867		-			-			(133,867	)		-
Nonbank		14,904		-			-			(14,904	)		-
Other assets		8,363		1,316			192,821			(1,005	)		201,495
Total assets	$	247,025		33,044			1,231,372			(253,313	)		1,258,128
Liabilities and equity
Deposits	$	-		-			878,336			(30,394	)		847,942
Short-term borrowings		2,412		14,490			86,523			(48,024	)		55,401
Accrued expenses and other liabilities		6,819		1,685			62,414			(1,005	)		69,913
Long-term debt		99,745		15,240			55,476			(13,478	)		156,983
Indebtedness to subsidiaries		11,641		-			-			(11,641	)		-
Total liabilities		120,617		31,415			1,082,749			(104,542	)		1,130,239
Parent, WFFI, Other and Wells Fargo stockholders’ equity		126,408		1,618			147,153			(148,771	)		126,408
Noncontrolling interests		-		11			1,470			-			1,481
Total equity		126,408		1,629			148,623			(148,771	)		127,889
Total liabilities and equity	$	247,025		33,044			1,231,372			(253,313	)		1,258,128

Condensed Consolidating Statements of Cash Flows

	Six months ended June 30,
	2011												2010
							Other												Other
							consolidating												consolidating
							subsidiaries/			Consolidated									subsidiaries/			Consolidated
(in millions)	Parent			WFFI			eliminations			Company			Parent			WFFI			eliminations			Company
Cash flows from operating activities:
Net cash provided by operating activities	$	7,742			805			20,014			28,561			7,924			1,001			7,929			16,854
Cash flows from investing activities:
Securities available for sale:
Sales proceeds		257			542			18,002			18,801			370			462			3,149			3,981
Prepayments and maturities		-			85			20,994			21,079			-			108			22,633			22,741
Purchases		(4,118	)		(686	)		(40,321	)		(45,125	)		(113	)		(564	)		(10,418	)		(11,095	)
Loans:
Loans originated by banking subsidiaries, net of principal collected		-			(10	)		(5,793	)		(5,803	)		-			95			20,809			20,904
Proceeds from sales (including participations) of loans originated for investment by banking subsidiaries		-			-			3,492			3,492			-			-			3,556			3,556
Purchases (including participations) of loans by banking subsidiaries		-			-			(2,277	)		(2,277	)		-			-			(1,201	)		(1,201	)
Principal collected on nonbank entities’ loans		-			5,455			88			5,543			-			5,574			2,432			8,006
Loans originated by nonbank entities		-			(3,988	)		-			(3,988	)		-			(3,071	)		(2,238	)		(5,309	)
Net repayments from (advances to) subsidiaries		(186	)		25			161			-			(2,004	)		(621	)		2,625			-
Capital notes and term loans made to subsidiaries		(1,340	)		-			1,340			-			-			-			-			-
Principal collected on notes/loans made to subsidiaries		3,178			-			(3,178	)		-			7,046			-			(7,046	)		-
Net decrease (increase) in investment in subsidiaries		(117	)		-			117			-			1,359			-			(1,359	)		-
Other, net		14			37			(2,036	)		(1,985	)		2			(12	)		(29,853	)		(29,863	)
Net cash provided (used) by investing activities		(2,312	)		1,460			(9,411	)		(10,263	)		6,660			1,971			3,089			11,720
Cash flows from financing activities:
Net change in:
Deposits		-			-			5,693			5,693			-			-			(8,395	)		(8,395	)
Short-term borrowings		(432	)		1,497			(2,506	)		(1,441	)		(10	)		2,114			(1,010	)		1,094
Long-term debt:
Proceeds from issuance		3,847			513			2,342			6,702			1,577			-			588			2,165
Repayment		(11,363	)		(4,228	)		(6,100	)		(21,691	)		(13,282	)		(5,126	)		(13,517	)		(31,925	)
Preferred stock:
Proceeds from issuance		2,501			-			-			2,501			-			-			-			-
Cash dividends paid		(404	)		-			-			(404	)		(369	)		-			-			(369	)
Common stock warrants repurchased		-			-			-			-			(540	)		-			-			(540	)
Common stock:
Proceeds from issuance		801			-			-			801			865			-			-			865
Repurchased		(1,072	)		-			-			(1,072	)		(68	)		-			-			(68	)
Cash dividends paid		(1,269	)		-			-			(1,269	)		(520	)		-			-			(520	)
Excess tax benefits related to stock option payments		64			-			-			64			75			-			-			75
Net change in noncontrolling interests		-			(11	)		(156	)		(167	)		-			-			(465	)		(465	)
Net cash used by financing activities		(7,327	)		(2,229	)		(727	)		(10,283	)		(12,272	)		(3,012	)		(22,799	)		(38,083	)
Net change in cash and due from banks		(1,897	)		36			9,876			8,015			2,312			(40	)		(11,781	)		(9,509	)
Cash and due from banks at beginning of period		30,249			366			(14,571	)		16,044			27,314			454			(688	)		27,080
Cash and due from banks at end of period	$	28,352			402			(4,695	)		24,059			29,626			414			(12,469	)		17,571