<PAGE> 1
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 8-K
CURRENT REPORT PURSUANT TO SECTION 13 OR 15 (d) OF
THE SECURITIES AND EXCHANGE ACT OF 1934
Date of the Report: April 19, 1995 Commission file number 1-5805
--------------- -------
CHEMICAL BANKING CORPORATION
----------------------------------------------------
(Exact name of registrant as specified in its charter)
Delaware 13-2624428
- ---------------------- ----------------------
(State or other jurisdiction (I.R.S. Employer
of incorporation) Identification No.)
270 Park Avenue, New York, NY 10017
- ------------------------------ --------------
(Address of principal executive Offices) (Zip Code)
Registrant's telephone number, including area code (212) 270-6000
--------------
<PAGE> 2
Item 5. Other Events
- ---------------------
1.Chemical Banking Corporation (the "Corporation") announced on
April 18, 1995, that 1995 first quarter net income was $385
million, an increase of 21 percent from net income of $319
million for the same period a year ago. On a per share basis,
the Corporation's 1995 first quarter earnings increased 29
percent to $1.46 per common share, compared with $1.13 per
common share in the first quarter of 1994.
A copy of the Corporation's Press Release announcing the results
of operations for the 1995 first quarter is incorporated herein.
Item 7. Financial Statements, Pro Forma Financial Information and Exhibits
------------------------------------------------------------------
The following exhibits are filed with this Report:
Exhibit Number Description
-------------- -----------
99 Press Release - 1995 First
Quarter Earnings.
<PAGE> 3
SIGNATURE
Pursuant to the requirements of the Securities and Exchange Act
of 1934, the Registrant has duly caused this report to be signed on
its behalf by the undersigned hereunto duly authorized.
CHEMICAL BANKING CORPORATION
(Registrant)
Dated April 19, 1995
-------------- by /s/Joseph L. Sclafani
---------------------------
Joseph L. Sclafani
Controller
[Principal Accounting Officer]
<PAGE> 4
EXHIBIT INDEX
Exhibit Number Description Page at Which Located
- -------------- ----------- ---------------------
99 Press Release 5
<PAGE> 5
Press Contact: Ken Herz
212- 270-4621
John Stefans
212- 270-7438
Investor Contact: John Borden
212- 270-7318
NEW YORK, April 18, 1995 -- Chemical Banking Corporation
today reported net income for the first quarter of $385 million, up
21 percent from net income of $319 million in the same period of
1994. On a per share basis, earnings increased 29 percent to $1.46
per common share compared with $1.13 in the first quarter of 1994.
"It was a solid quarter and one in which we made good progress
on the expense and capital initiatives we unveiled in December,"
said Walter V. Shipley, chairman and chief executive officer.
"Operating expenses declined significantly from the fourth quarter
and were essentially flat from the year-ago period. We also
announced the proposed sale of our bank in central and southern New
Jersey, divested an overseas equity investment and launched the
second phase of our stock buyback program."
In March, Chemical announced a definitive agreement to sell
its wholly-owned subsidiary, Chemical Bank New Jersey, to PNC Bank
Corp. for $504 million. The sale, which is expected to close by
year-end, does not include Chemical's franchise in northeastern New
Jersey, where Chemical is retaining 40 branches and commercial
banking operations.
The corporation also sold its interest in Far East Bank and
Trust Company in the Philippines, resulting in an $85 million gain
($51 million after-tax). This transaction was part of a previously-
announced program of selling minority interests in overseas
entities that are not considered strategic.
As of March 31, the corporation has repurchased 3.9 million
shares of its common stock as part of a previously-announced plan
to repurchase up to 6 million shares by year-end.
The corporation's estimated Tier I risk-based capital ratio
was 8.0 percent at March 31, compared with 8.3 percent a year ago.
At March 31, the estimated total risk-based capital ratio was 12.0
percent, compared with 12.5 percent a year ago.
<PAGE> 6
NET INTEREST INCOME
Net interest income for the first quarter was $1,156 million,
compared with $1,143 million last year. The increase in net
interest income is attributable to an increase in average interest-
earning assets, to $135.8 billion in the first quarter of 1995,
compared with $129.8 billion last year. The increase included $3.5
billion in loans, primarily to consumers.
The net yield on average interest-earning assets was 3.48
percent in the first quarter, compared with 3.59 percent in the
first quarter of 1994. The decrease reflected narrower loan
spreads and the impact of higher interest rates, partially offset
by wider deposit spreads and an increased contribution from non
interest-bearing funds.
NONINTEREST REVENUE
Noninterest revenue for the first quarter was $870 million,
compared with $931 million in the first quarter of 1994. The
results reflected increases from corporate finance and syndication
fees, credit cards, mortgage servicing and other revenues, which
were offset by lower trading revenues.
Trust and investment management fees were $91 million,
compared with $110 million last year, partly reflecting the
accounting on an equity basis, beginning in 1995, of the previously-
announced shareholder services joint venture with Mellon Bank
Corporation.
Corporate finance and syndication fees were $119 million, up
from $82 million in the first quarter a year ago. Fees for other
banking services were $294 million, compared with $290 million in
the first quarter of 1994.
Combined revenues from all trading activities were $56 million
in the first quarter, compared with $185 million in 1994. Trading
results were adversely affected by major declines in the prices of
emerging markets debt instruments, combined with the drop in the
dollar against most major European currencies.
Securities losses in the first quarter were $18 million,
compared with gains of $46 million in the first quarter of 1994.
Other noninterest revenue in the first quarter was $254
million, compared with $149 million in the first quarter a year
ago. The 1995 first quarter included the previously-mentioned $85
million gain from the sale of the corporation's interest in Far
East Bank and Trust Company. Revenues from equity and equity-
related investments were $107 million, compared with $83 million in
the year-ago same period. The 1994 first quarter included $45
million in gains from the sale of LDC-related past-due interest and
other bonds.
<PAGE> 7
NONINTEREST EXPENSE
On a comparable basis, noninterest expense in the first
quarter was $1,246 million, compared with $1,333 million in the
fourth quarter of 1994, and $1,276 million in the first quarter of
1994. The comparable amounts in the first and fourth quarters of
1994 exclude restructuring charges.
Foreclosed property expense in the first quarter was a credit
of $7 million, compared with the 1994 first quarter expense of $35
million, reflecting significant progress in managing the
corporation's real estate portfolio.
PROVISION AND ALLOWANCE FOR LOSSES
The provision for losses was $120 million in the first
quarter, compared with $85 million in the fourth quarter of 1994
and $205 million in the first quarter of 1994. Recoveries in the
first quarter were $30 million, compared with $82 million in the
fourth quarter of 1994, and $53 million in the first quarter a year
ago.
Total net charge-offs were $145 million in the first quarter,
compared with $258 million in the fourth quarter of 1994 and $236
million in the first quarter of 1994. Included in the fourth
quarter net charge-offs was $148 million taken in conjunction with
the transfer of certain real estate loans to the "held for sale"
category in order to facilitate rapid disposition.
At March 31, the total allowance for credit losses was $2,455
million, compared with $2,991 million on the same date a year ago.
NONPERFORMING ASSETS
At March 31, total nonperforming assets were $1,130 million,
down $9 million, from $1,139 million at December 31 and down $2,073
million, from $3,203 million on March 31 a year ago. Nonperforming
assets have decreased by 83 percent from their peak level of $6,587
million in September 1992.
Nonperforming loans at March 31 were $1,069 million, up from
$929 million at December 31 but down from $2,369 million a year
ago. Assets acquired as loan satisfactions were $61 million at
March 31, down from $210 million at December 31 and down from $834
million on March 31 a year ago.
During the first quarter of 1995, $122 million of in-substance
foreclosed assets, which were previously classified as assets
acquired as loan satisfactions, were reclassified as nonperforming
loans, as a result of the adoption of a new accounting standard.
<PAGE> 8
OTHER FINANCIAL DATA
In the first quarter of 1995, the corporation adopted SFAS 106
related to the accounting for other postretirement benefits (OPEB)
for overseas locations and as a result took a $17 million charge
($11 million after-tax). The treatment of the 1995 adoption of
SFAS 106 as an accounting change is consistent with the
corporation's adoption for domestic employees in 1993.
The corporation's effective tax rate was 40.0 percent and 41.5
percent in the first quarter of 1995 and 1994, respectively.
The impact of marking the "available for sale" securities to
market resulted in a net unfavorable impact of approximately $472
million after-tax on the corporation's stockholders' equity at
March 31, 1995, compared with a net unfavorable impact of $438
million after-tax at December 31, 1994. The market valuation does
not include the favorable impact of related funding sources.
Total assets at March 31 were $185.3 billion, compared with
$166.0 billion on the same date a year ago. Total loans at March
31 were $80.4 billion, compared with $74.7 billion a year ago. At
the end of the first quarter, total deposits were $95.4 billion,
compared with $95.1 billion at March 31, 1994.
The return on average total assets for the first quarter was
.89 percent, compared with .79 percent in the same year-ago period.
The return on average common stockholders' equity was 15.50 percent
for the first quarter, compared with 12.24 percent in the first
quarter of 1994.
Book value per common share was $38.79 at March 31, versus
$36.74 per share on the same date a year ago.
<PAGE> 9
UNAUDITED
CHEMICAL BANKING CORPORATION and Subsidiaries
(in millions, except per share and ratio data)
Three Months Ended
March 31,
--------------------
1995 1994
----- -----
EARNINGS:
- --------
Income Before Effect of Accounting Change $ 396 $ 319
Effect of Change in Accounting Principle (11) --
------- -------
Net Income $ 385 $ 319
======= =======
Net Income Applicable to Common Stock $ 355 $ 287
======= =======
PER COMMON SHARE:
- ----------------
Income Before Effect of Accounting Change $ 1.51 $ 1.13
Effect of Change in Accounting Principle (0.05) --
------- -------
Net Income $ 1.46 $ 1.13
======= =======
Book Value at March 31, $ 38.79 $ 36.74
Market Value at March 31, $ 37.75 $ 36.38
Common Stock Dividends Declared $ 0.44(a) $ 0.38
COMMON SHARES:
- -------------
Average Outstanding 243.2 253.2
Period End Outstanding 240.8 253.3
BALANCE SHEET AVERAGES:
- ----------------------
Loans $ 77,954 $ 74,481
Securities $ 27,736 $ 26,406
Total Assets $ 175,467 $ 164,152
Deposits $ 95,796 $ 97,093
Long-Term Debt $ 7,855 $ 8,498
Stockholders' Equity $ 10,739 $ 11,166
PERFORMANCE RATIOS: (Average Balances) (b)
- ------------------
Return on Assets 0.89% 0.79%
Return on Common Stockholders' Equity 15.50% 12.24%
Return on Total Stockholders' Equity 14.54% 11.59%
CAPITAL RATIOS AT MARCH 31:
- --------------------------
Total Stockholders' Equity to Assets 5.8% 6.6%
Common Stockholders Equity to Assets 5.0% 5.6%
Tier 1 Leverage (c) 5.8% 6.2%
Risk Based Capital: (c)
Tier 1 (4.0% required) 8.0%* 8.3%
Total (8.0% required) 12.0%* 12.5%
[FN]
(a)In the third quarter of 1994, the Corporation increased its
quarterly common stock dividend to $0.44 per share from $0.38
per share.
(b)Performance ratios are based on annualized net income amounts.
(c)The amounts exclude the net unfavorable impact on stockholders'
equity of $472 million in 1995 and $192 million in 1994,
resulting from the adoption of SFAS 115.
*Estimated
<PAGE> 10
UNAUDITED
CHEMICAL BANKING CORPORATION and Subsidiaries
CONSOLIDATED STATEMENT OF INCOME
(in millions, except per share data)
Three Months Ended,
------------------------------
March 31, Dec. 31, March 31,
1995 1994 1994
--------- -------- --------
INTEREST INCOME
Loans $ 1,661 $ 1,575 $ 1,307
Securities 505 445 416
Trading Assets 199 177 173
Federal Funds Sold and Securities
Purchased Under Resale Agreements 219 178 100
Deposits with Banks 82 91 94
------ ------ ------
Total Interest Income 2,666 2,466 2,090
------ ------ ------
INTEREST EXPENSE
Deposits 851 718 520
Short-Term and Other Borrowings 519 444 292
Long-Term Debt 140 135 135
------ ------ ------
Total Interest Expense 1,510 1,297 947
------ ------ ------
NET INTEREST INCOME 1,156 1,169 1,143
Provision for Losses 120 85 205
------ ------ ------
NET INTEREST INCOME AFTER
PROVISION FOR LOSSES 1,036 1,084 938
------ ------ ------
NONINTEREST REVENUE
Trust and Investment Management Fees 91 99 110
Corporate Finance and Syndication Fees 119 133 82
Service Charges on Deposit Accounts 74 78 69
Fees for Other Banking Services 294 294 290
Trading Revenue 56 45 185
Securities Gains (Losses) (18) 1 46
Other Revenue 254 165 149
------ ------ ------
Total Noninterest Revenue 870 815 931
------ ------ ------
NONINTEREST EXPENSE
Salaries 546 571 518
Employee Benefits 107 110 119
Occupancy Expense 135 142 146
Equipment Expense 101 107 84
Foreclosed Property Expense (7) 2 35
Other Expense 364 401 374
------ ------ ------
Total Noninterest Expense Before
Restructuring Charge 1,246 1,333 1,276
Restructuring Charge -- 260 48
------ ------ ------
Total Noninterest Expense 1,246 1,593 1,324
------ ------ ------
INCOME BEFORE INCOME TAX EXPENSE AND
EFFECT OF ACCOUNTING CHANGE 660 306 545
Income Tax Expense 264 127 226
------ ------ ------
INCOME BEFORE EFFECT OF
ACCOUNTING CHANGE 396 179 319
Effect of Change in Accounting
Principle (11)(a) -- --
------ ------ ------
NET INCOME $ 385 $ 179 $ 319
====== ====== ======
NET INCOME APPLICABLE TO COMMON STOCK $ 355 $ 149 $ 287
====== ====== ======
PER COMMON SHARE:
Income Before Effect of
Accounting Change $ 1.51 $ 0.63 $ 1.13
Effect of Change in Accounting
Principle (0.05)(a) -- --
------ ------ ------
Net Income $ 1.46 $ 0.63 $ 1.13
====== ====== ======
AVERAGE COMMON SHARES OUTSTANDING 243.2 244.5 253.2
[FN]
(a)On January 1, 1995, the Corporation adopted SFAS 106 for the
accounting for other postretirement benefits relating to the
Corporation's foreign plans.
<PAGE> 11
UNAUDITED
CHEMICAL BANKING CORPORATION and Subsidiaries
NONINTEREST REVENUE DETAIL
(in millions)
Three Months Ended
------------------------------
March 31, Dec. 31, March 31,
1995 1994 1994
--------- -------- ---------
TRUST AND INVESTMENT MANAGEMENT FEES:
Personal Trust Fees $ 50 $ 50 $ 53
Corporate and Institutional Trust Fees 31 40 46
Other, primarily Foreign
Asset Management 10 9 11
------ ------ ------
Total $ 91 $ 99 $ 110
====== ====== ======
FEES FOR OTHER BANKING SERVICES:
Credit Card Services Revenue $ 80 $ 86 $ 75
Fees in Lieu of Compensating Balances 47 47 58
Commissions on Letters of Credit
and Acceptances 41 35 37
Loan Commitment Fees 24 20 22
Mortgage Servicing Fees 23 22 16
Other Fees 79 84 82
------ ------ ------
Total $ 294 $ 294 $ 290
====== ====== ======
TRADING REVENUE:
Interest Rate Contracts $ 19 $ 73 $ 88
Foreign Exchange Revenue 75 (4)(a) 45
Debt Instruments and Other (38) (24) 52
------ ------ ------
Total $ 56 $ 45 $ 185
====== ====== ======
OTHER REVENUE:
Revenue from Equity-Related Investments $ 107 $ 127 $ 83
Net Gains on Emerging Markets
Bond Sales -- 2 45
All Other Revenue 147 36 21
------ ------ ------
Total $ 254 $ 165 $ 149
====== ====== ======
[FN]
(a)Reflects $70 million reduction as a result of losses sustained
from unauthorized foreign exchange transactions involving the
Mexican peso.
===================================================================
CHEMICAL BANKING CORPORATION and Subsidiaries
NONINTEREST EXPENSE DETAIL
(in millions)
Three Months Ended
-----------------------------
March 31, Dec. 31, March 31,
1995 1994 1994
--------- ------- ---------
OTHER EXPENSE:
Professional Services $ 54 $ 65 $ 46
Marketing Expense 43 44 40
FDIC Assessments 37 38 42
Telecommunications 32 32 30
Amortization of Intangibles 28 30 29
All Other 170 192 187
------ ------ ------
Total $ 364 $ 401 $ 374
====== ====== ======
<PAGE> 12
UNAUDITED
CHEMICAL BANKING CORPORATION and Subsidiaries
CONSOLIDATED BALANCE SHEET
(in millions)
March 31, March 31,
1995 1994
--------- ---------
ASSETS
Cash and Due from Banks $ 7,819 $ 8,286
Deposits with Banks 2,718 3,886
Federal Funds Sold and Securities
Purchased Under Resale Agreements 15,044 11,722
Trading Assets:
Debt and Equity Instruments 10,900 13,357
Risk Management Instruments 29,977 17,136
Securities:
Held-to-Maturity 8,442 9,526
Available-for-Sale 19,407 17,860
Loans (Net of Unearned Income) 80,369 74,661
Allowance for Credit Losses (2,455) (2,991)
Premises and Equipment 2,140 2,004
Due from Customers on Acceptances 1,083 1,109
Accrued Interest Receivable 1,224 986
Assets Acquired as Loan Satisfactions 61 834
Assets Held for Accelerated Disposition 402 --
Other Assets 8,150 7,661
--------- ---------
TOTAL ASSETS $ 185,281 $ 166,037
========= =========
LIABILITIES
Deposits:
Demand (Noninterest Bearing) $ 19,515 $ 21,473
Time and Savings 45,945 49,939
Foreign 29,961 23,709
--------- ---------
Total Deposits 95,421 95,121
Federal Funds Purchased and Securities
Sold Under Repurchase Agreements 23,362 16,016
Other Borrowed Funds 11,981 13,348
Acceptances Outstanding 1,086 1,112
Accounts Payable and Accrued Liabilities 2,323 2,158
Other Liabilities 32,608 18,874
Long-Term Debt 7,709 8,447
--------- ---------
TOTAL LIABILITIES 174,490 155,076
--------- ---------
STOCKHOLDERS' EQUITY
Preferred Stock 1,450 1,654
Common Stock 255 254
Capital Surplus 6,578 6,565
Retained Earnings 3,523 2,692
Net Unrealized Loss on Securities
Available-for-Sale, Net of Taxes (472) (192)
Treasury Stock, at Cost (543)(a) (12)
--------- ---------
TOTAL STOCKHOLDERS' EQUITY 10,791 10,961
--------- ---------
TOTAL LIABILITIES AND
STOCKHOLDERS' EQUITY $ 185,281 $ 166,037
========= =========
[FN]
(a)During the 1995 first quarter, the Corporation repurchased 3.9
million shares of its common stock in the open market under a
previously announced plan to repurchase up to 6 million shares
in 1995. This follows a buyback program of 10 million shares
completed in 1994.
<PAGE> 13
UNAUDITED
CHEMICAL BANKING CORPORATION and Subsidiaries
CONSOLIDATED STATEMENT OF CHANGES
IN STOCKHOLDERS' EQUITY
(in millions)
Three Months Ended
March 31,
---------------------
1995 1994
------- -------
BALANCE AT JANUARY 1, $10,712 $ 11,164
-------- --------
Net Income 385 319
Dividends Declared:
Preferred Stock (30) (32)
Common Stock (105) (96)
Issuance of Common Stock 34 13
Restricted Stock Granted,
Net of Amortization 1 --
Net Changes in Treasury Stock (182)(a) --
Net Change in the Fair Value of
Available-for-Sale Securities,
Net of Taxes (34) (407)
Accumulated Translation Adjustment 10 --
-------- --------
Net Change in Stockholders' Equity 79 (203)
-------- --------
BALANCE AT MARCH 31, $10,791 $ 10,961
======== ========
[FN]
(a)During the 1995 first quarter, the Corporation repurchased
3.9 million shares of its common stock in the open market
under a previously announced plan to repurchase up to 6
million shares in 1995. This follows a buyback program of
10 million shares completed in 1994.
<PAGE> 14
<TABLE>
<CAPTION>
UNAUDITED
CHEMICAL BANKING CORPORATION and Subsidiaries
LOAN PORTFOLIO AND ALLOWANCE RELATED INFORMATION
(in millions, except ratios)
Loans Outstanding Nonperforming Assets
----------------------- --------------------
March 31, March 31,
----------------------- --------------------
1995 1994 1995 1994
-------- -------- ------- ------
<S> <C> <C> <C> <C>
Domestic Commercial:
Commercial Real Estate $ 5,663 $ 6,950 $ 213 $ 672
Other Commercial 25,251 23,974 378 756
------- ------- ------ ------
Total Commercial Loans 30,914 30,924 591 1,428
------- ------- ------ ------
Domestic Consumer:
Residential Mortgage 14,053 12,438 114 155
Credit Card 9,454 7,269 -- --
Other Consumer 7,364 6,455 13 26
------- ------- ------ ------
Total Consumer Loans 30,871 26,162 127 181
------- ------- ------ ------
Total Domestic Loans 61,785 57,086 718 1,609
Foreign (a) 18,584 17,575 351 760
------- ------- ------ ------
Total Loans $80,369 $74,661 1,069 2,369
======= =======
Assets Acquired as Loan Satisfactions 61 834
------ ------
Total Nonperforming Assets $1,130 $3,203
====== ======
ASSETS HELD FOR ACCELERATED DISPOSITION $ 402 $ --
====== ======
Three Months Ended
March 31,
---------------------
1995 1994
------ ------
ALLOWANCE FOR CREDIT LOSSES:
Balance at Beginning of Period $2,480 $3,020
Provision for Losses 120 205
Net Charge-Offs:
Domestic Commercial:
Commercial Real Estate (1) (75)
Other Commercial (38) (50)
------ ------
Total Commercial (39) (125)
------ ------
Domestic Consumer:
Residential (11) (3)
Credit Card (91) (82)
Other Consumer (9) (5)
------ ------
Total Consumer (111) (90)
------ ------
Total Domestic Net Charge-offs (150) (215)
Foreign (a) 5 (21)
------ ------
Total Net Charge-offs (145) (236)
Other -- 2
------ ------
Total Allowance for Credit Losses $2,455 $2,991
====== ======
ALLOWANCE COVERAGE RATIOS:
Allowance for Credit Losses to:
Loans at Period-End 3.05% 4.01%
Average Loans 3.15% 4.02%
Nonperforming Loans 229.65% 126.26%
<FN>
(a)Included in Foreign are loans outstanding, nonperforming
assets, net charge-offs, and losses on sales and swaps
previously classified as LDC. Previously reported amounts
have been reclassified to conform with the March 31, 1995
presentation.
</TABLE>
<PAGE> 15
<TABLE>
<CAPTION>
UNAUDITED
CHEMICAL BANKING CORPORATION and Subsidiaries
Average Consolidated Balance Sheet, Interest and Rates
(Taxable-Equivalent Interest and Rates; in millions)
Three Months Ended Three Months Ended
March 31, 1995 March 31, 1994
------------------------------------- --------------------------------------
Average Rate Average Rate
Balance Interest (Annualized) Balance Interest (Annualized)
------- -------- ------------ ------- -------- ------------
<S> <C> <C> <C> <C> <C> <C>
ASSETS
Deposits with Banks $ 4,737 $ 82 7.06% $ 5,153 $ 94 7.37%
Federal Funds Sold and
Securities Purchased
Under Resale Agreements 14,440 219 6.14% 11,887 100 3.42%
Trading Assets 10,910 199 7.41% 11,877 173 5.92%
Securities:
Held-to-Maturity 8,528 149 7.07% 10,178 175 6.97%
Available-for-Sale 19,208 360 7.60% 16,228 242 6.04%
Loans 77,954 1,665 8.66% 74,481 1,311 7.14%
--------- -------- --------- --------
Total Interest-Earning
Assets 135,777 $ 2,674 7.99% 129,804 $ 2,095 6.54%
Allowance for Credit Losses (2,487) (3,086)
Cash and Due from Banks 7,539 8,833
Risk Management Instruments 21,611 15,393
Other Assets 13,027 13,208
--------- ---------
Total Assets $ 175,467 $ 164,152
========= =========
LIABILITIES
Domestic Retail Deposits $ 41,338 $ 368 3.61% $ 46,047 $ 248 2.18%
Domestic Negotiable
Certificates of Deposit
and Other Deposits 5,912 82 5.63% 5,450 46 3.43%
Deposits in Foreign Offices 28,096 401 5.77% 22,971 226 3.99%
--------- -------- --------- --------
Total Time & Savings
Deposits 75,346 851 4.58% 74,468 520 2.83%
--------- -------- --------- --------
Short-Term and Other Borrowings:
Federal Funds Purchased and
Securities Sold Under
Repurchase Agreements 23,194 333 5.83% 16,060 137 3.47%
Commercial Paper 3,323 47 5.74% 2,408 21 3.55%
Other Borrowings 8,219 139 6.82% 9,665 134 5.61%
--------- -------- --------- --------
Total Short-Term and
Other Borrowings 34,736 519 6.06% 28,133 292 4.21%
Long-Term Debt 7,855 140 7.24% 8,498 135 6.43%
--------- -------- --------- --------
Total Interest-
Bearing Liabilities 117,937 1,510 5.19% 111,099 947 3.46%
--------- -------- --------- --------
Demand Deposits 20,450 22,625
Risk Management Instruments 20,688 13,068
Other Liabilities 5,653 6,194
--------- ---------
Total Liabilities 164,728 152,986
--------- ---------
STOCKHOLDERS' EQUITY
Preferred Stock 1,450 1,654
Common Stockholders' Equity 9,289 9,512
--------- ---------
Total Stockholders' Equity 10,739 11,166
--------- ---------
Total Liabilities and
Stockholders' Equity $ 175,467 $ 164,152
========= =========
INTEREST RATE SPREAD 2.80% 3.08%
===== =====
NET INTEREST INCOME AND NET
YIELD ON INTEREST-EARNING
ASSETS $ 1,164 3.48% $ 1,148 3.59%
======== ===== ======== =====
</TABLE>
