(BANK OF AMERICA LOGO)
January 16, 2001 EXHIBIT 99.1
Contact:
Investors Susan Carr (704-386-8059) or Kevin Stitt (704-386-5667)
Media Bob Stickler (704-386-8465)
Bank of America Announces Earnings of $7.9 Billion for 2000
CHARLOTTE, January 16, 2001 - Bank of America Corporation today reported fourth
quarter earnings of $1.39 billion, or $.85 per share (diluted), in line with the
company's estimates last December that higher loan losses and reduced capital
markets related business associated with a slowing economy would impact results.
A year ago, the company reported net income of $1.90 billion, or $1.10 per
share, including a $213 million after-tax charge to cover costs associated with
the merger of NationsBank and BankAmerica corporations.
Cash-basis earnings - which exclude the amortization of intangibles - were $1.60
billion, or $ .98 per share, in the latest quarter.
For the full year, Bank of America's operating earnings were $7.86 billion, or
$4.72 per share. A year earlier, the company's operating earnings totaled $8.24
billion, or $4.68 per share.
The return on common equity for 2000 was 16.70 percent while the return on
average assets was 1.17 percent.
In 2000, Bank of America's net income was $7.52 billion, or $4.52 per share,
compared to $7.88 billion, or $4.48 per share, in 1999. Results in 2000 and 1999
included after-tax charges associated with growth initiatives and mergers of
$346 million and $358 million, respectively.
more
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Fourth Quarter Financial Highlights (compared to a year ago)
------------------------------------------------------------
o Managed loans increased 9 percent to $422 billion.
o Deposits grew 5 percent to $358 billion.
o Deposit and loan growth more than offset the impact of lower spreads and the
cost of share repurchases to produce 5 percent growth in net interest income.
o Card fee revenue rose 7 percent.
o Investment and Brokerage Service revenues were up 10 percent.
o Provision expense exceeded net charge-offs by $135 million in the fourth
quarter of 2000.
o Results included a gain from the sale of the company's factoring unit.
Revenue
-------
Revenue declined 1 percent in the fourth quarter from the previous year, mostly
reflecting the impact of declines in the market value of equity investments and
increased lease residual charges.
Fully taxable-equivalent net interest income increased 5 percent to $4.79
billion, reflecting a 9 percent increase in earning assets, partly offset by
continued spread compression and the cost of share repurchases. Despite
moderating growth in the fourth quarter due to slowing economic conditions and
strategic efforts to reduce portfolio levels, average managed loans were 9
percent above a year ago. Deposits were up 5 percent, in part reflecting
initiatives aimed at expanding balances with core relationship customers. The
impact of lower estimated auto lease residual values reduced net interest income
by $24 million.
Noninterest income declined 8 percent to $3.30 billion, as revenue increases in
card services, investment and brokerage services and service charges were offset
by declines in equity investment gains, mortgage servicing, investment banking
and trading revenue. Debit card fees rose 25 percent as marketing efforts paid
off in a sharp increase in market penetration.
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Among the factors offsetting these and other improvements were a $208 million
decline in the market value of equity investments and a $57 million increase in
auto lease residual writedowns. Trading account profits were down 8 percent
while investment banking fees declined by 7 percent from a year ago, due to the
slowdown in capital markets.
Efficiency
----------
Noninterest expense increased 2 percent to $4.64 billion, reflecting a 5 percent
reduction in personnel expense offset by higher marketing and legal expenses
plus costs related to the downsizing of operations in Columbia and Venezuela.
The efficiency ratio was 57.4 percent.
Credit Quality
--------------
As the company projected late last year, loan losses and nonperforming assets
increased significantly in the fourth quarter as the economy slowed. Higher
provision expense accounted for the majority of the decline in net income.
o The provision for credit losses in the fourth quarter was $1.21 billion
compared to $350 million a year earlier. Provision expense exceeded net
charge-offs by $135 million.
o Net charge-offs were $1.08 billion, or 1.07 percent of loans and leases, up
from $501 million, or .55 percent, a year ago. Net charge-offs included a
one-time addition of $104 million to conform to new FFIEC standards on
consumer loans and a significant writedown of one large credit as announced in
the company's 10-Q last November.
o Nonperforming assets were $5.5 billion, or 1.39 percent of loans, leases and
foreclosed properties at December 31, 2000, compared to $3.2 billion, or .86
percent a year earlier. The increase in nonperforming assets was centered in
the commercial domestic portfolio, where nonperforming loans were up $1.7
billion from a year earlier. A $497 million increase in consumer finance
nonperforming loans, associated with the growth in that portfolio, also
contributed to the rise in problem assets.
o The allowance for credit losses totaled $6.8 billion at December 31, 2000, up
$10 million from a year ago, and equaled 1.74 percent of loans and leases.
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Capital Management
------------------
Total shareholders' equity was $47.6 billion at December 31, 2000, up 7 percent
from 12 months earlier. This represented 7.42 percent of period-end assets of
$642 billion. The Tier 1 Capital Ratio was 7.50 percent.
During the quarter, the company repurchased 18 million shares. Since June 1999,
146 million shares have been repurchased, representing an investment in Bank of
America stock of $8.1 billion. Average (diluted) common shares outstanding were
1.639 billion in the fourth quarter, down 5 percent from 1.725 billion a year
earlier.
Full Year Summary
-----------------
Revenue rose 2 percent over the previous year.
Net interest income increased 2 percent to $18.76 billion.
o A 9 percent increase in managed loans and higher trading related revenues more
than offset spread compression caused in part by a change in mix and the cost
of share repurchases.
o The deterioration in auto lease residual values created a $107 million
increase in auto lease residual charges to net interest income.
Noninterest income increased 3 percent to $14.49 billion.
o Card fee revenue, investment and brokerage service fees and trading revenue
all grew by double digits.
o The absence of loan sales and securitizations, which boosted the year-ago
results, and the impact of a $278 million increase in auto lease residual
charges were the primary factors in reducing other income to $775 million from
$1.5 billion.
Noninterest expense was virtually unchanged.
Deterioration in credit quality in the second half of the year resulted in
higher loan losses and provision expense.
o Provision expense rose 39 percent to $2.5 billion due to an increase in loan
losses and nonperforming assets in the fourth quarter.
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o Net charge-offs totaled $2.4 billion compared to $2.0 billion in 1999. A sharp
increase in the fourth quarter of 2000, driven by a one-time addition of $104
million to conform to new FFIEC standards on consumer loans and a significant
writedown of one large credit, more than accounted for the rise.
o Nonperforming assets rose 70 percent to $5.5 billion at December 31, 2000.
o The reserve for loan losses ended 2000 at $6.8 billion, or 1.74 percent of
loans and leases, compared to $6.8 billion, or 1.84 percent a year ago.
Consumer and Commercial Banking
-------------------------------
For the full year, Consumer and Commercial Banking earnings declined 2 percent
to $4.64 billion. Revenue declined 2 percent while expenses fell 4 percent.
The Card businesses, which include consumer, commercial, debit and government
cards and merchant processing, all achieved double-digit growth. Total card fee
revenue was up 11 percent and purchase volume rose 17 percent. Service charge
revenue was up 4 percent in the Banking Regions. A $385 million increase in auto
lease residual charges, the impact of divestitures and fewer one-time gains than
a year earlier more than offset these positive trends. Personnel expense was
lower due to growth and productivity initiatives.
Global Corporate and Investment Banking
---------------------------------------
Global Corporate and Investment Banking earnings declined 10 percent to
$2.1 billion, reflecting higher loan losses and slower capital markets activity
at the end of the year. Revenue increased 9 percent and expenses were up 11
percent.
Revenue growth in 2000 was driven by the buildout of the investment banking and
trading platforms. Global Capital Raising reported 38 percent revenue growth due
to higher investment banking fees and trading revenue. This growth resulted in a
steady increase in market shares and rankings. Bank of America ranked in the top
ten in all key product areas. The decline in earnings was primarily the result
of higher credit costs.
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Asset Management
----------------
Asset Management earned $601 million, 18 percent above a year earlier. Revenue
rose 7 percent while expenses were up 2 percent.
Mutual fund fees grew 30 percent, reflecting an increase in mutual fund assets
under management during the year of almost $29 billion to $110 billion. Total
assets under management were up $30 billion to $277 billion. Higher expenses
reflected the company's investments to expand the number of private banking
offices and sales personnel across the asset management businesses.
Equity Investments
------------------
Equity Investments earned $460 million, 39 percent above a year earlier.
Revenues rose 26 percent to $864 million, driven by strong gains in strategic
investments and alliances as well as in principal investing.
Bank of America is the largest bank in the United States. With full-service
operations in 21 states and the District of Columbia, it provides financial
products and services to almost 40 percent of the households in its retail
footprint and two million businesses. The bank also supports business
transactions in 190 countries. Its stock (ticker: BAC) is listed on the New
York, Pacific and London stock exchanges. Certain shares also are listed on the
Tokyo Stock Exchange.
NOTE: James H. Hance Jr., vice chairman and chief financial officer, will
discuss the results for the fourth quarter and the full year 2000 as well as the
outlook for 2001 in a conference call at 9:30 a.m. (EDT) today. The call can be
accessed through a webcast available on the Bank of America website at
http://www.bankofamerica.com/investor
www.bankofamerica.com
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Forward Looking Statements
--------------------------
This press release contains forward-looking statements with respect to the
financial conditions and results of operations of Bank of America, including,
without limitation, statements relating to the earnings outlook of the company.
These forward-looking statements involve certain risks and uncertainties.
Factors that may cause actual results to differ materially from those
contemplated by such forward-looking statements include, among others, the
following possibilities: (1) projected business increases following process
changes and other investments are lower than expected; (2) competitive pressure
among financial services companies increases significantly; (3) costs or
difficulties related to the integration of acquisitions are greater than
expected; (4) general economic conditions, internationally, nationally or in the
states in which the company does business, are less favorable than expected; (5)
changes in the interest rate environment reduce interest margins and affect
funding sources; (6) changes in market rates and prices may adversely affect the
value of financial products; and (7) legislation or regulatory requirements or
changes adversely affect the businesses in which the company is engaged; and (8)
decisions to downsize, sell or close units or otherwise change the business mix
of the company. For further information, please refer to Bank of America's
reports filed with the SEC.
<PAGE>
Bank of America
<TABLE>
<CAPTION>
Three Months Twelve Months
Ended December 31 Ended December 31
---------------------------- --------------------------------
2000 1999 2000 1999
--------- --------- --------- ---------
<S> <C> <C> <C> <C>
Financial Summary
-----------------
(In millions, except per share data)
Operating net income .............................. $ 1,385 $ 2,115 $ 7,863 $ 8,240
Operating earnings
per common share ................................ 0.85 1.24 4.77 4.77
Diluted operating earnings
per common share ................................ 0.85 1.23 4.72 4.68
Cash basis earnings (1) ........................... 1,599 2,334 8,727 9,128
Cash basis earnings per
common share .................................... 0.98 1.37 5.30 5.28
Cash basis diluted earnings
per common share ................................ 0.98 1.35 5.24 5.19
Dividends per common share ........................ .56 .50 2.06 1.85
Closing market price
per common share ................................ 45.88 50.19 45.88 50.19
Average common shares issued
and outstanding ................................. 1,623.721 1,701.092 1,646.398 1,726.006
Average diluted common shares
issued and outstanding .......................... 1,638.863 1,725.187 1,664.929 1,760.058
Summary Income Statement (Operating Basis)
------------------------------------------
(Taxable-equivalent basis in millions)
Net interest income ............................... $ 4,788 $ 4,541 $ 18,764 $ 18,452
Provision for credit losses ....................... (1,210) (350) (2,535) (1,820)
Gains on sales of securities ...................... 2 14 25 240
Noninterest income ................................ 3,298 3,596 14,489 14,069
Other noninterest expense ......................... (4,637) (4,550) (18,083) (17,986)
--------- --------- --------- ---------
Income before income taxes ........................ 2,241 3,251 12,660 12,955
Income taxes - including taxable-
equivalent basis adjustment ...................... 856 1,136 4,797 4,715
--------- --------- --------- ---------
Operating net income .............................. $ 1,385 $ 2,115 $ 7,863 $ 8,240
========= ========= ========= =========
Summary Balance Sheet
---------------------
(Average balances in billions)
Loans and leases .................................. $ 399.549 $ 364.210 $ 392.622 $ 362.783
Managed loans and leases(2) ....................... 422.171 387.898 418.597 382.445
Securities ........................................ 79.501 86.442 84.211 80.127
Earning assets .................................... 590.728 543.564 583.467 531.511
Total assets ...................................... 677.458 630.743 671.573 616.838
Deposits .......................................... 357.554 341.913 353.294 341.748
Shareholders' equity .............................. 47.639 46.792 47.132 46.601
Common shareholders' equity ....................... 47.565 46.714 47.057 46.527
Performance Indices (Operating Basis)
-------------------------------------
Return on average common
shareholders' equity ............................. 11.57% 17.95% 16.70% 17.70%
Return on average tangible
common shareholders' equity ...................... 18.54 28.38 26.06 28.46
Return on average assets .......................... 0.81 1.33 1.17 1.34
Return on average tangible
assets ........................................... 0.96 1.50 1.33 1.52
Net interest yield ................................ 3.23 3.32 3.22 3.47
Efficiency ratio .................................. 57.35 55.91 54.38 55.30
Cash basis efficiency ratio ....................... 54.70 53.22 51.78 52.57
Shareholder Value Added (SVA) ..................... $ 164 $ 921 $ 3,081 $ 3,544
Net charge-offs (in millions) ..................... 1,075 501 2,400 2,000
% of average loans and leases .................... 1.07% .55% .61% .55%
Managed bankcard net charge-offs
as a % of average managed
bankcard receivables ............................. 4.33 5.29 4.66 5.57
Reported Results (Including Merger and Restructuring Charges)
-------------------------------------------------------------
(In millions, except per share data)
Net income ........................................ $ 1,385 $ 1,902 $ 7,517 $ 7,882
Earnings per common share ........................ 0.85 1.12 4.56 4.56
Diluted earnings
per common share ................................ 0.85 1.10 4.52 4.48
Return on average common
shareholders' equity ............................. 11.57% 16.14% 15.96% 16.93%
</TABLE>
(1) Cash basis earnings equals operating net income excluding amortization
of intangibles.
(2) Prior periods have been restated for comparability (e.g. acquisitions,
divestitures and securitizations).
<PAGE>
Bank of America - Continued
<TABLE>
<CAPTION>
December 31
------------------------------------
2000 1999
------------------------------------
<S> <C> <C>
Balance Sheet highlights
------------------------
(In billions, except per share data)
Loans and leases ........................ $ 392.193 $ 370.662
Securities .............................. 65.838 83.069
Earning assets .......................... 549.736 544.940
Total assets ............................ 642.191 632.574
Deposits ................................ 364.244 347.273
Shareholders' equity .................... 47.628 44.432
Common shareholders' equity ............. 47.556 44.355
Per share .............................. 29.47 26.44
Total equity to assets ratio (period-end) 7.42% 7.02%
Risk-based capital ratios:
Tier 1 ................................. 7.50 7.35
Total .................................. 11.04 10.88
Leverage ratio .......................... 6.12 6.26
Period-end common shares issued
and outstanding (in millions) .......... 1,613.632 1,677.273
Allowance for credit losses ............. $ 6.838 $ 6.828
Allowance for credit losses
as a % of loans and leases ............. 1.74% 1.84%
Allowance for credit losses
as a % of nonperforming loans .......... 131.30 224.48
Nonperforming loans ..................... $ 5.208 $ 3.042
Nonperforming assets .................... 5.457 3.205
Nonperforming assets as a % of:
Total assets ........................... .85% .51%
Loans, leases and foreclosed properties 1.39 .86
OTHER DATA
----------
Full-time equivalent employees .......... 142,724 155,906
Number of banking centers ............... 4,390 4,524
Number of ATM's ......................... 13,963 14,019
</TABLE>
BUSINESS SEGMENT RESULTS - Three Months Ended December 31, 2000
(Dollars in millions)
<TABLE>
<CAPTION>
Total Operating Avg Loans Return On
Revenue Net Income and Leases Equity
------- ---------- ---------- ------
<S> <C> <C> <C> <C>
Consumer and
Commercial Banking .. $ 5,293 $ 1,172 $263,222 19.3%
Asset Management Group 585 129 23,371 28.9
Global Corporate and
Investment Banking .. 2,022 164 112,597 4.7
Equity Investments ... (89) (73) 462 (13.4)
Other ................ 275 (7) n/m n/m
</TABLE>
n/m = not meaningful
<PAGE>
<TABLE>
<CAPTION>
Bank of America
Consolidated Financial Highlights
(Excludes Merger and Restructuring Charges)
------------------------------------------------------------------------------------------------------------------------------
(Dollars in millions, except per share information; shares in millions)
Fourth Third Second First Fourth
Quarter Quarter Quarter Quarter Quarter
2000 2000 2000 2000 1999
--------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Operating net income $ 1,385 $ 2,175 $ 2,063 $ 2,240 $ 2,115
Cash basis earnings 1,599 2,390 2,281 2,457 2,334
Operating earnings per common share 0.85 1.33 1.25 1.34 1.24
Diluted operating earnings per common share 0.85 1.31 1.23 1.33 1.23
Cash basis earnings per common share 0.98 1.46 1.38 1.47 1.37
Cash basis diluted earnings per common share 0.98 1.44 1.36 1.46 1.35
Dividends per common share 0.56 0.50 0.50 0.50 0.50
Average common shares issued and outstanding 1,623.721 1,639.392 1,653.495 1,669.311 1,701.092
Average diluted common shares issued and outstanding 1,638.863 1,661.031 1,676.089 1,688.318 1,725.187
Period-end common shares issued and outstanding 1,613.632 1,630.824 1,645.701 1,657.754 1,677.273
Period-end managed loans and leases* $ 414,038 $ 412,308 $ 411,489 $ 395,038 $ 386,830
Average managed loans and leases* 422,171 422,364 412,086 400,034 387,898
*Prior periods have been restated for comparison (e.g. acquisitions, divestitures and securitizations)
Performance ratios (Operating basis):
Return on average assets 0.81 % 1.26 % 1.23 % 1.38 % 1.33 %
Return on average tangible assets 0.96 1.42 1.39 1.55 1.50
Return on average common shareholders' equity 11.57 18.15 17.63 19.59 17.95
Return on average tangible common shareholders' equity 18.54 27.81 27.51 30.83 28.38
Efficiency ratio 57.35 53.01 53.77 53.49 55.91
Cash basis efficiency ratio 54.70 50.43 51.12 50.98 53.22
Net interest yield 3.23 3.12 3.24 3.27 3.32
Shareholder value added (SVA) $ 164 $ 953 $ 878 $ 1,086 $ 921
Book value per common share 29.47 28.69 27.82 27.28 26.44
Market price per share of common stock:
High for the period 54.7500 57.6250 61.0000 55.1875 67.5000
Low for the period 36.3125 43.6250 42.9844 42.3125 47.6250
Closing price 45.8750 52.3750 43.0000 52.4375 50.1875
Other data:
Number of banking centers 4,390 4,419 4,450 4,502 4,524
Number of ATM's 13,963 13,878 13,944 13,954 14,019
Full-time equivalent employees 142,724 146,346 150,854 152,948 155,906
</TABLE>
(1) Cash basis earnings equals operating net income excluding amortization of
intangibles.
Page 1
<PAGE>
<TABLE>
<CAPTION>
Bank of America Corporation
Consolidated Statement of Income
-----------------------------------------------------------------------------------------------------------------------------------
(Dollars in millions, except per share information)
Fourth Third Second First Fourth
Quarter Quarter Quarter Quarter Quarter
2000 2000 2000 2000 1999
-----------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Interest income
Interest and fees on loan and leases $ 8,250 $ 8,305 $ 7,923 $ 7,394 $ 7,063
Interest and dividends on securities 1,184 1,259 1,271 1,331 1,300
Federal funds sold and securities purchased under agreements to resell 551 633 595 575 458
Trading account assets 751 744 694 536 535
Other interest income 434 324 254 250 266
-----------------------------------------------------------
Total interest income 11,170 11,265 10,737 10,086 9,622
-----------------------------------------------------------
Interest expense
Deposits 2,927 2,868 2,720 2,495 2,324
Short-term borrowings 1,942 2,223 1,990 1,802 1,638
Trading account liabilities 285 237 189 181 190
Long-term debt 1,322 1,344 1,207 1,084 995
-----------------------------------------------------------
Total interest expense 6,476 6,672 6,106 5,562 5,147
-----------------------------------------------------------
Net interest income 4,694 4,593 4,631 4,524 4,475
Provision for credit losses 1,210 435 470 420 350
-----------------------------------------------------------
Net interest income after provision for credit losses 3,484 4,158 4,161 4,104 4,125
Gains on sales of securities 2 11 6 6 14
Noninterest income
Consumer service charges 706 684 646 618 669
Corporate service charges 489 489 479 489 477
-----------------------------------------------------------
Total service charges 1,195 1,173 1,125 1,107 1,146
-----------------------------------------------------------
Consumer investment and brokerage services 358 357 387 364 334
Corporate investment and brokerage services 123 114 105 121 103
-----------------------------------------------------------
Total investment and brokerage services 481 471 492 485 437
-----------------------------------------------------------
Mortgage servicing income 152 144 136 128 210
Investment banking income 366 376 373 397 394
Equity investment gains (65) 422 134 563 205
Card income 595 594 556 484 558
Trading account profits 263 372 471 724 287
Other income 311 93 213 158 359
-----------------------------------------------------------
Total noninterest income 3,298 3,645 3,500 4,046 3,596
-----------------------------------------------------------
Other noninterest expense
Personnel 2,257 2,298 2,311 2,534 2,378
Occupancy 434 419 411 418 419
Equipment 291 285 296 301 336
Marketing 223 147 132 119 98
Professional fees 154 100 93 105 178
Amortization of intangibles 214 215 218 217 219
Data processing 172 167 169 159 195
Telecommunications 136 127 133 131 142
Other general operating 585 509 505 515 456
General administrative 171 143 145 124 129
-----------------------------------------------------------
Total other noninterest expense 4,637 4,410 4,413 4,623 4,550
-----------------------------------------------------------
Operating income before income taxes 2,147 3,404 3,254 3,533 3,185
Income tax expense 762 1,229 1,191 1,293 1,070
-----------------------------------------------------------
Operating net income $ 1,385 $ 2,175 $ 2,063 $ 2,240 $ 2,115
-----------------------------------------------------------
Operating income available to common shareholders $ 1,383 $ 2,174 $ 2,061 $ 2,239 $ 2,114
-----------------------------------------------------------
Per share information
Operating earnings per common share $.85 $1.33 $1.25 $1.34 $1.24
-----------------------------------------------------------
Diluted operating earnings per common share $.85 $1.31 $1.23 $1.33 $1.23
-----------------------------------------------------------
Dividends per common share $ .56 $ .50 $ .50 $ .50 $ .50
-----------------------------------------------------------
Average common shares issued and outstanding (in thousands) 1,623,721 1,639,392 1,653,495 1,669,311 1,701,092
-----------------------------------------------------------
Average diluted common shares issued and outstanding (in thousands) 1,638,863 1,661,031 1,676,089 1,688,318 1,725,187
-----------------------------------------------------------
As reported (includes merger and restructuring charges, net of tax):
Net income $ 1,385 $ 1,829 $ 2,063 $ 2,240 $ 1,902
Net income available to common shareholders 1,383 1,828 2,061 2,239 1,901
Earnings per common share 0.85 1.11 1.25 1.34 1.12
Diluted earnings per common share 0.85 1.10 1.23 1.33 1.10
</TABLE>
Certain prior period amounts have been reclassified to conform to current period
classifications.
Page 2
<PAGE>
<TABLE>
<CAPTION>
Bank of America Corporation
Consolidated Balance Sheet
------------------------------------------------------------------------------------------------------------------------------------
December 31 September 30 December 31
(Dollars in millions) 2000 2000 1999
------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Assets
Cash and cash equivalents $ 27,513 $ 24,395 $ 26,989
Time deposits placed and other short-term investments 5,448 5,467 4,838
Federal funds sold and securities purchased under agreements to resell 28,055 33,408 37,928
Trading account assets 43,041 47,198 38,460
Derivative-dealer assets 15,534 15,398 16,055
Securities:
Available-for-sale 64,651 79,747 81,647
Held-to-maturity 1,187 1,356 1,422
-----------------------------------------------------------------------------------------------------------------------------------
Total securities 65,838 81,103 83,069
-----------------------------------------------------------------------------------------------------------------------------------
Loans and leases 392,193 402,592 370,662
Allowance for credit losses (6,838) (6,739) (6,828)
-----------------------------------------------------------------------------------------------------------------------------------
Loans and leases, net of allowance for credit losses 385,355 395,853 363,834
-----------------------------------------------------------------------------------------------------------------------------------
Premises and equipment, net 6,433 6,450 6,713
Customers' acceptance liability 1,972 2,277 1,869
Interest receivable 4,432 4,620 3,777
Mortgage servicing rights 3,762 4,029 4,093
Goodwill 11,643 11,803 12,262
Core deposit and other intangibles 1,499 1,554 1,730
Other assets 41,666 38,170 30,957
-----------------------------------------------------------------------------------------------------------------------------------
Total assets $ 642,191 $ 671,725 $ 632,574
-----------------------------------------------------------------------------------------------------------------------------------
Liabilities Deposits in domestic offices:
Noninterest-bearing $ 98,722 $ 92,050 $ 93,476
Interest-bearing 211,978 207,801 207,048
Deposits in foreign offices:
Noninterest-bearing 1,923 1,515 1,993
Interest-bearing 51,621 52,622 44,756
-----------------------------------------------------------------------------------------------------------------------------------
Total deposits 364,244 353,988 347,273
-----------------------------------------------------------------------------------------------------------------------------------
Federal funds purchased and securities sold under agreements to repurchase 49,411 72,896 74,561
Trading account liabilities 20,947 25,354 20,958
Derivative-dealer liabilities 22,402 18,877 16,200
Commercial paper 6,955 10,330 7,331
Other short-term borrowings 35,243 45,271 40,340
Acceptances outstanding 1,972 2,277 1,869
Accrued expenses and other liabilites 20,887 21,506 19,169
Long-term debt 67,547 69,412 55,486
Trust preferred securities 4,955 4,955 4,955
-----------------------------------------------------------------------------------------------------------------------------------
Total liabilities 594,563 624,866 588,142
-----------------------------------------------------------------------------------------------------------------------------------
Shareholders' equity
Preferred stock, $0.01 par value; authorized - 100,000,000 shares; issued and
outstanding 1,692,172; 1,732,349 and 1,797,702 shares 72 74 77
Common stock, $0.01 par value; authorized - 5,000,000,000 shares; issued and
outstanding 1,613,632,036; 1,630,823,577 and 1,677,273,267 shares 8,613 9,397 11,671
Retained earnings 39,815 39,338 35,681
Accumulated other comprehensive losses (746) (1,808) (2,658)
Other (126) (142) (339)
-----------------------------------------------------------------------------------------------------------------------------------
Total shareholders' equity 47,628 46,859 44,432
-----------------------------------------------------------------------------------------------------------------------------------
Total liabilities and shareholders' equity $ 642,191 $ 671,725 $ 632,574
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</TABLE>
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<PAGE>
<TABLE>
<CAPTION>
Bank of America Corporation
Quarterly Taxable-Equivalent Data
------------------------------------------------------------------------------------------------------------------------------------
(Dollars in millions)
Fourth Quarter 2000 Third Quarter 2000
---------------------------------------------------------------------
Interest Interest
Average Income/ Yield/ Average Income/ Yield/
Balance Expense Rate Balance Expense Rate
----------- -------------------- ----------- ------------ ---------
<S> <C> <C> <C> <C> <C> <C>
Earning assets:
Time deposits placed and other short-term investments $ 5,663 $ 99 6.96 % $ 4,700 $ 83 6.97 %
Federal funds sold and securities purchased under
agreements to resell 37,936 551 5.79 40,763 633 6.20
Trading account assets 53,251 758 5.68 53,793 749 5.55
Securities:
Available-for-sale (1) 78,242 1,193 6.09 82,333 1,254 6.08
Held-to-maturity 1,259 19 6.12 1,395 30 8.59
---------------------------------------------------------------------
Total securities 79,501 1,212 6.09 83,728 1,284 6.12
---------------------------------------------------------------------
Loans and leases (2):
Commercial - domestic 147,336 3,057 8.26 151,903 3,173 8.31
Commercial - foreign 30,408 563 7.36 29,845 555 7.39
Commercial real estate - domestic 27,220 622 9.09 26,113 597 9.09
Commercial real estate - foreign 264 6 8.44 235 5 8.30
---------------------------------------------------------------------
Total commercial 205,228 4,248 8.23 208,096 4,330 8.28
---------------------------------------------------------------------
Residential mortgage 92,679 1,733 7.47 94,380 1,759 7.45
Home equity lines 21,117 483 9.11 20,185 466 9.18
Direct/Indirect consumer 40,390 843 8.30 41,905 848 8.06
Consumer finance 25,592 570 8.91 25,049 559 8.93
Bankcard 12,295 384 12.43 10,958 344 12.49
Foreign consumer 2,248 48 8.49 2,190 48 8.79
---------------------------------------------------------------------
Total consumer 194,321 4,061 8.34 194,667 4,024 8.25
---------------------------------------------------------------------
Total loans and leases 399,549 8,309 8.28 402,763 8,354 8.26
---------------------------------------------------------------------
Other earning assets 14,828 335 9.00 11,501 241 8.39
---------------------------------------------------------------------
Total earning assets (3) 590,728 11,264 7.60 597,248 11,344 7.57
---------------------------------------------------------------------
Cash and cash equivalents 23,458 24,191
Other assets, less allowance for credit losses 63,272 63,578
---------------------------------------------------------------------
Total assets $677,458 $685,017
---------------------------------------------------------------------
Interest-bearing liabilities:
Domestic interest-bearing deposits:
Savings $22,454 80 1.42 $23,195 78 1.33
NOW and money market deposit accounts 101,376 788 3.09 99,710 740 2.96
Consumer CDs and IRAs 78,298 1,108 5.63 77,864 1,083 5.53
Negotiable CDs, public funds and other time deposits 7,570 127 6.68 8,598 140 6.46
---------------------------------------------------------------------
Total domestic interest-bearing deposits 209,698 2,103 3.99 209,367 2,041 3.88
---------------------------------------------------------------------
Foreign interest-bearing deposits (4):
Banks located in foreign countries 26,223 424 6.43 18,845 286 6.03
Governments and official institutions 5,884 61 4.14 11,182 177 6.30
Time, savings, and other 24,064 339 5.62 25,972 364 5.58
---------------------------------------------------------------------
Total foreign interest-bearing deposits 56,171 824 5.84 55,999 827 5.87
---------------------------------------------------------------------
Total interest-bearing deposits 265,869 2,927 4.38 265,366 2,868 4.30
---------------------------------------------------------------------
Federal funds purchased, securities sold under agreements
to repurchase and other short-term borrowings 122,680 1,942 6.30 136,007 2,223 6.51
Trading account liabilities 27,548 285 4.13 24,233 237 3.88
Long-term debt (5) 73,041 1,322 7.24 74,022 1,344 7.26
---------------------------------------------------------------------
Total interest-bearing liabilities (6) 489,138 6,476 5.27 499,628 6,672 5.32
---------------------------------------------------------------------
Noninterest-bearing sources:
Noninterest-bearing deposits 91,685 91,368
Other liabilities 48,996 46,286
Shareholders' equity 47,639 47,735
--------------------------------------------------------------------
Total liabilities and shareholders' equity $677,458 $685,017
---------------------------------------------------------------------
Net interest spread 2.33 2.25
Impact of noninterest-bearing sources .90 .87
---------------------------------------------------------------------
Net interest income/yield on earning assets $4,788 3.23 % $4,672 3.12 %
---------------------------------------------------------------------
</TABLE>
(1) The average balance and yield on available-for-sale securities are based on
the average of historical amortized cost balances.
(2) Nonperforming loans are included in the average loan balances. Income on
such nonperforming loans is recognized on a cash basis.
(3) Interest income includes taxable-equivalent basis adjustments of $94, $79,
$78 and $71 in the fourth, third, second and first quarters of 2000 and $66
in the fourth quarter of 1999, respectively. Interest income also includes
the impact of risk management interest rate contracts, which (decreased)
increased interest income on the underlying assets $(31), $(13), $(11) and
$7 in the fourth, third, second and first quarters of 2000 and $57 in the
fourth quarter of 1999, respectively.
(4) Primarily consists of time deposits in denominations of $100,000 or more.
(5) Long-term debt includes trust preferred securities.
(6) Interest expense includes the impact of risk management interest rate
contracts, which (increased) decreased interest expense on the underlying
liabilities $(7), $(16), $(5) and $(8) in the fourth, third, second and
first quarters of 2000 and $(2) in the fourth quarter of 1999,
respectively.
Page 4
<PAGE>
<TABLE>
<CAPTION>
---------------------------------------------------------------------------------------------------------------------------------
Second Quarter 2000 First Quarter 2000 Fourth Quarter 1999
---------------------------------------------------------------------------------------------------------------------------------
Interest Interest Interest
Average Income/ Yield/ Average Income/ Yield/ Average Income/ Yield/
Balance Expense Rate Balance Expense Rate Balance Expense Rate
---------------- ------------- ---------- --------------- ------------ ---------- ---------------- ------------ ---------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
$ 4,578 $ 79 7.02 % $ 4,504 $ 75 6.65 % $ 4,512 $ 73 6.33 %
43,983 595 5.43 45,459 575 5.07 39,700 458 4.60
48,874 702 5.77 39,733 542 5.47 38,453 544 5.63
84,054 1,270 6.05 86,878 1,332 6.15 85,009 1,301 6.10
1,406 27 7.68 1,333 24 7.19 1,433 25 7.25
----------------------------------------------------------------------------------------------------------------------------------
85,460 1,297 6.08 88,211 1,356 6.16 86,442 1,326 6.12
----------------------------------------------------------------------------------------------------------------------------------
148,034 3,023 8.21 145,362 2,824 7.81 140,674 2,707 7.64
29,068 515 7.12 27,927 486 6.99 27,430 453 6.56
25,497 563 8.88 24,664 517 8.43 24,345 506 8.23
376 8 9.15 344 8 9.29 306 6 8.96
----------------------------------------------------------------------------------------------------------------------------------
202,975 4,109 8.14 198,297 3,835 7.78 192,755 3,672 7.56
----------------------------------------------------------------------------------------------------------------------------------
91,825 1,696 7.40 85,427 1,566 7.34 79,783 1,450 7.26
19,067 422 8.91 17,573 377 8.62 16,882 345 8.12
41,757 867 8.36 41,858 887 8.52 42,442 888 8.30
24,123 545 9.03 22,798 486 8.53 21,340 440 8.18
9,429 279 11.87 8,404 234 11.22 8,578 245 11.32
2,228 48 8.81 2,227 50 9.00 2,430 54 8.77
----------------------------------------------------------------------------------------------------------------------------------
188,429 3,857 8.21 178,287 3,600 8.10 171,455 3,422 7.94
----------------------------------------------------------------------------------------------------------------------------------
391,404 7,966 8.17 376,584 7,435 7.93 364,210 7,094 7.74
----------------------------------------------------------------------------------------------------------------------------------
8,191 176 8.53 8,679 174 8.11 10,247 193 7.51
----------------------------------------------------------------------------------------------------------------------------------
582,490 10,815 7.45 563,170 10,157 7.24 543,564 9,688 7.09
----------------------------------------------------------------------------------------------------------------------------------
25,605 25,830 25,467
64,493 62,019 61,712
----------------------------------------------------------------------------------------------------------------------------------
$672,588 $651,019 $630,743
----------------------------------------------------------------------------------------------------------------------------------
$23,936 78 1.32 $24,237 78 1.29 $25,082 80 1.27
100,186 734 2.94 98,424 679 2.78 97,481 639 2.60
77,384 1,034 5.38 76,074 983 5.20 74,653 932 4.95
7,361 111 6.09 6,966 103 5.93 6,825 98 5.73
----------------------------------------------------------------------------------------------------------------------------------
208,867 1,957 3.77 205,701 1,843 3.60 204,041 1,749 3.40
----------------------------------------------------------------------------------------------------------------------------------
15,823 232 5.92 14,180 188 5.33 14,305 178 4.93
9,885 151 6.12 8,745 124 5.72 7,121 99 5.53
27,697 380 5.51 26,382 340 5.17 24,993 298 4.72
----------------------------------------------------------------------------------------------------------------------------------
53,405 763 5.74 49,307 652 5.31 46,419 575 4.91
----------------------------------------------------------------------------------------------------------------------------------
262,272 2,720 4.17 255,008 2,495 3.93 250,460 2,324 3.68
----------------------------------------------------------------------------------------------------------------------------------
135,817 1,990 5.89 131,517 1,802 5.51 120,858 1,638 5.38
20,532 189 3.70 23,013 181 3.16 19,223 190 3.92
69,779 1,207 6.92 64,256 1,084 6.75 59,972 995 6.63
----------------------------------------------------------------------------------------------------------------------------------
488,400 6,106 5.02 473,794 5,562 4.72 450,513 5,147 4.54
----------------------------------------------------------------------------------------------------------------------------------
91,154 90,366 91,453
45,922 40,829 41,985
47,112 46,030 46,792
----------------------------------------------------------------------------------------------------------------------------------
$672,588 $651,019 $630,743
----------------------------------------------------------------------------------------------------------------------------------
2.43 2.52 2.55
.81 .75 .77
----------------------------------------------------------------------------------------------------------------------------------
$4,709 3.24 % $4,595 3.27 % $4,541 3.32 %
----------------------------------------------------------------------------------------------------------------------------------
</TABLE>
Page 5
<PAGE>
<TABLE>
<CAPTION>
Bank of America
Credit Quality - Nonperforming Assets
-----------------------------------------------------------------------------------------------------------------------------------
(Dollars in millions)
December 31 September 30 June 30 March 31 December 31
2000 2000 2000 2000 1999
--------------- --------------- ----------- ----------------------------
<S> <C> <C> <C> <C> <C>
Nonperforming loans:
Commercial - domestic $2,777 $1,950 $1,535 $1,301 $1,163
Commercial - foreign 486 564 588 500 486
Commercial real estate - domestic 236 136 164 208 191
Commercial real estate - foreign 3 1 2 3 3
------------- --------------- --------- -------------- ------------
Total Commercial Product 3,502 2,651 2,289 2,012 1,843
------------- --------------- --------- -------------- ------------
Residential mortgage 551 502 505 483 529
Home equity lines 32 47 44 45 46
Direct/Indirect consumer 19 19 20 18 19
Consumer finance 1,095 951 826 737 598
Foreign consumer 9 7 7 7 7
------------- --------------- --------- -------------- ------------
Total Consumer Product 1,706 1,526 1,402 1,290 1,199
------------- --------------- --------- -------------- ------------
Total nonperforming loans 5,208(1) 4,177(1) 3,691 3,302 3,042
Foreclosed properties 249 226 195 179 163
------------- --------------- --------- -------------- ------------
Total nonperforming assets $5,457 $4,403 $3,886 $3,481 $3,205
------------- --------------- --------- -------------- ------------
Loans past due 90 days or more and still accruing $495 $503 $482 $461 $521
Nonperforming assets as a percentage of:
Total assets .85 % .65 % .57 % .53 % .51 %
Loans, leases and foreclosed properties 1.39 1.09 .97 .91 .86
----------------------------------------------------------------------------------------------------------------------------------
Total nonperforming assets by business segment:
Consumer and Commercial Banking $2,744 $2,370 $2,176 $1,994 $1,823
Asset Management Group 166 36 42 18 33
Global Corporate and Investment Banking 2,526 1,983 1,655 1,455 1,336
Equity Investments 20 12 12 12 8
Corporate Other 1 2 1 2 5
------------- --------------- --------- -------------- ------------
Total nonperforming assets $5,457 $4,403 $3,886 $3,481 $3,205
------------- --------------- --------- -------------- ------------
</TABLE>
(1) Balance does not include $124 million and $95 million of loans held for
sale included in Other assets at December 31, 2000 and September 30, 2000,
respectively, which would have been classified as nonperforming had they
been included in Loans.
Page 6
<PAGE>
<TABLE>
<CAPTION>
Bank of America
Credit Quality - Loan Losses
---------------------------------------------------------------------------------------------------------------------------------
(Dollars in millions)
Fourth Third Second First Fourth
Quarter Quarter Quarter Quarter Quarter
2000 2000 2000 2000 1999
------------ ------------ ------------- ----------- ------------
<S> <C> <C> <C> <C> <C>
Net charge-offs:
Commercial - domestic $ 704 $ 185 $ 226 $ 172 $ 191
Commercial - foreign 34 23 24 5 22
Commercial real estate - domestic 3 (2) 6 6 1
Commercial real estate - foreign - - - (2) -
Total Commercial 741 206 256 181 214
Residential mortgage 13 6 4 4 6
Home equity lines 12 2 3 3 4
Bankcard* 101 79 77 81 94
Direct/Indirect consumer 111 61 61 91 110
Consumer finance 82 68 59 57 72
Other consumer domestic 14 12 10 2 -
Foreign consumer 1 1 - 1 1
------------ ------------ ------------- ----------- ------------
Total Consumer 334 229 214 239 287
------------ ------------ ------------- ----------- ------------
Total $ 1,075 $ 435 $ 470 $ 420 $ 501
------------ ------------ ------------- ----------- ------------
Loss ratios:
Commercial - domestic 1.90 % .48 % .62 % .47 % .54 %
Commercial - foreign .45 .30 .33 .08 .32
Commercial real estate - domestic - - .09 .10 .02
Commercial real estate - foreign .05 .21 .16 - .44
Total Commercial 1.44 .39 .51 .37 .44
Residential mortgage .05 .03 .02 .02 .03
Home equity lines .24 .04 .05 .07 .10
Bankcard** 3.25 2.89 3.30 3.86 4.34
Direct/Indirect consumer 1.10 .57 .58 .88 1.02
Consumer finance 1.27 1.08 .97 1.01 1.33
Other consumer domestic - - - - -
Foreign consumer .18 .20 .09 .12 .25
------------ ------------ ------------- ----------- ------------
Total Consumer .69 .47 .46 .54 .66
Total 1.07 .43 .48 .45 .55
Loss ratios by business segment:
Consumer and Commercial Banking .81 % .45 % .48 % .52 % .78 %
Asset Management Group .64 n/m n/m n/m .22
Global Corporate and Investment Banking 1.78 .48 .62 .35 .39
Equity Investments 1.14 n/m n/m 1.41 4.45
Allowance for credit losses ($6,838) ($6,739) ($6,815) ($6,827) ($6,828)
Allowance for credit losses as a percentage
of loans and leases 1.74 % 1.67 % 1.70 % 1.79 % 1.84 %
--------------------------------------------------------------------------------------------------------------------------------
* Managed Bankcard receivable net charge-offs $ 234 $ 216 $ 237 $ 257 $ 257
** Managed Bankcard portfolio loss ratios 4.33 % 4.15 % 4.84 % 5.43 % 5.29 %
(1)Average managed Bankcard receivables $ 21,461 $ 20,681 $ 19,677 $ 19,051 $ 18,601
</TABLE>
(1) Prior periods have been restated for comparison (e.g. acquisitions,
divestitures and securitizations)
Page 7
<PAGE>
<TABLE>
<CAPTION>
Bank of America
Capital
----------------------------------------------------------------------------------------------------------------------------
(Dollars in millions)
Fourth Third Second First Fourth
Quarter Quarter Quarter Quarter Quarter
2000 2000 2000 2000 1999
------------ ---------- ----------- ----------- ----------
<S> <C> <C> <C> <C> <C>
Beginning total shareholders' equity $46,859 $45,861 $45,299 $44,432 $45,889
Net income 1,385 1,829 2,063 2,240 1,902
Dividends (909) (821) (825) (833) (852)
Common stock issued 59 98 117 25 154
Common stock repurchased (812) (821) (712) (911) (1,954)
Change in FAS 115 adjustment-net
unrealized gains (losses) 1,058 733 (47) 166 (726)
Change in preferred equity (2) (1) (2) - (1)
Foreign currency translation
adjustment and other (10) (19) (32) 180 20
------------ ---------- ----------- ----------- ----------
Ending total shareholders' equity $47,628 $46,859 $45,861 $45,299 $44,432
------------ ---------- ----------- ----------- ----------
Preferred equity (72) (74) (75) (77) (77)
------------ ---------- ----------- ----------- ----------
Ending common equity $47,556 $46,785 $45,786 $45,222 $44,355
------------ ---------- ----------- ----------- ----------
FAS 115 adjustment - end of period ($560) ($1,618) ($2,351) ($2,304) ($2,470)
Total equity as a percentage of total assets 7.42 % 6.98 % 6.75 % 6.90 % 7.02 %
Risk-based capital ratios:
Tier 1 capital $40,667 $40,696 $40,257 $39,355 $38,651
Tier 1 capital ratio 7.50 % 7.32 % 7.40 % 7.42 % 7.35 %
Total capital $59,826 $60,063 $60,027 $58,376 $57,192
Total capital ratio 11.04 % 10.80 % 11.03 % 11.00 % 10.88 %
Leverage ratio 6.12 6.06 6.11 6.17 6.26
Risk-weighted assets, net $542,169 $556,146 $543,987 $530,514 $525,625
</TABLE>
Page 8
<PAGE>
<TABLE>
<CAPTION>
Bank of America Corporation
Consumer and Commercial Banking Segment
------------------------------------------------------------------------------------------------------------------------------
Consumer and Commercial Banking Segment Results
----------------------------------------------------------------------------------------------------------------------------
Quarterly Year-to-Date
-------------------------- ---------------------------
Key Measures (in millions) 4Q00 3Q00 2000 1999
--------------------------- -------- -------- -------- --------
<S> <C> <C> <C> <C>
Total Revenue $5,293 $5,142 $20,621 $21,079
Net Income 1,172 1,179 4,643 4,756
Cash Basis Earnings (1) 1,337 1,344 5,311 5,450
Shareholder Value Added 610 617 2,417 2,593
Average Equity to Average Assets 7.61 % 7.61 % 7.77 % 8.26 %
Return on Average Equity 19.3 19.4 19.2 20.0
Return on Tangible Equity (1) 27.4 27.5 27.4 29.1
Efficiency Ratio 54.8 56.3 55.8 57.0
Cash Basis Efficiency Ratio (1) 51.7 53.1 52.6 53.7
Selected Average Balance
Sheet Components (in millions)
---------------------------------
Total Loans and Leases $263,222 $265,267 $258,848 $235,966
Total Deposits 256,163 254,983 255,153 251,580
Total Earning Assets 288,982 290,065 283,030 261,171
Consumer and Commercial Banking Sub-Segment Results
---------------------------------------------------------------------------------------------------------------------------
Quarterly Year-to-Date
-------------------------- ---------------------------
Key Measures (in millions) 4Q00 3Q00 2000 1999
--------------------------- -------- -------- -------- --------
Banking Regions
---------------
Total Revenue $3,114 $3,068 $12,040 $11,852
Shareholder Value Added 486 488 1,739 1,488
Cash Basis Earnings (1) 822 825 3,095 2,898
Cash Basis Efficiency Ratio (1) 56.2 % 56.1 % 57.8 % 61.5 %
Consumer Products
-----------------
Total Revenue $1,440 $1,303 $5,555 $6,193
Shareholder Value Added 123 44 434 681
Cash Basis Earnings (1) 383 305 1,456 1,628
Cash Basis Efficiency Ratio (1) 44.2 % 47.8 % 44.0 % 42.8 %
Commercial Banking
------------------
Total Revenue $739 $771 $3,026 $3,034
Shareholder Value Added 1 85 244 424
Cash Basis Earnings (1) 132 214 760 924
Cash Basis Efficiency Ratio (1) 47.0 % 50.1 % 47.8 % 45.9 %
</TABLE>
(1) Cash basis calculations exclude goodwill and other intangible assets and
their related amortization expense.
Page 9
<PAGE>
<TABLE>
<CAPTION>
Bank of America Corporation
Global Corporate and Investment Banking Segment
-----------------------------------------------------------------------------------------------------------------------------------
Global Corporate and Investment Banking Segment Results
-----------------------------------------------------------------------------------------------------------------------------------
Quarterly Year-to-Date
---------------------------- --------------------------
Key Measures (in millions) 4Q00 3Q00 2000 1999
--------------------------- -------- -------- -------- --------
<S> <C> <C> <C> <C>
Total Revenue $2,022 $2,189 $8,965 $8,242
Net Income 164 592 2,052 2,292
Cash Basis Earnings (1) 204 633 2,213 2,450
Shareholder Value Added (213) 203 556 848
Average Equity to Average Assets 5.57 % 5.65 % 5.64 % 6.14 %
Return on Average Equity 4.7 16.5 14.9 17.2
Return on Tangible Equity (1) 6.5 19.5 17.7 20.4
Efficiency Ratio 66.8 54.4 57.1 55.9
Cash Basis Efficiency Ratio (1) 64.8 52.5 55.3 54.0
Selected Average Balance
Sheet Components (in millions)
---------------------------------
Total Loans and Leases $112,597 $114,580 $111,323 $108,246
Total Deposits 69,909 73,550 69,980 65,057
Total Earning Assets 210,820 213,735 206,382 183,020
Global Corporate and Investment Banking Sub-Segment Results
------------------------------------------------------------------------------------------------------------------------------------
Quarterly Year-to-Date
---------------------------- --------------------------
Key Measures (in millions) 4Q00 3Q00 2000 1999
--------------------------- -------- -------- -------- --------
Global Credit Products
----------------------
Total Revenue $730 $760 $3,066 $3,110
Shareholder Value Added (167) 76 101 530
Cash Basis Earnings (1) 92 336 1,112 1,511
Cash Basis Efficiency Ratio (1) 29.0 % 20.9 % 23.5 % 21.6 %
Global Capital Raising
----------------------
Total Revenue $579 $745 $2,837 $2,060
Shareholder Value Added (91) 45 66 (58)
Cash Basis Earnings (1) (6) 141 412 212
Cash Basis Efficiency Ratio (1) 97.3 % 70.8 % 77.7 % 87.2 %
Global Markets
--------------
Total Revenue $379 $342 $1,707 $1,704
Shareholder Value Added 32 46 274 269
Cash Basis Earnings (1) 75 90 454 511
Cash Basis Efficiency Ratio (1) 69.4 % 59.2 % 58.2 % 55.6 %
Global Treasury Services
------------------------
Total Revenue $334 $342 $1,355 $1,368
Shareholder Value Added 13 36 115 107
Cash Basis Earnings (1) 43 66 235 216
Cash Basis Efficiency Ratio (1) 81.6 % 76.2 % 77.1 % 75.4 %
</TABLE>
(1) Cash basis calculations exclude goodwill and other intangible assets and
their related amortization expense.
Page 10
<PAGE>
<TABLE>
<CAPTION>
Bank of America Corporation
Asset Management Group Segment
------------------------------------------------------------------------------------------------------------------------------
Asset Management Group Segment Results
------------------------------------------------------------------------------------------------------------------------------
Quarterly Year-to-Date
-------------------------- ----------------------------
Key Measures (in millions) 4Q00 3Q00 2000 1999
--------------------------- ------- ------- ------- -------
<S> <C> <C> <C> <C>
Total Revenue $585 $555 $2,284 $2,141
Net Income 129 154 601 510
Cash Basis Earnings (1) 135 160 625 535
Shareholder Value Added 81 106 413 330
Average Equity to Average Assets 7.04 % 7.29 % 7.41 % 8.39 %
Return on Average Equity 28.9 34.5 34.0 29.9
Return on Tangible Equity (1) 33.5 39.8 39.3 35.3
Efficiency Ratio 57.0 54.6 55.0 57.6
Cash Basis Efficiency Ratio (1) 56.0 53.6 53.9 56.4
Selected Average Balance
Sheet Components (in millions)
-------------------------------
Total Loans and Leases $23,371 $22,634 $22,130 $18,725
Total Deposits 11,343 11,438 11,366 11,405
Total Earning Assets 24,388 23,615 23,078 19,464
</TABLE>
(1) Cash basis calculations exclude goodwill and other intangible assets and
their related amortization expense.
<PAGE>
<TABLE>
<CAPTION>
Bank of America Corporation
Equity Investments Segment
----------------------------------------------------------------------------------------------------------------------------
Equity Investments Segment Results
----------------------------------------------------------------------------------------------------------------------------
Quarterly Year-to-Date
-------------------------- -------------------------
Key Measures (in millions) 4Q00 3Q00 2000 1999
--------------------------- ---------- ------- -------- --------
<S> <C> <C> <C> <C>
Total Revenue $(89) $346 $864 $686
Net Income (73) 197 460 330
Cash Basis Earnings (1) (70) 200 471 341
Shareholder Value Added (136) 140 243 176
Average Equity to Average Assets 33.75 % 35.60 % 34.70 % 36.44 %
Return on Average Equity (13.4) 39.7 24.3 24.1
Return on Tangible Equity (1) (13.4) 41.9 25.9 26.3
Efficiency Ratio (32.1) 6.9 12.7 18.6
Cash Basis Efficiency Ratio (1) (29.1) 6.1 11.4 17.0
Selected Average Balance
Sheet Components (in millions)
---------------------------------
Total Loans and Leases $462 $450 $436 $309
Total Deposits 19 18 14 9
Total Earning Assets 473 469 456 370
</TABLE>
(1) Cash basis calculations exclude goodwill and other intangible assets and
their related amortization expense.
