EXHIBIT 99.1
BANKERS TRUST CORPORATION
UNAUDITED PRO FORMA CONDENSED FINANCIAL STATEMENTS
(IN MILLIONS)
The following Unaudited Pro Forma Condensed Statements of Income for the
nine months ended September 30, 2000 and 1999 give effect to Bankers Trust
Corporation's ("BT" or the "Corporation") transfer of its wholly-owned
subsidiary BT Holdings (New York), Inc. ("BTH") to DB U.S. Financial Markets
Holding Corporation ("DBUSH"), a subsidiary of Deutsche Bank Americas Holding
Corp. ("DBAH") and Taunus Corporation ("Taunus"), which are an indirect and
direct subsidiary, respectively, of Deutsche Bank AG. The transfer of BTH to
DBUSH took the form of an exchange of stock pursuant to which BTH became a
wholly-owned subsidiary of DBUSH. The Corporation received shares of DBUSH equal
to the fair market value of BTH's net assets on the date of transfer. The
Corporation, as part of an ongoing reorganization, intends to transfer, by
dividend or otherwise, the shares received to Taunus. The Corporation recognized
an after-tax gain of approximately $301 million in the third quarter of 2000.
In addition, the following Unaudited Pro Forma Condensed Statement of
Income for the nine months ended September 30, 1999 gives effect to the
Corporation's transfer on June 5, 1999 of its wholly-owned subsidiary BT Alex.
Brown Incorporated ("BTAB") and substantially all of its interest in Bankers
Trust International PLC ("BTI") to Deutsche Bank Securities Inc. and Deutsche
Holdings (BTI) Ltd., respectively, which are wholly-owned subsidiaries of
Deutsche Bank AG and to the Corporation's sale, on August 31, 1999, of its
wholly-owned subsidiary Bankers Trust Australia Limited ("BTAL") to the
Principal Financial Group for a price of approximately $1.4 billion. For more
information on the transfer of BTAB and BTI and the sale of BTAL, see the
Corporation's Annual Report on Form 10-K for the year ended December 31, 1999.
The pro forma information is based on the historical consolidated financial
statements of BT after giving effect to the pro forma adjustments described in
the Notes to the Unaudited Pro Forma Condensed Financial Statements. The pro
forma financial data are not necessarily indicative of the results that actually
would have occurred had the transfer of BTH, BTAB, and BTI and the sale of BTAL
been consummated on the dates indicated or that may be obtained in the future.
<PAGE>
BANKERS TRUST CORPORATION
UNAUDITED PRO FORMA CONDENSED STATEMENT OF INCOME
(IN MILLIONS)
<TABLE>
<CAPTION>
For the Nine Months Ended September 30, 2000
BT Pro Forma
Consolidated BTH Adjustments Pro Forma
(a) (b) (d)
<S> <C> <C> <C> <C>
NET INTEREST REVENUE
Interest revenue $ 2,659 $ (544) $ 81 $ 2,196
Interest expense 2,271 (429) (125) 1,717
NET INTEREST REVENUE 388 (115) 206 479
Provision for credit losses-loans (44) (1) -- (45)
Net interest revenue after provision for
credit losses-loans 432 (114) 206 524
NONINTEREST REVENUE
Trading 127 (65) 55 117
Fiduciary and funds management 595 -- -- 595
Corporate finance fees 107 (4) -- 103
Other fees and commissions 235 (8) -- 227
Securities available for sale
gains(losses) 40 (25) -- 15
Other 697 (65) 91 723
Total noninterest revenue 1,801 (167) 146 1,780
NONINTEREST EXPENSES
Salaries and commissions 361 (3) -- 358
Incentive compensation and employee
benefits 321 (12) -- 309
Agency and other professional service
fees 155 (4) -- 151
Communication and data services 65 -- -- 65
Occupancy, net 77 -- -- 77
Furniture and equipment 91 (2) -- 89
Travel and entertainment 31 (1) -- 30
Other 469 (70) 3 402
Restructuring charge (46) -- -- (46)
Total noninterest expenses 1,524 (92) 3 1,435
Income before income taxes 709 (189) 349 869
Income taxes 410 459
NET INCOME $ 299 $ 410
</TABLE>
See Notes to Unaudited Pro Forma Condensed Financial Statements.
<PAGE>
BANKERS TRUST CORPORATION
UNAUDITED PRO FORMA CONDENSED STATEMENT OF INCOME
(IN MILLIONS)
For the Nine Months Ended September 30, 1999
<TABLE>
<CAPTION>
BTAB,
BT BTI and Pro Forma
Consolidated BTAL** BTH Adjustments Pro Forma
(c) (a) (b) (d)
<S> <C> <C> <C> <C> <C>
NET INTEREST REVENUE
Interest revenue $ 3,622 $ (740) $ (120) $ 173 $ 2,935
Interest expense 2,971 (521) (68) 65 2,447
NET INTEREST REVENUE 651 (219) (52) 108 488
Provision for credit
losses-loans (74) 26 (1) -- (49)
Net interest revenue after
provision for credit
losses-loans 725 (245) (51) 108 537
NONINTEREST REVENUE
Trading (55) 258 24 (1) 226
Fiduciary and funds
management 805 (178) -- -- 627
Corporate finance fees 488 (304) -- -- 184
Other fees and commissions 456 (186) (2) -- 268
Securities available for
sale gains (losses) (150) 108 (10) -- (52)
Insurance premiums 86 -- -- -- 86
Other 1,055 319 (437) 112 1,049
Total noninterest revenue 2,685 17 (425) 111 2,388
NONINTEREST EXPENSES
Salaries and commissions 903 (310) (2) -- 591
Incentive compensation
and employee benefits* 2,046 (919) (27) -- 1,100
Agency and other
professional service fees 343 -- (2) -- 341
Communication and data
services 172 (53) -- -- 119
Occupancy, net 165 (35) -- -- 130
Furniture and equipment 189 (33) -- -- 156
Travel and entertainment 98 (48) -- -- 50
Provision for policyholder
benefits 114 -- -- -- 114
Other 424 259 (100) (14) 569
Restructuring charge 459 -- (9) -- 450
Total noninterest
expenses 4,913 (1,139) (140) (14) 3,620
Income (loss) before
income taxes (1,503) 911 (336) 233 (695)
Income taxes 43 249
NET INCOME (LOSS) $(1,546) $ (944)
</TABLE>
* Includes charges of approximately $1.1 billion in change-in-control related
costs.
** Includes results of operations of BTAB and BTI through the transfer date,
June 5, 1999 and includes results of operations of BTAL through the sale
date, August 31, 1999.
See Notes to Unaudited Pro Forma Condensed Financial Statements.
<PAGE>
BANKERS TRUST CORPORATION
NOTES TO UNAUDITED PRO FORMA CONDENSED FINANCIAL STATEMENTS
(a) Elimination of BTH's third-party amounts from BT's historical consolidated
financial statements.
(b) Adjustment to record BTH intercompany amounts as revenue or expense, as
applicable. Intercompany amounts were eliminated in BT's historical
consolidated financial statements.
(c) Amounts represent the elimination of BTAB's, BTI's and BTAL's third-party
amounts from BT's historical consolidated financial statements and
adjustments to record BTAB, BTI and BTAL intercompany amounts as
third-party revenue or expense, as applicable. Intercompany amounts were
eliminated in BT's historical consolidated financial statements.
(d) Pro forma amounts reflect the gain on the transfer of BTH and the gain on
the sale of BTAL, as applicable.
