2015 Net Income of $23.0 Billion; Diluted EPS of $4.15

SAN FRANCISCO--(BUSINESS WIRE)-- Wells Fargo & Company (NYSE: WFC):

• Full year 2015:
  • Net income of $23.0 billion, consistent with 2014
  • Diluted earnings per share (EPS) of $4.15, up 1 percent
  • Revenue of $86.1 billion, up 2 percent
  • Pre-tax pre-provision profit1 of $36.3 billion, up 3 percent
  • Return on assets (ROA) of 1.32 percent and return on equity (ROE) of 12.68 percent
  • Returned $12.6 billion to shareholders through dividends and net share repurchases
• Fourth quarter 2015:
  • Net income of $5.7 billion, stable compared with fourth quarter 2014
  • Diluted EPS of $1.03, up 1 percent
  • Revenue of $21.6 billion, up 1 percent
  • Pre-tax pre-provision profit1 of $9.2 billion, up 4 percent
  • ROA of 1.27 percent and ROE of 12.23 percent
  • Total average loans of $912.3 billion, up $62.9 billion, or 7 percent
  • Total average deposits of $1.2 trillion, up $67.0 billion, or 6 percent
  • Net charge-off rate of 0.36 percent (annualized), up from 0.34 percent
  • Nonaccrual loans down $1.5 billion, or 11 percent
  • No reserve build or release2, compared with a $250 million release in fourth quarter 2014
  • Common Equity Tier 1 ratio (fully phased-in) of 10.7 percent3
  • Period-end common shares outstanding down 16.3 million from third quarter 2015

Endnotes can be found at end of release text.

Selected Financial Information
		Quarter ended										Year ended Dec. 31,
		Dec 31, 2015				Sep 30,2015			Dec 31,2014			2015			2014
Earnings
Diluted earnings per common share		$	1.03			1.05			1.02			4.15			4.10
Wells Fargo net income (in billions)			5.71			5.80			5.71			23.03			23.06
Return on assets (ROA)			1.27	%		1.32			1.36			1.32			1.45
Return on equity (ROE)			12.23			12.62			12.84			12.68			13.41
Asset Quality
Net charge-offs (annualized) as a % of average total loans			0.36	%		0.31			0.34			0.33			0.35
Allowance for credit losses as a % of total loans			1.37			1.39			1.53			1.37			1.53
Allowance for credit losses as a % of annualized net charge-offs			380			450			452			433			447
Other
Revenue (in billions)		$	21.6			21.9			21.4			86.1			84.3
Efficiency ratio			57.4	%		56.7			59.0			57.8			58.1
Average loans (in billions)		$	912.3			895.1			849.4			885.4			834.4
Average deposits (in billions)			1,216.8			1,198.9			1,149.8			1,194.1			1,114.1
Net interest margin			2.92	%		2.96			3.04			2.95			3.11

Wells Fargo & Company (NYSE: WFC) reported diluted earnings per common share of $4.15 for 2015, compared with $4.10 in 2014. Full year net income was $23.0 billion, compared with $23.1 billion in 2014. For fourth quarter 2015, net income was $5.7 billion, or $1.03 per share, compared with $5.7 billion, or $1.02 per share, for fourth quarter 2014, and $5.8 billion, or $1.05 per share, for third quarter 2015.

Chairman and CEO John Stumpf said, “Full year and fourth quarter 2015 results demonstrated the benefit of our diversified business model as we again generated strong financial results, maintained our risk discipline and continued to invest across the company for future growth. We remained focused on the building blocks of long-term shareholder value, with continued growth in loans, deposits and capital. For the 5th consecutive year, we returned more capital to shareholders than the prior year. I am proud of the dedication of our team members and their focus on helping our customers succeed financially."

Chief Financial Officer John Shrewsberry added, “Our performance in the fourth quarter reflected a continuation of the solid results we generated all year and the ability of our diversified business model to perform consistently across cycles. Compared with the prior quarter, we increased deposits and grew both commercial and consumer loans, while maintaining our credit and pricing discipline. Net interest income increased as we benefited from broad-based earning asset growth, and fee income remained diversified. We continued to have strong liquidity and capital levels, and our net payout ratio4 was stable at 59 percent."

Net Interest Income

Net interest income in the fourth quarter increased $131 million from third quarter 2015 to $11.6 billion, largely driven by growth in earning assets. Income from variable sources, including periodic dividends, loan recoveries and fees included in interest income, also increased in the quarter. Net interest income also benefited modestly from the increase in short-term interest rates late in the quarter. These benefits to net interest income were partially offset by reduced income from seasonally lower balances of mortgages held-for-sale and increased interest expense from higher debt balances.

Net interest margin was 2.92 percent, down 4 basis points from third quarter 2015. Income from variable sources improved the net interest margin by approximately 2 basis points linked-quarter, but was more than offset by customer-driven deposit growth, which had a minimal impact to net interest income but was dilutive to the net interest margin by 3 basis points. All other growth, mix and repricing reduced the margin by 3 basis points, largely driven by increased debt balances, including funding raised in anticipation of closing the previously announced acquisitions of certain commercial lending businesses and assets from GE Capital.

Noninterest Income

Noninterest income in the fourth quarter was $10.0 billion, compared with $10.4 billion in third quarter 2015, down due to lower equity investment gains, which were elevated in the third quarter. Noninterest income benefited from higher debt securities gains, trading income (reflecting higher deferred compensation plan investment results which were largely offset in employee benefits expense), commercial real estate brokerage fees, mortgage banking, investment banking, card fees and insurance fees.

Mortgage banking noninterest income was $1.7 billion, up $71 million from third quarter, primarily driven by higher net servicing income. During the fourth quarter, residential mortgage loan originations were $47 billion, down $8 billion linked quarter on seasonality. The production margin on residential held-for-sale mortgage loan originations5 was 1.83 percent, compared with 1.88 percent in third quarter. Net mortgage servicing rights (MSRs) results were $417 million, compared with $253 million in third quarter 2015.

Noninterest Expense

Noninterest expense in the fourth quarter was $12.4 billion, stable compared with third quarter 2015. Fourth quarter expenses included typically higher equipment, outside professional services and advertising, as well as an increase in deferred compensation expense (included in employee benefits expense and largely offset in revenue). These higher expenses were offset by lower operating losses, commissions and incentive compensation, as well as lower charitable donations, which were elevated in the third quarter due to a $126 million contribution to the Wells Fargo Foundation. Foreclosed asset expense also declined in the quarter, driven primarily by commercial real estate recoveries. The efficiency ratio was 57.4 percent in fourth quarter 2015, compared with 56.7 percent in the prior quarter. The Company expects to operate at the higher end of its targeted efficiency ratio range of 55 to 59 percent for full year 2016.

Loans

Total loans were $916.6 billion at December 31, 2015, up $13.3 billion from September 30, 2015. Fourth quarter loan growth was broad-based across all portfolios (other than real estate 1-4 family junior lien mortgages) and did not include any loan portfolio acquisitions. Core loan growth was $15.4 billion, or 2 percent, as non-strategic/liquidating portfolios declined $2.1 billion in the quarter. Total average loans were $912.3 billion in the fourth quarter, up $17.2 billion from the prior quarter.

		December 31, 2015										September 30, 2015
(in millions)		Core				Non-strategic and liquidating (a)			Total			Core			Non-strategic and liquidating			Total
Commercial		$	456,115			468			456,583			446,832			506			447,338
Consumer			408,489			51,487			459,976			402,363			53,532			455,895
Total loans		$	864,604			51,955			916,559			849,195			54,038			903,233
Change from prior quarter:		$	15,409			(2,083	)		13,326			17,095			(2,321	)		14,774
(a) See table on page 32 for additional information on non-strategic/liquidating loan portfolios. Management believes that the above information provides useful disclosure regarding the Company’s ongoing loan portfolios.

Investment Securities

Investment securities were $347.6 billion at December 31, 2015, up $2.5 billion from third quarter. The Company purchased approximately $25 billion of securities (mostly federal agency mortgage-backed securities and U.S. Treasury securities), which were offset by maturities, amortization and sales.

Net unrealized available-for-sale securities gains of $3.0 billion at December 31, 2015, declined from $4.9 billion at September 30, 2015, primarily due to rising rates and realized gains on debt and equity securities.

Deposits

Total average deposits for fourth quarter 2015 were $1.2 trillion, up 6 percent from a year ago, driven by both commercial and consumer growth. The average deposit cost for fourth quarter 2015 was 8 basis points, which was down 1 basis point from a year ago and unchanged from the prior quarter. The increase in deposits reflected strong account growth as the number of primary consumer checking customers6 increased 5.6 percent year-over-year7 and primary small business and business banking checking customers6 increased 4.8 percent year-over-year7.

Capital

Capital levels remained strong in the fourth quarter, with Common Equity Tier 1 (fully phased-in) of $142.5 billion, or 10.7 percent3. In fourth quarter 2015, the Company purchased 27.0 million shares of its common stock and entered into a $500 million forward repurchase transaction for an additional 9.2 million shares which settled early in first quarter 2016. The Company paid a quarterly common stock dividend of $0.375 per share, up from $0.35 per share a year ago.

Credit Quality

“The trend of strong credit results continued in the fourth quarter," said Chief Risk Officer Mike Loughlin. "The quarterly loss rate (annualized) remained low at 0.36 percent and nonperforming assets declined by $497 million, or 15 percent (annualized), from the prior quarter. The allowance for credit losses in the fourth quarter was stable (no reserve build or release) as continued credit quality improvements in the residential real estate portfolio were offset by higher commercial reserves reflecting continued deterioration within the energy sector. Future allowance levels may increase or decrease based on a variety of factors, including loan growth, portfolio performance and general economic conditions.”

Net Loan Charge-offs

The quarterly loss rate (annualized) of 0.36 percent reflected commercial losses of 0.16 percent and consumer losses of 0.56 percent. Credit losses were $831 million in fourth quarter 2015, compared with $703 million in the third quarter, mainly due to $90 million in higher oil and gas portfolio losses, as well as seasonal increases in the non-real estate consumer portfolios.

Net Loan Charge-Offs
		Quarter ended
		December 31, 2015							September 30, 2015							June 30, 2015
($ in millions)		Net loan charge- offs				As a % of average loans (a)			Net loan charge- offs				As a % of average loans (a)			Net loan charge- offs				As a % of average loans (a)
Commercial:
Commercial and industrial		$	215			0.29	%		$	122			0.17	%		$	81			0.12	%
Real estate mortgage			(19	)		(0.06	)			(23	)		(0.08	)			(15	)		(0.05	)
Real estate construction			(10	)		(0.18	)			(8	)		(0.15	)			(6	)		(0.11	)
Lease financing			1			0.01				3			0.11				2			0.06
Total commercial			187			0.16				94			0.08				62			0.06
Consumer:
Real estate 1-4 family first mortgage			50			0.07				62			0.09				67			0.10
Real estate 1-4 family junior lien mortgage			70			0.52				89			0.64				94			0.66
Credit card			243			2.93				216			2.71				243			3.21
Automobile			135			0.90				113			0.76				68			0.48
Other revolving credit and installment			146			1.49				129			1.35				116			1.26
Total consumer			644			0.56				609			0.53				588			0.53
Total		$	831			0.36	%		$	703			0.31	%		$	650			0.30	%
(a) Quarterly net charge-offs as a percentage of average loans are annualized. See explanation on page 31 of the accounting for purchased credit-impaired (PCI) loans and the impact on selected financial ratios.

Nonperforming Assets

Nonperforming assets declined by $497 million from third quarter 2015 to $12.8 billion. Nonaccrual loans decreased $155 million to $11.4 billion driven by improvements in commercial and consumer real estate portfolios, partially offset by an increase in commercial and industrial nonaccrual loans, primarily related to deterioration in the oil and gas portfolio. Foreclosed assets were $1.4 billion, down from $1.8 billion in third quarter 2015.

Nonperforming Assets (Nonaccrual Loans and Foreclosed Assets)
		December 31, 2015							September 30, 2015							June 30, 2015
($ in millions)		Total balances				As a % of total loans			Total balances				As a % of total loans			Total balances				As a % of total loans
Commercial:
Commercial and industrial		$	1,363			0.45	%		$	1,031			0.35	%		$	1,079			0.38	%
Real estate mortgage			969			0.79				1,125			0.93				1,250			1.04
Real estate construction			66			0.30				151			0.70				165			0.77
Lease financing			26			0.21				29			0.24				28			0.23
Total commercial			2,424			0.53				2,336			0.52				2,522			0.58
Consumer:
Real estate 1-4 family first mortgage			7,293			2.66				7,425			2.74				8,045			3.00
Real estate 1-4 family junior lien mortgage			1,495			2.82				1,612			2.95				1,710			3.04
Automobile			121			0.20				123			0.21				126			0.22
Other revolving credit and installment			49			0.13				41			0.11				40			0.11
Total consumer			8,958			1.95				9,201			2.02				9,921			2.20
Total nonaccrual loans			11,382			1.24				11,537			1.28				12,443			1.40
Foreclosed assets:
Government insured/guaranteed			446							502							588
Non-government insured/guaranteed			979							1,265							1,370
Total foreclosed assets			1,425							1,767							1,958
Total nonperforming assets		$	12,807			1.40	%		$	13,304			1.47	%		$	14,401			1.62	%
Change from prior quarter:
Total nonaccrual loans		$	(155	)					$	(906	)					$	(67	)
Total nonperforming assets			(497	)						(1,097	)						(438	)

Loans 90 Days or More Past Due and Still Accruing

Loans 90 days or more past due and still accruing (excluding government insured/guaranteed) totaled $981 million at December 31, 2015, up from $872 million at September 30, 2015. Loans 90 days or more past due and still accruing with repayments insured by the Federal Housing Administration (FHA) or predominantly guaranteed by the Department of Veterans Affairs (VA) for mortgage loans and the U.S. Department of Education for student loans under the Federal Family Education Loan Program were $13.4 billion at December 31, 2015, down from $13.5 billion at September 30, 2015.

Allowance for Credit Losses

The allowance for credit losses, including the allowance for unfunded commitments, totaled $12.5 billion at December 31, 2015, compared with $12.6 billion at September 30, 2015. The allowance coverage for total loans was 1.37 percent, compared with 1.39 percent in third quarter 2015. The allowance covered 3.8 times annualized fourth quarter net charge-offs, compared with 4.5 times in the prior quarter. The allowance coverage for nonaccrual loans was 110 percent at December 31, 2015, compared with 109 percent at September 30, 2015. “We believe the allowance was appropriate for losses inherent in the loan portfolio at December 31, 2015,” said Loughlin.

Business Segment Performance

Wells Fargo defines its operating segments by product type and customer segment. Effective fourth quarter 2015, we realigned our business banking and merchant payment services businesses from Community Banking to Wholesale Banking. Results for these operating segments were revised for prior periods to reflect the impact of this realignment. Segment net income for each of the three business segments was:

		Quarter ended
(in millions)		Dec 31, 2015				Sep 30,2015			Dec 31,2014
Community Banking		$	3,303			3,560			3,333
Wholesale Banking			2,104			1,925			2,095
Wealth and Investment Management			595			606			519

Community Banking offers a complete line of diversified financial products and services for consumers and small businesses including checking and savings accounts, credit and debit cards, and auto, student, and small business lending. Community Banking also offers investment, insurance and trust services in 39 states and D.C., and mortgage and home equity loans in all 50 states and D.C. through its Regional Banking and Wells Fargo Home Lending business units.

Selected Financial Information
		Quarter ended
(in millions)		Dec 31, 2015				Sep 30,2015			Dec 31,2014
Total revenue		$	12,330			12,933			12,158
Provision for credit losses			704			668			506
Noninterest expense			6,693			6,778			6,827
Segment net income			3,303			3,560			3,333
(in billions)
Average loans			482.2			477.0			469.6
Average assets			921.4			898.9			891.2
Average deposits			663.7			655.6			629.4

Community Banking reported net income of $3.3 billion, down $257 million, or 7 percent, from third quarter 2015. Revenue of $12.3 billion decreased $603 million, or 5 percent, from third quarter 2015 due to lower equity investment gains and lower other income, partially offset by gains on deferred compensation plan investments (offset in employee benefits expense) and higher gains on sales of debt securities. Noninterest expense decreased $85 million, or 1 percent, due to a donation to the Wells Fargo Foundation in the prior quarter, as well as lower operating losses, partially offset by higher deferred compensation plan expense (offset in trading revenue), project-related expense, and advertising costs. The provision for credit losses increased $36 million from the prior quarter primarily due to higher net charge-offs.

Net income was down $30 million, or 1 percent, from fourth quarter 2014. Revenue was up $172 million, or 1 percent, compared with a year ago due to higher net interest income, market sensitive revenue, primarily equity investment gains and gains on sale of debt securities, mortgage banking fees, deposit service charges, debit and credit card fees, and trust and investment fees, partially offset by a gain on sale of government guaranteed student loans in the prior year. Noninterest expense decreased $134 million, or 2 percent, from a year ago driven by lower foreclosed assets expense, partially offset by higher equipment expenses and operating losses. The provision for credit losses increased $198 million from a year ago as the $48 million improvement in net charge-offs was more than offset by the absence of a reserve release in fourth quarter 2015.

Regional Banking

• Retail Banking
  • Primary consumer checking customers6 up 5.6 percent year-over-year7
  • Debit card purchase volume8 of $73 billion in fourth quarter, up 8 percent year-over-year
  • Retail Bank household cross-sell ratio9 of 6.11 products per household, compared with 6.17 year-over-year7
  • Customers rated their overall experience, satisfaction with visit, and loyalty with Wells Fargo stores at all-time highs based on fourth quarter 2015 survey results

• Online and Mobile Banking
  • 26.4 million active online customers, up 7 percent year-over-year7
  • 16.2 million active mobile customers, up 14 percent year-over-year7

Consumer Lending Group

• Home Lending
  • Originations of $47 billion, down from $55 billion in prior quarter
  • Applications of $64 billion, down from $73 billion in prior quarter
  • Application pipeline of $29 billion at quarter end, down from $34 billion at September 30, 2015
• Consumer Credit
  • Credit card purchase volume of $19 billion in fourth quarter, up 12 percent year-over-year
  • Credit card penetration in retail banking households rose to 43.4 percent, up from 41.5 percent in prior year
  • Highest ranking (A- grade) in Corporate Insight assessment of credit card issuer rewards redemption options (December 2015)
  • Auto originations of $7.6 billion in fourth quarter, down 9 percent from prior quarter and up 13 percent from prior year

Wholesale Banking provides financial solutions to businesses across the United States and globally with annual sales generally in excess of $5 million. Products and businesses include Business Banking, Middle Market Commercial Banking, Government and Institutional Banking, Corporate Banking, Commercial Real Estate, Treasury Management, Wells Fargo Capital Finance, Insurance, International, Real Estate Capital Markets, Commercial Mortgage Servicing, Corporate Trust, Equipment Finance, Wells Fargo Securities, Principal Investments and Asset Backed Finance.

Selected Financial Information
		Quarter ended
(in millions)		Dec 31, 2015				Sep 30,2015			Dec 31,2014
Total revenue		$	6,559			6,326			6,532
Provision (reversal of provision) for credit losses			126			36			(33	)
Noninterest expense			3,491			3,503			3,533
Segment net income			2,104			1,925			2,095
(in billions)
Average loans			417.0			405.6			369.0
Average assets			755.4			739.1			668.8
Average deposits			449.3			442.0			424.0

Wholesale Banking reported net income of $2.1 billion, up $179 million, or 9 percent, from third quarter 2015. Revenue of $6.6 billion increased $233 million, or 4 percent, from prior quarter. Net interest income increased $100 million, or 3 percent, primarily from broad based loan growth. Noninterest income increased $133 million, or 5 percent, on strong results in commercial real estate related businesses with growth in commercial real estate brokerage, multi-family capital, structured real estate and community lending, as well as higher investment banking fees, equity fund investments gains and crop insurance underwriting gains, partially offset by lower customer accommodation trading revenue. Noninterest expense decreased $12 million as higher variable compensation expenses were more than offset by lower operating losses and foreclosed assets expense. The provision for credit losses increased $90 million from prior quarter due to increased loan losses primarily related to the oil and gas portfolio.

Net income was up $9 million from fourth quarter 2014. Revenue increased $27 million from fourth quarter 2014, on $78 million, or 2 percent, growth in net interest income related to strong loan and deposit growth, offset by a $51 million, or 2 percent, decline in noninterest income. Noninterest income declined as higher commercial real estate brokerage, structured real estate, and multi-family capital results as well as increased equity fund investment gains and higher crop insurance underwriting gains were offset by lower customer accommodation trading revenues, energy portfolio write-downs and lower investment banking fees. Noninterest expense increased $42 million, or 1 percent, from a year ago primarily due to higher personnel expenses related to growth initiatives, compliance, and regulatory requirements. The provision for credit losses increased $159 million from a year ago due to increased loan losses primarily related to the oil and gas portfolio.

• Average loans increased 13 percent from fourth quarter 2014, on broad-based growth, including asset-backed finance, commercial banking, commercial real estate, corporate banking, equipment finance, and structured real estate
• Cross-sell of 7.3 products per relationship, up 0.1 from fourth quarter 201410
• Treasury management revenue up 7 percent from fourth quarter 2014
• Wells Fargo Treasury Management Services' Wholesale Lockbox Network ranked as fastest in the United States11

Wealth and Investment Management (formerly Wealth, Brokerage and Retirement) provides a full range of personalized wealth management, investment and retirement products and services to clients across U.S. based businesses including Wells Fargo Advisors, The Private Bank, Abbot Downing, Wells Fargo Institutional Retirement and Trust, and Wells Fargo Asset Management. We deliver financial planning, private banking, credit, investment management and fiduciary services to high-net worth and ultra-high-net worth individuals and families. We also serve customers’ brokerage needs, supply retirement and trust services to institutional clients and provide investment management capabilities delivered to global institutional clients through separate accounts and the Wells Fargo Funds.

Selected Financial Information
		Quarter ended
(in millions)		Dec 31, 2015				Sep 30,2015			Dec 31,2014
Total revenue		$	3,947			3,878			3,913
Provision (reversal of provision) for credit losses			(6	)		(6	)		8
Noninterest expense			2,998			2,909			3,066
Segment net income			595			606			519
(in billions)
Average loans			63.0			61.1			54.8
Average assets			197.9			192.6			188.2
Average deposits			177.9			172.6			165.5

Wealth and Investment Management (WIM) reported net income of $595 million, down $11 million, or 2 percent, from third quarter 2015. Revenue of $3.9 billion increased $69 million, or 2 percent, from the prior quarter, primarily from higher gains on deferred compensation plan investments (offset in employee benefits expense) and higher net interest income, partially offset by lower asset-based fees. Noninterest expense increased $89 million, or 3 percent, from the prior quarter, primarily due to higher deferred compensation plan expense, partially offset by lower broker commissions. The provision for credit losses was flat from third quarter 2015.

Net income was up $76 million, or 15 percent, from fourth quarter 2014. Revenue increased $34 million, or 1 percent, from a year ago on growth in net interest income, partially offset by lower asset-based fees. Noninterest expense decreased $68 million, or 2 percent, from a year ago, due to lower broker commissions, as well as lower non-personnel expenses. The provision for credit losses decreased $14 million from a year ago.

Retail Brokerage

• Client assets of $1.4 trillion, down 2 percent from prior year
• Managed account assets of $420 billion, down 1 percent from prior year, as lower market valuations were partially offset by net flows
• Strong loan growth, with average balances up 24 percent from prior year largely due to continued growth in non-conforming mortgage loans and security-based lending

Wealth Management

• Client assets of $225 billion, flat from prior year
• Average loan balances up 11 percent over prior year primarily driven by continued growth in non-conforming mortgage loans, commercial loans and security-based lending

Retirement

• IRA assets of $354 billion, down 2 percent from prior year
• Institutional Retirement plan assets of $334 billion, down 2 percent from prior year

Asset Management

• Total assets under management of $490 billion, down $6 billion from fourth quarter 2014 as equity outflows and lower market valuations were partially offset by fixed income net client inflows

Brokerage and Wealth cross-sell ratio of 10.55 products per household, up from 10.49 a year ago7

Conference Call

The Company will host a live conference call on Friday, January 15, at 7 a.m. PT (10 a.m. ET). You may participate by dialing 866-872-5161 (U.S. and Canada) or 706-643-1962 (International). The call will also be available online at https://www.wellsfargo.com/about/investor-relations/quarterly-earnings/ and at https://engage.vevent.com/rt/wells_fargo_ao~011516.

A replay of the conference call will be available beginning at 10 a.m. PT (1 p.m. ET) on Friday, January 15 through Sunday, January 24. Please dial 855-859-2056 (U.S. and Canada) or 404-537-3406 (International) and enter Conference ID #29684900. The replay will also be available online at https://www.wellsfargo.com/about/investor-relations/quarterly-earnings/ and at https://engage.vevent.com/rt/wells_fargo_ao~011516.

Endnotes
1		Pre-tax pre-provision profit (PTPP) is total revenue less noninterest expense. Management believes that PTPP is a useful financial measure because it enables investors and others to assess the Company’s ability to generate capital to cover credit losses through a credit cycle.
2		Reserve release represents the amount by which net charge-offs exceed the provision for credit losses.
3		See table on page 35 for more information on Common Equity Tier 1. Common Equity Tier 1 (fully phased-in) is a preliminary estimate and is calculated assuming the full phase-in of the Basel III capital rules.
4		Net payout ratio means the ratio of (i) common stock dividends and share repurchases less issuances and stock compensation-related items, divided by (ii) net income applicable to common stock.
5		Production margin represents net gains on residential mortgage loan origination/sales activities divided by total residential held-for-sale mortgage originations. See the Selected Five Quarter Residential Mortgage Production Data table on page 40 for more information.
6		Customers who actively use their checking account with transactions such as debit card purchases, online bill payments, and direct deposit.
7		Data as of November 2015, comparisons with November 2014.
8		Combined consumer and business debit card purchase volume dollars.
9		November 2015 Retail Bank household cross-sell ratio includes the impact of the sale of government guaranteed student loans in fourth quarter 2014.
10		Cross-sell reported on a one-quarter lag and does not reflect Business Banking relationships. Business Banking realigned from Community Banking to Wholesale Banking effective fourth quarter 2015.
11		Based on the 2015 Fall Phoenix-Hecht Mail Study. Phoenix-Hecht network rankings use all provider surveyed sites with an assumed locally disbursed check sample.

Forward-Looking Statements

This document contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. In addition, we may make forward-looking statements in our other documents filed or furnished with the SEC, and our management may make forward-looking statements orally to analysts, investors, representatives of the media and others. Forward-looking statements can be identified by words such as “anticipates,” “intends,” “plans,” “seeks,” “believes,” “estimates,” “expects,” “target,” “projects,” “outlook,” “forecast,” “will,” “may,” “could,” “should,” “can” and similar references to future periods. In particular, forward-looking statements include, but are not limited to, statements we make about: (i) the future operating or financial performance of the Company, including our outlook for future growth; (ii) our noninterest expense and efficiency ratio; (iii) future credit quality and performance, including our expectations regarding future loan losses and allowance levels; (iv) the appropriateness of the allowance for credit losses; (v) our expectations regarding net interest income and net interest margin; (vi) loan growth or the reduction or mitigation of risk in our loan portfolios; (vii) future capital levels or targets and our estimated Common Equity Tier 1 ratio under Basel III capital standards; (viii) the performance of our mortgage business and any related exposures; (ix) the expected outcome and impact of legal, regulatory and legislative developments, as well as our expectations regarding compliance therewith; (x) future common stock dividends, common share repurchases and other uses of capital; (xi) our targeted range for return on assets and return on equity; (xii) the outcome of contingencies, such as legal proceedings; and (xiii) the Company’s plans, objectives and strategies.

Forward-looking statements are not based on historical facts but instead represent our current expectations and assumptions regarding our business, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. Our actual results may differ materially from those contemplated by the forward-looking statements. We caution you, therefore, against relying on any of these forward-looking statements. They are neither statements of historical fact nor guarantees or assurances of future performance. While there is no assurance that any list of risks and uncertainties or risk factors is complete, important factors that could cause actual results to differ materially from those in the forward-looking statements include the following, without limitation:

• current and future economic and market conditions, including the effects of declines in housing prices, high unemployment rates, U.S. fiscal debt, budget and tax matters, geopolitical matters, and the overall slowdown in global economic growth;
• our capital and liquidity requirements (including under regulatory capital standards, such as the Basel III capital standards) and our ability to generate capital internally or raise capital on favorable terms;
• financial services reform and other current, pending or future legislation or regulation that could have a negative effect on our revenue and businesses, including the Dodd-Frank Act and other legislation and regulation relating to bank products and services;
• the extent of our success in our loan modification efforts, as well as the effects of regulatory requirements or guidance regarding loan modifications;
• the amount of mortgage loan repurchase demands that we receive and our ability to satisfy any such demands without having to repurchase loans related thereto or otherwise indemnify or reimburse third parties, and the credit quality of or losses on such repurchased mortgage loans;
• negative effects relating to our mortgage servicing and foreclosure practices, as well as changes in industry standards or practices, regulatory or judicial requirements, penalties or fines, increased servicing and other costs or obligations, including loan modification requirements, or delays or moratoriums on foreclosures;
• our ability to realize our efficiency ratio target as part of our expense management initiatives, including as a result of business and economic cyclicality, seasonality, changes in our business composition and operating environment, growth in our businesses and/or acquisitions, and unexpected expenses relating to, among other things, litigation and regulatory matters;
• the effect of the current low interest rate environment or changes in interest rates on our net interest income, net interest margin and our mortgage originations, mortgage servicing rights and mortgages held for sale;
• significant turbulence or a disruption in the capital or financial markets, which could result in, among other things, reduced investor demand for mortgage loans, a reduction in the availability of funding or increased funding costs, and declines in asset values and/or recognition of other-than-temporary impairment on securities held in our investment securities portfolio;
• the effect of a fall in stock market prices on our investment banking business and our fee income from our brokerage, asset and wealth management businesses;
• reputational damage from negative publicity, protests, fines, penalties and other negative consequences from regulatory violations and legal actions;
• a failure in or breach of our operational or security systems or infrastructure, or those of our third party vendors or other service providers, including as a result of cyber attacks;
• the effect of changes in the level of checking or savings account deposits on our funding costs and net interest margin;
• fiscal and monetary policies of the Federal Reserve Board; and
• the other risk factors and uncertainties described under “Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2014.

In addition to the above factors, we also caution that the amount and timing of any future common stock dividends or repurchases will depend on the earnings, cash requirements and financial condition of the Company, market conditions, capital requirements (including under Basel capital standards), common stock issuance requirements, applicable law and regulations (including federal securities laws and federal banking regulations), and other factors deemed relevant by the Company’s Board of Directors, and may be subject to regulatory approval or conditions.

For more information about factors that could cause actual results to differ materially from our expectations, refer to our reports filed with the Securities and Exchange Commission, including the discussion under “Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2014, as filed with the Securities and Exchange Commission and available on its website at www.sec.gov.

Any forward-looking statement made by us speaks only as of the date on which it is made. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. We undertake no obligation to publicly update any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by law.

About Wells Fargo

Wells Fargo & Company (NYSE: WFC) is a diversified, community-based financial services company with $1.8 trillion in assets. Founded in 1852 and headquartered in San Francisco, Wells Fargo provides banking, insurance, investments, mortgage, and consumer and commercial finance through 8,700 locations, 13,000 ATMs, the internet (wellsfargo.com) and mobile banking, and has offices in 36 countries to support customers who conduct business in the global economy. With approximately 265,000 team members, Wells Fargo serves one in three households in the United States. Wells Fargo & Company was ranked No. 30 on Fortune’s 2015 rankings of America’s largest corporations. Wells Fargo’s vision is to satisfy our customers’ financial needs and help them succeed financially.

Wells Fargo & Company and Subsidiaries
QUARTERLY FINANCIAL DATA
TABLE OF CONTENTS
		Pages
Summary Information
Summary Financial Data		16
Income
Consolidated Statement of Income		18
Consolidated Statement of Comprehensive Income		20
Condensed Consolidated Statement of Changes in Total Equity		20
Average Balances, Yields and Rates Paid (Taxable-Equivalent Basis)		21
Five Quarter Average Balances, Yields and Rates Paid (Taxable-Equivalent Basis)		22
Noninterest Income and Noninterest Expense		24
Balance Sheet
Consolidated Balance Sheet		26
Investment Securities		28
Loans
Loans		28
Nonperforming Assets		29
Loans 90 Days or More Past Due and Still Accruing		30
Purchased Credit-Impaired Loans		31
Pick-A-Pay Portfolio		32
Non-Strategic and Liquidating Loan Portfolios		32
Changes in Allowance for Credit Losses		33
Equity
Common Equity Tier 1 Under Basel III		35
Operating Segments
Operating Segment Results		36
Other
Mortgage Servicing and other related data		38

Wells Fargo & Company and Subsidiaries
SUMMARY FINANCIAL DATA
			Quarter ended													% ChangeDec 31, 2015 from								Year ended
($ in millions, except per share amounts)			Dec 31, 2015					Sep 30,2015				Dec 31,2014				Sep 30,2015				Dec 31,2014				Dec 31, 2015					Dec 31,2014				%Change
For the Period
Wells Fargo net income			$	5,709				5,796				5,709				(2	)%			—				$	23,028				23,057				—	%
Wells Fargo net income applicable to common stock				5,337				5,443				5,382				(2	)			(1	)				21,604				21,821				(1	)
Diluted earnings per common share				1.03				1.05				1.02				(2	)			1					4.15				4.10				1
Profitability ratios (annualized):
Wells Fargo net income to average assets (ROA)				1.27	%			1.32				1.36				(4	)			(7	)				1.32				1.45				(9	)
Wells Fargo net income applicable to common stock to average Wells Fargo common stockholders’ equity (ROE)				12.23				12.62				12.84				(3	)			(5	)				12.68				13.41				(5	)
Efficiency ratio (1)				57.4				56.7				59.0				1				(3	)				57.8				58.1				(1	)
Total revenue			$	21,586				21,875				21,443				(1	)			1				$	86,057				84,347				2
Pre-tax pre-provision profit (PTPP) (2)				9,187				9,476				8,796				(3	)			4					36,283				35,310				3
Dividends declared per common share				0.375				0.375				0.35				—				7					1.475				1.35				9
Average common shares outstanding				5,108.5				5,125.8				5,192.5				—				(2	)				5,136.5				5,237.2				(2	)
Diluted average common shares outstanding				5,177.9				5,193.8				5,279.2				—				(2	)				5,209.8				5,324.4				(2	)
Average loans			$	912,280				895,095				849,429				2				7				$	885,432				834,432				6
Average assets				1,787,287				1,746,402				1,663,760				2				7					1,742,919				1,593,349				9
Average total deposits				1,216,809				1,198,874				1,149,796				1				6					1,194,073				1,114,144				7
Average consumer and small business banking deposits (3)				696,484				683,245				648,659				2				7					680,221				639,196				6
Net interest margin				2.92	%			2.96				3.04				(1	)			(4	)				2.95				3.11				(5	)
At Period End
Investment securities			$	347,555				345,074				312,925				1				11				$	347,555				312,925				11
Loans				916,559				903,233				862,551				1				6					916,559				862,551				6
Allowance for loan losses				11,545				11,659				12,319				(1	)			(6	)				11,545				12,319				(6	)
Goodwill				25,529				25,684				25,705				(1	)			(1	)				25,529				25,705				(1	)
Assets				1,787,632				1,751,265				1,687,155				2				6					1,787,632				1,687,155				6
Deposits				1,223,312				1,202,179				1,168,310				2				5					1,223,312				1,168,310				5
Common stockholders' equity				172,170				172,089				166,433				—				3					172,170				166,433				3
Wells Fargo stockholders’ equity				193,132				193,051				184,394				—				5					193,132				184,394				5
Total equity				194,025				194,043				185,262				—				5					194,025				185,262				5
Common shares outstanding				5,092.1				5,108.5				5,170.3				—				(2	)				5,092.1				5,170.3				(2	)
Book value per common share (4)			$	33.81				33.69				32.19				—				5				$	33.81				32.19				5
Common stock price:
High				56.34				58.77				55.95				(4	)			1					58.77				55.95				5
Low				49.51				47.75				46.44				4				7					47.75				44.17				8
Period end				54.36				51.35				54.82				6				(1	)				54.36				54.82				(1	)
Team members (active, full-time equivalent)				264,700				265,200				264,500				—				—					264,700				264,500				—
(1) The efficiency ratio is noninterest expense divided by total revenue (net interest income and noninterest income).
(2) Pre-tax pre-provision profit (PTPP) is total revenue less noninterest expense. Management believes that PTPP is a useful financial measure because it enables investors and others to assess the Company’s ability to generate capital to cover credit losses through a credit cycle.
(3) Consumer and small business banking deposits are total deposits excluding mortgage escrow and wholesale deposits.
(4) Book value per common share is common stockholders' equity divided by common shares outstanding.

Wells Fargo & Company and Subsidiaries
FIVE QUARTER SUMMARY FINANCIAL DATA
			Quarter ended
($ in millions, except per share amounts)			Dec 31, 2015					Sep 30,2015				Jun 30,2015				Mar 31,2015				Dec 31,2014
For the Quarter
Wells Fargo net income			$	5,709				5,796				5,719				5,804				5,709
Wells Fargo net income applicable to common stock				5,337				5,443				5,363				5,461				5,382
Diluted earnings per common share				1.03				1.05				1.03				1.04				1.02
Profitability ratios (annualized):
Wells Fargo net income to average assets (ROA)				1.27	%			1.32				1.33				1.38				1.36
Wells Fargo net income applicable to common stock to average Wells Fargo common stockholders’ equity (ROE)				12.23				12.62				12.71				13.17				12.84
Efficiency ratio (1)				57.4				56.7				58.5				58.8				59.0
Total revenue			$	21,586				21,875				21,318				21,278				21,443
Pre-tax pre-provision profit (PTPP) (2)				9,187				9,476				8,849				8,771				8,796
Dividends declared per common share				0.375				0.375				0.375				0.35				0.35
Average common shares outstanding				5,108.5				5,125.8				5,151.9				5,160.4				5,192.5
Diluted average common shares outstanding				5,177.9				5,193.8				5,220.5				5,243.6				5,279.2
Average loans			$	912,280				895,095				870,446				863,261				849,429
Average assets				1,787,287				1,746,402				1,729,278				1,707,798				1,663,760
Average total deposits				1,216,809				1,198,874				1,185,304				1,174,793				1,149,796
Average consumer and small business banking deposits (3)				696,484				683,245				674,889				665,896				648,659
Net interest margin				2.92	%			2.96				2.97				2.95				3.04
At Quarter End
Investment securities			$	347,555				345,074				340,769				324,736				312,925
Loans				916,559				903,233				888,459				861,231				862,551
Allowance for loan losses				11,545				11,659				11,754				12,176				12,319
Goodwill				25,529				25,684				25,705				25,705				25,705
Assets				1,787,632				1,751,265				1,720,617				1,737,737				1,687,155
Deposits				1,223,312				1,202,179				1,185,828				1,196,663				1,168,310
Common stockholders' equity				172,170				172,089				169,596				168,834				166,433
Wells Fargo stockholders’ equity				193,132				193,051				189,558				188,796				184,394
Total equity				194,025				194,043				190,676				189,964				185,262
Common shares outstanding				5,092.1				5,108.5				5,145.2				5,162.9				5,170.3
Book value per common share (4)			$	33.81				33.69				32.96				32.70				32.19
Common stock price:
High				56.34				58.77				58.26				56.29				55.95
Low				49.51				47.75				53.56				50.42				46.44
Period end				54.36				51.35				56.24				54.40				54.82
Team members (active, full-time equivalent)				264,700				265,200				265,800				266,000				264,500
(1) The efficiency ratio is noninterest expense divided by total revenue (net interest income and noninterest income).
(2) Pre-tax pre-provision profit (PTPP) is total revenue less noninterest expense. Management believes that PTPP is a useful financial measure because it enables investors and others to assess the Company’s ability to generate capital to cover credit losses through a credit cycle.
(3) Consumer and small business banking deposits are total deposits excluding mortgage escrow and wholesale deposits.
(4) Book value per common share is common stockholders' equity divided by common shares outstanding.

Wells Fargo & Company and Subsidiaries
CONSOLIDATED STATEMENT OF INCOME
			Quarter ended December 31,									%				Year ended December 31,									%
(in millions, except per share amounts)				2015				2014				Change					2015				2014				Change
Interest income
Trading assets			$	558				477				17	%			$	1,971				1,685				17	%
Investment securities				2,323				2,150				8					8,937				8,438				6
Mortgages held for sale				176				187				(6	)				785				767				2
Loans held for sale				5				25				(80	)				19				78				(76	)
Loans				9,323				9,091				3					36,575				35,652				3
Other interest income				258				253				2					990				932				6
Total interest income				12,643				12,183				4					49,277				47,552				4
Interest expense
Deposits				241				269				(10	)				963				1,096				(12	)
Short-term borrowings				13				18				(28	)				64				59				8
Long-term debt				713				620				15					2,592				2,488				4
Other interest expense				88				96				(8	)				357				382				(7	)
Total interest expense				1,055				1,003				5					3,976				4,025				(1	)
Net interest income				11,588				11,180				4					45,301				43,527				4
Provision for credit losses				831				485				71					2,442				1,395				75
Net interest income after provision for credit losses				10,757				10,695				1					42,859				42,132				2
Noninterest income
Service charges on deposit accounts				1,329				1,241				7					5,168				5,050				2
Trust and investment fees				3,511				3,705				(5	)				14,468				14,280				1
Card fees				966				925				4					3,720				3,431				8
Other fees				1,040				1,124				(7	)				4,324				4,349				(1	)
Mortgage banking				1,660				1,515				10					6,501				6,381				2
Insurance				427				382				12					1,694				1,655				2
Net gains from trading activities				99				179				(45	)				614				1,161				(47	)
Net gains on debt securities				346				186				86					952				593				61
Net gains from equity investments				423				372				14					2,230				2,380				(6	)
Lease income				145				127				14					621				526				18
Other				52				507				(90	)				464				1,014				(54	)
Total noninterest income				9,998				10,263				(3	)				40,756				40,820				—
Noninterest expense
Salaries				4,061				3,938				3					15,883				15,375				3
Commission and incentive compensation				2,457				2,582				(5	)				10,352				9,970				4
Employee benefits				1,042				1,124				(7	)				4,446				4,597				(3	)
Equipment				640				581				10					2,063				1,973				5
Net occupancy				725				730				(1	)				2,886				2,925				(1	)
Core deposit and other intangibles				311				338				(8	)				1,246				1,370				(9	)
FDIC and other deposit assessments				258				231				12					973				928				5
Other				2,905				3,123				(7	)				11,925				11,899				—
Total noninterest expense				12,399				12,647				(2	)				49,774				49,037				2
Income before income tax expense				8,356				8,311				1					33,841				33,915				—
Income tax expense				2,599				2,519				3					10,431				10,307				1
Net income before noncontrolling interests				5,757				5,792				(1	)				23,410				23,608				(1	)
Less: Net income from noncontrolling interests				48				83				(42	)				382				551				(31	)
Wells Fargo net income			$	5,709				5,709				—				$	23,028				23,057				—
Less: Preferred stock dividends and other				372				327				14					1,424				1,236				15
Wells Fargo net income applicable to common stock			$	5,337				5,382				(1	)			$	21,604				21,821				(1	)
Per share information
Earnings per common share			$	1.05				1.04				1				$	4.21				4.17				1
Diluted earnings per common share				1.03				1.02				1					4.15				4.10				1
Dividends declared per common share				0.375				0.35				7					1.475				1.35				9
Average common shares outstanding				5,108.5				5,192.5				(2	)				5,136.5				5,237.2				(2	)
Diluted average common shares outstanding				5,177.9				5,279.2				(2	)				5,209.8				5,324.4				(2	)

Wells Fargo & Company and Subsidiaries
FIVE QUARTER CONSOLIDATED STATEMENT OF INCOME
			Quarter ended
(in millions, except per share amounts)			Dec 31, 2015				Sep 30,2015			Jun 30,2015			Mar 31,2015			Dec 31,2014
Interest income
Trading assets			$	558			485			483			445			477
Investment securities				2,323			2,289			2,181			2,144			2,150
Mortgages held for sale				176			223			209			177			187
Loans held for sale				5			4			5			5			25
Loans				9,323			9,216			9,098			8,938			9,091
Other interest income				258			228			250			254			253
Total interest income				12,643			12,445			12,226			11,963			12,183
Interest expense
Deposits				241			232			232			258			269
Short-term borrowings				13			12			21			18			18
Long-term debt				713			655			620			604			620
Other interest expense				88			89			83			97			96
Total interest expense				1,055			988			956			977			1,003
Net interest income				11,588			11,457			11,270			10,986			11,180
Provision for credit losses				831			703			300			608			485
Net interest income after provision for credit losses				10,757			10,754			10,970			10,378			10,695
Noninterest income
Service charges on deposit accounts				1,329			1,335			1,289			1,215			1,241
Trust and investment fees				3,511			3,570			3,710			3,677			3,705
Card fees				966			953			930			871			925
Other fees				1,040			1,099			1,107			1,078			1,124
Mortgage banking				1,660			1,589			1,705			1,547			1,515
Insurance				427			376			461			430			382
Net gains (losses) from trading activities				99			(26	)		133			408			179
Net gains on debt securities				346			147			181			278			186
Net gains from equity investments				423			920			517			370			372
Lease income				145			189			155			132			127
Other				52			266			(140	)		286			507
Total noninterest income				9,998			10,418			10,048			10,292			10,263
Noninterest expense
Salaries				4,061			4,035			3,936			3,851			3,938
Commission and incentive compensation				2,457			2,604			2,606			2,685			2,582
Employee benefits				1,042			821			1,106			1,477			1,124
Equipment				640			459			470			494			581
Net occupancy				725			728			710			723			730
Core deposit and other intangibles				311			311			312			312			338
FDIC and other deposit assessments				258			245			222			248			231
Other				2,905			3,196			3,107			2,717			3,123
Total noninterest expense				12,399			12,399			12,469			12,507			12,647
Income before income tax expense				8,356			8,773			8,549			8,163			8,311
Income tax expense				2,599			2,790			2,763			2,279			2,519
Net income before noncontrolling interests				5,757			5,983			5,786			5,884			5,792
Less: Net income from noncontrolling interests				48			187			67			80			83
Wells Fargo net income			$	5,709			5,796			5,719			5,804			5,709
Less: Preferred stock dividends and other				372			353			356			343			327
Wells Fargo net income applicable to common stock			$	5,337			5,443			5,363			5,461			5,382
Per share information
Earnings per common share			$	1.05			1.06			1.04			1.06			1.04
Diluted earnings per common share				1.03			1.05			1.03			1.04			1.02
Dividends declared per common share				0.375			0.375			0.375			0.35			0.35
Average common shares outstanding				5,108.5			5,125.8			5,151.9			5,160.4			5,192.5
Diluted average common shares outstanding				5,177.9			5,193.8			5,220.5			5,243.6			5,279.2

Wells Fargo & Company and Subsidiaries
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
				Quarter ended Dec 31,									%				Year ended Dec 31,									%
(in millions)				2015					2014				Change				2015					2014				Change
Wells Fargo net income				$	5,709				5,709				—%				$	23,028				23,057				—%
Other comprehensive income (loss), before tax:
Investment securities:
Net unrealized gains (losses) arising during the period				(1,301		)			1,560				NM				(3,318		)			5,426				NM
Reclassification of net gains to net income				(573		)			(327	)			75				(1,530		)			(1,532	)			—
Derivatives and hedging activities:
Net unrealized gains (losses) arising during the period				(684		)			730				NM				1,549					952				63
Reclassification of net gains on cash flow hedges to net income				(294		)			(197	)			49				(1,089		)			(545	)			100
Defined benefit plans adjustments:
Net actuarial losses arising during the period				(501		)			(1,104	)			(55	)			(512		)			(1,116	)			(54)
Amortization of net actuarial loss, settlements and other to net income				11					18				(39	)			114					74				54
Foreign currency translation adjustments:
Net unrealized losses arising during the period				(33		)			(28	)			18				(137		)			(60	)			128
Reclassification of net (gains) losses to net income				(5		)			—				NM				(5		)			6				NM
Other comprehensive income (loss), before tax				(3,380		)			652				NM				(4,928		)			3,205				NM
Income tax (expense) benefit related to other comprehensive income				1,230					(213	)			NM				1,774					(1,300	)			NM
Other comprehensive income (loss), net of tax				(2,150		)			439				NM				(3,154		)			1,905				NM
Less: Other comprehensive income (loss) from noncontrolling interests				(58		)			39				NM				67					(227	)			NM
Wells Fargo other comprehensive income (loss), net of tax				(2,092		)			400				NM				(3,221		)			2,132				NM
Wells Fargo comprehensive income				3,617					6,109				(41	)			19,807					25,189				(21)
Comprehensive income (loss) from noncontrolling interests				(10		)			122				NM				449					324				39
Total comprehensive income				$	3,607				6,231				(42	)			$	20,256				25,513				(21)
NM - Not meaningful

FIVE QUARTER CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN TOTAL EQUITY
				Quarter ended
				Dec 31,					Sep 30,				Jun 30,				Mar 31,				Dec 31,
(in millions)				2015					2015				2015				2015				2014
Balance, beginning of period				$	194,043				190,676				189,964				185,262				182,990
Wells Fargo net income				5,709					5,796				5,719				5,804				5,709
Wells Fargo other comprehensive income (loss), net of tax				(2,092		)			321				(1,709	)			259				400
Noncontrolling interests				(100		)			(123	)			(51	)			301				353
Common stock issued				310					505				502				1,327				508
Common stock repurchased (1)				(1,974		)			(2,137	)			(1,994	)			(2,592	)			(2,945	)
Preferred stock released by ESOP				210					225				349				41				166
Common stock warrants repurchased/exercised				—					(17	)			(24	)			(8	)			(9	)
Preferred stock issued				—					975				—				1,997				—
Common stock dividends				(1,917		)			(1,926	)			(1,932	)			(1,805	)			(1,816	)
Preferred stock dividends				(371		)			(356	)			(355	)			(344	)			(327	)
Tax benefit from stock incentive compensation				22					22				55				354				75
Stock incentive compensation expense				204					98				166				376				176
Net change in deferred compensation and related plans				(19		)			(16	)			(14	)			(1,008	)			(18	)
Balance, end of period				$	194,025				194,043				190,676				189,964				185,262
(1) For the quarter ended December 31, 2015, includes $500 million related to a private forward repurchase transaction that settled in first quarter 2016 for 9.2 million shares of common stock. For the quarters ended June 30 and March 31, 2015, and December 31, 2014, includes $750 million each quarter related to private forward repurchase transactions that settled in subsequent quarters for 13.6 million, 14.0 million, and 14.3 million shares of common stock, respectively.

Wells Fargo & Company and Subsidiaries
AVERAGE BALANCES, YIELDS AND RATES PAID (TAXABLE-EQUIVALENT BASIS) (1)(2)
				Quarter ended December 31,
				2015														2014
													Interest													Interest
				Average					Yields/				income/					Average				Yields/				income/
(in millions)				balance					rates				expense					balance				rates				expense
Earning assets
Federal funds sold, securities purchased under resale agreements and other short-term investments				$	274,589				0.28	%			$	195				268,109				0.28	%			$	188
Trading assets				68,833					3.33				573					60,383				3.21				485
Investment securities (3):
Available-for-sale securities:
Securities of U.S. Treasury and federal agencies				34,617					1.58				137					19,506				1.55				76
Securities of U.S. states and political subdivisions				49,300					4.37				539					43,891				4.30				472
Mortgage-backed securities:
Federal agencies				102,281					2.79				712					109,270				2.78				760
Residential and commercial				21,502					5.51				297					24,711				5.89				364
Total mortgage-backed securities				123,783					3.26				1,009					133,981				3.36				1,124
Other debt and equity securities				52,701					3.35				444					44,980				3.87				438
Total available-for-sale securities				260,401					3.27				2,129					242,358				3.48				2,110
Held-to-maturity securities:
Securities of U.S. Treasury and federal agencies				44,656					2.18				246					32,930				2.25				187
Securities of U.S. states and political subdivisions				2,158					6.07				33					902				4.92				11
Federal agency mortgage-backed securities				28,185					2.42				170					5,586				2.07				29
Other debt securities				4,876					1.77				22					6,118				1.81				27
Total held-to-maturity securities				79,875					2.35				471					45,536				2.22				254
Total investment securities				340,276					3.05				2,600					287,894				3.28				2,364
Mortgages held for sale (4)				19,189					3.66				176					19,191				3.90				187
Loans held for sale (4)				363					4.96				5					6,968				1.43				25
Loans:
Commercial:
Commercial and industrial - U.S.				250,445					3.25				2,048					218,297				3.32				1,825
Commercial and industrial - Non U.S.				47,972					1.97				239					43,049				2.03				221
Real estate mortgage				121,844					3.30				1,012					112,277				3.69				1,044
Real estate construction				21,993					3.27				182					18,336				4.33				200
Lease financing				12,241					4.48				136					12,268				5.35				164
Total commercial				454,495					3.16				3,617					404,227				3.39				3,454
Consumer:
Real estate 1-4 family first mortgage				272,871					4.04				2,759					264,799				4.16				2,754
Real estate 1-4 family junior lien mortgage				53,788					4.28				579					60,177				4.28				648
Credit card				32,795					11.61				960					29,477				11.71				870
Automobile				59,505					5.74				862					55,457				6.08				849
Other revolving credit and installment				38,826					5.83				571					35,292				6.01				534
Total consumer				457,785					4.99				5,731					445,202				5.06				5,655
Total loans (4)				912,280					4.08				9,348					849,429				4.27				9,109
Other				5,166					4.82				61					4,829				5.30				64
Total earning assets				$	1,620,696				3.18	%			$	12,958				1,496,803				3.31	%			$	12,422
Funding sources
Deposits:
Interest-bearing checking				$	39,082				0.05	%			$	5				40,498				0.06	%			$	6
Market rate and other savings				640,503					0.06				93					593,940				0.07				99
Savings certificates				29,654					0.54				41					35,870				0.80				72
Other time deposits				49,806					0.52				64					56,119				0.39				55
Deposits in foreign offices				107,094					0.14				38					99,289				0.15				37
Total interest-bearing deposits				866,139					0.11				241					825,716				0.13				269
Short-term borrowings				102,915					0.05				12					64,676				0.12				19
Long-term debt				190,861					1.49				713					183,286				1.35				620
Other liabilities				16,453					2.14				88					15,580				2.44				96
Total interest-bearing liabilities				1,176,368					0.36				1,054					1,089,258				0.37				1,004
Portion of noninterest-bearing funding sources				444,328														407,545				—				—
Total funding sources				$	1,620,696				0.26				1,054					1,496,803				0.27				1,004
Net interest margin and net interest income on a taxable-equivalent basis (5)									2.92	%			$	11,904								3.04	%			$	11,418
Noninterest-earning assets
Cash and due from banks				$	17,804													16,932
Goodwill				25,580														25,705
Other				123,207														124,320
Total noninterest-earning assets				$	166,591													166,957
Noninterest-bearing funding sources
Deposits				$	350,670													324,080
Other liabilities				65,223														65,672
Total equity				195,026														184,750
Noninterest-bearing funding sources used to fund earning assets				(444,328		)												(407,545	)
Net noninterest-bearing funding sources				$	166,591													166,957
Total assets				$	1,787,287													1,663,760
(1) Our average prime rate was 3.29% and 3.25% for the quarters ended December 31, 2015 and 2014, respectively. The average three-month London Interbank Offered Rate (LIBOR) was 0.41% and 0.24% for the same quarters, respectively.
(2) Yields/rates and amounts include the effects of hedge and risk management activities associated with the respective asset and liability categories.
(3) Yields and rates are based on interest income/expense amounts for the period, annualized based on the accrual basis for the respective accounts. The average balance amounts represent amortized cost for the periods presented.
(4) Nonaccrual loans and related income are included in their respective loan categories.
(5) Includes taxable-equivalent adjustments of $316 million and $238 million for the quarters ended December 31, 2015 and 2014, respectively, primarily related to tax-exempt income on certain loans and securities. The federal statutory tax rate was 35% for the periods presented.

Wells Fargo & Company and Subsidiaries
AVERAGE BALANCES, YIELDS AND RATES PAID (TAXABLE-EQUIVALENT BASIS) (1)(2)
				Year ended December 31,
				2015														2014
													Interest													Interest
				Average					Yields/				income/					Average				Yields/				income/
(in millions)				balance					rates				expense					balance				rates				expense
Earning assets
Federal funds sold, securities purchased under resale agreements and other short-term investments				$	266,832				0.28	%			$	738				241,282				0.28	%			$	673
Trading assets				66,679					3.01				2,010					55,140				3.10				1,712
Investment securities (3):
Available-for-sale securities:
Securities of U.S. Treasury and federal agencies				32,093					1.58				505					10,400				1.64				171
Securities of U.S. states and political subdivisions				47,404					4.23				2,007					43,138				4.29				1,852
Mortgage-backed securities:
Federal agencies				100,218					2.73				2,733					114,076				2.84				3,235
Residential and commercial				22,490					5.73				1,289					26,475				6.03				1,597
Total mortgage-backed securities				122,708					3.28				4,022					140,551				3.44				4,832
Other debt and equity securities				49,752					3.42				1,701					47,488				3.66				1,741
Total available-for-sale securities				251,957					3.27				8,235					241,577				3.56				8,596
Held-to-maturity securities:
Securities of U.S. Treasury and federal agencies				44,173					2.19				968					17,239				2.23				385
Securities of U.S. states and political subdivisions				2,087					5.40				113					246				4.93				12
Federal agency mortgage-backed securities				21,967					2.23				489					5,921				2.55				151
Other debt securities				5,821					1.73				101					5,913				1.85				109
Total held-to-maturity securities				74,048					2.26				1,671					29,319				2.24				657
Total investment securities				326,005					3.04				9,906					270,896				3.42				9,253
Mortgages held for sale (4)				21,603					3.63				785					19,018				4.03				767
Loans held for sale (4)				573					3.25				19					4,226				1.85				78
Loans:
Commercial:
Commercial and industrial - U.S.				237,844					3.29				7,836					204,819				3.35				6,869
Commercial and industrial - Non U.S.				46,028					1.90				877					42,661				2.03				867
Real estate mortgage				116,893					3.41				3,984					112,710				3.64				4,100
Real estate construction				20,979					3.57				749					17,676				4.21				744
Lease financing				12,301					4.70				577					12,257				5.63				690
Total commercial				434,045					3.23				14,023					390,123				3.40				13,270
Consumer:
Real estate 1-4 family first mortgage				268,560					4.10				11,002					261,620				4.19				10,961
Real estate 1-4 family junior lien mortgage				56,242					4.25				2,391					62,510				4.30				2,686
Credit card				31,307					11.70				3,664					27,491				11.98				3,294
Automobile				57,766					5.84				3,374					53,854				6.27				3,377
Other revolving credit and installment				37,512					5.89				2,209					38,834				5.48				2,127
Total consumer				451,387					5.02				22,640					444,309				5.05				22,445
Total loans (4)				885,432					4.14				36,663					834,432				4.28				35,715
Other				4,947					5.11				252					4,673				5.54				259
Total earning assets				$	1,572,071				3.20	%			$	50,373				1,429,667				3.39	%			$	48,457
Funding sources
Deposits:
Interest-bearing checking				$	38,640				0.05	%			$	20				39,729				0.07	%			$	26
Market rate and other savings				625,549					0.06				367					585,854				0.07				403
Savings certificates				31,887					0.63				201					38,111				0.85				323
Other time deposits				51,790					0.45				232					51,434				0.40				207
Deposits in foreign offices				107,138					0.13				143					95,889				0.14				137
Total interest-bearing deposits				855,004					0.11				963					811,017				0.14				1,096
Short-term borrowings				87,465					0.07				64					60,111				0.10				62
Long-term debt				185,078					1.40				2,592					167,420				1.49				2,488
Other liabilities				16,545					2.15				357					14,401				2.65				382
Total interest-bearing liabilities				1,144,092					0.35				3,976					1,052,949				0.38				4,028
Portion of noninterest-bearing funding sources				427,979					—				—					376,718				—				—
Total funding sources				$	1,572,071				0.25				3,976					1,429,667				0.28				4,028
Net interest margin and net interest income on a taxable-equivalent basis (5)									2.95	%			$	46,397								3.11	%			$	44,429
Noninterest-earning assets
Cash and due from banks				$	17,327													16,361
Goodwill				25,673														25,687
Other				127,848														121,634
Total noninterest-earning assets				$	170,848													163,682
Noninterest-bearing funding sources
Deposits				$	339,069													303,127
Other liabilities				68,174														56,985
Total equity				191,584														180,288
Noninterest-bearing funding sources used to fund earning assets				(427,979		)												(376,718	)
Net noninterest-bearing funding sources				$	170,848													163,682
Total assets				$	1,742,919													1,593,349
(1) Our average prime rate was 3.26% and 3.25% for the year ended December 31, 2015 and 2014, respectively. The average three-month London Interbank Offered Rate (LIBOR) was 0.32% and 0.23% for the same periods, respectively.
(2) Yields/rates and amounts include the effects of hedge and risk management activities associated with the respective asset and liability categories.
(3) The average balance amounts represent amortized cost for the periods presented.
(4) Nonaccrual loans and related income are included in their respective loan categories.
(5) Includes taxable-equivalent adjustments of $1.1 billion and $902 million for the year ended December 31, 2015 and 2014, respectively, primarily related to tax-exempt income on certain loans and securities. The federal statutory tax rate was 35% for the periods presented.

Wells Fargo & Company and Subsidiaries
FIVE QUARTER AVERAGE BALANCES, YIELDS AND RATES PAID (TAXABLE-EQUIVALENT BASIS) (1)(2)
				Quarter ended
				Dec 31, 2015									Sep 30, 2015									Jun 30, 2015									Mar 31, 2015									Dec 31, 2014
				Average					Yields/				Average					Yields/				Average					Yields/				Average					Yields/				Average					Yields/
($ in billions)				balance					rates				balance					rates				balance					rates				balance					rates				balance					rates
Earning assets
Federal funds sold, securities purchased under resale agreements and other short-term investments				$	274.6				0.28	%			$	250.1				0.26	%			$	267.1				0.28	%			$	275.7				0.28	%			$	268.1				0.28	%
Trading assets				68.8					3.33				67.2					2.93				67.6					2.91				63.0					2.88				60.4					3.21
Investment securities (3):
Available-for-sale securities:
Securities of U.S. Treasury and federal agencies				34.6					1.58				35.7					1.59				31.7					1.58				26.2					1.55				19.5					1.55
Securities of U.S. states and political subdivisions				49.3					4.37				48.2					4.22				47.1					4.13				44.9					4.20				43.9					4.30
Mortgage-backed securities:
Federal agencies				102.3					2.79				98.4					2.70				98.0					2.65				102.2					2.76				109.3					2.78
Residential and commercial				21.5					5.51				21.9					5.84				22.7					5.84				23.9					5.71				24.7					5.89
Total mortgage-backed securities				123.8					3.26				120.3					3.27				120.7					3.25				126.1					3.32				134.0					3.36
Other debt and equity securities				52.7					3.35				50.4					3.40				48.8					3.51				47.1					3.43				45.0					3.87
Total available-for-sale securities				260.4					3.27				254.6					3.24				248.3					3.25				244.3					3.32				242.4					3.48
Held-to-maturity securities:
Securities of U.S. Treasury and federal agencies				44.7					2.18				44.6					2.18				44.5					2.19				42.9					2.21				32.9					2.25
Securities of U.S. states and political subdivisions				2.1					6.07				2.2					5.17				2.1					5.17				1.9					5.16				0.9					4.92
Federal agency mortgage-backed securities				28.2					2.42				27.1					2.38				21.0					2.00				11.3					1.87				5.6					2.07
Other debt securities				4.9					1.77				5.4					1.75				6.3					1.70				6.8					1.72				6.1					1.81
Total held-to-maturity securities				79.9					2.35				79.3					2.30				73.9					2.18				62.9					2.19				45.5					2.22
Total investment securities				340.3					3.05				333.9					3.02				322.2					3.01				307.2					3.08				287.9					3.28
Mortgages held for sale				19.2					3.66				24.2					3.69				23.5					3.57				19.6					3.61				19.2					3.90
Loans held for sale				0.4					4.96				0.6					2.57				0.7					3.51				0.7					2.67				7.0					1.43
Loans:
Commercial:
Commercial and industrial - U.S.				250.5					3.25				241.4					3.30				231.5					3.36				227.7					3.28				218.3					3.32
Commercial and industrial - Non U.S.				48.0					1.97				45.9					1.83				45.1					1.93				45.1					1.88				43.0					2.03
Real estate mortgage				121.8					3.30				121.0					3.31				113.1					3.48				111.5					3.57				112.3					3.69
Real estate construction				22.0					3.27				21.6					3.39				20.8					4.12				19.5					3.52				18.3					4.33
Lease financing				12.2					4.48				12.3					4.18				12.4					5.16				12.3					4.95				12.3					5.35
Total commercial				454.5					3.16				442.2					3.18				422.9					3.33				416.1					3.26				404.2					3.39
Consumer:
Real estate 1-4 family first mortgage				272.9					4.04				269.4					4.10				266.0					4.12				265.8					4.13				264.8					4.16
Real estate 1-4 family junior lien mortgage				53.8					4.28				55.3					4.22				57.0					4.23				58.9					4.27				60.2					4.28
Credit card				32.8					11.61				31.7					11.73				30.4					11.69				30.4					11.78				29.5					11.71
Automobile				59.5					5.74				58.5					5.80				57.0					5.88				56.0					5.95				55.4					6.08
Other revolving credit and installment				38.8					5.83				38.0					5.84				37.1					5.88				36.1					6.01				35.3					6.01
Total consumer				457.8					4.99				452.9					5.01				447.5					5.02				447.2					5.05				445.2					5.06
Total loans				912.3					4.08				895.1					4.11				870.4					4.20				863.3					4.19				849.4					4.27
Other				5.1					4.82				5.0					5.11				4.8					5.14				4.7					5.41				4.8					5.30
Total earning assets				$	1,620.7				3.18	%			$	1,576.1				3.21	%			$	1,556.3				3.22	%			$	1,534.2				3.21	%			$	1,496.8				3.31	%
Funding sources
Deposits:
Interest-bearing checking				$	39.1				0.05	%			$	37.8				0.05	%			$	38.6				0.05	%			$	39.2				0.05	%			$	40.5				0.06	%
Market rate and other savings				640.5					0.06				628.1					0.06				619.8					0.06				613.4					0.06				593.9					0.07
Savings certificates				29.6					0.54				30.9					0.58				32.5					0.63				34.6					0.75				35.9					0.80
Other time deposits				49.8					0.52				48.7					0.46				52.2					0.42				56.5					0.39				56.1					0.39
Deposits in foreign offices				107.1					0.14				111.5					0.13				104.3					0.13				105.5					0.14				99.3					0.15
Total interest-bearing deposits				866.1					0.11				857.0					0.11				847.4					0.11				849.2					0.12				825.7					0.13
Short-term borrowings				102.9					0.05				90.4					0.06				84.5					0.09				71.7					0.11				64.7					0.12
Long-term debt				190.9					1.49				180.6					1.45				185.1					1.34				183.8					1.32				183.3					1.35
Other liabilities				16.5					2.14				16.4					2.13				16.4					2.03				16.9					2.30				15.6					2.44
Total interest-bearing liabilities				1,176.4					0.36				1,144.4					0.34				1,133.4					0.34				1,121.6					0.35				1,089.3					0.37
Portion of noninterest-bearing funding sources				444.3					—				431.7					—				422.9					—				412.6					—				407.5					—
Total funding sources				$	1,620.7				0.26				$	1,576.1				0.25				$	1,556.3				0.25				$	1,534.2				0.26				$	1,496.8				0.27
Net interest margin on a taxable-equivalent basis									2.92	%								2.96	%								2.97	%								2.95	%								3.04	%
Noninterest-earning assets
Cash and due from banks				$	17.8								17.0									17.5									17.1									16.9
Goodwill				25.6									25.7									25.7									25.7									25.7
Other				123.2									127.6									129.8									130.8									124.4
Total noninterest-earnings assets				$	166.6								170.3									173.0									173.6									167.0
Noninterest-bearing funding sources
Deposits				$	350.7								341.9									337.9									325.6									324.1
Other liabilities				65.2									67.9									67.6									72.0									65.7
Total equity				195.0									192.2									190.4									188.6									184.7
Noninterest-bearing funding sources used to fund earning assets				(444.3		)							(431.7		)							(422.9		)							(412.6		)							(407.5		)
Net noninterest-bearing funding sources				$	166.6								170.3									173.0									173.6									167.0
Total assets				$	1,787.3								1,746.4									1,729.3									1,707.8									1,663.8
(1) Our average prime rate was 3.29% for the quarter ended December 31, 2015, and 3.25% for the quarters ended September 30, June 30 and March 31, 2015, and December 31, 2014. The average three-month London Interbank Offered Rate (LIBOR) was 0.41%, 0.31%, 0.28%, 0.26% and 0.24% for the same quarters, respectively.
(2) Yields/rates include the effects of hedge and risk management activities associated with the respective asset and liability categories.
(3) Yields and rates are based on interest income/expense amounts for the period, annualized based on the accrual basis for the respective accounts. The average balance amounts represent amortized cost for the periods presented.

Wells Fargo & Company and Subsidiaries
NONINTEREST INCOME
				Quarter ended Dec 31,									%				Year ended Dec 31,									%
(in millions)				2015					2014				Change				2015					2014				Change
Service charges on deposit accounts				$	1,329				1,241				7	%			$	5,168				5,050				2	%
Trust and investment fees:
Brokerage advisory, commissions and other fees					2,288				2,335				(2	)				9,435				9,183				3
Trust and investment management					838				849				(1	)				3,394				3,387				—
Investment banking					385				521				(26	)				1,639				1,710				(4	)
Total trust and investment fees					3,511				3,705				(5	)				14,468				14,280				1
Card fees					966				925				4					3,720				3,431				8
Other fees:
Charges and fees on loans					308				311				(1	)				1,228				1,316				(7	)
Merchant processing fees (1)					18				187				(90	)				607				726				(16	)
Cash network fees					129				125				3					522				507				3
Commercial real estate brokerage commissions					224				155				45					618				469				32
Letters of credit fees					86				102				(16	)				353				390				(9	)
All other fees					275				244				13					996				941				6
Total other fees					1,040				1,124				(7	)				4,324				4,349				(1	)
Mortgage banking:
Servicing income, net					730				685				7					2,441				3,337				(27	)
Net gains on mortgage loan origination/sales activities					930				830				12					4,060				3,044				33
Total mortgage banking					1,660				1,515				10					6,501				6,381				2
Insurance					427				382				12					1,694				1,655				2
Net gains from trading activities					99				179				(45	)				614				1,161				(47	)
Net gains on debt securities					346				186				86					952				593				61
Net gains from equity investments					423				372				14					2,230				2,380				(6	)
Lease income					145				127				14					621				526				18
Life insurance investment income					139				145				(4	)				579				558				4
All other (1)					(87	)			362				NM					(115	)			456				NM
Total				$	9,998				10,263				(3	)			$	40,756				40,820				—
NM - Not meaningful
(1) Reflects deconsolidation of the Company's merchant services joint venture in fourth quarter 2015. The Company’s proportionate share of earnings is now reflected in all other income.
NONINTEREST EXPENSE
				Quarter ended Dec 31,									%				Year ended Dec 31,									%
(in millions)				2015					2014				Change				2015					2014				Change
Salaries				$	4,061				3,938				3	%			$	15,883				15,375				3	%
Commission and incentive compensation					2,457				2,582				(5	)				10,352				9,970				4
Employee benefits					1,042				1,124				(7	)				4,446				4,597				(3	)
Equipment					640				581				10					2,063				1,973				5
Net occupancy					725				730				(1	)				2,886				2,925				(1	)
Core deposit and other intangibles					311				338				(8	)				1,246				1,370				(9	)
FDIC and other deposit assessments					258				231				12					973				928				5
Outside professional services					827				800				3					2,665				2,689				(1	)
Operating losses					332				309				7					1,671				1,249				34
Outside data processing					205				270				(24	)				985				1,034				(5	)
Contract services					266				245				9					978				975				—
Postage, stationery and supplies					177				190				(7	)				702				733				(4	)
Travel and entertainment					196				216				(9	)				692				904				(23	)
Advertising and promotion					184				195				(6	)				606				653				(7	)
Insurance					57				60				(5	)				448				422				6
Telecommunications					106				106				—					439				453				(3	)
Foreclosed assets					20				164				(88	)				381				583				(35	)
Operating leases					73				58				26					278				220				26
All other					462				510				(9	)				2,080				1,984				5
Total				$	12,399				12,647				(2	)			$	49,774				49,037				2

Wells Fargo & Company and Subsidiaries
FIVE QUARTER NONINTEREST INCOME
				Quarter ended
				Dec 31,					Sep 30,				Jun 30,				Mar 31,				Dec 31,
(in millions)				2015					2015				2015				2015				2014
Service charges on deposit accounts				$	1,329				1,335				1,289				1,215				1,241
Trust and investment fees:
Brokerage advisory, commissions and other fees					2,288				2,368				2,399				2,380				2,335
Trust and investment management					838				843				861				852				849
Investment banking					385				359				450				445				521
Total trust and investment fees					3,511				3,570				3,710				3,677				3,705
Card fees					966				953				930				871				925
Other fees:
Charges and fees on loans					308				307				304				309				311
Merchant processing fees (1)					18				200				202				187				187
Cash network fees					129				136				132				125				125
Commercial real estate brokerage commissions					224				124				141				129				155
Letters of credit fees					86				89				90				88				102
All other fees					275				243				238				240				244
Total other fees					1,040				1,099				1,107				1,078				1,124
Mortgage banking:
Servicing income, net					730				674				514				523				685
Net gains on mortgage loan origination/sales activities					930				915				1,191				1,024				830
Total mortgage banking					1,660				1,589				1,705				1,547				1,515
Insurance					427				376				461				430				382
Net gains (losses) from trading activities					99				(26	)			133				408				179
Net gains on debt securities					346				147				181				278				186
Net gains from equity investments					423				920				517				370				372
Lease income					145				189				155				132				127
Life insurance investment income					139				150				145				145				145
All other (1)					(87	)			116				(285	)			141				362
Total				$	9,998				10,418				10,048				10,292				10,263
(1) Reflects deconsolidation of the Company's merchant services joint venture in fourth quarter 2015. The Company’s proportionate share of earnings is now reflected in all other income.
FIVE QUARTER NONINTEREST EXPENSE
				Quarter ended
				Dec 31,					Sep 30,				Jun 30,				Mar 31,				Dec 31,
(in millions)				2015					2015				2015				2015				2014
Salaries				$	4,061				4,035				3,936				3,851				3,938
Commission and incentive compensation					2,457				2,604				2,606				2,685				2,582
Employee benefits					1,042				821				1,106				1,477				1,124
Equipment					640				459				470				494				581
Net occupancy					725				728				710				723				730
Core deposit and other intangibles					311				311				312				312				338
FDIC and other deposit assessments					258				245				222				248				231
Outside professional services					827				663				627				548				800
Operating losses					332				523				521				295				309
Outside data processing					205				258				269				253				270
Contract services					266				249				238				225				245
Postage, stationery and supplies					177				174				180				171				190
Travel and entertainment					196				166				172				158				216
Advertising and promotion					184				135				169				118				195
Insurance					57				95				156				140				60
Telecommunications					106				109				113				111				106
Foreclosed assets					20				109				117				135				164
Operating leases					73				79				64				62				58
All other					462				636				481				501				510
Total				$	12,399				12,399				12,469				12,507				12,647

Wells Fargo & Company and Subsidiaries
CONSOLIDATED BALANCE SHEET
				Dec 31,					Dec 31,				%
(in millions, except shares)				2015					2014				Change
Assets
Cash and due from banks				$	19,111				19,571				(2	)%
Federal funds sold, securities purchased under resale agreements and other short-term investments					270,130				258,429				5
Trading assets					77,202				78,255				(1	)
Investment securities:
Available-for-sale, at fair value					267,358				257,442				4
Held-to-maturity, at cost					80,197				55,483				45
Mortgages held for sale					19,603				19,536				—
Loans held for sale					279				722				(61	)
Loans					916,559				862,551				6
Allowance for loan losses					(11,545	)			(12,319	)			(6	)
Net loans					905,014				850,232				6
Mortgage servicing rights:
Measured at fair value					12,415				12,738				(3	)
Amortized					1,308				1,242				5
Premises and equipment, net					8,704				8,743				—
Goodwill					25,529				25,705				(1	)
Other assets					100,782				99,057				2
Total assets				$	1,787,632				1,687,155				6
Liabilities
Noninterest-bearing deposits				$	351,579				321,963				9
Interest-bearing deposits					871,733				846,347				3
Total deposits					1,223,312				1,168,310				5
Short-term borrowings					97,528				63,518				54
Accrued expenses and other liabilities					73,231				86,122				(15	)
Long-term debt					199,536				183,943				8
Total liabilities					1,593,607				1,501,893				6
Equity
Wells Fargo stockholders’ equity:
Preferred stock					22,214				19,213				16
Common stock – $1-2/3 par value, authorized 9,000,000,000 shares; issued 5,481,811,474 shares					9,136				9,136				—
Additional paid-in capital					60,714				60,537				—
Retained earnings					121,000				107,040				13
Cumulative other comprehensive income					297				3,518				(92	)
Treasury stock – 389,682,664 shares and 311,462,276 shares					(18,867	)			(13,690	)			38
Unearned ESOP shares					(1,362	)			(1,360	)			—
Total Wells Fargo stockholders’ equity					193,132				184,394				5
Noncontrolling interests					893				868				3
Total equity					194,025				185,262				5
Total liabilities and equity				$	1,787,632				1,687,155				6

Wells Fargo & Company and Subsidiaries
FIVE QUARTER CONSOLIDATED BALANCE SHEET
				Dec 31,					Sep 30,				Jun 30,				Mar 31,				Dec 31,
(in millions)				2015					2015				2015				2015				2014
Assets
Cash and due from banks				$	19,111				17,395				19,687				19,793				19,571
Federal funds sold, securities purchased under resale agreements and other short-term investments					270,130				254,811				232,247				291,317				258,429
Trading assets					77,202				73,894				80,236				79,278				78,255
Investment securities:
Available-for-sale, at fair value					267,358				266,406				260,667				257,603				257,442
Held-to-maturity, at cost					80,197				78,668				80,102				67,133				55,483
Mortgages held for sale					19,603				21,840				25,447				23,606				19,536
Loans held for sale					279				430				621				681				722
Loans					916,559				903,233				888,459				861,231				862,551
Allowance for loan losses					(11,545	)			(11,659	)			(11,754	)			(12,176	)			(12,319	)
Net loans					905,014				891,574				876,705				849,055				850,232
Mortgage servicing rights:
Measured at fair value					12,415				11,778				12,661				11,739				12,738
Amortized					1,308				1,277				1,262				1,252				1,242
Premises and equipment, net					8,704				8,800				8,692				8,696				8,743
Goodwill					25,529				25,684				25,705				25,705				25,705
Other assets					100,782				98,708				96,585				101,879				99,057
Total assets				$	1,787,632				1,751,265				1,720,617				1,737,737				1,687,155
Liabilities
Noninterest-bearing deposits				$	351,579				339,761				343,582				335,858				321,963
Interest-bearing deposits					871,733				862,418				842,246				860,805				846,347
Total deposits					1,223,312				1,202,179				1,185,828				1,196,663				1,168,310
Short-term borrowings					97,528				88,069				82,963				77,697				63,518
Accrued expenses and other liabilities					73,231				81,700				81,399				90,121				86,122
Long-term debt					199,536				185,274				179,751				183,292				183,943
Total liabilities					1,593,607				1,557,222				1,529,941				1,547,773				1,501,893
Equity
Wells Fargo stockholders’ equity:
Preferred stock					22,214				22,424				21,649				21,998				19,213
Common stock					9,136				9,136				9,136				9,136				9,136
Additional paid-in capital					60,714				60,998				60,154				59,980				60,537
Retained earnings					121,000				117,593				114,093				110,676				107,040
Cumulative other comprehensive income					297				2,389				2,068				3,777				3,518
Treasury stock					(18,867	)			(17,899	)			(15,707	)			(14,556	)			(13,690	)
Unearned ESOP shares					(1,362	)			(1,590	)			(1,835	)			(2,215	)			(1,360	)
Total Wells Fargo stockholders’ equity					193,132				193,051				189,558				188,796				184,394
Noncontrolling interests					893				992				1,118				1,168				868
Total equity					194,025				194,043				190,676				189,964				185,262
Total liabilities and equity				$	1,787,632				1,751,265				1,720,617				1,737,737				1,687,155

Wells Fargo & Company and Subsidiaries
FIVE QUARTER INVESTMENT SECURITIES
				Dec 31,					Sep 30,				Jun 30,				Mar 31,				Dec 31,
(in millions)				2015					2015				2015				2015				2014
Available-for-sale securities:
Securities of U.S. Treasury and federal agencies				$	36,250				35,423				35,944				30,031				25,804
Securities of U.S. states and political subdivisions					49,990				49,423				48,298				47,380				44,944
Mortgage-backed securities:
Federal agencies					104,546				105,023				100,078				103,217				110,089
Residential and commercial					22,646				22,836				23,770				24,712				26,263
Total mortgage-backed securities					127,192				127,859				123,848				127,929				136,352
Other debt securities					52,289				51,760				50,090				48,759				46,666
Total available-for-sale debt securities					265,721				264,465				258,180				254,099				253,766
Marketable equity securities					1,637				1,941				2,487				3,504				3,676
Total available-for-sale securities					267,358				266,406				260,667				257,603				257,442
Held-to-maturity securities:
Securities of U.S. Treasury and federal agencies					44,660				44,653				44,645				44,244				40,886
Securities of U.S. states and political subdivisions					2,185				2,187				2,174				2,092				1,962
Federal agency mortgage-backed securities					28,604				26,828				27,577				14,311				5,476
Other debt securities					4,748				5,000				5,706				6,486				7,159
Total held-to-maturity debt securities					80,197				78,668				80,102				67,133				55,483
Total investment securities				$	347,555				345,074				340,769				324,736				312,925

FIVE QUARTER LOANS
				Dec 31,					Sep 30,				Jun 30,				Mar 31,				Dec 31,
(in millions)				2015					2015				2015				2015				2014
Commercial:
Commercial and industrial				$	299,892				292,234				284,817				271,088				271,795
Real estate mortgage					122,160				121,252				119,695				111,848				111,996
Real estate construction					22,164				21,710				21,309				19,981				18,728
Lease financing					12,367				12,142				12,201				12,382				12,307
Total commercial					456,583				447,338				438,022				415,299				414,826
Consumer:
Real estate 1-4 family first mortgage					273,869				271,311				267,868				265,213				265,386
Real estate 1-4 family junior lien mortgage					53,004				54,592				56,164				57,839				59,717
Credit card					34,039				32,286				31,135				30,078				31,119
Automobile					59,966				59,164				57,801				56,339				55,740
Other revolving credit and installment					39,098				38,542				37,469				36,463				35,763
Total consumer					459,976				455,895				450,437				445,932				447,725
Total loans (1)				$	916,559				903,233				888,459				861,231				862,551
(1) Includes $20.0 billion, $20.7 billion, $21.6 billion, $22.4 billion, and $23.3 billion of purchased credit-impaired (PCI) loans at December 31, September 30, June 30, and March 31, 2015, and December 31, 2014, respectively.
Our foreign loans are reported by respective class of financing receivable in the table above. Substantially all of our foreign loan portfolio is commercial loans. Loans are classified as foreign primarily based on whether the borrower's primary address is outside of the United States. The following table presents total commercial foreign loans outstanding by class of financing receivable.

				Dec 31,					Sep 30,				Jun 30,				Mar 31,				Dec 31,
(in millions)				2015					2015				2015				2015				2014
Commercial foreign loans:
Commercial and industrial				$	49,049				46,380				44,838				45,325				44,707
Real estate mortgage					8,350				8,662				9,125				5,171				4,776
Real estate construction					444				396				389				241				218
Lease financing					274				279				301				307				336
Total commercial foreign loans				$	58,117				55,717				54,653				51,044				50,037

Wells Fargo & Company and Subsidiaries
FIVE QUARTER NONPERFORMING ASSETS (NONACCRUAL LOANS AND FORECLOSED ASSETS)
				Dec 31,					Sep 30,				Jun 30,				Mar 31,				Dec 31,
(in millions)				2015					2015				2015				2015				2014
Nonaccrual loans:
Commercial:
Commercial and industrial				$	1,363				1,031				1,079				663				538
Real estate mortgage					969				1,125				1,250				1,324				1,490
Real estate construction					66				151				165				182				187
Lease financing					26				29				28				23				24
Total commercial					2,424				2,336				2,522				2,192				2,239
Consumer:
Real estate 1-4 family first mortgage					7,293				7,425				8,045				8,345				8,583
Real estate 1-4 family junior lien mortgage					1,495				1,612				1,710				1,798				1,848
Automobile					121				123				126				133				137
Other revolving credit and installment					49				41				40				42				41
Total consumer					8,958				9,201				9,921				10,318				10,609
Total nonaccrual loans (1)(2)(3)				$	11,382				11,537				12,443				12,510				12,848
As a percentage of total loans					1.24	%			1.28				1.40				1.45				1.49
Foreclosed assets:
Government insured/guaranteed				$	446				502				588				772				982
Non-government insured/guaranteed					979				1,265				1,370				1,557				1,627
Total foreclosed assets					1,425				1,767				1,958				2,329				2,609
Total nonperforming assets				$	12,807				13,304				14,401				14,839				15,457
As a percentage of total loans					1.40	%			1.47				1.62				1.72				1.79
(1) Includes nonaccrual mortgages held for sale and loans held for sale in their respective loan categories.
(2) Excludes PCI loans because they continue to earn interest income from accretable yield, independent of performance in accordance with their contractual terms.
(3) Real estate 1-4 family mortgage loans predominantly insured by the Federal Housing Administration (FHA) or guaranteed by the Department of Veterans Affairs (VA) and student loans predominantly guaranteed by agencies on behalf of the U.S. Department of Education under the Federal Family Education Loan Program are not placed on nonaccrual status because they are insured or guaranteed.

Wells Fargo & Company and Subsidiaries
LOANS 90 DAYS OR MORE PAST DUE AND STILL ACCRUING
				Dec 31,					Sep 30,				Jun 30,				Mar 31,				Dec 31,
(in millions)				2015					2015				2015				2015				2014
Total (excluding PCI)(1):				$	14,380				14,405				15,161				16,344				17,810
Less: FHA insured/guaranteed by the VA (2)(3)					13,373				13,500				14,359				15,453				16,827
Less: Student loans guaranteed under the FFELP (4)					26				33				46				50				63
Total, not government insured/guaranteed				$	981				872				756				841				920
By segment and class, not government insured/guaranteed:
Commercial:
Commercial and industrial				$	97				53				17				31				31
Real estate mortgage					13				24				10				43				16
Real estate construction					4				—				—				—				—
Total commercial					114				77				27				74				47
Consumer:
Real estate 1-4 family first mortgage (3)					224				216				220				221				260
Real estate 1-4 family junior lien mortgage (3)					65				61				65				55				83
Credit card					397				353				304				352				364
Automobile					79				66				51				47				73
Other revolving credit and installment					102				99				89				92				93
Total consumer					867				795				729				767				873
Total, not government insured/guaranteed				$	981				872				756				841				920
(1) PCI loans totaled $2.9 billion, $3.2 billion, $3.4 billion, $3.6 billion and $3.7 billion, at December 31, September 30, June 30 and March 31, 2015, and December 31, 2014, respectively.
(2) Represents loans whose repayments are predominantly insured by the FHA or guaranteed by the VA.
(3) Includes mortgages held for sale 90 days or more past due and still accruing.
(4) Represents loans whose repayments are predominantly guaranteed by agencies on behalf of the U.S. Department of Education under the FFELP.

Wells Fargo & Company and Subsidiaries
CHANGES IN ACCRETABLE YIELD RELATED TO PURCHASED CREDIT-IMPAIRED (PCI) LOANS
Loans purchased with evidence of credit deterioration since origination and for which it is probable that all contractually required payments will not be collected are considered to be credit impaired. PCI loans predominantly represent loans acquired from Wachovia that were deemed to be credit impaired. Evidence of credit quality deterioration as of the purchase date may include statistics such as past due and nonaccrual status, recent borrower credit scores and recent LTV percentages. PCI loans are initially measured at fair value, which includes estimated future credit losses expected to be incurred over the life of the loan. Accordingly, the associated allowance for credit losses related to these loans is not carried over at the acquisition date.
As a result of PCI loan accounting, certain credit-related ratios cannot be used to compare a portfolio that includes PCI loans against one that does not, or to compare ratios across quarters or years. The ratios particularly affected include the allowance for loan losses and allowance for credit losses as percentages of loans, of nonaccrual loans and of nonperforming assets; nonaccrual loans and nonperforming assets as a percentage of total loans; and net charge-offs as a percentage of loans.
The excess of cash flows expected to be collected over the carrying value of PCI loans is referred to as the accretable yield and is accreted into interest income over the estimated lives of the PCI loans using the effective yield method. The accretable yield is affected by:
• Changes in interest rate indices for variable rate PCI loans - Expected future cash flows are based on the variable rates in effect at the time of the quarterly assessment of expected cash flows;
• Changes in prepayment assumptions - Prepayments affect the estimated life of PCI loans which may change the amount of interest income, and possibly principal, expected to be collected; and
• Changes in the expected principal and interest payments over the estimated life - Updates to changes in expected cash flows are driven by the credit outlook and actions taken with borrowers. Changes in expected future cash flows from loan modifications are included in the regular evaluations of cash flows expected to be collected.
The change in the accretable yield related to PCI loans is presented in the following table.

(in millions)
Balance, December 31, 2008				$	10,447
Addition of accretable yield due to acquisitions					132
Accretion into interest income (1)					(12,783	)
Accretion into noninterest income due to sales (2)					(430	)
Reclassification from nonaccretable difference for loans with improving credit-related cash flows					8,568
Changes in expected cash flows that do not affect nonaccretable difference (3)					11,856
Balance, December 31, 2014					17,790
Addition of accretable yield due to acquisitions					—
Accretion into interest income (1)					(1,429	)
Accretion into noninterest income due to sales (2)					(28	)
Reclassification from nonaccretable difference for loans with improving credit-related cash flows (4)					1,166
Changes in expected cash flows that do not affect nonaccretable difference (3)					(1,198	)
Balance, December 31, 2015				$	16,301
Balance, September 30, 2015				$	16,657
Addition of accretable yield due to acquisitions					—
Accretion into interest income (1)					(327	)
Accretion into noninterest income due to sales (2)					—
Reclassification from nonaccretable difference for loans with improving credit-related cash flows (4)					1,135
Changes in expected cash flows that do not affect nonaccretable difference (3)					(1,164	)
Balance, December 31, 2015				$	16,301
(1) Includes accretable yield released as a result of settlements with borrowers, which is included in interest income.
(2) Includes accretable yield released as a result of sales to third parties, which is included in noninterest income.
(3) Represents changes in cash flows expected to be collected due to the impact of modifications, changes in prepayment assumptions, changes in interest rates on variable rate PCI loans and sales to third parties.
(4) At December 31, 2015, our carrying value for PCI loans totaled $20.0 billion and the remainder of nonaccretable difference established in purchase accounting totaled $1.9 billion. The nonaccretable difference absorbs losses of contractual amounts that exceed our carrying value for PCI loans.

Wells Fargo & Company and Subsidiaries
PICK-A-PAY PORTFOLIO (1)
				December 31, 2015
				PCI loans																		All other loans
(in millions)				Adjustedunpaidprincipalbalance (2)					CurrentLTVratio (3)				Carryingvalue (4)					Ratio ofcarryingvalue tocurrentvalue (5)				Carryingvalue (4)					Ratio ofcarryingvalue tocurrentvalue (5)
California				$	16,552				73	%			$	13,405				58	%			$	9,694				53	%
Florida				1,875					82				1,307					55				2,009					66
New Jersey				780					81				610					60				1,314					69
New York				526					77				465					62				638					67
Texas				204					57				185					51				781					44
Other states				3,834					79				3,066					62				5,591					65
Total Pick-a-Pay loans				$	23,771				75				$	19,038				59				$	20,027				59
(1) The individual states shown in this table represent the top five states based on the total net carrying value of the Pick-a-Pay loans at the beginning of 2015.
(2) Adjusted unpaid principal balance includes write-downs taken on loans where severe delinquency (normally 180 days) or other indications of severe borrower financial stress exist that indicate there will be a loss of contractually due amounts upon final resolution of the loan.
(3) The current LTV ratio is calculated as the adjusted unpaid principal balance divided by the collateral value. Collateral values are generally determined using automated valuation models (AVM) and are updated quarterly. AVMs are computer-based tools used to estimate market values of homes based on processing large volumes of market data including market comparables and price trends for local market areas.
(4) Carrying value, which does not reflect the allowance for loan losses, includes remaining purchase accounting adjustments, which, for PCI loans may include the nonaccretable difference and the accretable yield and, for all other loans, an adjustment to mark the loans to a market yield at date of merger less any subsequent charge-offs.
(5) The ratio of carrying value to current value is calculated as the carrying value divided by the collateral value.

NON-STRATEGIC AND LIQUIDATING LOAN PORTFOLIOS
				Dec 31,					Sep 30,				Jun 30,				Mar 31,				Dec 31,
(in millions)				2015					2015				2015				2015				2014
Commercial:
Legacy Wachovia commercial and industrial and commercial real estate PCI loans (1)				$	468				506				592				699				1,125
Total commercial					468				506				592				699				1,125
Consumer:
Pick-a-Pay mortgage (1)(2)					39,065				40,578				42,222				43,745				45,002
Legacy Wells Fargo Financial debt consolidation (3)					9,957				10,315				10,702				11,067				11,417
Liquidating home equity					2,234				2,388				2,566				2,744				2,910
Legacy Wachovia other PCI loans (1)					221				240				262				276				300
Legacy Wells Fargo Financial indirect auto (3)					10				11				15				23				34
Total consumer					51,487				53,532				55,767				57,855				59,663
Total non-strategic and liquidating loan portfolios				$	51,955				54,038				56,359				58,554				60,788
(1) Net of purchase accounting adjustments related to PCI loans.
(2) Includes PCI loans of $19.0 billion, $19.7 billion, $20.4 billion, $21.0 billion and $21.5 billion at December 31, September 30, June 30, and March 31, 2015, and December 31, 2014, respectively.
(3) When we refer to "Legacy Wells Fargo", we mean Wells Fargo excluding Wachovia Corporation (Wachovia).

Wells Fargo & Company and Subsidiaries
CHANGES IN ALLOWANCE FOR CREDIT LOSSES
				Quarter ended December 31,									Year ended December 31,
(in millions)				2015					2014				2015				2014
Balance, beginning of period				$	12,562				13,481				13,169				14,971
Provision for credit losses					831				485				2,442				1,395
Interest income on certain impaired loans (1)					(48	)			(48	)			(198	)			(211	)
Loan charge-offs:
Commercial:
Commercial and industrial					(275	)			(161	)			(734	)			(627	)
Real estate mortgage					(11	)			(19	)			(59	)			(66	)
Real estate construction					(2	)			(2	)			(4	)			(9	)
Lease financing					(3	)			(3	)			(14	)			(15	)
Total commercial					(291	)			(185	)			(811	)			(717	)
Consumer:
Real estate 1-4 family first mortgage					(113	)			(138	)			(507	)			(721	)
Real estate 1-4 family junior lien mortgage					(134	)			(193	)			(635	)			(864	)
Credit card					(295	)			(256	)			(1,116	)			(1,025	)
Automobile					(211	)			(214	)			(742	)			(729	)
Other revolving credit and installment					(178	)			(160	)			(643	)			(668	)
Total consumer					(931	)			(961	)			(3,643	)			(4,007	)
Total loan charge-offs					(1,222	)			(1,146	)			(4,454	)			(4,724	)
Loan recoveries:
Commercial:
Commercial and industrial					60				79				252				369
Real estate mortgage					30				44				127				160
Real estate construction					12				28				37				136
Lease financing					2				2				8				8
Total commercial					104				153				424				673
Consumer:
Real estate 1-4 family first mortgage					63				50				245				212
Real estate 1-4 family junior lien mortgage					64				59				259				238
Credit card					52				35				175				161
Automobile					76				82				325				349
Other revolving credit and installment					32				32				134				146
Total consumer					287				258				1,138				1,106
Total loan recoveries					391				411				1,562				1,779
Net loan charge-offs (2)					(831	)			(735	)			(2,892	)			(2,945	)
Other					(2	)			(14	)			(9	)			(41	)
Balance, end of period				$	12,512				13,169				12,512				13,169
Components:
Allowance for loan losses				$	11,545				12,319				11,545				12,319
Allowance for unfunded credit commitments					967				850				967				850
Allowance for credit losses (3)				$	12,512				13,169				12,512				13,169
Net loan charge-offs (annualized) as a percentage of average total loans (2)					0.36	%			0.34				0.33				0.35
Allowance for loan losses as a percentage of total loans (3)					1.26				1.43				1.26				1.43
Allowance for credit losses as a percentage of total loans (3)					1.37				1.53				1.37				1.53
(1) Certain impaired loans with an allowance calculated by discounting expected cash flows using the loan’s effective interest rate over the remaining life of the loan recognize reductions in allowance as interest income.
(2) For PCI loans, charge-offs are only recorded to the extent that losses exceed the purchase accounting estimates.
(3) The allowance for credit losses includes $1 million and $11 million at December 31, 2015 and 2014, respectively, related to PCI loans acquired from Wachovia. Loans acquired from Wachovia are included in total loans net of related purchase accounting net write-downs.

Wells Fargo & Company and Subsidiaries
FIVE QUARTER CHANGES IN ALLOWANCE FOR CREDIT LOSSES
				Quarter ended
				Dec 31,					Sep 30,				Jun 30,				Mar 31,				Dec 31,
(in millions)				2015					2015				2015				2015				2014
Balance, beginning of quarter				$	12,562				12,614				13,013				13,169				13,481
Provision for credit losses					831				703				300				608				485
Interest income on certain impaired loans (1)					(48	)			(48	)			(50	)			(52	)			(48	)
Loan charge-offs:
Commercial:
Commercial and industrial					(275	)			(172	)			(154	)			(133	)			(161	)
Real estate mortgage					(11	)			(9	)			(16	)			(23	)			(19	)
Real estate construction					(2	)			—				(1	)			(1	)			(2	)
Lease financing					(3	)			(5	)			(3	)			(3	)			(3	)
Total commercial					(291	)			(186	)			(174	)			(160	)			(185	)
Consumer:
Real estate 1-4 family first mortgage					(113	)			(145	)			(119	)			(130	)			(138	)
Real estate 1-4 family junior lien mortgage					(134	)			(159	)			(163	)			(179	)			(193	)
Credit card					(295	)			(259	)			(284	)			(278	)			(256	)
Automobile					(211	)			(186	)			(150	)			(195	)			(214	)
Other revolving credit and installment					(178	)			(160	)			(151	)			(154	)			(160	)
Total consumer					(931	)			(909	)			(867	)			(936	)			(961	)
Total loan charge-offs					(1,222	)			(1,095	)			(1,041	)			(1,096	)			(1,146	)
Loan recoveries:
Commercial:
Commercial and industrial					60				50				73				69				79
Real estate mortgage					30				32				31				34				44
Real estate construction					12				8				7				10				28
Lease financing					2				2				1				3				2
Total commercial					104				92				112				116				153
Consumer:
Real estate 1-4 family first mortgage					63				83				52				47				50
Real estate 1-4 family junior lien mortgage					64				70				69				56				59
Credit card					52				43				41				39				35
Automobile					76				73				82				94				82
Other revolving credit and installment					32				31				35				36				32
Total consumer					287				300				279				272				258
Total loan recoveries					391				392				391				388				411
Net loan charge-offs					(831	)			(703	)			(650	)			(708	)			(735	)
Other					(2	)			(4	)			1				(4	)			(14	)
Balance, end of quarter				$	12,512				12,562				12,614				13,013				13,169
Components:
Allowance for loan losses				$	11,545				11,659				11,754				12,176				12,319
Allowance for unfunded credit commitments					967				903				860				837				850
Allowance for credit losses				$	12,512				12,562				12,614				13,013				13,169
Net loan charge-offs (annualized) as a percentage of average total loans					0.36	%			0.31				0.30				0.33				0.34
Allowance for loan losses as a percentage of:
Total loans					1.26				1.29				1.32				1.41				1.43
Nonaccrual loans					101				101				94				97				96
Nonaccrual loans and other nonperforming assets					90				88				82				82				80
Allowance for credit losses as a percentage of:
Total loans					1.37				1.39				1.42				1.51				1.53
Nonaccrual loans					110				109				101				104				103
Nonaccrual loans and other nonperforming assets					98				94				88				88				85
(1) Certain impaired loans with an allowance calculated by discounting expected cash flows using the loan’s effective interest rate over the remaining life of the loan recognize reductions in allowance as interest income.

Wells Fargo & Company and Subsidiaries
COMMON EQUITY TIER 1 UNDER BASEL III (FULLY PHASED-IN) (1)
						Estimated
						Dec 31,				Sep 30,			Jun 30,			Mar 31,			Dec 31,
(in billions)						2015				2015			2015			2015			2014
Total equity						$	194.0			194.0			190.7			190.0			185.3
Noncontrolling interests							(0.9	)		(0.9	)		(1.1	)		(1.2	)		(0.9	)
Total Wells Fargo stockholders’ equity							193.1			193.1			189.6			188.8			184.4
Adjustments:
Preferred stock							(21.0	)		(21.0	)		(20.0	)		(20.0	)		(18.0	)
Goodwill and other intangible assets (2)							(28.7	)		(28.7	)		(29.1	)		(28.9	)		(29.0	)
Investment in certain subsidiaries and other							(0.9	)		(1.6	)		(0.6	)		(0.9	)		(0.7	)
Common Equity Tier 1 (Fully Phased-In) under Basel III (1)				(A)			142.5			141.8			139.9			139.0			136.7
Total risk-weighted assets (RWAs) anticipated under Basel III (3)(4)				(B)		$	1,334.9			1,331.8			1,325.6			1,326.3			1,310.5
Common Equity Tier 1 to total RWAs anticipated under Basel III (Fully Phased-In) (4)				(A)/(B)			10.7	%		10.6			10.6			10.5			10.4
(1) Basel III capital rules, adopted by the Federal Reserve Board on July 2, 2013, revised the definition of capital, increased minimum capital ratios, and introduced a minimum Common Equity Tier 1 (CET1) ratio. These rules established a new comprehensive capital framework for U.S. banking organizations that implements the Basel III capital framework and certain provisions of the Dodd-Frank Act. The rules are being phased in through the end of 2021. Fully phased-in capital amounts, ratios and RWAs are calculated assuming the full phase-in of the Basel III capital rules. Fully phased-in regulatory capital amounts, ratios and RWAs are considered non-GAAP financial measures that are used by management, bank regulatory agencies, investors and analysts to assess and monitor the Company’s capital position. We have included this non-GAAP financial information, and the corresponding reconciliation to total equity, because of current interest in such information on the part of market participants.
(2) Goodwill and other intangible assets are net of any associated deferred tax liabilities.
(3) The final Basel III capital rules provide for two capital frameworks: the Standardized Approach, which replaced Basel I, and the Advanced Approach applicable to certain institutions. Under the final rules, we are subject to the lower of our CET1 ratio calculated under the Standardized Approach and under the Advanced Approach in the assessment of our capital adequacy. Because the final determination of our CET1 ratio and which approach will produce the lower CET1 ratio as of December 31, 2015, is subject to detailed analysis of considerable data, our CET1 ratio at that date has been estimated using the Basel III definition of capital under the Basel III Standardized Approach RWAs. The capital ratio for September 30, 2015, and June 30, 2015, was calculated under the Basel III Standardized Approach RWAs, and the capital ratio for March 31, 2015, and December 31, 2014, was calculated under the Basel III Advanced Approach RWAs.
(4) The Company’s December 31, 2015, RWAs and capital ratio are preliminary estimates.

Wells Fargo & Company and Subsidiaries
OPERATING SEGMENT RESULTS (1)
(income/expense in millions,average balances in billions)				CommunityBanking											WholesaleBanking										Wealth andInvestmentManagement										Other (2)										ConsolidatedCompany
				2015						2014					2015					2014					2015					2014					2015					2014					2015					2014
Quarter ended Dec 31,
Net interest income (3)				$	7,409					7,149					3,711					3,633					933					811					(465	)				(413	)				11,588					11,180
Provision (reversal of provision) for credit losses					704					506					126					(33	)				(6	)				8					7					4					831					485
Noninterest income					4,921					5,009					2,848					2,899					3,014					3,102					(785	)				(747	)				9,998					10,263
Noninterest expense					6,693					6,827					3,491					3,533					2,998					3,066					(783	)				(779	)				12,399					12,647
Income (loss) before income tax expense (benefit)					4,933					4,825					2,942					3,032					955					839					(474	)				(385	)				8,356					8,311
Income tax expense (benefit)					1,573					1,484					841					864					366					318					(181	)				(147	)				2,599					2,519
Net income (loss) before noncontrolling interests					3,360					3,341					2,101					2,168					589					521					(293	)				(238	)				5,757					5,792
Less: Net income (loss) from noncontrolling interests					57					8					(3	)				73					(6	)				2					—					—					48					83
Net income (loss)				$	3,303					3,333					2,104					2,095					595					519					(293	)				(238	)				5,709					5,709
Average loans				$	482.2					469.6					417.0					369.0					63.0					54.8					(49.9	)				(44.0	)				912.3					849.4
Average assets					921.4					891.2					755.4					668.8					197.9					188.2					(87.4	)				(84.4	)				1,787.3					1,663.8
Average deposits					663.7					629.4					449.3					424.0					177.9					165.5					(74.1	)				(69.1	)				1,216.8					1,149.8
Year ended Dec 31,
Net interest income (3)				$	29,242					27,999					14,350					14,073					3,478					3,032					(1,769	)				(1,577	)				45,301					43,527
Provision (reversal of provision) for credit losses					2,427					1,796					27					(382	)				(25	)				(50	)				13					31					2,442					1,395
Noninterest income					20,099					20,159					11,554					11,325					12,299					12,237					(3,196	)				(2,901	)				40,756					40,820
Noninterest expense					26,781					26,290					14,116					13,831					12,067					11,993					(3,190	)				(3,077	)				49,774					49,037
Income (loss) before income tax expense (benefit)					20,133					20,072					11,761					11,949					3,735					3,326					(1,788	)				(1,432	)				33,841					33,915
Income tax expense (benefit)					6,268					6,049					3,424					3,540					1,420					1,262					(681	)				(544	)				10,431					10,307
Net income (loss) before noncontrolling interests					13,865					14,023					8,337					8,409					2,315					2,064					(1,107	)				(888	)				23,410					23,608
Less: Net income (loss) from noncontrolling interests					240					337					143					210					(1	)				4					—					—					382					551
Net income (loss)				$	13,625					13,686					8,194					8,199					2,316					2,060					(1,107	)				(888	)				23,028					23,057
Average loans				$	475.9					468.8					397.3					355.6					60.1					52.1					(47.9	)				(42.1	)				885.4					834.4
Average assets					910.0					853.2					724.9					636.5					192.8					186.1					(84.8	)				(82.5	)				1,742.9					1,593.3
Average deposits					654.4					614.3					438.9					404.0					172.3					163.5					(71.5	)				(67.7	)				1,194.1					1,114.1
(1) The management accounting process measures the performance of the operating segments based on our management structure and is not necessarily comparable with other similar information for other financial services companies. We define our operating segments by product type and customer segment. Effective third quarter 2015, we realigned our asset management business from Wholesale Banking to Wealth and Investment Management (WIM) (formerly Wealth, Brokerage and Retirement), and realigned our reinsurance business from WIM and our strategic auto investments from Community Banking to Wholesale Banking. Effective fourth quarter 2015, we realigned our business banking and merchant payment services businesses from Community Banking to Wholesale Banking. Results for these operating segments were revised for prior periods to reflect the impact of these realignments.
(2) Includes items not specific to a business segment and elimination of certain items that are included in more than one business segment, substantially all of which represents services for wealth management customers provided in Community Banking stores.
(3) Net interest income is the difference between interest earned on assets and the cost of liabilities to fund those assets. Interest earned includes actual interest earned on segment assets and, if the segment has excess liabilities, interest credits for providing funding to other segments. The cost of liabilities includes interest expense on segment liabilities and, if the segment does not have enough liabilities to fund its assets, a funding charge based on the cost of excess liabilities from another segment.

Wells Fargo & Company and Subsidiaries
FIVE QUARTER OPERATING SEGMENT RESULTS (1)
				Quarter ended
				Dec 31,					Sep 30,				Jun 30,				Mar 31,				Dec 31,
(income/expense in millions, average balances in billions)				2015					2015				2015				2015				2014
COMMUNITY BANKING
Net interest income (2)				$	7,409				7,409				7,277				7,147				7,149
Provision for credit losses					704				668				397				658				506
Noninterest income					4,921				5,524				4,690				4,964				5,009
Noninterest expense					6,693				6,778				6,719				6,591				6,827
Income before income tax expense					4,933				5,487				4,851				4,862				4,825
Income tax expense					1,573				1,785				1,620				1,290				1,484
Net income before noncontrolling interests					3,360				3,702				3,231				3,572				3,341
Less: Net income from noncontrolling interests					57				142				16				25				8
Segment net income				$	3,303				3,560				3,215				3,547				3,333
Average loans				$	482.2				477.0				472.3				472.2				469.6
Average assets					921.4				898.9				910.0				909.5				891.2
Average deposits					663.7				655.6				654.8				643.4				629.4
WHOLESALE BANKING
Net interest income (2)				$	3,711				3,611				3,591				3,437				3,633
Provision (reversal of provision) for credit losses					126				36				(84	)			(51	)			(33	)
Noninterest income					2,848				2,715				3,019				2,972				2,899
Noninterest expense					3,491				3,503				3,504				3,618				3,533
Income before income tax expense					2,942				2,787				3,190				2,842				3,032
Income tax expense					841				815				951				817				864
Net income before noncontrolling interests					2,101				1,972				2,239				2,025				2,168
Less: Net income (loss) from noncontrolling interests					(3	)			47				48				51				73
Segment net income				$	2,104				1,925				2,191				1,974				2,095
Average loans				$	417.0				405.6				386.2				380.0				369.0
Average assets					755.4				739.1				713.7				690.6				668.8
Average deposits					449.3				442.0				432.4				431.7				424.0
WEALTH AND INVESTMENT MANAGEMENT
Net interest income (2)				$	933				887				832				826				811
Provision (reversal of provision) for credit losses					(6	)			(6	)			(10	)			(3	)			8
Noninterest income					3,014				2,991				3,144				3,150				3,102
Noninterest expense					2,998				2,909				3,038				3,122				3,066
Income before income tax expense					955				975				948				857				839
Income tax expense					366				371				359				324				318
Net income before noncontrolling interests					589				604				589				533				521
Less: Net income (loss) from noncontrolling interests					(6	)			(2	)			3				4				2
Segment net income				$	595				606				586				529				519
Average loans				$	63.0				61.1				59.3				56.9				54.8
Average assets					197.9				192.6				189.1				191.6				188.2
Average deposits					177.9				172.6				168.2				170.3				165.5
OTHER (3)
Net interest income (2)				$	(465	)			(450	)			(430	)			(424	)			(413	)
Provision (reversal of provision) for credit losses					7				5				(3	)			4				4
Noninterest income					(785	)			(812	)			(805	)			(794	)			(747	)
Noninterest expense					(783	)			(791	)			(792	)			(824	)			(779	)
Loss before income tax benefit					(474	)			(476	)			(440	)			(398	)			(385	)
Income tax benefit					(181	)			(181	)			(167	)			(152	)			(147	)
Net loss before noncontrolling interests					(293	)			(295	)			(273	)			(246	)			(238	)
Less: Net income from noncontrolling interests					—				—				—				—				—
Other net loss				$	(293	)			(295	)			(273	)			(246	)			(238	)
Average loans				$	(49.9	)			(48.6	)			(47.4	)			(45.8	)			(44.0	)
Average assets					(87.4	)			(84.2	)			(83.5	)			(83.9	)			(84.4	)
Average deposits					(74.1	)			(71.3	)			(70.1	)			(70.6	)			(69.1	)
CONSOLIDATED COMPANY
Net interest income (2)				$	11,588				11,457				11,270				10,986				11,180
Provision for credit losses					831				703				300				608				485
Noninterest income					9,998				10,418				10,048				10,292				10,263
Noninterest expense					12,399				12,399				12,469				12,507				12,647
Income before income tax expense					8,356				8,773				8,549				8,163				8,311
Income tax expense					2,599				2,790				2,763				2,279				2,519
Net income before noncontrolling interests					5,757				5,983				5,786				5,884				5,792
Less: Net income from noncontrolling interests					48				187				67				80				83
Wells Fargo net income				$	5,709				5,796				5,719				5,804				5,709
Average loans				$	912.3				895.1				870.4				863.3				849.4
Average assets					1,787.3				1,746.4				1,729.3				1,707.8				1,663.8
Average deposits					1,216.8				1,198.9				1,185.3				1,174.8				1,149.8
(1) The management accounting process measures the performance of the operating segments based on our management structure and is not necessarily comparable with other similar information for other financial services companies. We define our operating segments by product type and customer segment. Effective third quarter 2015, we realigned our asset management business from Wholesale Banking to Wealth and Investment Management (WIM) (formerly Wealth, Brokerage and Retirement), and realigned our reinsurance business from WIM and our strategic auto investments from Community Banking to Wholesale Banking. Effective fourth quarter 2015, we realigned our business banking and merchant payment services businesses from Community Banking to Wholesale Banking. Results for these operating segments were revised for prior periods to reflect the impact of these realignments.
(2) Net interest income is the difference between interest earned on assets and the cost of liabilities to fund those assets. Interest earned includes actual interest earned on segment assets and, if the segment has excess liabilities, interest credits for providing funding to other segments. The cost of liabilities includes interest expense on segment liabilities and, if the segment does not have enough liabilities to fund its assets, a funding charge based on the cost of excess liabilities from another segment.
(3) Includes items not specific to a business segment and elimination of certain items that are included in more than one business segment, substantially all of which represents products and services for wealth management customers provided in Community Banking stores.

Wells Fargo & Company and Subsidiaries
FIVE QUARTER CONSOLIDATED MORTGAGE SERVICING
				Quarter ended
				Dec 31,					Sep 30,				Jun 30,				Mar 31,				Dec 31,
(in millions)				2015					2015				2015				2015				2014
MSRs measured using the fair value method:
Fair value, beginning of quarter				$	11,778				12,661				11,739				12,738				14,031
Servicing from securitizations or asset transfers					372				448				428				308				296
Sales and other (1)					(9	)			6				(5	)			(1	)			(7	)
Net additions					363				454				423				307				289
Changes in fair value:
Due to changes in valuation model inputs or assumptions:
Mortgage interest rates (2)					560				(858	)			1,117				(572	)			(1,016	)
Servicing and foreclosure costs (3)					(37	)			(18	)			(10	)			(18	)			(5	)
Prepayment estimates and other (4)					244				43				(54	)			(183	)			(78	)
Net changes in valuation model inputs or assumptions					767				(833	)			1,053				(773	)			(1,099	)
Other changes in fair value (5)					(493	)			(504	)			(554	)			(533	)			(483	)
Total changes in fair value					274				(1,337	)			499				(1,306	)			(1,582	)
Fair value, end of quarter				$	12,415				11,778				12,661				11,739				12,738
(1) Includes sales and transfers of MSRs, which can result in an increase of total reported MSRs if the sales or transfers are related to nonperforming loan portfolios.
(2) Includes prepayment speed changes as well as other valuation changes due to changes in mortgage interest rates (such as changes in estimated interest earned on custodial deposit balances).
(3) Includes costs to service and unreimbursed foreclosure costs.
(4) Represents changes driven by other valuation model inputs or assumptions including prepayment speed estimation changes and other assumption updates. Prepayment speed estimation changes are influenced by observed changes in borrower behavior and other external factors that occur independent of interest rate changes.
(5) Represents changes due to collection/realization of expected cash flows over time.

				Quarter ended
				Dec 31,					Sep 30,				Jun 30,				Mar 31,				Dec 31,
(in millions)				2015					2015				2015				2015				2014
Amortized MSRs:
Balance, beginning of quarter				$	1,277				1,262				1,252				1,242				1,224
Purchases					48				45				29				22				38
Servicing from securitizations or asset transfers					49				35				46				50				43
Amortization					(66	)			(65	)			(65	)			(62	)			(63	)
Balance, end of quarter				$	1,308				1,277				1,262				1,252				1,242
Fair value of amortized MSRs:
Beginning of quarter				$	1,643				1,692				1,522				1,637				1,647
End of quarter					1,680				1,643				1,692				1,522				1,637

Wells Fargo & Company and Subsidiaries
FIVE QUARTER CONSOLIDATED MORTGAGE SERVICING (CONTINUED)
						Quarter ended
						Dec 31,					Sep 30,				Jun 30,				Mar 31,				Dec 31,
(in millions)						2015					2015				2015				2015				2014
Servicing income, net:
Servicing fees (1)						$	872				990				1,026				1,010				996
Changes in fair value of MSRs carried at fair value:
Due to changes in valuation model inputs or assumptions (2)				(A)			767				(833	)			1,053				(773	)			(1,099	)
Other changes in fair value (3)							(493	)			(504	)			(554	)			(533	)			(483	)
Total changes in fair value of MSRs carried at fair value							274				(1,337	)			499				(1,306	)			(1,582	)
Amortization							(66	)			(65	)			(65	)			(62	)			(63	)
Net derivative gains (losses) from economic hedges (4)				(B)			(350	)			1,086				(946	)			881				1,334
Total servicing income, net						$	730				674				514				523				685
Market-related valuation changes to MSRs, net of hedge results (2)(4)				(A)+(B)		$	417				253				107				108				235
(1) Includes contractually specified servicing fees, late charges and other ancillary revenues.
(2) Refer to the changes in fair value MSRs table on the previous page for more detail.
(3) Represents changes due to collection/realization of expected cash flows over time.
(4) Represents results from economic hedges used to hedge the risk of changes in fair value of MSRs.

				Dec 31,					Sep 30,				Jun 30,				Mar 31,				Dec 31,
(in billions)				2015					2015				2015				2015				2014
Managed servicing portfolio (1):
Residential mortgage servicing:
Serviced for others				$	1,300				1,323				1,344				1,374				1,405
Owned loans serviced					345				346				347				344				342
Subserviced for others					4				4				5				5				5
Total residential servicing					1,649				1,673				1,696				1,723				1,752
Commercial mortgage servicing:
Serviced for others					478				470				465				461				456
Owned loans serviced					122				121				120				112				112
Subserviced for others					7				7				7				7				7
Total commercial servicing					607				598				592				580				575
Total managed servicing portfolio				$	2,256				2,271				2,288				2,303				2,327
Total serviced for others				$	1,778				1,793				1,809				1,835				1,861
Ratio of MSRs to related loans serviced for others					0.77	%			0.73				0.77				0.71				0.75
Weighted-average note rate (mortgage loans serviced for others)					4.37				4.39				4.41				4.43				4.45
(1) The components of our managed servicing portfolio are presented at unpaid principal balance for loans serviced and subserviced for others and at book value for owned loans serviced.

Wells Fargo & Company and Subsidiaries
SELECTED FIVE QUARTER RESIDENTIAL MORTGAGE PRODUCTION DATA
						Quarter ended
						Dec 31,					Sep 30,				Jun 30,				Mar 31,				Dec 31,
						2015					2015				2015				2015				2014
Net gains on mortgage loan origination/sales activities (in millions):
Residential				(A)		$	600				736				814				711				605
Commercial							108				55				108				91				66
Residential pipeline and unsold/repurchased loan management (1)							222				124				269				222				159
Total						$	930				915				1,191				1,024				830
Application data (in billions):
Wells Fargo first mortgage quarterly applications						$	64				73				81				93				66
Refinances as a percentage of applications							48	%			44				45				61				52
Wells Fargo first mortgage unclosed pipeline, at quarter end						$	29				34				38				44				26
Residential real estate originations:
Purchases as a percentage of originations							59	%			66				54				45				60
Refinances as a percentage of originations							41				34				46				55				40
Total							100	%			100				100				100				100
Wells Fargo first mortgage loans (in billions):
Retail						$	27				32				36				28				27
Correspondent							19				22				25				20				16
Other (2)							1				1				1				1				1
Total quarter-to-date					$		47				55				62				49				44
Held-for-sale				(B)		$	33				39				46				37				31
Held-for-investment							14				16				16				12				13
Total quarter-to-date						$	47				55				62				49				44
Total year-to-date						$	213				166				111				49				175
Production margin on residential held-for-sale mortgage originations				(A)/(B)			1.83	%			1.88				1.75				1.93				1.94
(1) Primarily includes the results of GNMA loss mitigation activities, interest rate management activities and changes in estimate to the liability for mortgage loan repurchase losses.
(2) Consists of home equity loans and lines.

CHANGES IN MORTGAGE REPURCHASE LIABILITY
				Quarter ended													Year ended
				Dec 31,					Sep 30,				Jun 30,				Dec 31,				Dec 31,
(in millions)					2015				2015				2015				2015				2014
Balance, beginning of period				$	538				557				586				615				899
Provision for repurchase losses:
Loan sales					9				11				13				43				44
Change in estimate (1)					(128	)			(17	)			(31	)			(202	)			(184	)
Total reductions					(119	)			(6	)			(18	)			(159	)			(140	)
Losses					(41	)			(13	)			(11	)			(78	)			(144	)
Balance, end of period				$	378				538				557				378				615
(1) Results from changes in investor demand, mortgage insurer practices, credit and the financial stability of correspondent lenders.

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Wells Fargo & Company

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Source: Wells Fargo & Company