JPMorgan Chase & Co. (JPM) 8-K Financial statements and exhibits

Exhibit 99.1

PRESS RELEASE FINANCIAL SUPPLEMENT

FIRST QUARTER 2003

TABLE OF CONTENTS

JPMorgan Chase Consolidated
	STATEMENT OF INCOME — REPORTED BASIS
	LINES OF BUSINESS FINANCIAL HIGHLIGHTS SUMMARY
	STATEMENT OF INCOME — OPERATING BASIS
	RECONCILIATION FROM REPORTED TO OPERATING BASIS
SEGMENT DETAIL
	INVESTMENT BANK
		BUSINESS-RELATED METRICS
	TREASURY & SECURITIES SERVICES
	INVESTMENT MANAGEMENT & PRIVATE BANKING
	JPMORGAN PARTNERS
		INVESTMENT PORTFOLIO — PRIVATE AND PUBLIC SECURITIES
	CHASE FINANCIAL SERVICES
		BUSINESS-RELATED METRICS
SUPPLEMENTAL DETAIL
	NONINTEREST REVENUE AND NONINTEREST EXPENSE DETAIL
	CONSOLIDATED BALANCE SHEET
	CONDENSED AVERAGE BALANCE SHEET AND ANNUALIZED YIELDS
	CREDIT-RELATED INFORMATION
	CAPITAL
Glossary of Terms
PRESS RELEASE
ANALYST PRESENTATION SLIDES

J.P. MORGAN CHASE & CO.
TABLE OF CONTENTS

	Page
JPMorgan Chase Consolidated
Statement of Income — Reported Basis		3
Lines of Business Financial Highlights Summary		4
Statement of Income — Operating Basis		5
Reconciliation from Reported to Operating Basis		6
Segment Detail
Investment Bank		7
Business-Related Metrics		8
Treasury & Securities Services		9
Investment Management & Private Banking		10
JPMorgan Partners		11
Investment Portfolio — Private and Public Securities		12
Chase Financial Services		13
Business-Related Metrics		14
Supplemental Detail
Noninterest Revenue and Noninterest Expense Detail		15
Consolidated Balance Sheet		16
Condensed Average Balance Sheet and Annualized Yields		17
Credit-Related Information		18-23
Capital		24
Glossary of Terms		25

Note: Prior periods have been adjusted to conform with current methodologies.

Page 2

J.P. MORGAN CHASE & CO.
STATEMENT OF INCOME — REPORTED BASIS
(in millions, except per share, ratio and employee data)

																		1QTR 2003
																		Over (Under)
			1QTR			4QTR			3QTR			2QTR			1QTR
			2003			2002			2002			2002			2002			4Q 2002			1Q 2002
REVENUE
Investment Banking Fees			$	616		$	678		$	545		$	785		$	755			(9	)%		(18	)%
Trading Revenue				1,232			585			(21	)		731			1,299			111			(5	)
Fees and Commissions				2,598			2,282			3,005			2,885			2,584			14			1
Private Equity — Realized Gains (Losses)				(4	)		(45	)		(40	)		(10	)		(10	)		91			60
Private Equity — Unrealized Gains (Losses)				(217	)		(23	)		(275	)		(115	)		(228	)	NM				5
Securities Gains				485			747			578			124			114			(35	)		325
Other Revenue				481			290			419			292			157			66			206
Total Noninterest Revenue				5,191			4,514			4,211			4,692			4,671			15			11
Interest Income				6,263			6,184			6,316			6,498			6,286			1			—
Interest Expense				3,048			3,203			3,580			3,616			3,359			(5	)		(9	)
Net Interest Income				3,215			2,981			2,736			2,882			2,927			8			10
Revenue before Provision for Credit Losses				8,406			7,495			6,947			7,574			7,598			12			11
Provision for Credit Losses				743			921			1,836			821			753			(19	)		(1	)
	TOTAL NET REVENUE			7,663			6,574			5,111			6,753			6,845			17			12
EXPENSE
Compensation Expense				3,174			3,032			2,367			2,761			2,823			5			12
Occupancy Expense (a)				496			425			478			365			338			17			47
Technology and Communications Expense				637			635			625			629			665			—			(4	)
Amortization of Intangibles				74			82			80			92			69			(10	)		7
Other Expense				1,160			1,294			1,168			1,118			1,208			(10	)		(4	)
Surety Settlement and Litigation Reserve (a)				—			1,300			—			—			—		NM			NM
Merger and Restructuring Costs				—			393			333			229			255		NM			NM
		TOTAL NONINTEREST EXPENSE		5,541			7,161			5,051			5,194			5,358			(23	)		3
Income (Loss) before Income Tax Expense				2,122			(587	)		60			1,559			1,487		NM				43
Income Tax Expense (Benefit)				722			(200	)		20			531			505		NM				43
NET INCOME (LOSS)			$	1,400		$	(387	)	$	40		$	1,028		$	982		NM				43
NET INCOME APPLICABLE TO COMMON STOCK			$	1,387		$	(399	)	$	27		$	1,015		$	969		NM				43
NET INCOME (LOSS) PER COMMON SHARE
Basic			$	0.69		$	(0.20	)	$	0.01		$	0.51		$	0.49		NM				41
Diluted				0.69			(0.20	)		0.01			0.50			0.48		NM				44
PERFORMANCE RATIOS (b)
Return on Average Assets				0.73	%	NM				0.02	%		0.56	%		0.55	%	NM			18 bp
Return on Average Common Equity				13.4		NM				0.3			10.0			9.7		NM				370
FULL-TIME EQUIVALENT EMPLOYEES				93,878			94,335			95,637			95,878			96,938			—	%		(3	)%

(a)	In the fourth quarter of 2002, a $1,300 million (pre-tax) charge was recorded related to the settlement of the Enron surety litigation and the establishment of a reserve for certain material litigation, proceedings and investigations. In the third quarter of 2002, $98 million (pre-tax) in real estate charges were recorded in “Occupancy Expense” on a reported basis.
(b)	Quarterly ratios are based on annualized amounts.

Page 3

J.P. MORGAN CHASE & CO.
LINES OF BUSINESS FINANCIAL HIGHLIGHTS SUMMARY
(in millions, except per share and ratio data)

																		1QTR 2003
																		Over (Under)
			1QTR			4QTR			3QTR			2QTR			1QTR
			2003			2002			2002			2002			2002			4Q 2002			1Q 2002
OPERATING REVENUE
Investment Bank			$	4,012		$	3,311		$	2,427		$	3,109		$	3,607			21	%		11	%
Treasury & Securities Services				966			962			1,057			1,019			968			—			—
Investment Management & Private Banking				652			663			702			738			773			(2	)		(16	)
Chase Financial Services				3,737			3,378			3,710			3,441			3,091			11			21
JPMorgan Partners				(290	)		(95	)		(371	)		(205	)		(321	)	NM				10
Support Units and Corporate				(214	)		(294	)		(224	)		(194	)		(199	)		27			(8	)
		OPERATING REVENUE (a)	$	8,863		$	7,925		$	7,301		$	7,908		$	7,919			12			12
EARNINGS
Investment Bank			$	932		$	361		$	(249	)	$	502		$	764			158			22
Treasury & Securities Services				147			136			211			176			143			8			3
Investment Management & Private Banking				64			43			99			111			129			49			(50	)
Chase Financial Services				704			496			791			674			508			42			39
JPMorgan Partners				(224	)		(101	)		(284	)		(175	)		(252	)	NM				11
Support Units and Corporate				(223	)		(205	)		(243	)		(109	)		(142	)		(9	)		(57	)
		OPERATING EARNINGS (a)		1,400			730			325			1,179			1,150			92			22
Special Items (Net of Taxes):
	Real Estate Charge			—			—			(65	)		—			—		NM			NM
	Surety Settlement and Litigation Reserve			—			(858	)		—			—			—		NM			NM
	Merger and Restructuring Costs			—			(259	)		(220	)		(151	)		(168	)	NM			NM
		NET INCOME (LOSS) (a)	$	1,400		$	(387	)	$	40		$	1,028		$	982		NM				43
EARNINGS PER SHARE — DILUTED
OPERATING EARNINGS (a)			$	0.69		$	0.36		$	0.16		$	0.58		$	0.57			92			21
Special Items (Net of Taxes):
	Real Estate Charge			—			—			(0.03	)		—			—		NM			NM
	Surety Settlement and Litigation Reserve			—			(0.43	)		—			—			—		NM			NM
	Merger and Restructuring Costs			—			(0.13	)		(0.12	)		(0.08	)		(0.09	)	NM			NM
NET INCOME (LOSS) (a)			$	0.69		$	(0.20	)	$	0.01		$	0.50		$	0.48		NM				44
OPERATING RETURN ON COMMON EQUITY
Investment Bank				19.7	%		7.6	%	NM				10.8	%		16.3	%	1,210 bp			340 bp
Treasury & Securities Services				19.5			18.4			28.2	%		23.2			19.6			110			(10	)
Investment Management & Private Banking				4.2			2.7			6.4			7.1			8.5			150			(430	)
Chase Financial Services				27.5			18.9			29.8			25.8			20.2			860			730
OPERATING RETURN ON COMMON EQUITY (a)				13.4			6.8			2.9			11.4			11.4			660			200

(a) Represents consolidated JPMorgan Chase.

Page 4

J.P. MORGAN CHASE & CO.
STATEMENT OF INCOME — OPERATING BASIS
(in millions, except per share and ratio data)

																	1QTR 2003
																	Over (Under)
		1QTR			4QTR			3QTR			2QTR			1QTR
		2003			2002			2002			2002			2002			4Q 2002			1Q 2002
OPERATING REVENUE
Investment Banking Fees		$	616		$	678		$	545		$	785		$	755			(9	)%		(18	)%
Trading-Related Revenue (Includes Trading NII)			1,915			1,253			365			1,136			1,720			53			11
Fees and Commissions			2,429			2,052			2,768			2,745			2,493			18			(3	)
Private Equity — Realized Gains (Losses)			(4	)		(45	)		(40	)		(10	)		(10	)		91			60
Private Equity — Unrealized Gains (Losses)			(217	)		(23	)		(275	)		(115	)		(228	)	NM				5
Securities Gains			485			747			578			124			114			(35	)		325
Other Revenue			477			303			409			273			137			57			248
Net Interest Income (Excludes Trading NII)			3,162			2,960			2,951			2,970			2,938			7			8
	TOTAL OPERATING REVENUE		8,863			7,925			7,301			7,908			7,919			12			12
OPERATING EXPENSE
Compensation Expense (a)			3,174			3,032			2,367			2,761			2,823			5			12
Noncompensation Expense (a) (b)			2,367			2,436			2,253			2,204			2,280			(3	)		4
	TOTAL OPERATING EXPENSE		5,541			5,468			4,620			4,965			5,103			1			9
Credit Costs			1,200			1,351			2,190			1,155			1,074			(11	)		12
Operating Income before Income Tax Expense			2,122			1,106			491			1,788			1,742			92			22
Income Tax Expense			722			376			166			609			592			92			22
OPERATING EARNINGS		$	1,400		$	730		$	325		$	1,179		$	1,150			92			22
OPERATING BASIS
Diluted Earnings per Share		$	0.69		$	0.36		$	0.16		$	0.58		$	0.57			92			21
Shareholder Value Added			148			(551	)		(964	)		(57	)		(59	)	NM			NM
Return on Average Managed Assets (c)			0.70	%		0.37	%		0.17	%		0.62	%		0.63	%	33 bp			7 bp
Return on Common Equity (c)			13.4			6.8			2.9			11.4			11.4			660			200
Common Dividend Payout Ratio			50			96			222			59			60			(4,600	)		(1,000	)
Effective Income Tax Rate			34			34			34			34			34			—			—
Compensation Expense as a % of Operating Revenue			36			38			32			35			36			(200	)		—
Noncompensation Expense as a % of Operating Revenue			27			31			31			28			29			(400	)		(200	)
Overhead Ratio			63			69			63			63			64			(600	)		(100	)

(a)	Includes severance and other related costs associated with expense containment programs implemented in 2002.
(b)	Includes Occupancy Expense, Technology and Communications Expense, Amortization of Intangibles and Other Expense.
(c)	Quarterly ratios are based on annualized amounts.

Page 5

J.P. MORGAN CHASE & CO.
RECONCILIATION FROM REPORTED TO OPERATING BASIS
(in millions)

																		1QTR 2003
																		Over (Under)
			1QTR			4QTR			3QTR			2QTR			1QTR
			2003			2002			2002			2002			2002			4Q 2002			1Q 2002
REVENUE
TRADING REVENUE
		Reported	$	1,232		$	585		$	(21	)	$	731		$	1,299			111	%		(5	)%
		Trading-Related NII		683			668			386			405			421			2			62
		Operating	$	1,915		$	1,253		$	365		$	1,136		$	1,720			53			11
CREDIT CARD REVENUE (a)
		Reported	$	692		$	807		$	806		$	669		$	587			(14	)		18
		Credit Card Securitizations		(169	)		(230	)		(237	)		(140	)		(91	)		27			(86	)
		Operating	$	523		$	577		$	569		$	529		$	496			(9	)		5
OTHER REVENUE
		Reported	$	481		$	290		$	419		$	292		$	157			66			206
		Credit Card Securitizations		(4	)		13			(10	)		(19	)		(20	)	NM				80
		Operating	$	477		$	303		$	409		$	273		$	137			57			248
NET INTEREST INCOME
		Reported	$	3,215		$	2,981		$	2,736		$	2,882		$	2,927			8			10
		Credit Card Securitizations		630			647			601			493			432			(3	)		46
		Trading-Related NII		(683	)		(668	)		(386	)		(405	)		(421	)		2			62
		Operating	$	3,162		$	2,960		$	2,951		$	2,970		$	2,938			7			8
TOTAL REVENUE
		Reported	$	8,406		$	7,495		$	6,947		$	7,574		$	7,598			12			11
		Credit Card Securitizations		457			430			354			334			321			6			42
		Total Operating Revenue	$	8,863		$	7,925		$	7,301		$	7,908		$	7,919			12			12
NONINTEREST EXPENSE
	Reported		$	5,541		$	7,161		$	5,051		$	5,194		$	5,358			(23	)		3
	Real Estate Reserves			—			—			(98	)		—			—		NM			NM
	Surety Settlement and Litigation Reserve			—			(1,300	)		—			—			—		NM			NM
	Merger and Restructuring Costs			—			(393	)		(333	)		(229	)		(255	)	NM			NM
	Total Operating Expense		$	5,541		$	5,468		$	4,620		$	4,965		$	5,103			1			9
CREDIT COSTS
	Provision for Credit Losses — Reported		$	743		$	921		$	1,836		$	821		$	753			(19	)		(1	)
	Credit Card Securitizations			457			430			354			334			321			6			42
	Credit Costs — Operating		$	1,200		$	1,351		$	2,190		$	1,155		$	1,074			(11	)		12

(a) Included in Fees and Commissions.

Page 6

SEGMENT DETAIL

J.P. MORGAN CHASE & CO.
INVESTMENT BANK
FINANCIAL HIGHLIGHTS
(in millions, except ratios and employees)

																					1QTR 2003
																					Over (Under)
				1QTR			4QTR			3QTR			2QTR			1QTR
				2003			2002			2002			2002			2002			4Q 2002			1Q 2002
OPERATING INCOME STATEMENT
REVENUE:
	Trading Revenue (Includes Trading NII):
			Fixed Income and Other	$	1,732		$	1,300		$	632		$	1,035		$	1,504			33	%		15	%
			Equities		199			(32	)		(254	)		95			200		NM				(1	)
					1,931			1,268			378			1,130			1,704			52			13
	Investment Banking Fees				621			650			529			781			736			(4	)		(16	)
	Net Interest Income				684			626			630			639			712			9			(4	)
	Fees and Commissions				372			357			422			420			385			4			(3	)
	Securities Gains				383			376			465			108			127			2			202
	All Other Revenue				21			34			3			31			(57	)		(38	)	NM
			TOTAL OPERATING REVENUE		4,012			3,311			2,427			3,109			3,607			21			11
EXPENSE:
	Compensation Expense				1,329			1,070			728			1,063			1,137			24			17
	Noncompensation Expense				823			868			816			816			899			(5	)		(8	)
		Operating Expense (Excludes Severance and Related Costs)			2,152			1,938			1,544			1,879			2,036			11			6
	Severance and Related Costs				104			338			79			124			47			(69	)		121
		TOTAL OPERATING EXPENSE			2,256			2,276			1,623			2,003			2,083			(1	)		8
	Operating Margin				1,756			1,035			804			1,106			1,524			70			15
	Credit Costs				246			489			1,316			306			282			(50	)		(13	)
	Operating Income (Loss) Before Income Tax Expense				1,510			546			(512	)		800			1,242			177			22
	Income Tax Expense (Benefit)				578			185			(263	)		298			478			212			21
OPERATING EARNINGS (LOSS)				$	932		$	361		$	(249	)	$	502		$	764			158			22
	Average Common Equity			$	19,099		$	18,745		$	17,655		$	18,388		$	18,890			2			1
	Average Assets				523,675			515,605			494,810			503,368			467,714			2			12
	Shareholder Value Added				363			(210	)		(788	)		(53	)		200		NM				82
	Return on Common Equity				19.7	%		7.6	%	NM				10.8	%		16.3	%	1,210 bp			340 bp
	Overhead Ratio				56			69			67	%		64			58			(1,300	)		(200	)
	Overhead Ratio Excl. Severance and Related Costs				54			59			64			60			56			(500	)		(200	)
	Compensation Expense as a % of Operating Revenue Excl. Severance and Related Costs				33			32			30			34			32			100			100
FULL-TIME EQUIVALENT EMPLOYEES					14,633			15,158			16,381			16,705			17,674			(3	)%		(17	)%

Page 7

J.P. MORGAN CHASE & CO.
INVESTMENT BANK
BUSINESS-RELATED METRICS
(in millions)

															1QTR 2003
															Over (Under)
				1QTR		4QTR		3QTR			2QTR		1QTR
				2003		2002		2002			2002		2002		4Q 2002			1Q 2002
BUSINESS REVENUE:
INVESTMENT BANKING FEES
			Advisory	$	160	$	216	$	139		$	194	$	194		(26	)%		(18	)%
			Underwriting and Other Fees		461		434		390			587		542		6			(15	)
TOTAL					621		650		529			781		736		(4	)		(16	)
CAPITAL MARKETS & LENDING
			Fixed Income		1,981		1,566		887			1,269		1,746		27			13
			Treasury		608		578		607			269		385		5			58
			Credit Portfolio		366		324		409			414		297		13			23
			Equities		436		193		(5	)		376		443		126			(2	)
TOTAL					3,391		2,661		1,898			2,328		2,871		27			18
TOTAL OPERATING REVENUE				$	4,012	$	3,311	$	2,427		$	3,109	$	3,607		21			11
MEMO:
CAPITAL MARKETS & LENDING TOTAL RETURN REVENUE (a)
		Fixed Income		$	1,945	$	1,482	$	921		$	1,341	$	1,703		31			14
		Treasury			536		465		364			215		470		15			14
		Credit Portfolio			366		324		409			414		297		13			23
		Equities			436		193		(5	)		376		443		126			(2	)
TOTAL				$	3,283	$	2,464	$	1,689		$	2,346	$	2,913		33			13
MARKET SHARE / RANKINGS: (b)
	Global Syndicated Loans				16% / #1		19% / #1		22% / #1			28% / #1		22% / #1
	U.S. Investment Grade Bonds				15% / #2		14% / #2		15% / #2			18% / #2		16% / #2
	Euro-Denominated Corporate International Bonds				4% / #10		7% / #4		5% / #9			5% / #7		6% / #4
	Global Equity and Equity-Related				10% / #3		3% / #9		2% / #14			6% / #6		5% / #6
	U.S. Equity and Equity-Related				15% / #1		5% / #7		3% / #8			9% / #5		5% / #7
	Global Announced M&A				19% / #3		15% / #5		12% / #7			17% / #3		12% / #8

(a)	Total return revenue includes operating revenues plus the unrealized gains or losses on third-party or internally transfer priced assets and liabilities in treasury and fixed income activities, which are not accounted for on a mark-to-market basis through earnings.
(b)	Derived from Thomson Financial Securities Data which reflects subsequent updates to prior period information. Global announced M&A is based on rank value; all other rankings are based on proceeds, with full credit to each book manager/equal if joint. U.S. Equity and Equity-Related adjusted to reflect all equity issuances in the U.S. market for both U.S. and non-U.S. issuers.

Page 8

J.P. MORGAN CHASE & CO.
TREASURY & SECURITIES SERVICES
FINANCIAL HIGHLIGHTS
(in millions, except ratios and employees)

																		1QTR 2003
																		Over (Under)
			1QTR			4QTR			3QTR			2QTR			1QTR
			2003			2002			2002			2002			2002			4Q 2002			1Q 2002
OPERATING INCOME STATEMENT
REVENUE:
Fees and Commissions			$	607		$	593		$	615		$	630		$	609			2	%		—	%
Net Interest Income				323			337			336			334			323			(4	)		—
All Other Revenue				36			32			106			55			36			13			—
		TOTAL OPERATING REVENUE		966			962			1,057			1,019			968			—			—
EXPENSE:
Compensation Expense				319			285			291			302			304			12			5
Noncompensation Expense				422			465			443			447			443			(9	)		(5	)
		TOTAL OPERATING EXPENSE		741			750			734			749			747			(1	)		(1	)
Operating Margin				225			212			323			270			221			6			2
Credit Costs				1			2			—			(1	)		1			(50	)		—
Operating Income Before Income Tax Expense				224			210			323			271			220			7			2
Income Tax Expense				77			74			112			95			77			4			—
OPERATING EARNINGS			$	147		$	136		$	211		$	176		$	143			8			3
Average Common Equity			$	3,046		$	2,904		$	2,952		$	3,026		$	2,943			5			3
Average Assets				19,590			19,277			15,940			18,915			16,974			2			15
Shareholder Value Added				56			47			121			84			55			19			2
Return on Common Equity				19.5	%		18.4	%		28.2	%		23.2	%		19.6	%	110 bp			(10) bp
Overhead Ratio				77			78			69			74			77			(100	)		—
Assets under Custody (in billions)			$	6,269		$	6,336		$	6,251		$	6,417		$	6,428			(1	)%		(2	)%
FULL-TIME EQUIVALENT EMPLOYEES				14,357			14,445			14,745			14,867			15,257			(1	)		(6	)
OPERATING REVENUE BY BUSINESS:
	Treasury Services		$	496		$	478		$	482		$	454		$	459			4			8
	Investor Services			346			340			390			423			386			2			(10	)
	Institutional Trust Services			207			228			223			224			205			(9	)		1
	Other			(83	)		(84	)		(38	)		(82	)		(82	)		1			(1	)
	Total Treasury & Securities Services		$	966		$	962		$	1,057		$	1,019		$	968			—			—

Page 9

J.P. MORGAN CHASE & CO.
INVESTMENT MANAGEMENT & PRIVATE BANKING
FINANCIAL HIGHLIGHTS
(in millions, except ratios and employees)

																		1QTR 2003
																		Over (Under)
			1QTR			4QTR			3QTR			2QTR			1QTR
			2003			2002			2002			2002			2002			4Q 2002			1Q 2002
OPERATING INCOME STATEMENT
REVENUE:
Fees and Commissions			$	511		$	507		$	519		$	560		$	590			1	%		(13	)%
Net Interest Income				125			117			124			122			120			7			4
All Other Revenue				16			39			59			56			63			(59	)		(75	)
		TOTAL OPERATING REVENUE		652			663			702			738			773			(2	)		(16	)
EXPENSE:
Compensation Expense				285			311			267			261			286			(8	)		—
Noncompensation Expense				289			314			293			317			297			(8	)		(3	)
		TOTAL OPERATING EXPENSE		574			625			560			578			583			(8	)		(2	)
Operating Margin				78			38			142			160			190			105			(59	)
Credit Costs				6			13			26			23			23			(54	)		(74	)
Operating Income Before Income Tax Expense				72			25			116			137			167			188			(57	)
Income Tax Expense				8			(18	)		17			26			38		NM				(79	)
OPERATING EARNINGS			$	64		$	43		$	99		$	111		$	129			49			(50	)
Average Common Equity			$	6,044		$	6,148		$	6,044		$	6,180		$	6,108			(2	)		(1	)
Average Assets				33,577			33,522			34,968			36,478			38,007			—			(12	)
Shareholder Value Added				(116	)		(144	)		(86	)		(75	)		(53	)		19		NM
Tangible Shareholder Value Added				9			(15	)		43			53			74		NM				(88	)
Return on Common Equity				4.2	%		2.7	%		6.4	%		7.1	%		8.5	%	150 bp			(430) bp
Return on Tangible Common Equity				13.9			9.0			21.0			22.5			27.1			490			(1,320	)
Overhead Ratio				88			94			80			78			75			(600	)		1,300
Pre-Tax Margin Ratio				11			4			17			19			22			700			(1,100	)
FULL-TIME EQUIVALENT EMPLOYEES				7,511			7,828			8,081			8,103			8,022			(4	)%		(6	)%
ASSETS UNDER SUPERVISION (in billions)
Client Segment:
	Private Banking		$	125	(a)	$	130		$	126		$	138		$	145			(4	)		(14	)
	Institutional			298	(a)		305			298			318			345			(2	)		(14	)
	Retail			72	(a)		80			77			89			96			(10	)		(25	)
		Assets under Management		495	(a)		515			501			545			586			(4	)		(16	)
	Custody / restricted stock / brokerage / administration / deposits			127	(a)		129			131			140			147			(2	)		(14	)
		Assets under Supervision	$	622	(a)	$	644		$	632		$	685		$	733			(3	)		(15	)
Geographic Region:
	Americas		$	350	(a)	$	362		$	352		$	381		$	424			(3	)		(17	)
	Europe and Asia			145	(a)		153			149			164			162			(5	)		(10	)
		Assets under Management		495	(a)		515			501			545			586			(4	)		(16	)
	Custody / restricted stock / brokerage / administration / deposits			127	(a)		129			131			140			147			(2	)		(14	)
		Assets under Supervision	$	622	(a)	$	644		$	632		$	685		$	733			(3	)		(15	)
Product Class:
	Fixed Income		$	144	(a)	$	149		$	150		$	156		$	157			(3	)		(8	)
	Liquidity			144	(a)		144			130			131			148			—			(3	)
	Equities and Other			207	(a)		222			221			258			281			(7	)		(26	)
		Assets under Management		495	(a)		515			501			545			586			(4	)		(16	)
	Custody / restricted stock / brokerage / administration / deposits			127	(a)		129			131			140			147			(2	)		(14	)
		Assets under Supervision	$	622	(a)	$	644		$	632		$	685		$	733			(3	)		(15	)

(a) Estimated

Page 10

J.P. MORGAN CHASE & CO.
JPMORGAN PARTNERS
FINANCIAL HIGHLIGHTS
(in millions, except ratios and employees)

																			1QTR 2003
																			Over (Under)
				1QTR			4QTR			3QTR			2QTR			1QTR
				2003			2002			2002			2002			2002			4Q 2002			1Q 2002
OPERATING INCOME STATEMENT
REVENUE:
Private Equity:
	Cash Gains			$	62		$	169		$	111		$	111		$	172			(63	)%		(64	)%
	Write-offs				(65	)		(195	)		(152	)		(122	)		(185	)		67			65
		Realized Gains (Losses)			(3	)		(26	)		(41	)		(11	)		(13	)		88			77
	Public Mark-to-Market				(6	)		108			(120	)		(21	)		(177	)	NM				97
	Private Write-downs				(221	)		(135	)		(138	)		(94	)		(65	)		(64	)	NM
		Unrealized Gains (Losses)			(227	)		(27	)		(258	)		(115	)		(242	)	NM				6
Total Private Equity Gains (Losses)					(230	)		(53	)		(299	)		(126	)		(255	)	NM				10
Net Interest Income (Loss)					(74	)		(69	)		(75	)		(87	)		(86	)		(7	)		14
Fees and Other Revenue					14			27			3			8			20			(48	)		(30	)
			TOTAL OPERATING REVENUE		(290	)		(95	)		(371	)		(205	)		(321	)	NM				10
EXPENSE:
Compensation Expense					34			23			33			34			37			48			(8	)
Noncompensation Expense					29			45			44			39			41			(36	)		(29	)
			TOTAL OPERATING EXPENSE		63			68			77			73			78			(7	)		(19	)
Operating Income (Loss) Before Income Tax Expense					(353	)		(163	)		(448	)		(278	)		(399	)	NM				12
Income Tax Expense (Benefit)					(129	)		(62	)		(164	)		(103	)		(147	)	NM				12
OPERATING EARNINGS (LOSS)				$	(224	)	$	(101	)	$	(284	)	$	(175	)	$	(252	)	NM				11
Average Common Equity				$	5,055		$	5,210		$	5,292		$	5,392		$	5,609			(3	)		(10	)
Average Assets					9,428			9,629			9,404			9,611			10,074			(2	)		(6	)
Shareholder Value Added					(413	)		(300	)		(485	)		(378	)		(461	)		(38	)		10
FULL-TIME EQUIVALENT EMPLOYEES					342			357			364			357			338			(4	)		1

Page 11

J.P. MORGAN CHASE & CO.
JPMORGAN PARTNERS
INVESTMENT PORTFOLIO — PRIVATE AND PUBLIC SECURITIES
(in millions)

										��			Mar 31, 2003
													Over (Under)
		Mar 31		Dec 31		Sep 30		Jun 30			Mar 31		Dec 31			Mar 31
		2003		2002		2002		2002			2002		2002			2002
PORTFOLIO INFORMATION
Public Securities (89 companies) (a) (b)
	Carrying Value	$	478	$	520	$	488	$	695		$	705		(8	)%		(32	)%
	Cost		624		663		764		860			809		(6	)		(23	)
Private Direct Securities (945 companies) (b)
	Carrying Value		5,912		5,865		5,694		5,707			6,054		1			(2	)
	Cost		7,439		7,316		7,186		7,066			7,317		2			2
Private Fund Investments (312 funds) (b)
	Carrying Value		1,780		1,843		1,831		1,827			1,794		(3	)		(1	)
	Cost		2,360		2,333		2,216		2,164			2,119		1			11
Total Investment Portfolio — Carrying Value		$	8,170	$	8,228	$	8,013	$	8,229		$	8,553		(1	)		(4	)
Total Investment Portfolio — Cost		$	10,423	$	10,312	$	10,166	$	10,090		$	10,245		1			2

(a)	��	Publicly traded positions only.
(b)		Represents the number of companies and funds at March 31, 2003.

Page 12

J.P. MORGAN CHASE & CO.
CHASE FINANCIAL SERVICES
FINANCIAL HIGHLIGHTS
(in millions, except ratios and employees)

																	1QTR 2003
																	Over (Under)
		1QTR			4QTR			3QTR			2QTR			1QTR
		2003			2002			2002			2002			2002			4Q 2002			1Q 2002
OPERATING INCOME STATEMENT
REVENUE:
Net Interest Income		$	2,360		$	2,171		$	2,150		$	2,112		$	2,023			9	%		17	%
Fees and Commissions			935			603			1,233			1,134			894			55			5
Securities Gains			102			375			112			19			(13	)		(73	)	NM
All Other Revenue			340			229			215			176			187			48			82
	TOTAL OPERATING REVENUE		3,737			3,378			3,710			3,441			3,091			11			21
EXPENSE:
Compensation Expense			734			633			677			669			645			16			14
Noncompensation Expense			1,014			1,076			973			958			900			(6	)		13
	TOTAL OPERATING EXPENSE		1,748			1,709			1,650			1,627			1,545			2			13
Operating Margin			1,989			1,669			2,060			1,814			1,546			19			29
Credit Costs			878			874			823			736			726			—			21
Operating Income Before Income Tax Expense			1,111			795			1,237			1,078			820			40			35
Income Tax Expense			407			299			446			404			312			36			30
OPERATING EARNINGS		$	704		$	496		$	791		$	674		$	508			42			39
Average Common Equity		$	10,331		$	10,371		$	10,488		$	10,433		$	10,142			—			2
Average Managed Assets (a)			202,358			188,479			178,826			175,556			175,593			7			15
Shareholder Value Added			396			179			470			358			205			121			93
Return on Common Equity			27.5	%		18.9	%		29.8	%		25.8	%		20.2	%	860 bp			730 bp
Overhead Ratio			47			51			44			47			50			(400	)		(300	)
FULL-TIME EQUIVALENT EMPLOYEES			44,393			43,612			42,910			42,642			42,331			2	%		5	%
CHASE FINANCIAL SERVICES’ BUSINESSES
CHASE HOME FINANCE:
Operating Revenue		$	1,143		$	646		$	977		$	776		$	530			77			116
Operating Expense			360			379			310			313			298			(5	)		21
Operating Earnings			435			152			390			265			130			186			235
CHASE CARDMEMBER SERVICES:
Operating Revenue		$	1,475		$	1,579		$	1,563		$	1,493		$	1,359			(7	)		9
Operating Expense			534			606			545			523			482			(12	)		11
Operating Earnings			157			147			237			170			142			7			11
CHASE AUTO FINANCE:
Operating Revenue		$	201		$	190		$	167		$	167		$	172			6			17
Operating Expense			67			65			61			61			61			3			10
Operating Earnings			40			37			26			80			31			8			29
CHASE REGIONAL BANKING:
Operating Revenue		$	630		$	692		$	697		$	709		$	724			(9	)		(13	)
Operating Expense			561			564			546			551			557			(1	)		1
Operating Earnings			35			78			76			88			112			(55	)		(69	)
CHASE MIDDLE MARKET:
Operating Revenue		$	369		$	365		$	384		$	369		$	376			1			(2	)
Operating Expense			210			222			198			208			204			(5	)		3
Operating Earnings			96			63			102			97			89			52			8

(a) Includes credit card receivables that have been securitized.

Page 13

J.P. MORGAN CHASE & CO.
CHASE FINANCIAL SERVICES
BUSINESS-RELATED METRICS
(in billions, except ratios and where otherwise noted)

																	1QTR 2003
																	Over (Under)
		1QTR			4QTR			3QTR			2QTR			1QTR
		2003			2002			2002			2002			2002			4Q 2002				1Q 2002
Chase Home Finance
Originations:																				��
	Retail, Wholesale and Correspondent	$	41		$	40		$	29		$	22		$	23			3	%			78	%
	Correspondent Negotiated Transactions		21			21			7			5			10			—				110
Loans Serviced			432			426			435			436			426			1				1
End-of-Period Outstandings			67.3			63.6			55.6			53.6			54.4			6				24
Total Average Loans Owned			64.4			59.7			54.2			54.1			56.9			8				13
Number of Customers (in millions)			4.0			4.0			4.0			4.0			4.0			—				—
MSR Carrying Value			3.2			3.2			3.6			5.7			6.9			—				(54	)
Net Charge-Off Ratio			0.20	%		0.27	%		0.21	%		0.30	%		0.21	%	(7) bp				(1) bp
Overhead Ratio			31			59			32			40			56			(2,800	)			(2,500	)
Chase Cardmember Services — Managed Basis
End-of-Period Outstandings		$	50.6		$	51.1		$	51.1		$	49.5		$	48.9			(1	)%			3	%
Average Outstandings			50.9			50.7			50.4			48.9			46.3			—				10
Total Purchases & Cash Advances (a)			20.7			21.2			23.0			20.9			18.9			(2	)			10
Total Accounts (in millions)			29.8			29.2			28.6			28.1			27.7			2				8
Active Accounts (in millions)			16.5			16.5			16.5			16.3			16.5			—				—
Net Charge-Off Ratio			5.87	%		5.75	%		5.59	%		6.41	%		5.82	%	12 bp				5 bp
30+ Day Delinquency Rate			4.59			4.67			4.47			4.17			4.58			(8	)			1
Overhead Ratio			36			38			35			35			35			(200	)			100
Chase Auto Finance
Loan and Lease Receivables		$	41.1		$	37.4		$	33.8		$	29.3		$	29.4			10	%			40	%
Average Loan and Lease Receivables			39.6			35.8			31.5			29.6			29.9			11				32
Auto Origination Volume			7.4			6.8			7.6			5.2			5.8			9				28
Auto Market Share			6.4%	(c)		5.7	%		5.8	%		5.1	%		5.2	%	70 bp				120 bp
Net Charge-Off Ratio			0.48			0.53			0.59			0.38			0.53			(5	)			(5	)
Overhead Ratio			33			34			37			36			35			(100	)			(200	)
Chase Regional Banking
Total Average Deposits		$	72.6		$	70.1		$	70.1		$	69.9		$	69.2			4	%			5	%
Total Average Assets Under Management (b)			103.9	(c)		102.6			102.6			104.3			104.8			1				(1	)
Number of Branches			527			528			533			533			538			—				(2	)
Number of ATMs			1,873	(c)		1,876			1,884			1,878			1,895			—				(1	)
Number of Online Customers (in thousands)			1,259			1,185			1,128			1,066			1,003			6				26
Overhead Ratio			89	%		82	%		78	%		78	%		77	%	700 bp				1,200 bp
Chase Middle Market
Total Average Loans		$	14.3		$	14.1		$	13.7		$	13.5		$	13.6			1	%			5	%
Total Average Deposits			28.0			25.8			24.0			24.0			22.7			9				23
Nonperforming Average Loans as a % of Total Average Loans			1.47	%		1.59	%		1.95	%		1.89	%		2.20	%	(12) bp				(73) bp
Overhead Ratio			57			61			52			57			54			(400	)			300

(a)	Sum of total customer purchases, cash advances and balance transfers.
(b)	Assets under management includes deposits.
(c)	Estimated

Page 14

SUPPLEMENTAL DETAIL

J.P. MORGAN CHASE & CO
NONINTEREST REVENUE AND NONINTEREST EXPENSE DETAIL ON A REPORTED BASIS
(in millions)

															1QTR 2003
															Over (Under)
			1QTR		4QTR			3QTR			2QTR		1QTR
NONINTEREST REVENUE			2003		2002			2002			2002		2002		4Q 2002			1Q 2002
Investment Banking Fees:
	Advisory		$	166	$	233		$	143		$	189	$	191		(29	)%		(13	)%
	Underwriting:
		Equity		108		84			57			184		139		29			(22	)
		Debt		342		361			345			412		425		(5	)		(20	)
	Total		$	616	$	678		$	545		$	785	$	755		(9	)		(18	)
Trading-Related Revenue:(a)
	Equities		$	194	$	(20	)	$	(211	)	$	120	$	223	NM				(13	)
	Fixed Income and Other			1,721		1,273			576			1,016		1,497		35			15
	Total		$	1,915	$	1,253		$	365		$	1,136	$	1,720		53			11
Fees and Commissions:
	Investment Management, Custody and Processing Services		$	885	$	863		$	923		$	981	$	992		3			(11	)
	Credit Card Revenue			692		807			806			669		587		(14	)		18
	Brokerage and Investment Services			277		273			321			333		304		1			(9	)
	Mortgage Servicing Fees, Net of Amortization, Writedowns and Derivatives Hedging			90		(330	)		323			257		48	NM				88
	Other Lending-Related Service Fees			124		160			128			128		130		(23	)		(5	)
	Deposit Service Fees			285		277			288			273		290		3			(2	)
	Other Fees			245		232			216			244		233		6			5
	Total		$	2,598	$	2,282		$	3,005		$	2,885	$	2,584		14			1
Other Revenue:
	Residential Mortgage Origination/Sales Activities		$	378	$	212		$	213		$	146	$	100		78			278
	All Other Revenue			103		78			206			146		57		32			81
	Total		$	481	$	290		$	419		$	292	$	157		66			206
NONINTEREST EXPENSE
Other Expense:
Professional Services			$	325	$	378		$	307		$	311	$	307		(14	)		6
Outside Services				272		249			256			240		249		9			9
Marketing				164		220			179			144		146		(25	)		12
Travel and Entertainment				89		96			102			112		101		(7	)		(12	)
All Other				310		351			324			311		405		(12	)		(23	)
Total			$	1,160	$	1,294		$	1,168		$	1,118	$	1,208		(10	)		(4	)

(a) Includes trading-related net interest income. See reconciliation from reported to operating basis on page 6.

 Page 15

J.P. MORGAN CHASE & CO
CONSOLIDATED BALANCE SHEET
(in millions)

																		Mar 31, 2003
																		Over (Under)
			Mar 31			Dec 31			Sep 30			Jun 30			Mar 31			Dec 31			Mar 31
			2003			2002			2002			2002			2002			2002			2002
ASSETS
Cash and Due from Banks			$	22,229		$	19,218		$	18,159		$	21,878		$	22,637			16	%		(2	)%
Deposits with Banks				6,896			8,942			13,447			10,517			9,691			(23	)		(29	)
Federal Funds Sold and Securities Purchased under Resale Agreements				69,764			65,809			63,748			71,740			76,719			6			(9	)
Securities Borrowed				39,188			34,143			35,283			48,429			40,880			15			(4	)
Trading Assets:
	Debt and Equity Instruments			146,783			165,199			151,264			159,746			144,992			(11	)		1
	Derivative Receivables			86,649			83,102			87,518			69,858			63,224			4			37
Securities				85,178			84,463			79,768			64,526			61,225			1			39
Loans (Net of Allowance for Loan Losses)				212,256			211,014			206,215			207,080			209,541			1			1
Private Equity Investments				8,170			8,228			8,013			8,229			8,553			(1	)		(4	)
Goodwill				8,122			8,096			8,108			8,089			8,055			—			1
Mortgage Servicing Rights				3,235			3,230			3,606			5,689			6,918			—			(53	)
Other Intangibles:
	Purchased Credit Card Relationships			1,205			1,269			1,337			1,426			1,508			(5	)		(20	)
	All Other Intangibles			294			307			311			313			327			(4	)		(10	)
Other Assets				65,187			65,780			64,982			63,026			58,238			(1	)		12
TOTAL ASSETS			$	755,156		$	758,800		$	741,759		$	740,546		$	712,508			—			6
LIABILITIES
Deposits:
	Noninterest-Bearing		$	77,822		$	82,029		$	74,724		$	73,529		$	72,659			(5	)		7
	Interest-Bearing			222,845			222,724			217,447			220,300			209,378			—			6
		Total Deposits		300,667			304,753			292,171			293,829			282,037			(1	)		7
Federal Funds Purchased and Securities Sold under Repurchase Agreements				160,221			169,483			154,745			162,656			152,837			(5	)		5
Commercial Paper				14,039			16,591			13,775			14,561			23,726			(15	)		(41	)
Other Borrowed Funds				12,848			8,946			12,646			17,352			16,968			44			(24	)
Trading Liabilities:
	Debt and Equity Instruments			64,427			66,864			71,607			67,952			71,141			(4	)		(9	)
	Derivative Payables			64,804			66,227			70,593			55,575			44,997			(2	)		44
Accounts Payable, Accrued Expenses and Other Liabilities (including the Allowance for Lending-Related Commitments)				46,776			38,440			38,233			38,083			36,910			22			27
Long-Term Debt				42,851			39,751			39,113			42,363			37,322			8			15
Guaranteed Preferred Beneficial Interests in the Firm’s Junior Subordinated Deferrable Interest Debentures				5,439			5,439			5,439			5,439			5,439			—			—
TOTAL LIABILITIES				712,072			716,494			698,322			697,810			671,377			(1	)		6
STOCKHOLDERS’ EQUITY
Preferred Stock				1,009			1,009			1,009			1,009			1,009			—			—
Common Stock				2,032			2,024			2,023			2,020			2,016			—			1
Capital Surplus				12,477			13,222			13,113			13,111			12,783			(6	)		(2	)
Retained Earnings				26,538			25,851			26,940			27,605			27,278			3			(3	)
Accumulated Other Comprehensive Income (Loss)				1,113			1,227			1,465			79			(909	)		(9	)	NM
Treasury Stock, at Cost				(85	)		(1,027	)		(1,113	)		(1,088	)		(1,046	)		92			92
TOTAL STOCKHOLDERS’ EQUITY				43,084			42,306			43,437			42,736			41,131			2			5
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY			$	755,156		$	758,800		$	741,759		$	740,546		$	712,508			—			6

 Page 16

J.P. MORGAN CHASE & CO
CONDENSED AVERAGE BALANCE SHEET AND ANNUALIZED YIELDS
(in millions, except rates)

																1QTR 2003
																Over (Under)
	1QTR			4QTR			3QTR			2QTR			1QTR			4Q			1Q
AVERAGE BALANCES	2003			2002			2002			2002			2002			2002			2002
ASSETS
Deposits with Banks	$	9,998		$	13,074		$	13,071		$	9,287		$	12,326			(24	)%		(19	)%
Federal Funds Sold and Securities Purchased under Resale Agreements		87,657			88,974			83,402			83,317			81,004			(1	)		8
Securities and Trading Assets		246,007			229,120			205,232			201,512			180,951			7			36
Securities Borrowed		38,654			40,673			41,881			46,537			41,739			(5	)		(7	)
Loans		215,882			211,489			205,037			211,495			217,847			2			(1	)
Total Interest-Earning Assets		598,198			583,330			548,623			552,148			533,867			3			12
Noninterest-Earning Assets		180,040			171,836			175,743			182,798			184,779			5			(3	)
TOTAL ASSETS	$	778,238		$	755,166		$	724,366		$	734,946		$	718,646			3			8
LIABILITIES
Interest-Bearing Deposits	$	225,389		$	215,061		$	214,932		$	221,687		$	218,049			5			3
Federal Funds Purchased and Securities Sold under Repurchase Agreements		191,163			182,526			170,266			166,919			153,662			5			24
Commercial Paper		14,254			13,469			13,740			18,514			18,901			6			(25	)
Other Borrowings (a)		68,453			65,591			66,014			78,614			67,408			4			2
Long-Term Debt		46,001			44,621			45,525			42,482			43,046			3			7
Total Interest-Bearing Liabilities		545,260			521,268			510,477			528,216			501,066			5			9
Noninterest-Bearing Liabilities		190,111			190,919			170,712			164,832			175,800			—			8
TOTAL LIABILITIES		735,371			712,187			681,189			693,048			676,866			3			9
PREFERRED STOCK OF SUBSIDIARY (b)		—			—			—			—			354		NM			NM
Preferred Stock		1,009			1,009			1,009			1,009			1,009			—			—
Common Stockholders’ Equity		41,858			41,970			42,168			40,889			40,417			—			4
TOTAL STOCKHOLDERS’ EQUITY		42,867			42,979			43,177			41,898			41,426			—			3
TOTAL LIABILITIES, PREFERRED STOCK OF SUBSIDIARY AND STOCKHOLDERS’ EQUITY	$	778,238		$	755,166		$	724,366		$	734,946		$	718,646			3			8
AVERAGE RATES
INTEREST-EARNING ASSETS
Deposits with Banks		2.58	%		1.48	%		2.65	%		3.31	%		2.96	%	110 bp			(38) bp
Federal Funds Sold and Securities Purchased under Resale Agreements		2.19			2.33			2.52			2.58			2.45			(14	)		(26	)
Securities and Trading Assets		4.64			4.62			4.98			5.18			5.35			2			(71	)
Securities Borrowed		1.02			1.42			1.70			1.49			1.77			(40	)		(75	)
Loans		5.32			5.29			5.73			5.95			5.87			3			(55	)
Total Interest-Earning Assets		4.26			4.22			4.58			4.74			4.79			4			(53	)
INTEREST-BEARING LIABILITIES
Interest-Bearing Deposits		1.92			2.17			2.62			2.38			2.49			(25	)		(57	)
Federal Funds Purchased and Securities Sold under Repurchase Agreements		1.54			1.71			2.06			2.06			2.07			(17	)		(53	)
Commercial Paper		1.30			1.53			1.81			1.84			1.76			(23	)		(46	)
Other Borrowings		4.99			4.69			5.06			5.24			4.81			30			18
Long-Term Debt		3.23			3.68			3.22			3.10			3.35			(45	)		(12	)
Total Interest-Bearing Liabilities		2.27			2.44			2.78			2.75			2.72			(17	)		(45	)
INTEREST RATE SPREAD		1.99	%		1.78	%		1.80	%		1.99	%		2.07	%		21			(8	)
NET INTEREST MARGIN		2.19	%		2.04	%		1.99	%		2.11	%		2.24	%		15			(5	)
NET INTEREST MARGIN ADJUSTED FOR SECURITIZATIONS		2.49	%		2.36	%		2.31	%		2.36	%		2.47	%		13			2

(a)	Includes securities sold but not yet purchased.
(b)	On February 28, 2002, all outstanding shares were redeemed.

 Page 17

J.P. MORGAN CHASE & CO
CREDIT-RELATED INFORMATION
(in millions, except ratios)

												March 31, 2003
												Over (Under)
		Mar 31		Dec 31		Sep 30		Jun 30		Mar 31		Dec 31			Mar 31
CREDIT EXPOSURE		2003		2002		2002		2002		2002		2002			2002
COMMERCIAL
Loans		$	88,446	$	91,548	$	97,486	$	104,701	$	101,752		(3	)%		(13	)%
Derivative Receivables (a)			86,649		83,102		87,518		69,858		63,224		4			37
Other Receivables (b)			108		108		1,130		1,130		—		—		NM
TOTAL COMMERCIAL CREDIT-RELATED ASSETS			175,203		174,758		186,134		175,689		164,976		—			6
Lending-Related Commitments			230,698		238,120		238,150		239,240		242,827		(3	)		(5	)
TOTAL COMMERCIAL CREDIT EXPOSURE (c)			405,901		412,878		424,284		414,929		407,803		(2	)		—
CONSUMER
1-4 Family Residential Mortgages — First Liens			51,711		49,357		41,934		39,602		42,429		5			22
Home Equity			15,363		14,643		13,741		13,067		12,031		5			28
	1-4 Family Residential Mortgages		67,074		64,000		55,675		52,669		54,460		5			23
Credit Card — Reported (d)			17,509		19,677		20,508		21,036		24,746		(11	)		(29	)
Credit Card Securitizations			31,399		30,722		29,843		27,499		23,225		2			35
Credit Card — Managed (d)			48,908		50,399		50,351		48,535		47,971		(3	)		2
Auto Financings			36,865		33,615		30,612		26,666		26,002		10			42
Other Consumer (e)			7,577		7,524		7,197		7,014		7,586		1			—
TOTAL MANAGED CONSUMER LOANS			160,424		155,538		143,835		134,884		136,019		3			18
TOTAL CREDIT PORTFOLIO		$	566,325	$	568,416	$	568,119	$	549,813	$	543,822		—			4

(a)	Includes $141 million of Enron-related surety receivables at March 31, 2003 that were the subject of settled litigation.
(b)	Represents at March 31, 2003 the Enron-related letter of credit, which continues to be the subject of litigation and was classified in Other Assets.
(c)	Credit exposure excludes risk participations and does not reflect the benefit of credit derivative hedges or liquid collateral held against derivatives contracts.
(d)	At March 31, 2003, excludes $978 million of accrued interest and fees on securitized credit card loans that was classified in Other Assets.
(e)	Consists of installment loans (direct and indirect types of consumer finance), student loans, unsecured revolving lines of credit and non-U.S. consumer loans.

 Page 18

J.P. MORGAN CHASE & CO. CREDIT-RELATED INFORMATION (CONT.)
(in millions, except ratios)

																	March 31, 2003
																	Over (Under)
		Mar 31			Dec 31			Sep 30			Jun 30			Mar 31			Dec 31			Mar 31
		2003			2002			2002			2002			2002			2002			2002
NONPERFORMING ASSETS AND RATIOS
COMMERCIAL
Loans		$	3,286		$	3,672		$	3,596		$	2,512		$	2,359			(11	)%		39	%
Derivative Receivables (a)			277			289			169			144			1,285			(4	)		(78	)
Other Receivables (b)			108			108			1,130			1,130			—			—		NM
TOTAL COMMERCIAL CREDIT EXPOSURE			3,671			4,069			4,895			3,786			3,644			(10	)		1
CONSUMER
1-4 Family Residential Mortgages — First Liens			249			259			265			226			297			(4	)		(16	)
Home Equity			54			53			49			49			54			2			—
	1-4 Family Residential Mortgages		303			312			314			275			351			(3	)		(14	)
Credit Card — Reported			14			15			17			18			19			(7	)		(26	)
Credit Card Securitizations			—			—			—			—			—		NM			NM
Credit Card — Managed			14			15			17			18			19			(7	)		(26	)
Auto Financings			112			118			108			103			98			(5	)		14
Other Consumer (c)			66			76			68			54			66			(13	)		—
TOTAL MANAGED CONSUMER LOANS			495			521			507			450			534			(5	)		(7	)
Assets Acquired in Loan Satisfactions			225			190			140			142			130			18			73
TOTAL CREDIT PORTFOLIO (d)		$	4,391		$	4,780		$	5,542		$	4,378		$	4,308			(8	)		2
TOTAL NONPERFORMING ASSETS TO TOTAL ASSETS			0.58	%		0.63	%		0.75	%		0.59	%		0.60	%	(5)bp			(2)bp
PAST DUE 90 DAYS AND OVER AND ACCRUING
COMMERCIAL
Loans		$	39		$	57		$	33		$	31		$	52			(32	)%		(25	)%
Derivative Receivables			—			—			—			—			—		NM			NM
TOTAL COMMERCIAL CREDIT EXPOSURE			39			57			33			31			52			(32	)		(25	)
CONSUMER
1-4 Family Residential Mortgages — First Liens			—			—			1			—			—		NM			NM
Home Equity			—			—			—			—			—		NM			NM
	1-4 Family Residential Mortgages		—			—			1			—			—		NM			NM
Credit Card — Reported (e)			269			451			447			505			619			(40	)		(57	)
Credit Card Securitizations			664			630			526			457			478			5			39
Credit Card — Managed (e)			933			1,081			973			962			1,097			(14	)		(15	)
Auto Financings			—			—			—			—			—		NM			NM
Other Consumer (c)			22			22			26			37			45			—			(51	)
TOTAL MANAGED CONSUMER LOANS			955			1,103			1,000			999			1,142			(13	)		(16	)
TOTAL CREDIT PORTFOLIO		$	994		$	1,160		$	1,033		$	1,030		$	1,194			(14	)		(17	)

(a)	Includes $141 million of Enron-related surety receivables at March 31, 2003 that were the subject of settled litigation.
(b)	Represents at March 31, 2003 the Enron-related letter of credit, which continues to be the subject of litigation and was classified in Other Assets.
(c)	Consists of installment loans (direct and indirect types of consumer finance), student loans, unsecured revolving lines of credit and non-U.S. consumer loans.
(d)	Nonperforming assets at March 31, 2003 have not been reduced for credit protection (single name credit default swaps and collateralized loan obligations) relating to nonperforming counterparties in amounts aggregating $50 million at March 31, 2003. Nonperforming assets exclude nonaccrual loans held for sale (“HFS”) of $58 million at March 31, 2003. HFS loans are carried at the lower of cost or market, and declines in value are recorded in Other Revenue.
(e)	At March 31, 2003, excludes $144 million of accrued interest and fees on securitized credit card loans past due 90 days and over and accruing that was classified in Other Assets.

Page 19

J.P. MORGAN CHASE & CO. CREDIT-RELATED INFORMATION (CONT.)
(in millions, except ratios)

																	1QTR 2003
		1QTR			4QTR			3QTR			2QTR			1QTR			Over (Under)
		2003			2002			2002			2002			2002			4Q 2002			1Q 2002
NET CHARGE-OFFS
COMMERCIAL
Loans		$	292		$	434		$	834		$	293		$	320			(33	)%		(9	)%
Lending-Related Commitments			—			212			—			—			—		NM			NM
TOTAL COMMERCIAL CREDIT EXPOSURE			292			646			834			293			320			(55	)		(9	)
CONSUMER
1-4 Family Residential Mortgages — First Liens			5			11			6			21			11			(55	)		(55	)
Home Equity			2			4			1			—			2			(50	)		—
	1-4 Family Residential Mortgages		7			15			7			21			13			(53	)		(46	)
Credit Card — Reported			275			286			333			433			337			(4	)		(18	)
Credit Card Securitizations			457			430			354			334			321			6			42
Credit Card — Managed			732			716			687			767			658			2			11
Auto Financings			46			47			47			29			38			(2	)		21
Other Consumer (a)			50			54			45			45			45			(7	)		11
TOTAL MANAGED CONSUMER LOANS			835			832			786			862			754			—			11
TOTAL CREDIT PORTFOLIO		$	1,127		$	1,478		$	1,620		$	1,155		$	1,074			(24	)		5
NET CHARGE-OFF RATES — ANNUALIZED COMMERCIAL
Loans			1.32	%		1.88	%		3.53	%		1.17	%		1.27	%	(56)bp			5bp
Lending-Related Commitments			—			0.35			—			—			—			(35	)		—
TOTAL COMMERCIAL CREDIT EXPOSURE			0.37			0.78			1.00			0.34			0.37			(41	)		—
CONSUMER
1-4 Family Residential Mortgages — First Liens			0.04			0.09			0.06			0.20			0.10			(5	)		(6	)
Home Equity			0.05			0.11			0.03			—			0.07			(6	)		(2	)
	1-4 Family Residential Mortgages		0.04			0.10			0.05			0.16			0.09			(6	)		(5	)
Credit Card — Reported			6.17			5.90			6.27			7.67			5.78			27			39
Credit Card Securitizations			5.82			5.58			4.95			5.30			5.98			24			(16	)
Credit Card — Managed			5.95			5.70			5.51			6.42			5.87			25			8
Auto Financings			0.53			0.58			0.64			0.43			0.58			(5	)		(5	)
Other Consumer (a)			2.54			2.77			2.53			2.35			2.16			(23	)		38
TOTAL MANAGED CONSUMER LOANS			2.14			2.20			2.23			2.53			2.22			(6	)		(8	)
TOTAL CREDIT PORTFOLIO			0.95			1.22			1.36			0.97			0.90			(27	)		5

(a) Consists of installment loans (direct and indirect types of consumer finance), student loans, unsecured revolving lines of credit and non-U.S. consumer loans.

Page 20

J.P. MORGAN CHASE & CO. CREDIT-RELATED INFORMATION (CONT.)
(in millions, except ratios)

																	1QTR 2003
		1QTR			4QTR			3QTR			2QTR			1QTR			Over (Under)
		2003			2002			2002			2002			2002			4Q 2002			1Q 2002
SUMMARY OF CHANGES IN THE ALLOWANCE
LOANS:
Beginning Balance		$	5,350		$	5,263		$	5,006		$	5,005		$	4,524			2	%		18	%
	Net Charge-Offs		(670	)		(836	)		(1,266	)		(821	)		(753	)		(20	)		(11	)
	Provision for Loan Losses		670			921			1,544			821			753			(27	)		(11	)
	Other		(135	)		2			(21	)		1			481		NM			NM
Ending Balance		$	5,215		$	5,350		$	5,263		$	5,006		$	5,005			(3	)		4
LENDING-RELATED COMMITMENTS:
Beginning Balance		$	363		$	573		$	281		$	281		$	282			(37	)		29
	Net Charge-Offs		—			(212	)		—			—			—		NM			NM
	Provision for Lending-Related Commitments		73			—			292			—			—		NM			NM
	Other		—			2			—			—			(1	)	NM			NM
Ending Balance		$	436		$	363		$	573		$	281		$	281			20			55
ALLOWANCE COMPONENTS AND RATIOS
LOANS:
Commercial — Specific		$	1,528		$	1,603		$	1,525		$	1,212		$	1,163			(5	)%		31	%
Commercial — Expected			590			613			554			594			635			(4	)		(7	)
	Total Commercial		2,118			2,216			2,079			1,806			1,798			(4	)		18
Consumer Expected			2,255			2,360			2,365			2,387			2,518			(4	)		(10	)
	Total Specific and Expected		4,373			4,576			4,444			4,193			4,316			(4	)		1
Residual Component			842			774			819			813			689			9			22
	Total Allowance for Loans Losses	$	5,215		$	5,350		$	5,263		$	5,006		$	5,005			(3	)		4
LENDING-RELATED COMMITMENTS:
Commercial — Specific		$	305		$	237		$	426		$	165		$	165			29			85
Commercial — Expected			84			87			83			78			79			(3	)		6
	Total Specific and Expected		389			324			509			243			244			20			59
Residual Component			47			39			64			38			37			21			27
Total Allowance for Lending-Related Commitments		$	436		$	363		$	573		$	281		$	281			20			55
Allowance for Loan Losses to Total Loans			2.40	%		2.47	%		2.49	%		2.36	%		2.33	%	(7)bp			7bp
Allowance for Loan Losses to Total Nonperforming Loans			138			128			128			169			173			1,000			(3,500	)
Allowance for Loan Losses to Total Nonperforming Assets			119			112			95			114			116			700			300
CREDIT COSTS
Loans:
	Commercial	$	194		$	526		$	1,107		$	344		$	394			(63	)%		(51	)%
	Consumer		411			395			438			391			365			4			13
Total Specific and Expected			605			921			1,545			735			759			(34	)		(20	)
	Residual Component		65			—			(1	)		86			(6	)	NM			NM
Total Provision for Loan Losses			670			921			1,544			821			753			(27	)		(11	)
Lending-Related Commitments:
	Commercial		65			25			266			(1	)		19			160			242
	Residual Component		8			(25	)		26			1			(19	)	NM			NM
Total Provision for Lending-Related Commitments			73			—			292			—			—		NM			NM
Securitized Credit Losses			457			430			354			334			321			6			42
Total Managed Credit Costs		$	1,200		$	1,351		$	2,190		$	1,155		$	1,074			(11	)		12

Page 21

J.P. MORGAN CHASE & CO.
CREDIT-RELATED INFORMATION (CONT.)

(a) To normalize trend, these amounts exclude Enron-related exposure representing surety receivables and a letter of credit claim of $1,130 million at March 31, 2002, June 30, 2002 and September 30, 2002, and continuing settlement and litigation claims of $233 million at December 31, 2002, and $249 million at March 31, 2003.

Page 22

J.P. MORGAN CHASE & CO. CREDIT-RELATED INFORMATION (CONT.)
(in millions, except ratios)

		Mar 31						Dec 31					Sep 30					Jun 30					Mar 31					Mar 31, 2003
		2003						2002					2002					2002					2002					Over (Under)
		$			%			$		%			$		%			$		%			$		%			Dec 31 2002				Mar 31 2002
TELECOM AND RELATED INDUSTRIES (a)
Credit Exposure (b)		$	16,739			100	%	$	16,770		100	%	$	18,208		100	%	$	19,973		100	%	$	19,888		100	%		—	%		(16	)%
Risk Profile of Credit Exposure:
Investment-Grade			11,061			66	%		9,376		56	%		10,107		56	%		11,677		58	%		11,233		57	%		18			(2	)
Noninvestment-Grade:
	Noncriticized		3,381			20	%		5,076		30	%		4,928		27	%		5,865		29	%		5,965		30	%		(33	)		(43	)
	Criticized Performing		1,756			11	%		1,487		9	%		2,421		13	%		2,116		11	%		2,439		12	%		18			(28	)
	Criticized Nonperforming (c)		541			3	%		831		5	%		752		4	%		315		2	%		251		1	%		(35	)		116
CABLE INDUSTRY
Credit Exposure (b)		$	5,312			100	%	$	5,982		100	%	$	5,427		100	%	$	4,556		100	%	$	4,590		100	%		(11	)		16
Risk Profile of Credit Exposure:
Investment-Grade			2,112			40	%		2,681		45	%		1,913		35	%		1,371		30	%		1,519		33	%		(21	)		39
Noninvestment-Grade:
	Noncriticized		977			18	%		1,096		18	%		1,385		26	%		1,878		41	%		2,777		61	%		(11	)		(65	)
	Criticized Performing		1,717			32	%		1,673		28	%		1,735		32	%		1,209		27	%		259		5	%		3		NM
	Criticized Nonperforming (c)		506			10	%		532		9	%		394		7	%		98		2	%		35		1	%		(5	)	NM
MERCHANT ENERGY AND RELATED INDUSTRIES (d)
Credit Exposure (b)		$	6,170	��		100	%	$	6,230		100	%	$	6,241		100	%	$	6,201		100	%	$	6,945		100	%		(1	)		(11	)
Risk Profile of Credit Exposure:
Investment-Grade			3,744			61	%		3,580		57	%		3,470		56	%		3,682		59	%		5,203		75	%		5			(28	)
Noninvestment-Grade:
	Noncriticized		1,066			17	%		423		7	%		1,196		19	%		2,141		35	%		1,649		24	%		152			(35	)
	Criticized Performing		1,156			19	%		1,849		30	%		1,405		22	%		358		6	%		72		1	%		(37	)	NM
	Criticized Nonperforming (c)		204			3	%		378		6	%		170		3	%		20		0	%		21		0	%		(46	)	NM

Note:	The risk profile is based on JPMorgan Chase’s internal risk ratings, which generally correspond to the following ratings as defined by Standard & Poor’s / Moody’s: Investment Grade: AAA / Aaa to BBB- / Baa3 Noninvestment Grade: BB+ / Ba1 to B- / B3 Criticized: CCC+ / Caa1 & below
(a)	Telecom and Related Industries includes other companies with an interdependence upon the telecommunications sector.
(b)	Credit exposure excludes risk participations and does not reflect the benefit of credit derivative hedges or liquid collateral held against derivatives contracts.
(c)	Nonperforming assets exclude nonaccrual HFS loans, which are carried at the lower of cost or market and declines in value are recorded in Other Revenue.
(d)	These amounts exclude Enron-related exposure.

Page 23

J.P. MORGAN CHASE & CO.
CAPITAL

																			1QTR 2003
																			Over (Under)
		1QTR					4QTR			3QTR			2QTR			1QTR
		2003					2002			2002			2002			2002			4Q 2002			1Q 2002
SOURCES AND USES OF TIER 1 CAPITAL
(in billions)
Sources of Free Cash Flow
	Operating Earnings Less Dividends	$	0.7		(a	)	$	—		$	(0.4	)	$	0.5		$	0.5		NM				40	%
	Preferred Stock and Equivalents/Other Items		—		(a	)		(1.2	)		(0.1	)		(0.5	)		0.2		NM			NM
	Capital for Internal Asset Growth		(0.3	)	(a	)		(1.3	)		(0.1	)		0.6			0.5			77	%	NM
Total Sources of Free Cash Flow		$	0.4				$	(2.5	)	$	(0.6	)	$	0.6		$	1.2		NM				(67	)
Uses of Free Cash Flow
	Increases (Decreases) in Capital Ratios	$	0.6		(a	)	$	(2.3	)	$	(0.6	)	$	0.9		$	1.4		NM				(57	)
	Acquisitions		—		(a	)		—			—			—			—		NM			NM
	Repurchases Net of Stock Issuances		(0.2	)	(a	)		(0.2	)		—			(0.3	)		(0.2	)		—			—
Total Uses of Free Cash Flow		$	0.4				$	(2.5	)	$	(0.6	)	$	0.6		$	1.2		NM				(67	)
COMMON SHARES OUTSTANDING
(in millions)
	Basic Weighted-Average Shares Outstanding		1,999.8					1,990.0			1,986.0			1,982.6			1,978.2			—			1
	Diluted Weighted-Average Shares Outstanding		2,021.9					2,008.5			2,005.8			2,016.0			2,005.8			1			1
	Common Shares Outstanding — at Period End		2,030.0					1,998.7			1,995.9			1,993.4			1,990.2			2			2
	CASH DIVIDENDS DECLARED PER SHARE	$	0.34				$	0.34		$	0.34		$	0.34		$	0.34			—			—
	BOOK VALUE PER SHARE		20.73					20.66			21.26			20.93			20.16			—			3
SHARE PRICE
	High	$	28.29				$	26.14		$	33.68		$	38.75		$	39.68			8			(29	)
	Low		20.13					15.26			17.86			30.15			26.70			32			(25	)
	Close		23.71					24.00			18.99			33.92			35.65			(1	)		(33	)
CAPITAL RATIOS
Tier I Capital Ratio			8.4	%	(a	)		8.2	%		8.7	%		8.8	%		8.6	%	20bp			(20)bp
Total Capital Ratio			12.1		(a	)		12.0			12.4			12.7			12.5			10			(40	)
Tier I Leverage Ratio			5.0		(a	)		5.1			5.4			5.4			5.4			(10	)		(40	)

(a) Estimated

Page 24

J.P. MORGAN CHASE & CO.
Glossary of Terms

Assets Under Management:Represent assets actively managed by Investment Management & Private Banking on behalf of institutional and Private Banking clients. Excludes assets managed at American Century Companies Inc., in which the Firm has a 45% ownership interest.

Assets Under Supervision:Represent assets under management as well as custody, restricted stock, brokerage, administration and deposit accounts.

Average Managed Assets:Excludes the impact of credit card securitizations.

bp:Denotes basis points; 100 bp equals 1%.

Corporate:Includes Support Units and the effect remaining at the corporate level after the implementation of management accounting policies.

JPMorgan Partners (“JPMP”):JPMorgan Chase’s private equity business. The fair value of public investments held by JPMP are marked-to-market at the quoted public value. To determine the carrying values of these investments, JPMP incorporates the use of liquidity discounts to take into account the fact that it cannot immediately realize or hedge the quoted public values as a result of regulatory, corporate and/or contractual sales restrictions imposed on these holdings. Private investments are initially valued based on cost. The carrying values of private investments are adjusted from cost to reflect both positive and negative changes evidenced by financing events with third-party capital providers. In addition, these investments are subject to ongoing impairment reviews by JPMP’s senior investment professionals. A variety of factors are reviewed and monitored to assess impairment including, but not limited to, operating performance and future expectations, comparable industry valuations of public companies, changes in market outlook and changes in the third-party financing environment.

Managed Credit Card Receivables or Managed Basis:Refer to the credit card receivables on JPMorgan Chase’s balance sheet plus securitized credit card receivables.

NM:Not meaningful

Operating Basis or Operating Earnings:Represents reported results excluding the impact of merger and restructuring costs, special items and credit card securitizations.

Other Consumer Loans:Consists of installment loans (direct and indirect types of consumer finance), student loans, unsecured lines of credit and non-U.S. consumer.

Overhead Ratio:Operating expense (excluding merger and restructuring costs and special items) as a percentage of the operating revenues.

Reported Basis:Financial statements prepared under generally accepted accounting principles. The reported basis includes the impact of credit card securitizations, merger and restructuring costs and special items.

Return on Tangible Common Equity:Excludes the impact of goodwill on operating earnings and average common equity.

Segment Results —All periods are on a comparable basis, although restatements may occur in future periods to reflect further alignment of management accounting policies or changes in organizational structures between businesses.

Shareholder Value Added (“SVA”):Represents operating earnings less preferred dividends and an explicit charge for capital.

Special Items:Includes merger and restructuring costs and special items.

Tangible Common Equity:Excludes the impact of goodwill.

Tangible Shareholder Value Added:Excludes the impact of goodwill on operating earnings and capital charges.

Trading-Related Revenue: Includes net interest income (“NII”) attributable to trading activities.

Unaudited:The financial statements and information included throughout this document are unaudited.

Page 25