U.S. Bancorp 8K Reports Fourth Quarter and Full Year 2014 Earnings | USB 21 Jan 15

Richard K. Davis

Chairman, President and CEO

Andy Cecere

Vice Chairman and COO

U.S. Bancorp

4Q14 Earnings

Conference Call

U.S. Bancorp

4Q14 Earnings

Conference Call

January 21, 2015

Exhibit 99.2

Forward-looking Statements and Additional Information

The following information appears in accordance with the Private

Securities Litigation Reform Act of 1995:

This presentation contains forward-looking statements about U.S. Bancorp. Statements that are not historical or current facts, including statements

about beliefs and expectations, are forward-looking statements and are based on the information available to, and assumptions and estimates

made

by,

management

the

date

made.

These

forward-looking

statements

cover,

among

other

things,

anticipated

future

revenue

and

expenses

and

the

future

plans

and

prospects

U.S.

Bancorp.

Forward-looking

statements

involve

inherent

risks

and

uncertainties,

and

important

factors could cause actual results to differ materially from those anticipated. A reversal or slowing of the current economic recovery or another

severe

contraction

could

adversely

affect

U.S.

Bancorp’s

revenues

and

the

values

its

assets

and

liabilities.

Global

financial

markets

could

experience a recurrence of significant turbulence, which could reduce the availability of funding to certain financial institutions and lead to a

tightening of credit, a reduction of business activity, and increased market volatility. Stress in the commercial real estate markets, as well as a

downturn

the

residential

real

estate

markets,

could

cause

credit

losses

and

deterioration

asset

values.

addition,

U.S.

Bancorp’s

business

and financial performance is likely to be negatively impacted by

recently enacted and future legislation and regulation. U.S. Bancorp’s results could

also be adversely affected by deterioration in general business and economic conditions; changes in interest rates; deterioration in the credit quality

of its loan portfolios or in the value of the collateral securing those loans; deterioration in the value of securities held in its investment securities

portfolio; legal and regulatory developments; increased competition from both banks and non-banks; changes in customer behavior and

preferences; breaches in data security; effects of mergers and acquisitions and related integration; effects of critical accounting policies and

judgments; and management’s ability to effectively manage credit risk, residual value risk, market risk, operational risk, interest rate risk and

liquidity risk.

For discussion of these and other risks that may cause actual results to differ from expectations, refer to U.S. Bancorp’s Annual Report on

Form 10-K for the year ended December 31, 2013, on file with the Securities and Exchange Commission, including the sections entitled “Risk

Factors”

and

“Corporate

Risk

Profile”

contained

Exhibit

13,

and

all

subsequent

filings

with

the

Securities

and

Exchange

Commission

under

Sections 13(a), 13(c), 14 or 15(d) of the Securities Exchange Act of 1934. Forward-looking statements speak only as of the date they are made,

and U.S. Bancorp undertakes no obligation to update them in light of new information or future events.

This

presentation

includes

non-GAAP

financial

measures

describe

U.S.

Bancorp’s

performance.

The

calculations

these

measures

are

provided within or in the appendix of the presentation. These disclosures should not be viewed as a substitute for operating results determined in

accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other companies.

4Q14 Earnings

Conference Call

2014 Full Year Highlights

Record net income of $5.9 billion; $3.08 per diluted common share

Industry-leading profitability measures, including ROA of 1.54%, ROCE of 14.7%

and efficiency ratio of 53.2%

Average loan growth of 6.3% vs. 2013 and average deposit growth of 6.5%

vs. 2013

Net charge-offs declined 8.9% vs. 2013

Nonperforming assets declined 11.2% vs. 2013

Capital generation continues to reinforce capital position

•

Common equity tier 1 capital ratio of 9.0% estimated for the Basel III fully implemented

standardized approach

•

Repurchased 54 million shares of common stock during 2014

•

In total, returned $4.0 billion, or 72%, of our earnings in 2014

to shareholders

4Q14 Earnings

Conference Call

4Q14 Highlights

Net income of $1.5 billion; $0.79 per diluted common share

Positive operating leverage on a year-over-year basis

Average loan growth of 5.9% vs. 4Q13 (5.5% excluding Charter One

acquisition)

and 1.0% vs. 3Q14

Average deposit growth of 7.2% vs. 4Q13 (5.5% excluding Charter One

acquisition) and 1.6% vs. 3Q14

Net charge-offs declined 8.3% vs. 3Q14

Nonperforming assets declined 6.0% vs. 3Q14

Capital generation continues to reinforce capital position

•

Common equity tier 1 capital ratio of 9.0% estimated for the Basel III fully implemented

standardized approach

•

Common

equity

tier

capital

ratio

9.7%;

Tier

capital

ratio

11.3%

Returned 66% of earnings to shareholders in 4Q14

•

Repurchased 11 million shares of common stock during the quarter

4Q14 Earnings

Conference Call

Performance Ratios

Return on Average Common Equity

and Return on Average Assets

Efficiency Ratio and

Net Interest Margin

Return on Avg Common Equity

Return on Avg Assets

Efficiency Ratio

Net Interest Margin

* Excluding $214 million gain on Visa Inc. Class B common stock sale and $200 million FHA DOJ settlement

** Excluding $124 million gain related to an equity interest in Nuveen and $88 million expense for charitable contributions and legal accruals

Efficiency ratio computed as noninterest expense divided by the sum of net interest income on a taxable-equivalent basis and noninterest

income excluding securities gains (losses) net

4Q14 Earnings

Conference Call

* Gain on Visa Inc. Class B common stock sale

** Gain related to an equity interest in Nuveen

Taxable-equivalent basis

Revenue Growth

Year-Over-Year Change

(4.4%)

(1.2%)

4.9%

2.0%

5.7%

$ in millions

4Q14 Earnings

Conference Call

Loan and Deposit Growth

Year-Over-Year Growth

Average Balances

$ in billions

4Q14 Acquisition Adjusted

Loan Growth = 5.5%

Deposit Growth = 5.5%

4Q14 Earnings

Conference Call

Credit Quality

* Note: The loss sharing agreement for the commercial and commercial real estate loans acquired from the FDIC, which comprised the majority of

the nonperforming covered assets, expired at the end of the fourth quarter of 2014

Net Charge-offs

Nonperforming Assets*

$ in millions

Net Charge-offs (Left Scale)

NCOs to Avg Loans (Right Scale)

Nonperforming Assets (Left Scale)

NPAs to Loans plus ORE (Right Scale)

4Q14 Earnings

Conference Call

Earnings Summary

$ and shares in millions, except per-share data

Taxable-equivalent basis

4Q14

3Q14

4Q13

vs 3Q14

vs 4Q13

2014

2013

% B/(W)

Net Interest Income

2,799

2,748

2,733

1.9

2.4

10,997

10,828

1.6

Noninterest Income

2,370

2,242

2,156

5.7

9.9

9,164

8,774

4.4

Total Revenue

5,169

4,990

4,889

3.6

5.7

20,161

19,602

2.9

Noninterest Expense

2,804

2,614

2,682

(7.3)

(4.5)

10,715

10,274

(4.3)

Operating Income

2,365

2,376

2,207

(0.5)

7.2

9,446

9,328

1.3

Net Charge-offs

308

336

312

8.3

1.3

1,334

1,465

8.9

Excess Provision

(20)

(25)

(35)

(20.0)

(42.9)

(105)

(125)

(16.0)

Income before Taxes

2,077

2,065

1,930

0.6

7.6

8,217

7,988

2.9

Applicable Income Taxes

576

579

459

0.5

(25.5)

2,309

2,256

(2.3)

Noncontrolling Interests

(13)

(15)

13.3

(57)

104

Net Income

1,488

1,471

1,456

1.2

2.2

5,851

5,836

0.3

Preferred Dividends/Other

(3.0)

(1.5)

268

284

5.6

NI to Common

1,420

1,405

1,389

1.1

2.2

5,583

5,552

0.6

Diluted EPS

0.79

0.78

0.76

1.3

3.9

3.08

3.00

2.7

Average Diluted Shares

1,796

1,807

1,832

0.6

2.0

1,813

1,849

1.9

% B/(W)

4Q14 Earnings

Conference Call

4Q14 Results -

Key Drivers

vs. 4Q13

Net Revenue increase of 5.7% (3.2% increase excluding notable item)

•

Net interest income increase of 2.4%; net interest margin

of 3.14% vs. 3.40% in 4Q13

•

Noninterest income increase of 9.9% (4.2% increase

excluding notable item)

Noninterest expense increase of 4.5% (1.3% increase

excluding notable items)

Provision for credit losses increased by $11 million

•

Net charge-offs lower by $4 million, or 1.3%

•

Provision lower than NCOs by $20 million vs. $35 million in 4Q13

vs. 3Q14

Net Revenue increase of 3.6% (1.1% increase excluding notable item)

•

Net interest income increase of 1.9%; net interest margin of 3.14% vs. 3.16% in 3Q14

•

Noninterest income increase of 5.7% (0.2% increase excluding notable item)

Noninterest expense increase of 7.3% (3.9% increase excluding notable items)

Provision for credit losses lower by $23 million

•

Net charge-offs decreased by $28 million, or 8.3%

•

Provision lower than NCOs by $20 million vs. $25 million in 3Q14

$ in millions

4Q14

Revenue Items

Nuveen gain

124

Expense Items

Charitable contributions

Accruals for legal matters

Notable Items

4Q14 Earnings

Conference Call

Capital Position

RWA = risk-weighted assets

2014

amounts

and

ratios

calculated

under

the

Basel

III

transitional

standardized

approach;

December

31,

2013,

under

Basel

$ in billions

4Q14

3Q14

2Q14

1Q14

4Q13

Total U.S. Bancorp shareholders' equity

43.5

43.1

42.7

42.1

41.1

Standardized Approach

Basel III transitional standardized approach/Basel I *

Common equity tier 1 capital

30.9

30.2

29.8

29.5

27.9

Tier 1 capital

36.0

35.4

34.9

34.6

33.4

Total risk-based capital

43.2

42.5

41.0

40.7

39.3

Common equity tier 1 capital ratio

9.7%

9.6%

9.7%

9.4%

Tier 1 capital ratio

11.3%

11.4%

11.2%

Total risk-based capital ratio

13.6%

13.2%

13.5%

13.2%

Leverage ratio

9.3%

9.4%

9.6%

9.7%

9.6%

Common equity tier 1 capital to RWA estimated for the

Basel III fully implemented standardized approach

9.0%

8.9%

9.0%

8.8%

Advanced Approaches

Common equity tier 1 capital to RWA for the Basel III

transitional advanced approaches

12.4%

12.3%

Common equity tier 1 capital to RWA estimated for the

Basel III fully implemented advanced approaches

11.8%

11.7%

Tangible common equity ratio

7.5%

7.6%

7.5%

7.8%

7.7%

Tangible common equity as a % of RWA

9.3%

9.2%

9.3%

9.1%

4Q14 Earnings

Conference Call

4Q14 Earnings

Conference Call

Appendix

4Q14 Earnings

Conference Call

Average Loans

Key Points

$ in billions

vs. 4Q13

Average total loans grew by $13.6 billion, or 5.9%

(5.5% excluding Charter One acquisition)

Average total loans, excluding covered loans,

were higher by 7.1%

Average total commercial loans increased $10.7

billion, or 15.5%; average commercial real estate

loans increased $1.6 billion, or 4.2%

vs. 3Q14

Average total loans grew by $2.6 billion, or 1.0%

Average total loans, excluding covered loans,

were higher by 1.2%

Average total commercial loans increased $2.3

billion, or 2.9%; average commercial real estate

loans increased $0.1 billion, or 0.3%

Year-Over-Year Growth

5.7%

6.0%

6.8%

6.3%

5.9%

Covered

Commercial

CRE

Res Mtg

Retail

Credit Card

Average Loans

4Q14 Earnings

Conference Call

Average Deposits

Key Points

$ in billions

vs. 4Q13

Average total deposits increased by $18.6

billion, or 7.2% (5.5% excluding Charter One

acquisition)

Average low-cost deposits (NIB, interest

checking, money market and savings)

increased by $20.7 billion, or 9.6%

vs. 3Q14

Average total deposits increased by $4.5

billion, or 1.6%

Average low-cost deposits increased by $5.6

billion, or 2.4%

Year-Over-Year Growth

5.4%

5.1%

6.0%

7.4%

7.2%

Time

Money Market

Checking and Savings

Noninterest-bearing

4Q14 Earnings

Conference Call

Net Interest Income

Key Points

$ in millions

Taxable-equivalent basis

vs. 4Q13

Average earning assets grew by $35.4 billion,

or 11.1%

Net interest margin lower by 26 bps (3.14%

vs. 3.40%) driven by:

•

Lower reinvestment rates on investment securities,

as well as growth in the investment portfolio at

lower average rates, lower loan fees, and lower

rates on new loans

•

Partially offset by lower funding costs

vs. 3Q14

Average earning assets grew by $8.5 billion,

or 2.5%

Net interest margin lower by 2 bps (3.14% vs.

3.16%) driven by:

•

Growth in lower rate investment securities

•

Partially offset by interest recoveries

Year-Over-Year Change

(1.8%)

(0.1%)

2.7%

1.3%

2.4%

4Q14 Earnings

Conference Call

Noninterest Income

Key Points

$ in millions

Payments = credit and debit card revenue, corporate payment products revenue and merchant processing;

Service charges = deposit service charges, treasury management fees and ATM processing services

vs. 4Q13

Noninterest income increased by $214 million, or

9.9%, driven by:

•

Higher trust and investment management fees (8.4% increase)

due to account growth, improved market conditions and

business expansion

•

Higher merchant processing services revenue (4.6% increase)

due to an increase in product fees and higher volumes, partially

offset by lower rates; higher credit and debit card revenue (3.4%

increase) and corporate payment products revenue (4.8%

increase) due to higher transaction volumes

•

Higher other income due to higher equity investment gains and

increased revenue from tax-advantaged projects

•

Lower commercial products revenue (9.9% decrease) due to

lower tax-advantaged project syndication fees

vs. 3Q14

Noninterest income increased by $128 million, or

5.7%, driven by:

•

Higher credit and debit card revenue (8.4% increase) due to

seasonally higher sales volumes

•

Higher commercial products revenue (4.8% increase) due to

higher loan and tax-advantaged project syndication fees

•

Higher trust and investment management fees (2.2% increase)

due to improved market conditions and higher fees

•

Higher other income primarily due to the Nuveen gain and

higher revenue from tax-advantaged projects

•

Lower corporate payments revenue (10.8% decrease) due to

seasonally higher 3Q government-related transaction volumes

•

Mortgage revenue decrease of $25 million

Year-Over-Year Change

(7.4%)

(2.6%)

7.4%

3.0%

9.9%

All Other

Mortgage

Service Charges

Trust and Inv Mgmt

Payments

4Q13

1Q14

2Q14

3Q14

4Q14

Nuveen Gain

124

Visa Gain

214

Total

$ 214

124

Notable Noninterest Income Items

4Q14 Earnings

Conference Call

Noninterest Expense

Key Points

$ in millions

vs. 4Q13

Noninterest expense was higher by $122 million, or

4.5%, driven by:

•

Higher compensation expense (4.4% increase) reflecting the

impact of merit increases, acquisitions, and higher staffing for

risk and compliance activities

•

Higher marketing and business development expense (25.2%

increase) due to charitable contributions

•

Higher professional services expense (11.9% increase) due to

higher costs across a majority of the lines of business

•

Higher other expense primarily due to the legal accruals

•

Partially offset by a reduction in employee benefits (10.9%

decrease) driven by lower pension costs

vs. 3Q14

Noninterest expense was higher by $190 million, or

7.3%, driven by:

•

Higher marketing and business development expense (65.4%

increase) primarily due to charitable contributions and

advertising costs

•

Higher professional services expense (29.4% increase) due to

seasonally higher costs across a majority of the lines of

business including risk and compliance activities

•

Higher other expense primarily due to seasonally higher costs

related to investments in tax-advantaged projects and the legal

accruals

Year-Over-Year Change

(0.1%)

3.0%

7.7%

1.9%

4.5%

All Other

Tech and Communications

Prof Svcs, Marketing and PPS

Occupancy and Equipment

Compensation and Benefits

4Q13

1Q14

2Q14

3Q14

4Q14

Charitable contributions

Accruals for legal matters

FHA DOJ settlement

200

Total

200

Notable Noninterest Expense Items

4Q14 Earnings

Conference Call

Credit Quality

Commercial Loans

Average Loans and Net Charge-offs Ratios

Key Statistics

Comments

Continued new client growth led to 3.0% linked quarter loan growth and 16.7% year-over-year

growth; utilization rates improved modestly

Net charge-offs below historic norms and were largely unchanged

Nonperforming loans and delinquencies continued at historically low levels

4Q13

3Q14

4Q14

Average Loans

$63,714

$72,190

$74,333

30-89 Delinquencies

0.33%

0.23%

0.27%

90+ Delinquencies

0.08%

0.05%

Nonperforming Loans

0.19%

0.22%

0.13%

$ in millions

4Q14 Earnings

Conference Call

Credit Quality

Commercial Leases

Average Loans and Net Charge-offs Ratios

Key Statistics

Comments

Commercial lease balances increased slightly

Gross

charge-offs

declined

while

recoveries

increased

leading

modest

net

recovery

Nonperforming loans and delinquencies continued at modest levels

4Q13

3Q14

4Q14

Average Loans

$5,210

$5,155

$5,292

30-89 Delinquencies

0.85%

0.83%

0.78%

90+ Delinquencies

0.00%

Nonperforming Loans

0.23%

0.24%

$ in millions

4Q14 Earnings

Conference Call

Credit Quality

Commercial Real Estate

Average Loans and Net Charge-offs Ratios

Key Statistics

Comments

Average loans increased 0.3% on a linked quarter basis and 4.2% year-over-year

Credit quality is stable at low levels; non-performing loans were stable quarter-over-quarter

Net recovery ratio of 0.10%

4Q13

3Q14

4Q14

Average Loans

$39,318

$40,839

$40,966

30-89 Delinquencies

0.24%

0.12%

0.26%

90+ Delinquencies

0.07%

0.03%

0.05%

Nonperforming Loans

0.76%

0.59%

0.61%

Performing TDRs*

$390

$284

$365

$ in millions

TDR

troubled

debt

restructuring

4Q14 Earnings

Conference Call

Credit Quality

Residential Mortgage

Average Loans and Net Charge-offs Ratios

Key Statistics

Comments

Modest growth in high-quality originations (weighted average FICO 756, weighted average LTV

70%), as average loans increased 2.2% year over year

82% of the balances have been originated since the beginning of 2009; the origination quality

metrics and performance to date have significantly outperformed prior vintages

with similar seasoning

4Q13

3Q14

4Q14

Average Loans

$50,732

$51,994

$51,872

30-89 Delinquencies

0.70%

0.46%

0.43%

90+ Delinquencies

0.65%

0.41%

0.40%

Nonperforming Loans

1.51%

1.62%

1.67%

$ in millions

Excludes

GNMA

loans,

whose

repayments

are

insured

the

FHA

guaranteed

the

Department

($2,244

million

4Q14)

4Q14 Earnings

Conference Call

4Q13

3Q14

4Q14

Average Loans

$17,366

$17,753

$17,990

30-89 Delinquencies

1.25%

1.23%

1.24%

90+ Delinquencies

1.17%

1.10%

1.13%

Nonperforming Loans

0.43%

0.22%

0.16%

Credit Quality -

Credit Card

Average Loans and Net Charge-offs Ratios

Key Statistics

Comments

Average loans increased 1.3% on a linked quarter basis; up 3.6% year-over-year

Delinquencies and losses have stabilized near historically low levels with some seasonal impacts

on delinquencies

Nonperforming loans continued to decline

$ in millions

4Q14 Earnings

Conference Call

Credit Quality -

Home Equity

Average Loans and Net Charge-offs Ratios

Key Statistics

Comments

High-quality originations (weighted average FICO on commitments was 756, weighted average

CLTV

70%)

originated

primarily

through

the

retail

branch

network

existing

bank

customers

their primary residence

Net charge-offs ratio declined on a linked quarter and year-over-year basis

4Q13

3Q14

4Q14

Average Loans

$15,488

$15,704

$15,853

30-89 Delinquencies

0.66%

0.51%

0.54%

90+ Delinquencies

0.32%

0.26%

Nonperforming Loans

1.08%

1.05%

1.07%

Subprime: 2%

Wtd Avg LTV**: 90%

NCO: 4.92%

$ in millions

Prime: 95%

Wtd Avg LTV**: 72%

NCO: 0.37%

** LTV at origination

Other: 3%

Wtd Avg LTV**: 72%

NCO: 0.00%

4Q14 Earnings

Conference Call

Credit Quality -

Retail Leasing

Average Loans and Net Charge-offs Ratios

Key Statistics

Comments

Year-over-year growth (1.6%) driven by high-quality originations (weighted average FICO 788)

Delinquencies remained relatively stable at very low levels

Strong used auto values continued to contribute to historically low net charge-offs

4Q13

3Q14

4Q14

Average Loans

$5,847

$5,991

$5,939

30-89 Delinquencies

0.18%

0.14%

0.18%

90+ Delinquencies

0.00%

0.02%

Nonperforming Loans

0.02%

$ in millions

* Manheim Used Vehicle Value Index source: www.manheimconsulting.com, January 1995 = 100, quarter value = average of monthly ending values

4Q14 Earnings

Conference Call

Credit Quality -

Other Retail

Average Loans and Net Charge-offs Ratios

Key Statistics

Comments

Auto

loan

growth

continued

offset

declines

student

lending

loan

balances

Net charge-offs and delinquencies remained low on a linked quarter and year-over-year basis

4Q13

3Q14

4Q14

Average Loans

$26,059

$27,003

$27,317

30-89 Delinquencies

0.50%

0.49%

0.51%

90+ Delinquencies

0.14%

0.13%

0.12%

Nonperforming Loans

0.09%

0.06%

$ in millions

4Q14 Earnings

Conference Call

Credit Quality -

Auto Loans

Average Loans and Net Charge-offs Ratios

Key Statistics

Comments

Continued growth in auto loans driven by high-quality originations in the Indirect Channel

(weighted average FICO 766)

Net charge-offs increased due to seasonality as well as growth initiatives beginning to mature

4Q13

3Q14

4Q14

Average Loans

$13,409

$14,404

$14,644

30-89 Delinquencies

0.34%

0.41%

0.45%

90+ Delinquencies

0.04%

0.05%

0.03%

Nonperforming Loans

0.02%

0.03%

$ in millions

Auto Loans are included in Other Retail category

Direct: 6%

Wtd Avg FICO: 748

NCO: 0.15%

Indirect: 94%

Wtd Avg FICO: 763

NCO: 0.34%

4Q14 Earnings

Conference Call

Mortgage Repurchase

Mortgages Repurchased and Make-whole Payments

Mortgage Representation and Warranties Reserve

$ in millions

4Q14

3Q14

2Q14

1Q14

4Q13

Beginning Reserve

$62

$69

$75

$83

$176

Net Realized Losses

(15)

(1)

(2)

(10)

(63)

Change in Reserve

(1)

(6)

(4)

(30)

Ending Reserve

$46

$62

$69

$75

$83

Mortgages

repurchased

and make-whole

payments

$14

$19

$36

$32

Repurchase activity lower than

peers due to:

•

Conservative credit and

underwriting culture

•

Disciplined origination process -

primarily conforming loans

( 95% sold to GSEs)

Do not participate in private

placement securitization market

Outstanding repurchase and

make-whole requests balance

= $19 million

4Q14 Earnings

Conference Call

Non-GAAP Financial Measures

(Dollars in Millions, Unaudited)

4Q14

3Q14

2Q14

1Q14

4Q13

Total equity

$44,168

$43,829

$43,386

$42,743

$41,807

Preferred stock

(4,756)

Noncontrolling interests

(689)

(688)

(686)

(689)

(694)

Goodwill (net of deferred tax liability) (1)

(8,403)

(8,503)

(8,548)

(8,352)

(8,343)

Intangible assets, other than mortgage servicing rights

(824)

(877)

(925)

(804)

(849)

Tangible common equity (a)

29,496

29,005

28,471

28,142

27,165

Tangible common equity (as calculated above)

29,496

29,005

28,471

28,142

27,165

Adjustments (2)

172

187

224

239

224

Common equity tier 1 capital estimated for the Basel III fully

implemented standardized and advanced approaches (b)

29,668

29,192

28,695

28,381

27,389

Tier 1 capital, determined in accordance with prescribed

regulatory requirements using Basel I definition

33,386

Preferred stock

(4,756)

Noncontrolling interests, less preferred stock not

eligible for Tier 1 capital

(688)

Tier 1 common equity using Basel I definition (c)

27,942

(1) Includes goodwill related to certain investments in unconsolidated financial institutions per prescribed regulatory requirements beginning March 31, 2014.

(2) Includes net losses on cash flow hedges included in accumulated other comprehensive income and other adjustments.

(3)

2014 amounts calculated under the Basel III transitional standardized approach; December 31, 2013, calculated under Basel I.

(4) Includes higher risk-weighting for unfunded loan commitments, investment securities, residential mortgages, mortgage servicing rights and other adjustments.

(5)

Primarily reflects higher risk-weighting for mortgage servicing rights.

4Q14 Earnings

Conference Call

Non-GAAP Financial Measures

(Dollars in Millions, Unaudited)

4Q14

3Q14

2Q14

1Q14

4Q13

Total assets

$402,529

$391,284

$389,065

$371,289

$364,021

Goodwill (net of deferred tax liability) (1)

(8,403)

(8,503)

(8,548)

(8,352)

(8,343)

Intangible assets, other than mortgage servicing rights

(824)

(877)

(925)

(804)

(849)

Tangible assets (d)

393,302

381,904

379,592

362,133

354,829

Risk-weighted assets, determined in accordance with prescribed

regulatory requirements (3) (e)

317,398

311,914

309,929

302,841

297,919

Adjustments (4)

11,110

12,837

12,753

13,238

13,712

Risk-weighted assets estimated for the Basel III fully implemented

standardized approach (f)

328,508

324,751

322,682

316,079

311,631

Risk-weighted assets, determined in accordance with prescribed

transitional advanced approaches regulatory requirements

248,596

243,909

241,929

Adjustments (5)

3,270

3,443

3,383

Risk-weighted assets estimated for the Basel III fully implemented

advanced approaches (g)

251,866

247,352

245,312

Ratios *

Tangible common equity to tangible assets (a)/(d)

7.5

7.6

7.5

7.8

7.7

Tangible common equity to risk-weighted assets (a)/(e)

9.3

9.2

9.3

9.1

Tier 1 common equity to risk-weighted assets using Basel I definition (c)/(e)

9.4

Common equity tier 1 capital to risk-weighted assets estimated for the

Basel III fully implemented standardized approach (b)/(f)

9.0

8.9

9.0

8.8

Common equity tier 1 capital to risk-weighted assets estimated for the

Basel III fully implemented advanced approaches (b)/(g)

11.8

11.7

Preliminary data. Subject to change prior to filings with applicable regulatory agencies.

(1) Includes goodwill related to certain investments in unconsolidated financial institutions per prescribed regulatory requirements beginning March 31, 2014.

(2) Includes net losses on cash flow hedges included in accumulated other comprehensive income and other adjustments.

(3)

2014 amounts calculated under the Basel III transitional standardized approach; December 31, 2013, calculated under Basel I.

(4) Includes higher risk-weighting for unfunded loan commitments, investment securities, residential mortgages, mortgage servicing rights and other adjustments.

(5)

Primarily reflects higher risk-weighting for mortgage servicing rights.

U.S. Bancorp

4Q14 Earnings

Conference Call

U.S. Bancorp

4Q14 Earnings

Conference Call

January 21, 2015

U.S. Bancorp (USB) 8-KU.s. Bancorp Reports Fourth Quarter and Full Year 2014 Earnings