Wachovia Corp New (WBPS) 8-K Results of Operations and Financial Condition

Exhibit 99(c)

WACHOVIA CORPORATION AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

(Unaudited)

	September 30,			December 31,
(In millions, except per share data)	2004			2003
ASSETS
Cash and due from banks	$	10,355		11,479
Interest-bearing bank balances		7,664		2,308
Federal funds sold and securities purchased under resale agreements (carrying amount of collateral held $16,026 at September 30, 2004, $6,520 repledged)		30,629		24,725
Total cash and cash equivalents		48,648		38,512
Trading account assets		45,129		34,714
Securities		102,157		100,445
Loans, net of unearned income		174,504		165,571
Allowance for loan losses		(2,324	)	(2,348	)
Loans, net		172,180		163,223
Premises and equipment		4,150		4,619
Due from customers on acceptances		563		854
Goodwill		11,481		11,149
Other intangible assets		946		1,243
Loans held for sale (a)		17,755		12,625
Other assets (a)		33,689		33,804
Total assets	$	436,698		401,188
LIABILITIES AND STOCKHOLDERS’ EQUITY
Deposits
Noninterest-bearing deposits		52,524		48,683
Interest-bearing deposits		200,457		172,542
Total deposits		252,981		221,225
Short-term borrowings		67,589		71,290
Bank acceptances outstanding		570		876
Trading account liabilities		22,704		19,184
Other liabilities		14,838		16,945
Long-term debt		41,444		36,730
Total liabilities		400,126		366,250
Minority interest in net assets of consolidated subsidiaries		2,675		2,510
STOCKHOLDERS’ EQUITY
Dividend Equalization Preferred shares, no par value, 97 million shares issued and outstanding at September 30, 2004		—		—
Common stock, $3.33 1/3 par value; authorized 3 billion shares, outstanding 1.308 billion shares at September 30, 2004		4,359		4,374
Paid-in capital		18,095		17,811
Retained earnings		10,449		8,904
Accumulated other comprehensive income, net		994		1,339
Total stockholders’ equity		33,897		32,428
Total liabilities and stockholders’ equity	$	436,698		401,188

(a) Certain amounts presented prior to the third quarter of 2004 have been reclassified to conform to the presentation in the third quarter of 2004.

WACHOVIA CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF INCOME

(Unaudited)

	Three Months Ended September 30,					Nine Months Ended September 30,
(In millions, except per share data)	2004			2003		2004		2003
INTEREST INCOME (a)
Interest and fees on loans	$	2,393		2,352		7,044		7,150
Interest and dividends on securities		1,156		885		3,407		2,724
Trading account interest		325		174		759		535
Other interest income		427		301		1,109		720
Total interest income		4,301		3,712		12,319		11,129
INTEREST EXPENSE (a)
Interest on deposits		691		534		1,993		1,792
Interest on short-term borrowings		396		317		1,011		908
Interest on long-term debt		249		208		651		699
Total interest expense		1,336		1,059		3,655		3,399
Net interest income		2,965		2,653		8,664		7,730
Provision for credit losses		43		81		148		500
Net interest income after provision for credit losses		2,922		2,572		8,516		7,230
FEE AND OTHER INCOME (a)
Service charges		499		439		1,459		1,295
Other banking fees		304		257		856		738
Commissions		584		765		2,058		1,651
Fiduciary and asset management fees		665		662		2,019		1,605
Advisory, underwriting and other investment banking fees		233		191		622		556
Trading account profits (losses)		(69	)	(46	)	44		80
Principal investing		201		(25	)	254		(126	)
Securities gains (losses)		(71	)	22		(33	)	69
Other income		246		351		669		972
Total fee and other income		2,592		2,616		7,948		6,840
NONINTEREST EXPENSE (a)
Salaries and employee benefits		2,118		2,109		6,464		5,556
Occupancy		234		220		687		607
Equipment		268		264		780		736
Advertising		46		38		142		104
Communications and supplies		149		159		457		442
Professional and consulting fees		134		109		369		314
Other intangible amortization		99		127		318		398
Merger-related and restructuring expenses		127		148		328		308
Sundry expense		487		396		1,260		1,011
Total noninterest expense		3,662		3,570		10,805		9,476
Minority interest in income of consolidated subsidiaries		28		55		130		80
Income before income taxes and cumulative effect of a change in accounting principle		1,824		1,563		5,529		4,514
Income taxes		561		475		1,763		1,367
Income before cumulative effect of a change in accounting principle		1,263		1,088		3,766		3,147
Cumulative effect of a change in accounting principle, net of income taxes		—		17		—		17
Net income		1,263		1,105		3,766		3,164
Dividends on preferred stock		—		—		—		5
Net income available to common stockholders	$	1,263		1,105		3,766		3,159
PER COMMON SHARE DATA
Basic
Income before change in accounting principle	$	0.97		0.83		2.90		2.37
Net income		0.97		0.84		2.90		2.38
Diluted
Income before change in accounting principle		0.96		0.82		2.85		2.34
Net income		0.96		0.83		2.85		2.35
Cash dividends	$	0.40		0.35		1.20		0.90
AVERAGE COMMON SHARES
Basic		1,296		1,321		1,299		1,330
Diluted		1,316		1,338		1,321		1,343

(a) Certain amounts presented in 2003 have been reclassified to conform to the presentation in 2004.