Wells Fargo & Company (WFC) 8-K Wells Fargo Reports Net Income of $3.06 Billion; Up 20% from Prior Quarter

Exhibit 99.1

Media	Investors
Mary Eshet	Jim Rowe
704-383-7777	415-396-8216

Wednesday, July 21, 2010

WELLS FARGO REPORTS NET INCOME OF $3.06 BILLION; UP 20% FROM PRIOR QUARTER

• Strong growth across the franchise

— Net income of $3.06 billion, up 20 percent, or $515 million, from prior quarter

— Net income applicable to common stock up 21 percent from prior quarter to a record $2.88 billion

— Diluted earnings per common share of $0.55

— Revenue of $21.4 billion, same as first quarter; pre-tax pre-provision profit¹ (revenue net of expenses) of $8.6 billion (expenses included $498 million of merger integration costs and $137 million of Wells Fargo Financial severance costs)

— All business segments contributed to earnings with Community Banking up 21 percent and Wholesale Banking up 18 percent from prior quarter

— Net interest margin of 4.38 percent, up 11 basis points from prior quarter and up 8 basis points from a year ago

— Average checking and savings deposits up 10 percent from a year ago; consumer checking accounts grew a net 7.4 percent from second quarter 2009; checking and savings deposits represented 88 percent of total average core deposits of $762 billion in second quarter 2010

— Supplied $150 billion in credit during the quarter, up from $128 billion in first quarter 2010, including mortgage originations and consumer and commercial loans and lines of credit

— Mortgage application pipeline of $68 billion at June 30, 2010, up 15 percent from March 31, 2010

• Significant improvement in credit quality

— Net charge-offs declined $841 million, or 16 percent, from prior quarter to $4.5 billion; net charge-offs declined in both consumer and commercial loan portfolios

— Reflecting improved portfolio performance, released $500 million (pre tax) of reserves in second quarter; absent significant deterioration in the economy, currently expect future reductions in the allowance for loan losses

— Improvement in 30 days past due trends in many portfolios, including business direct, credit card, home equity, student lending and Wells Fargo Home Mortgage

¹ See footnote 2 on page 18 for information on pre-tax pre-provision profit

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— Nonaccrual loan growth decelerated to 2 percent, down significantly from prior quarters; nonaccrual inflows down 18 percent from prior quarter

— Purchased credit-impaired (PCI) portfolios continued to perform better than original expectations

— Remaining PCI nonaccretable balance was $16.2 billion

• Strong internal capital generation; capital ratios grew significantly even with Company purchase of $540 million in warrants auctioned by the U.S. Treasury during the quarter

	June 30,			Mar. 31,		June 30,
	2010 (1)			2010		2009
Tier 1 capital		10.4	%		9.9		9.8
Total capital		14.4			13.9		13.8
Tier 1 leverage		8.6			8.3		8.3
Tier 1 common equity (2)		7.5			7.1		4.5

(1)	June 30, 2010, ratios are preliminary.
(2)	See table on page 39 for more information on Tier 1 common equity.

• Wachovia integration continued to proceed as planned

— California regional banking conversions completed; final overlapping market conversions (Texas and Kansas) expected to be completed July 24^th ; Eastern market banking conversions scheduled to begin in third quarter

— Completed conversion of credit card, mutual fund and trust businesses

— Currently expect aggregate merger costs of approximately $5.7 billion ($3.0 billion in aggregate through June 30, 2010). Merger costs were $498 million in second quarter; currently project $600 million-$650 million in merger costs per quarter in the third and fourth quarters of 2010 before declining in 2011

— Approximately 80 percent of run-rate cost savings achieved by end of second quarter, 90 percent expected by year end 2010

• Assisted more than half a million customers facing financial hardship through a trial or complete loan modification between January 2009 and June 30, 2010:

— 75,577Home Affordability Modification Program (HAMP) active trial and completed modifications

— 429,466 proprietary trial and completed modifications

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Selected Financial Information

	Quarter ended
	June 30,			Mar. 31,		June 30,
	2010			2010		2009
Earnings
Diluted earnings per common share	$	0.55			0.45		0.57
Wells Fargo net income (in billions)		3.06			2.55		3.17
Asset Quality
Net charge-offs as % of avg. total loans		2.33	%		2.71		2.11
Allowance as a % of total loans		3.27			3.28		2.86
Allowance as a % of annualized net charge-offs		139			119		134
Other
Revenue (in billions)	$	21.39			21.45		22.51
Average loans (in billions)		772.5			797.4		833.9
Average core deposits (in billions)		761.8			759.2		765.7
Net interest margin		4.38	%		4.27		4.30

SAN FRANCISCO — Wells Fargo & Company (NYSE: WFC) reported diluted earnings per common share of $0.55 for second quarter 2010 compared with $0.45 for first quarter 2010 and $0.57 for second quarter 2009. Net income was $3.06 billion for second quarter 2010 compared with $2.55 billion in first quarter 2010 and $3.17 billion in second quarter 2009. For the six months ended June 30, 2010, the Company’s net income was $5.6 billion, or $1.00 per share, compared with $6.2 billion, or $1.13 per share, a year ago.

“Over the course of the quarter, our 278,000 team members focused steadfastly on serving customers, generating strong earnings performance across our diverse lines of business and increasing market share across many of our businesses,” said Chairman and CEO John Stumpf. “We also made strong progress in the successful integration of Wachovia. We have completed approximately half of the integration process, as we prepare to convert our eastern markets to Wells Fargo beginning in the fall.

“Wells Fargo’s consistent business model and strong financial performance position us to serve a key role as our nation continues to recover from the recent financial crisis and regain its economic vibrancy and leadership. Having long supported a legal and regulatory environment that promotes consumer protections, financial reporting transparency and clarity, as well as prudent risk management, we support the general principles inherent in the financial reform bill, as they are consistent with how Wells Fargo operates. We remain concerned that some aspects of regulatory reform may have unintended negative impacts for America’s financial system, consumers and businesses.

“Nevertheless, as this new chapter in financial services begins, we will remain true to our time-tested business model by deepening customer relationships, cross selling our array of financial products, increasing the number of accounts and providing superior customer service. We are encouraged by signs of continued improvement in the credit landscape. We remain confident about Wells Fargo’s future and are optimistic about America’s road to financial recovery.”

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Financial Performance

“We were very pleased with the Company’s financial results this quarter,” said Chief Financial Officer Howard Atkins. “While economic recovery in the U.S. and abroad remained uneven, Wells Fargo earned record net income applicable to common stock of $2.9 billion, with net income of $3.06 billion — the fourth time since the merger that quarterly net income was greater than $3.0 billion. Despite declining loan demand since early last year and lower mortgage hedging results in second quarter, total revenue and pre-tax pre-provision profit remained strong at $21.4 billion and $8.6 billion, respectively, with linked-quarter growth in the franchise driven by businesses as diverse as commercial banking, investment banking, wealth management, asset-based lending, auto dealer services, debit card and global remittance. In the six quarters since the merger with Wachovia, Wells Fargo has earned cumulative profits of $17.9 billion reflecting the breadth of our business model and the power of the consolidation with Wachovia. The merger integration activities are proceeding on track and the combined company continues to produce financial results including revenue synergies better than our original expectations. We believe credit quality has indeed turned the corner, with net charge-offs declining to $4.5 billion, down 16 percent from first quarter and down 17 percent from last year’s peak quarter, and we expect this positive trend will continue over the coming year. Our capital ratios continued to build rapidly, with Tier 1 common reaching 7.53 percent and Tier 1 capital at 10.42 percent, even with the purchase of $540 million of Wells Fargo warrants auctioned by the U.S. Treasury.”

Revenue

Revenue was $21.4 billion, essentially flat from first quarter, and pre-tax pre-provision profit was $8.6 billion. Reflecting the breadth and growth potential of the Company’s business model, many businesses had double-digit revenue growth linked quarter including commercial and corporate banking (deposit growth, an increase in new loan commitments and higher loan resolution income), investment banking (syndication activity), commercial real estate brokerage (deal flow), asset-based lending (loan volume and syndications), international (customer foreign exchange activity), auto dealer services (loan growth), merchant service (processing volume), and debit cards (increased account activity).

Net Interest Income

Net interest income was $11.4 billion, up 11 percent (annualized) from $11.1 billion in first quarter 2010. The net interest margin increased 11 basis points from the prior quarter to 4.38 percent. Most of the increase in net interest margin in the quarter was due to additional PCI loan resolution income. Continued strong growth in consumer and commercial checking and savings accounts offset the impact on income and margin from the decline in loans.

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Noninterest Income

Noninterest income was $9.9 billion compared with $10.3 billion in first quarter 2010 and $10.7 billion a year ago. The year-over-year decline was due to lower mortgage banking revenue. Linked quarter results reflected solid growth in deposit services (up 26 percent annualized on account growth), trust and investment fees (up 11 percent annualized on customer and balance growth), and card fees (up 21 percent annualized on seasonally higher customer activity). Trading revenue declined $428 million linked quarter, partially offset by a $245 million increase in net gains from equity investments.

Mortgage banking noninterest income of $2.0 billion included:

— $793 million in revenue from mortgage loan originations/sales activities on $81 billion of originations. Mortgage applications were $143 billion and the mortgage application pipeline was $68 billion at quarter end, up $9 billion, or 15 percent, from prior quarter end. Second quarter origination revenue was reduced by a $382 million addition to the mortgage loan repurchase reserve compared with a $402 million addition in first quarter.

— $1.2 billion of servicing income, down $148 million from the prior quarter. Net MSR hedge results were $626 million, down $363 million from prior quarter. Net hedge results in second quarter reflected a $2.7 billion decline in the fair value of MSR (due primarily to a 72 basis point decline in mortgage rates) offset by a $3.3 billion increase in the value of the hedge including carry income. MSRs as a percent of loans serviced for others declined 13 basis points to 0.76 percent, the lowest ratio since March 31, 2009, and the average note rate was 5.53 percent, the lowest since Wells Fargo reentered the servicing business. The reduction in net MSR hedge results was partially offset by lower servicing foreclosure costs due to an improvement in servicing portfolio delinquencies from loan modification and loss mitigation activities.

At June 30, 2010, the Company had net unrealized gains on securities available for sale of $8.6 billion, compared with $7.4 billion at March 31, 2010.

Noninterest Expense

Noninterest expense was $12.7 billion compared with $12.1 billion in first quarter 2010. Second quarter noninterest expense included $498 million of merger-related costs (up $118 million from prior quarter) and $137 million of severance costs related to the previously announced Wells Fargo Financial restructuring. Operating losses were $627 million, up $419 million from the prior quarter primarily due to additional litigation accruals. The efficiency ratio was 59.6 percent compared with 56.5 percent in the first quarter and 56.4 percent in second quarter 2009, with the increase largely due to additional merger expenses, litigation accruals and Wells Fargo Financial’s restructuring costs.

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Loans

Average total loans were $772.5 billion compared with $797.4 billion in first quarter 2010 and $833.9 billion a year ago reflecting continued lower demand for credit from consumer customers. “Several consumer portfolios increased during the quarter, including auto dealer services, private student lending and Wealth, Brokerage and Retirement,” said Atkins. “We saw other consumer portfolios declining at a lower rate, including Wells Fargo Home Mortgage, credit card and consumer lines and loans. On the commercial side, for the first time this year, we saw an increase in lending activity and line usage. Of the $55 billion decline in total loans year over year, $26 billion were in higher-risk, non-strategic portfolios that were in run-off mode,” said Atkins.

Deposits

Average total core deposits were $761.8 billion compared with $759.2 billion in first quarter 2010 and $765.7 billion in second quarter 2009. Consumer checking accounts grew a net 7.4 percent from second quarter 2009. Average mortgage escrow deposits were $25.7 billion, compared with $24.6 billion in first quarter 2010. “We’re very pleased with our success in attracting and retaining customer deposits and by the characteristics of our deposit base,” said Atkins. “By the end of the quarter, core deposits fully funded the Company’s loan portfolio. Average consumer checking and savings deposits increased 10 percent from a year ago to $672 billion. Year over year, CDs declined $63 billion, primarily the result of $57 billion of higher-cost Wachovia CDs maturing, yet total core deposits were down only $3.9 billion from a year ago. Checking and savings deposits represented 88 percent of total core deposits. Our average deposit cost was 35 basis points.”

Capital

Capital ratios continued to increase in the second quarter reflecting strong internal capital generation. As a percentage of total risk-weighted assets, Tier 1 capital increased to 10.4 percent, total capital to 14.4 percent, Tier 1 leverage to 8.6 percent and Tier 1 common equity to 7.5 percent at June 30, 2010, up from 9.9 percent, 13.9 percent, 8.3 percent and 7.1 percent, respectively, at March 31, 2010. The Company repurchased $540 million of warrants from the U.S. Treasury during the quarter, which reduced the Tier 1 common ratio by approximately 5 basis points.

	June 30,			Mar. 31,		June 30,
	2010 (1)			2010		2009
Tier 1 capital		10.4	%		9.9		9.8
Total capital		14.4			13.9		13.8
Tier 1 leverage		8.6			8.3		8.3
Tier 1 common equity (2)		7.5			7.1		4.5

(1)	June 30, 2010, ratios are preliminary.
(2)	See table on page 39 for more information on Tier 1 common equity.

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Credit Quality

“Last quarter we said we believed credit losses and provision expense had peaked,” said Chief Credit and Risk Officer Mike Loughlin. “This quarter’s significant reduction in credit losses confirmed our prior outlook and, in fact, we have seen credit quality improve earlier and to a greater extent than we had previously expected. Quarterly credit losses declined 16 percent to $4.49 billion in the second quarter from $5.33 billion in the first quarter. This improvement in losses was significant and broad based across the consumer portfolios, with reduced losses in the home equity, Wells Fargo Financial, Pick-a-Pay, consumer lines and loans, auto dealer services and credit card portfolios. Losses in the commercial portfolio continued to improve from the higher levels experienced last year, including a 10 percent linked-quarter reduction in commercial real estate losses. We also saw improvement in early indicators of credit quality, with improved 30 day delinquencies in many portfolios, including business direct, credit card, home equity, student lending and Wells Fargo Home Mortgage. Based on declining losses and across-the-board improved credit quality trends, the provision of $4.0 billion was $500 million less than net charge-offs in the second quarter. Absent significant deterioration in the economy, we currently expect future reductions in the allowance for loan losses.

“The continued improvement in credit performance is a result of a slowly improving economy coupled with actions taken by Wells Fargo over the past several years to improve underwriting standards and exit portfolios with unattractive credit metrics. We have seen the positive impact of these actions in the current quarter and in projected losses for future quarters.”

Credit Losses

Second quarter net charge-offs were $4.5 billion, or 2.33 percent of average loans (annualized), down from first quarter net charge-offs of $5.3 billion, or 2.71 percent. Total credit losses included $1.3 billion of commercial and commercial real estate losses (1.80 percent), down $30 million from first quarter, and $3.1 billion of consumer losses (2.79 percent), down $817 million from first quarter, as shown in the following table.

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Net Loan Charge-Offs

	Quarter ended
	June 30, 2010					March 31, 2010					December 31, 2009
			As a					As a					As a
	Net loan		% of			Net loan		% of			Net loan		% of
	charge-		average			charge-		average			charge-		average
($ in millions)	offs		loans (1)			offs		loans (1)			offs		loans (1)
Commercial and commercial real estate:
Commercial	$	689		1.87	%	$	650		1.68	%	$	927		2.24	%
Real estate mortgage		360		1.47			271		1.12			315		1.29
Real estate construction		238		2.90			394		4.45			409		4.23
Lease financing		27		0.78			29		0.85			49		1.37
Total commercial and commercial real estate		1,314		1.80			1,344		1.79			1,700		2.15
Consumer:
Real estate 1-4 family first mortgage		1,009		1.70			1,311		2.17			1,018		1.74
Real estate 1-4 family junior lien mortgage		1,184		4.62			1,449		5.56			1,329		5.09
Credit card		579		10.45			643		11.17			634		10.61
Other revolving credit and installment		361		1.64			547		2.45			686		3.06
Total consumer		3,133		2.79			3,950		3.45			3,667		3.24
Foreign		42		0.57			36		0.52			46		0.62
Total	$	4,489		2.33	%	$	5,330		2.71	%	$	5,413		2.71	%

(1) 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 from Wachovia and the impact on selected financial ratios.

Nonperforming Assets

Nonaccrual loans were $27.8 billion in the second quarter. Growth in nonaccrual loans slowed sharply, up only 2 percent from first quarter. The growth in second quarter occurred in the real estate portfolios (commercial and residential) which consist of secured loans. Nonaccruals in all other loan portfolios were essentially flat or down. New inflows to nonaccrual loans continued to decline (down 18 percent linked quarter). The amount of disposed nonaccruals increased (up 12 percent linked quarter), but was below the level of inflows. In part, it is taking longer to dispose of nonaccruals than in prior cycles because of federal government programs, such asHAMP, and Wells Fargo proprietary programs, such as the Company’s Pick-a-Pay Mortgage Assistance program, which require customers to provide updated documentation and to complete trial repayment periods before the loan can be removed from nonaccrual status. In addition, for loans in foreclosure, many states, including California and Florida have enacted legislation that increases the time frames to complete the foreclosure process, meaning that loans will remain in nonaccrual status for longer periods even though the loans have already been written down. “At the conclusion of the foreclosure process, we continue to sell real estate owned in a very timely fashion,” said Loughlin.

“Loss expectations for nonaccrual loans are driven by delinquency rates, default probabilities and severities. While nonaccrual loans are not free of loss content, the loss exposure remaining in these balances is expected to be significantly mitigated by four factors. First, 98 percent of nonaccrual loans are secured. Second, losses have already been recognized on 39 percent of the consumer nonaccruals and 33 percent of commercial nonaccruals. Residential nonaccrual loans are written down to net realizable value at 180 days past due, except for loans that go into trial modification prior to going 180 days past due, which are not written down in the trial period (3 months). Third, as of June 30, 2010, 54 percent of

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commercial nonaccrual loans were current on interest. Fourth, there are certain nonaccruals for which there are loan level reserves in the allowance, while others are covered by general reserves.”

Foreclosed assets were $5.0 billion at June 30, 2010, up $913 million from first quarter. Of this increase, $427 million were foreclosed loans in the PCI portfolio that are now recorded as foreclosed assets. “While foreclosed assets increased, the majority of the projected loss content in these assets has already been accounted for, or is insured by GNMA, and should have limited additional impact to expected loss levels,” said Loughlin.

Nonaccrual Loans and Other Nonperforming Assets

	June 30, 2010					March 31, 2010					December 31, 2009
			As a					As a					As a
			% of					% of					% of
	Total		total			Total		total			Total		total
($ in millions)	balances		loans			balances		loans			balances		loans
Commercial and commercial real estate:
Commercial	$	3,843		2.63	%	$	4,273		2.84	%	$	4,397		2.78	%
Real estate mortgage		4,689		4.71			4,345		4.44			3,696		3.79
Real estate construction		3,429		11.10			3,327		9.64			3,313		8.96
Lease financing		163		1.21			185		1.33			171		1.20
Total commercial and commercial real estate		12,124		4.18			12,130		4.09			11,577		3.77
Consumer:
Real estate 1-4 family first mortgage		12,865		5.50			12,347		5.13			10,100		4.40
Real estate 1-4 family junior lien mortgage		2,391		2.36			2,355		2.27			2,263		2.18
Other revolving credit and installment		316		0.36			334		0.37			332		0.37
Total consumer		15,572		3.49			15,036		3.30			12,695		2.84
Foreign		115		0.38			135		0.48			146		0.50
Total nonaccrual loans		27,811		3.63			27,301		3.49			24,418		3.12
Foreclosed assets:
GNMA loans		1,344					1,111					960
All other		3,650					2,970					2,199
Total foreclosed assets		4,994					4,081					3,159
Real estate and other nonaccrual investments		131					118					62
Total nonaccrual loans and other nonperforming assets	$	32,936		4.30	%	$	31,500		4.03	%	$	27,639		3.53	%
Change from prior quarter:
Total nonaccrual loans	$	510				$	2,883				$	3,549
Total nonperforming assets		1,436					3,861					4,188

Purchased Credit Impaired Loans

The improvement in credit quality was also evident in the PCI portfolio, which consists of loans acquired through the Wachovia merger that were deemed to have probable loss and therefore written down at acquisition. Overall, the PCI portfolio continued to perform in line with or better than originally expected. In particular, the Pick-a-Pay portfolio improved significantly, resulting in a $1.8 billion transfer from the nonaccretable difference to the accretable yield. This increase in accretable yield will be recognized as revenue over the remaining life of the loans, which is approximately eight years. “Our commercial PCI customers have been able to refinance and pay off loans due to increased market activity,” said Loughlin.

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“Because of these payoffs and dispositions, we reduced the associated PCI nonaccretable difference in second quarter by $506 million, an amount reflected in income in the quarter.”

Loans 90 Days or More Past Due and Still Accruing

Loans 90 days or more past due and still accruing also improved in the quarter, totaling $19.4 billion at June 30, 2010, compared with $21.8 billion at March 31, 2010. For the same periods, the totals included $14.4 billion and $15.9 billion, respectively, in advances pursuant to the Company’s servicing agreement to GNMA mortgage pools and similar loans whose repayments are insured by the Federal Housing Administration or guaranteed by the Department of Veteran Affairs.

Allowance for Credit Losses

The allowance for credit losses, including the reserve for unfunded commitments, totaled $25.1 billion at June 30, 2010, down from $25.7 billion at March 31, 2010. The allowance coverage to total loans was 3.27 percent, flat compared with 3.28 percent at March 31, 2010. The allowance covered 1.4 times annualized second quarter net charge-offs compared with 1.2 times in the prior quarter. The allowance coverage to nonaccrual loans was 90 percent at June 30, 2010, compared with 94 percent at March 31, 2010. “We believe the allowance was adequate for losses inherent in the loan portfolio at June 30, 2010, and appropriately reflects the uncertainty around the impact of loan modification programs and economic recovery conditions,” said Loughlin.

Additional detail on credit quality and trends is included in the quarterly supplement, available on the Investor Relations page atwww.wellsfargo.com/invest_relations/investor_relations/

Business Segment Performance

Wells Fargo defines its operating segments by product type and customer segment. Segment net income for each of the three business segments was:

	Quarter ended June 30,
(in millions)	2010		2009		% Change
Community Banking	$	1,766		2,091		(16	)%
Wholesale Banking		1,412		1,069		32
Wealth, Brokerage and Retirement		270		258		5

More financial information about the business segments is on pages 40 and 41.

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Community Bankingoffers a complete line of diversified financial products and services for consumers and small businesses including investment, insurance and trust services in 39 states and D.C., and mortgage and home equity loans in all 50 states and D.C.

Selected Financial Information

	Quarter ended June 30,
	2010		2009		% Change
(in millions)
Total revenue	$	13,727		15,238		(10	)%
Provision for credit losses		3,357		4,303		(22	)
Noninterest expense		7,711		7,922		(3	)
Segment net income		1,766		2,091		(16	)
(in billions)
Average loans		539.1		565.8		(5	)
Average assets		778.4		824.0		(6	)
Average core deposits		533.4		565.6		(6	)

Community Banking reported net income of $1.8 billion, down $325 million, or 16 percent, from prior year. Revenue decreased 10 percent year over year and 8 percent (annualized) linked quarter largely due to lower mortgage hedging results (lower carry income) and the planned reduction in certain liquidating loan portfolios. Noninterest expense decreased $211 million, or 3 percent, from prior year due to the FDIC special assessment in second quarter 2009 and Wachoviamerger-related cost savings. The provision for credit losses decreased $946 million from second quarter 2009 on lower net charge-offs across consumer portfolios and improved credit quality metrics.

Regional Banking Highlights

• Strong growth in checking accounts (combined Regional Banking)

— Consumer checking accounts up a net 7.4 percent from prior year

— Business checking accounts up a net 5.0 percent from prior year

— Consumer checking accounts up a net 9.0 percent in California, 7.4 percent in Texas, 10.1 percent in New Jersey and 7.3 percent in Florida

• Solutions growth was very strong during the quarter

— Legacy Wells Fargo:

o Core product solutions (sales) of 7.33 million, up 15 percent from prior year

o Core sales per platform banker FTE (active, full-time equivalent) of 5.94 per day, up from 5.64 in prior year

o Sales ofWells Fargo Packages^® (a checking account and at least three other products) up 25 percent from prior year; purchased by 77 percent of new checking account customers

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— Wachovia:

o Continued to align the eastern markets to the Wells Fargo sales and service model. Platform banker FTEs grew by more than 500, or 6 percent, in the first half of 2010, with planned additions throughout the remainder of 2010. Platform banker productivity continued to show improvement over 2009 results.

• Record retail bank household cross-sell

— Legacy Wells Fargo: record retail bank household cross-sell of Wells Fargo products of 6.06 products per household

— Wachovia: retail bank household cross-sell of Wachovia products continued to grow to 4.88 products per household

• Customer experience (combined Regional Banking)

— Continued to integrate customer experience practices after implementing common measurements across the Wells Fargo footprint in first quarter 2010

— More than 200,000 customers were contacted about their experience in Wells Fargo stores and around 47,000 customers spoke about their experience in the contact centers

— 8 out of 10 customers were “extremely satisfied,” the highest rating, with their recent call or visit with Wells Fargo

• Continued focus on distribution

— Converted 87 Wachovia banking stores in California in second quarter; Texas and Kansas scheduled to convert in late July 2010

— Opened 13 banking stores in second quarter for retail network total of 6,445 stores

— Converted 1,484 ATMs toEnvelope-Free^SM webATMmachines in second quarter

• Small Business/Business Banking

— Wells Fargo expressed appreciation to small businesses in its communities during the annual Small Business Appreciation Campaign held in May and June, conducting extensive outreach to customers and providing a variety of financial resources and money-saving offers

— Record store-based business solutions quarter, up 31 percent from prior year (legacy Wells Fargo)

— Sales ofWells Fargo Business Services Packages(business checking account and at least three other business products) up 62 percent from prior year, purchased by 65 percent of new business checking account customers (legacy Wells Fargo)

— Business Banking household cross-sell of 3.88 products per household (legacy Wells Fargo)

— Extended $6.6 billion in new small business loans in first half of 2010, including $403 million in SBA loans, making Wells Fargo the largest SBA lender (in dollars). While demand for small business loans continued to be soft, saw some improvement in second quarter with new loan volume increasing 30 percent from first quarter

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• Online and mobile banking

— 17.6 million combined active online customers

— 3.4 million combined active mobile customers

— Celebrating 15 years of online banking this quarter, Wells Fargo continued its history of innovation, becoming the first and only bank to offer an ATM e-receipt option to its online banking customers, giving customers the choice to either have an ATM receipt sent to an online banking inbox or to a designated personal e-mail account

Wells Fargo Home Mortgage (Home Mortgage)

• Home Mortgage applications of $143 billion, up from $125 billion in prior quarter

• Home Mortgage application pipeline of $68 billion at quarter end, up from $59 billion at March 31, 2010

• Home Mortgage originations of $81 billion, up from $76 billion in prior quarter

• Owned residential mortgage servicing portfolio of $1.8 trillion

Wholesale Bankingprovides financial solutions to businesses across the United States with annual sales generally in excess of $10 million and financial institutions globally. Products include middle market banking, corporate banking, commercial real estate, treasury management, asset-based lending, insurance brokerage, foreign exchange, correspondent banking, trade services, specialized lending, equipment finance, corporate trust, investment banking, capital markets and asset management.

Selected Financial Information

	Quarter ended June 30,
	2010		2009		% Change
(in millions)
Total revenue	$	5,653		5,235		8	%
Provision for credit losses		626		738		(15	)
Noninterest expense		2,840		2,802		1
Segment net income		1,412		1,069		32
(in billions)
Average loans		223.4		258.4		(14	)
Average assets		362.4		377.7		(4	)
Average core deposits		161.5		137.4		18

Wholesale Banking reported net income of $1.4 billion, up $343 million, or 32 percent, from second quarter 2009 and up $215 million, or 18 percent linked quarter. Revenue increased $418 million, or 8 percent, from prior year and increased 25 percent (annualized) linked quarter driven by growth in commercial, commercial real estate brokerage (Eastdil), international, and asset-based lending. Noninterest expense increased $38 million, or 1 percent, from prior year as higher legal and foreclosed asset expenses were partially offset by lower personnel expense and FDIC assessments. The provision for credit losses declined $112 million from second quarter 2009. The decrease included a $111 million reserve release in the second quarter 2010 compared with a $162 million credit reserve build a year ago.

- 14 -

• Total average core deposits up $24 billion, or 18 percent, from prior year driven by Commercial Banking, Government and Institutional Banking, and Global Financial and Institutional Trade Services

• New commercial real estate loan commitments of $3.4 billion, up 204 percent from prior quarter and 317 percent from the same period last year as the economy began to show signs of improvement

• Acquired North American factoring portfolio of the Commercial Services Division of GMAC Commercial Finance, which consists of 150 small and middle-market clients that serve retail businesses

• Commercial Electronic Office^® (CEO^®) portal – the first comprehensive internet portal for commercial banking customers when it launched in 2000 – marked its 10-year milestone. More than 50,000 companies or 70 percent of Wells Fargo’s commercial and corporate customers are enrolled in the portal, averaging 2.9 million logins per month

Wealth, Brokerage and Retirementprovides a full range of financial advisory services to clients using a comprehensive planning approach to meet each client’s needs. Wealth Management provides affluent and high net worth clients with a complete range of wealth management solutions including financial planning, private banking, credit, investment management and trust. Family Wealth meets the unique needs of the ultra high net worth customers. Retail brokerage’s financial advisors serve customers’ advisory, brokerage and financial needs as part of one of the largest full-service brokerage firms in the U.S. Retirement provides retirement services for individual investors and is a national leader in 401(k) and pension record keeping.

Selected Financial Information

	Quarter ended June 30,
	2010		2009		% Change
(in millions)
Total revenue	$	2,867		2,824		2	%
Provision for credit losses		81		111		(27	)
Noninterest expense		2,350		2,300		2
Segment net income		270		258		5
(in billions)
Average loans		42.6		46.0		(7	)
Average assets		141.0		127.0		11
Average core deposits		121.5		113.5		7

Wealth, Brokerage and Retirement reported net income of $270 million, down $12 million, or 4 percent, from prior quarter, and up $12 million, or 5 percent, from prior year. Revenue was $2.9 billion, up 2 percent from the prior year, as higher asset-based revenues partially offset lower securities gains in the brokerage business. Noninterest expense was up 2 percent from the prior year due to growth in broker commissions driven by higher production levels. Average core deposits increased $8 billion, or 7 percent, from the prior year.

- 15 -

Retail Brokerage

• Client assets of $1.1 trillion, up 6 percent from prior year

• Managed account assets increased $36 billion, or 22 percent, from prior year driven by the market recovery and solid net flows

Wealth Management

• Strong deposit growth, with average balances up 15 percent from prior year

• Investment management and trust revenue up 8 percent from prior year

Retirement

• Institutional Retirement plan assets of $211 billion, up $20 billion, or 10 percent, from prior year

• IRA assets of $238 billion, up $24 billion, or 11 percent, from prior year

Conference Call

The Company will host a live conference call on Wednesday, July 21, at 6:30 a.m. PDT (9:30 a.m. EDT). To access the call, please dial866-872-5161 (U.S. and Canada) or 706-643-1692 (international). No password is required. The call is also available online atwellsfargo.com/invest_relations/earnings and
http://event.meetingstream.com/r.htm?e=220680&s=1&k=A6470131FD3109C5079E137E600A7DCE

A replay of the conference call will also be available beginning at approximately noon PDT (3 p.m. EDT) on July 21 through Wednesday, July 28. Please dial 800-642-1687 (U.S. and Canada) or 706-645-9291 (international) and enter Conference ID 80955617. The replay will also be available online.

Cautionary Statement About Forward-Looking Information

In accordance with the Private Securities Litigation Reform Act of 1995, we caution you that this news release contains forward-looking statements about our future financial performance and business. We make forward-looking statements when we use words such as “believe,” “expect,” “anticipate,” “estimate,” “should,” “may,” “can,” “will,” “outlook,” “project,” “appears” or similar expressions. Forward-looking statements in this news release include, among others, statements about: (i) future credit quality and expected or estimated future loan losses in our loan portfolios, including our belief that credit quality has turned the corner and quarterly provision expense and quarterly total credit losses have peaked, and that the positive trend in credit quality will continue over the coming year; the level and loss content of nonperforming assets and nonaccrual loans; and the adequacy of the allowance for loan losses, including our current expectation of future reductions in the allowance for loan losses; (ii) reduction or mitigation of risk in our loan portfolios and the effects of loan modification programs; and (iii) the amount and timing of expected integration activities, expenses and cost savings relating to the Wachovia merger, as well as the expected synergies and benefits of the merger, including that we currently estimate merger expenses of approximately $5.7 billion, including approximately $600-$650 million per quarter estimated for the second half of 2010 before declining in 2011.

Do not unduly rely on forward-looking statements as actual results could differ materially from expectations. Forward-looking statements speak only as of the date made, and we do not undertake to update them to reflect changes or events that occur after that date. Several factors could cause actual results to differ materially from expectations including: current and future economic and market conditions, including the effects of further declines in housing prices and high unemployment rates; our capital requirements and our ability to generate capital internally or raise capital on favorable terms (including, without limitation, regulatory capital standards as determined by applicable regulatory

- 16 -

authorities); the terms of capital investments or other financial assistance provided by the U.S. government; financial services reform and other current, pending or future legislation or regulation that could have a negative effect on our revenue and businesses (including, without limitation, the Dodd-Frank Wall Street Reform and Consumer Protection Act); the extent of success in our loan modification efforts, including the effects of regulatory requirements, or changes in regulatory requirements, relating to loan modifications; our ability to successfully and timely integrate the Wachovia merger and realize the expected cost savings and other benefits, including delays or disruptions in system conversions and higher severance costs; our ability to realize efficiency initiatives to lower expenses when and in the amount expected; recognition of other-than-temporary impairment on securities held in our available-for-sale portfolio; the effect of changes in interest rates on our net interest margin and our mortgage originations, mortgage servicing rights and mortgages held for sale; hedging gains or losses; disruptions in the capital markets and reduced investor demand for mortgage loans; our ability to sell more products to our customers; the effect of the economic recession on the demand for our products and services; the effect of fluctuations in stock market prices on fee income from our brokerage, asset and wealth management businesses; our election to provide support to our mutual funds for structured credit products they may hold; changes in the value of our venture capital investments; changes in our accounting policies or in accounting standards or in how accounting standards are to be applied; changes in our credit ratings and changes in the credit ratings of our customers or counterparties; mergers and acquisitions; federal and state regulations; reputational damage from negative publicity, fines, penalties and other negative consequences from regulatory violations; the loss of checking and saving account deposits to other investments such as the stock market; and fiscal and monetary policies of the Federal Reserve Board. There is no assurance that our allowance for credit losses will be adequate to cover future credit losses, especially if credit markets, housing prices, and unemployment do not improve. Increases in loan charge-offs or in the allowance for credit losses and related provision expense could materially adversely affect our financial results and condition. 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 our Annual Report on Form 10-K for the year ended December 31, 2009 and our Quarterly Report on Form 10-Q for the quarter ended March 31, 2010, including the discussions under “Risk Factors” in each of those reports, as filed with the SEC and available on the SEC’s website atwww.sec.gov. Any factor described above or in our SEC reports could, by itself or together with one or more other factors, adversely affect our financial results and condition.

About Wells Fargo

Wells Fargo & Company (NYSE: WFC) is a nationwide, diversified, community-based financial services company with $1.2 trillion in assets. Founded in 1852 and headquartered in San Francisco, Wells Fargo provides banking, insurance, investments, mortgage, and consumer and commercial finance through more than 10,000 banking stores, 12,000 ATMs, the Internet (wellsfargo.com and wachovia.com), and other distribution channels across North America and internationally. With 278,000 team members, Wells Fargo serves one in three households in America. Wells Fargo & Company was ranked #19 onFortune’s2009 rankings of America’s largest corporations. Wells Fargo’s vision is to satisfy all our customers’ financial needs and help them succeed financially.

# # #

- 17 -

Wells Fargo & Company and Subsidiaries
QUARTERLY FINANCIAL DATA
TABLE OF CONTENTS

	Pages
Summary Information
Summary Financial Data		18-19
Income
Consolidated Statement of Income		20-21
Average Balances, Yields and Rates Paid		22-23
Noninterest Income and Noninterest Expense		24-25
Balance Sheet
Consolidated Balance Sheet		26-27
Average Balances		28
Loans
Loans		29
Nonaccrual Loans and Other Nonperforming Assets		29
Loans 90 Days or More Past Due and Still Accruing		30
Purchased Credit-Impaired Loans		31-33
Pick-A-Pay Portfolio		34
Home Equity Portfolios		35
Allowance for Credit Losses		36-37
Equity
Condensed Consolidated Statement of Changes in Total Equity		38
Tier 1 Common Equity		39
Operating Segments
Operating Segment Results		40-41
Other
Mortgage Servicing and other related data		42-44

- 18 -

Wells Fargo & Company and Subsidiaries

SUMMARY FINANCIAL DATA

	Quarter ended June 30,								Six months ended June 30,
($ in millions, except per share amounts)	2010			2009		% Change			2010		2009		% Change
For the Period
Wells Fargo net income	$	3,062			3,172		(3	)  %	$	5,609		6,217		(10	)  %
Wells Fargo net income applicable to common stock		2,878			2,575		12			5,250		4,959		6
Diluted earnings per common share		0.55			0.57		(4	)		1.00		1.13		(12	)
Profitability ratios (annualized):
Wells Fargo net income to average assets (ROA)		1.00	%		1.00		-			0.92		0.98		(6	)
Wells Fargo net income applicable to common stock to average Wells Fargo common stockholders’ equity (ROE)		10.40			13.70		(24	)		9.69		14.07		(31	)
Efficiency ratio (1)		59.6			56.4		6			58.0		56.3		3
Total revenue	$	21,394			22,507		(5	)	$	42,842		43,524		(2	)
Pre-tax pre-provision profit (PTPP) (2)		8,648			9,810		(12	)		17,979		19,009		(5	)
Dividends declared per common share		0.05			0.05		-			0.10		0.39		(74	)
Average common shares outstanding		5,219.7			4,483.1		16			5,205.1		4,365.9		19
Diluted average common shares outstanding		5,260.8			4,501.6		17			5,243.0		4,375.1		20
Average loans	$	772,460			833,945		(7	)	$	784,856		844,708		(7	)
Average assets		1,224,180			1,274,926		(4	)		1,225,145		1,282,280		(4	)
Average core deposits (3)		761,767			765,697		(1	)		760,475		759,845		-
Average retail core deposits (4)		574,436			596,648		(4	)		574,059		593,592		(3	)
Net interest margin		4.38	%		4.30		2			4.33		4.23		2
At Period End
Securities available for sale	$	157,927			206,795		(24	)	$	157,927		206,795		(24	)
Loans		766,265			821,614		(7	)		766,265		821,614		(7	)
Allowance for loan losses		24,584			23,035		7			24,584		23,035		7
Goodwill		24,820			24,619		1			24,820		24,619		1
Assets		1,225,862			1,284,176		(5	)		1,225,862		1,284,176		(5	)
Core deposits (3)		758,680			761,122		-			758,680		761,122		-
Wells Fargo stockholders’ equity		119,772			114,623		4			119,772		114,623		4
Total equity		121,398			121,382		-			121,398		121,382		-
Capital ratios:
Total equity to assets		9.90	%		9.45		5			9.90		9.45		5
Risk-based capital (5):
Tier 1 capital		10.42			9.80		6			10.42		9.80		6
Total capital		14.43			13.84		4			14.43		13.84		4
Tier 1 leverage (5)		8.63			8.32		4			8.63		8.32		4
Tier 1 common equity (6)		7.53			4.49		68			7.53		4.49		68
Book value per common share	$	21.35			17.91		19		$	21.35		17.91		19
Team members (active, full-time equivalent)		267,600			269,900		(1	)		267,600		269,900		(1	)
Common stock price:
High	$	34.25			28.45		20		$	34.25		30.47		12
Low		25.52			13.65		87			25.52		7.80		227
Period end		25.60			24.26		6			25.60		24.26		6

(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)	Core deposits are noninterest-bearing deposits, interest-bearing checking, savings certificates, certain market rate and other savings, and certain foreign deposits (Eurodollar sweep balances).
(4)	Retail core deposits are total core deposits excluding Wholesale Banking core deposits and retail mortgage escrow deposits.
(5)	The June 30, 2010, ratios are preliminary.
(6)	See page 39 for additional information.

- 19 -

Wells Fargo & Company and Subsidiaries
FIVE QUARTER SUMMARY FINANCIAL DATA

	Quarter ended
	June 30,			Mar. 31,		Dec. 31,		Sept. 30,		June 30,
($ in millions, except per share amounts)	2010			2010		2009		2009		2009
For the Quarter
Wells Fargo net income	$	3,062			2,547		2,823		3,235		3,172
Wells Fargo net income applicable to common stock		2,878			2,372		394		2,637		2,575
Diluted earnings per common share		0.55			0.45		0.08		0.56		0.57
Profitability ratios (annualized):
Wells Fargo net income to average assets (ROA)		1.00	%		0.84		0.90		1.03		1.00
Wells Fargo net income applicable to common stock to average Wells Fargo common stockholders’ equity (ROE)		10.40			8.96		1.66		12.04		13.70
Efficiency ratio (1)		59.6			56.5		56.5		52.0		56.4
Total revenue	$	21,394			21,448		22,696		22,466		22,507
Pre-tax pre-provision profit (PTPP) (2)		8,648			9,331		9,875		10,782		9,810
Dividends declared per common share		0.05			0.05		0.05		0.05		0.05
Average common shares outstanding		5,219.7			5,190.4		4,764.8		4,678.3		4,483.1
Diluted average common shares outstanding		5,260.8			5,225.2		4,796.1		4,706.4		4,501.6
Average loans	$	772,460			797,389		792,440		810,191		833,945
Average assets		1,224,180			1,226,120		1,239,456		1,246,051		1,274,926
Average core deposits (3)		761,767			759,169		770,750		759,319		765,697
Average retail core deposits (4)		574,436			573,653		580,873		584,414		596,648
Net interest margin		4.38	%		4.27		4.31		4.36		4.30
At Quarter End
Securities available for sale	$	157,927			162,487		172,710		183,814		206,795
Loans		766,265			781,430		782,770		799,952		821,614
Allowance for loan losses		24,584			25,123		24,516		24,028		23,035
Goodwill		24,820			24,819		24,812		24,052		24,619
Assets		1,225,862			1,223,630		1,243,646		1,228,625		1,284,176
Core deposits (3)		758,680			756,050		780,737		747,913		761,122
Wells Fargo stockholders’ equity		119,772			116,142		111,786		122,150		114,623
Total equity		121,398			118,154		114,359		128,924		121,382
Capital ratios:
Total equity to assets		9.90	%		9.66		9.20		10.49		9.45
Risk-based capital (5):
Tier 1 capital		10.42			9.93		9.25		10.63		9.80
Total capital		14.43			13.90		13.26		14.66		13.84
Tier 1 leverage (5)		8.63			8.34		7.87		9.03		8.32
Tier 1 common equity (6)		7.53			7.09		6.46		5.18		4.49
Book value per common share	$	21.35			20.76		20.03		19.46		17.91
Team members (active, full-time equivalent)		267,600			267,400		267,300		265,100		269,900
Common stock price:
High	$	34.25			31.99		31.53		29.56		28.45
Low		25.52			26.37		25.00		22.08		13.65
Period end		25.60			31.12		26.99		28.18		24.26

(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)	Core deposits are noninterest-bearing deposits, interest-bearing checking, savings certificates, certain market rate and other savings, and certain foreign deposits (Eurodollar sweep balances).
(4)	Retail core deposits are total core deposits excluding Wholesale Banking core deposits and retail mortgage escrow deposits.
(5)	The June 30, 2010, ratios are preliminary.
(6)	See page 39 for additional information.

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Wells Fargo & Company and Subsidiaries

CONSOLIDATED STATEMENT OF INCOME

	Quarter ended June 30,								Six months ended June 30,
(in millions, except per share amounts)	2010		2009			% Change			2010		2009			% Change
Interest income
Trading assets	$	266		206			29	%	$	533		472			13	%
Securities available for sale		2,385		2,887			(17	)		4,800		5,596			(14	)
Mortgages held for sale		405		545			(26	)		792		960			(18	)
Loans held for sale		30		50			(40	)		64		117			(45	)
Loans		10,277		10,532			(2	)		20,315		21,297			(5	)
Other interest income		109		81			35			193		172			12
Total interest income		13,472		14,301			(6	)		26,697		28,614			(7	)
Interest expense
Deposits		714		957			(25	)		1,449		1,956			(26	)
Short-term borrowings		21		55			(62	)		39		178			(78	)
Long-term debt		1,233		1,485			(17	)		2,509		3,264			(23	)
Other interest expense		55		40			38			104		76			37
Total interest expense		2,023		2,537			(20	)		4,101		5,474			(25	)
Net interest income		11,449		11,764			(3	)		22,596		23,140			(2	)
Provision for credit losses		3,989		5,086			(22	)		9,319		9,644			(3	)
Net interest income after provision for credit losses		7,460		6,678			12			13,277		13,496			(2	)
Noninterest income
Service charges on deposit accounts		1,417		1,448			(2	)		2,749		2,842			(3	)
Trust and investment fees		2,743		2,413			14			5,412		4,628			17
Card fees		911		923			(1	)		1,776		1,776			-
Other fees		982		963			2			1,923		1,864			3
Mortgage banking		2,011		3,046			(34	)		4,481		5,550			(19	)
Insurance		544		595			(9	)		1,165		1,176			(1	)
Net gains from trading activities		109		749			(85	)		646		1,536			(58	)
Net gains (losses) on debt securities available for sale (1)		30		(78	)		NM			58		(197	)		NM
Net gains (losses) from equity investments (2)		288		40			620			331		(117	)		NM
Operating leases		329		168			96			514		298			72
Other		581		476			22			1,191		1,028			16
Total noninterest income		9,945		10,743			(7	)		20,246		20,384			(1	)
Noninterest expense
Salaries		3,564		3,438			4			6,878		6,824			1
Commission and incentive compensation		2,225		2,060			8			4,217		3,884			9
Employee benefits		1,063		1,227			(13	)		2,385		2,511			(5	)
Equipment		588		575			2			1,266		1,262			-
Net occupancy		742		783			(5	)		1,538		1,579			(3	)
Core deposit and other intangibles		553		646			(14	)		1,102		1,293			(15	)
FDIC and other deposit assessments		295		981			(70	)		596		1,319			(55	)
Other		3,716		2,987			24			6,881		5,843			18
Total noninterest expense		12,746		12,697			-			24,863		24,515			1
Income before income tax expense		4,659		4,724			(1	)		8,660		9,365			(8	)
Income tax expense		1,514		1,475			3			2,915		3,027			(4	)
Net income before noncontrolling interests		3,145		3,249			(3	)		5,745		6,338			(9	)
Less: Net income from noncontrolling interests		83		77			8			136		121			12
Wells Fargo net income	$	3,062		3,172			(3	)	$	5,609		6,217			(10	)
Wells Fargo net income applicable to common stock	$	2,878		2,575			12		$	5,250		4,959			6
Per share information
Earnings per common share	$	0.55		0.58			(5	)	$	1.01		1.14			(11	)
Diluted earnings per common share		0.55		0.57			(4	)		1.00		1.13			(12	)
Dividends declared per common share		0.05		0.05			-			0.10		0.39			(74	)
Average common shares outstanding		5,219.7		4,483.1			16			5,205.1		4,365.9			19
Diluted average common shares outstanding		5,260.8		4,501.6			17			5,243.0		4,375.1			20

NM - Not meaningful
(1)	Includes impairment losses of $106 million and $308 million, consisting of $292 million and $972 million of total other-than-temporary impairment losses, net of $186 million and $664 million recognized in other comprehensive income, for the quarters ended June 30, 2010 and 2009, respectively, and impairment losses of $198 million and $577 million, consisting of $446 million and $1,575 million of total other-than-temporary impairment losses, net of $248 million and $998 million recognized in other comprehensive income, for the six months ended June 30, 2010 and 2009, respectively.
(2)	Includes impairment losses of $62 million and $155 million for the quarters ended June 30, 2010 and 2009, respectively, and impairment losses of $167 million and $402 million for the six months ended June 30, 2010 and 2009, respectively.

- 21 -

Wells Fargo & Company and Subsidiaries
FIVE QUARTER CONSOLIDATED STATEMENT OF INCOME

	Quarter ended
	June 30,		Mar. 31,		Dec. 31,		Sept. 30,			June 30,
(in millions, except per share amounts)	2010		2010		2009		2009			2009
Interest income
Trading assets	$	266		267		230		216			206
Securities available for sale		2,385		2,415		2,776		2,947			2,887
Mortgages held for sale		405		387		446		524			545
Loans held for sale		30		34		32		34			50
Loans		10,277		10,038		10,122		10,170			10,532
Other interest income		109		84		86		77			81
Total interest income		13,472		13,225		13,692		13,968			14,301
Interest expense
Deposits		714		735		913		905			957
Short-term borrowings		21		18		12		32			55
Long-term debt		1,233		1,276		1,217		1,301			1,485
Other interest expense		55		49		50		46			40
Total interest expense		2,023		2,078		2,192		2,284			2,537
Net interest income		11,449		11,147		11,500		11,684			11,764
Provision for credit losses		3,989		5,330		5,913		6,111			5,086
Net interest income after provision for credit losses		7,460		5,817		5,587		5,573			6,678
Noninterest income
Service charges on deposit accounts		1,417		1,332		1,421		1,478			1,448
Trust and investment fees		2,743		2,669		2,605		2,502			2,413
Card fees		911		865		961		946			923
Other fees		982		941		990		950			963
Mortgage banking		2,011		2,470		3,411		3,067			3,046
Insurance		544		621		482		468			595
Net gains from trading activities		109		537		516		622			749
Net gains (losses) on debt securities available for sale		30		28		110		(40	)		(78	)
Net gains from equity investments		288		43		273		29			40
Operating leases		329		185		163		224			168
Other		581		610		264		536			476
Total noninterest income		9,945		10,301		11,196		10,782			10,743
Noninterest expense
Salaries		3,564		3,314		3,505		3,428			3,438
Commission and incentive compensation		2,225		1,992		2,086		2,051			2,060
Employee benefits		1,063		1,322		1,144		1,034			1,227
Equipment		588		678		681		563			575
Net occupancy		742		796		770		778			783
Core deposit and other intangibles		553		549		642		642			646
FDIC and other deposit assessments		295		301		302		228			981
Other		3,716		3,165		3,691		2,960			2,987
Total noninterest expense		12,746		12,117		12,821		11,684			12,697
Income before income tax expense		4,659		4,001		3,962		4,671			4,724
Income tax expense		1,514		1,401		949		1,355			1,475
Net income before noncontrolling interests		3,145		2,600		3,013		3,316			3,249
Less: Net income from noncontrolling interests		83		53		190		81			77
Wells Fargo net income	$	3,062		2,547		2,823		3,235			3,172
Wells Fargo net income applicable to common stock	$	2,878		2,372		394		2,637			2,575
Per share information
Earnings per common share	$	0.55		0.46		0.08		0.56			0.58
Diluted earnings per common share		0.55		0.45		0.08		0.56			0.57
Dividends declared per common share		0.05		0.05		0.05		0.05			0.05
Average common shares outstanding		5,219.7		5,190.4		4,764.8		4,678.3			4,483.1
Diluted average common shares outstanding		5,260.8		5,225.2		4,796.1		4,706.4			4,501.6

- 22 -

Wells Fargo & Company and Subsidiaries

AVERAGE BALANCES, YIELDS AND RATES PAID (TAXABLE-EQUIVALENT BASIS)(1)(2)

	Quarter ended June 30,
	2010								2009
							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	$	67,712			0.33	%	$	56		20,889			0.66	%	$	34
Trading assets		28,760			3.79			272		18,464			4.61			213
Debt securities available for sale (3):
Securities of U.S. Treasury and federal agencies		2,094			3.50			18		2,102			3.45			17
Securities of U.S. states and political subdivisions		16,192			6.48			255		12,189			6.47			206
Mortgage-backed securities:
Federal agencies		72,876			5.39			930		92,550			5.36			1,203
Residential and commercial		33,197			9.59			769		41,257			9.03			1,044
Total mortgage-backed securities		106,073			6.72			1,699		133,807			6.60			2,247
Other debt securities (4)		33,270			7.21			562		30,901			7.23			572
Total debt securities available for sale (4)		157,629			6.75			2,534		178,999			6.67			3,042
Mortgages held for sale (5)		32,196			5.04			405		43,177			5.05			545
Loans held for sale (5)		4,386			2.73			30		7,188			2.83			50
Loans:
Commercial and commercial real estate:
Commercial		147,965			5.44			2,009		187,501			4.11			1,922
Real estate mortgage		97,731			3.89			949		96,131			3.52			843
Real estate construction		33,060			3.44			284		42,023			2.71			284
Lease financing		13,622			9.54			325		14,750			9.22			340
Total commercial and commercial real estate		292,378			4.89			3,567		340,405			3.99			3,389
Consumer:
Real estate 1-4 family first mortgage		237,500			5.24			3,108		240,798			5.53			3,328
Real estate 1-4 family junior lien mortgage		102,678			4.53			1,162		108,422			4.77			1,290
Credit card		22,239			13.24			736		22,963			12.74			731
Other revolving credit and installment		88,617			6.57			1,452		90,729			6.64			1,502
Total consumer		451,034			5.74			6,458		462,912			5.93			6,851
Foreign		29,048			3.62			262		30,628			4.06			310
Total loans (5)		772,460			5.34			10,287		833,945			5.07			10,550
Other		6,082			3.44			53		6,079			2.91			45
Total earning assets	$	1,069,225			5.14	%	$	13,637		1,108,741			5.21	%	$	14,479
Funding sources
Deposits:
Interest-bearing checking	$	61,212			0.13	%	$	19		79,955			0.13	%	$	26
Market rate and other savings		412,062			0.26			267		334,067			0.40			336
Savings certificates		89,773			1.44			323		152,444			1.19			451
Other time deposits		14,936			1.90			72		21,660			2.00			108
Deposits in foreign offices		57,461			0.23			33		49,885			0.29			36
Total interest-bearing deposits		635,444			0.45			714		638,011			0.60			957
Short-term borrowings		45,082			0.22			25		59,844			0.39			58
Long-term debt		195,440			2.52			1,233		235,590			2.52			1,484
Other liabilities		6,737			3.33			55		4,604			3.45			40
Total interest-bearing liabilities		882,703			0.92			2,027		938,049			1.08			2,539
Portion of noninterest-bearing funding sources		186,522			-			-		170,692			-			-
Total funding sources	$	1,069,225			0.76			2,027		1,108,741			0.91			2,539
Net interest margin and net interest income on a taxable-equivalent basis (6)					4.38	%	$	11,610					4.30	%	$	11,940
Noninterest-earning assets
Cash and due from banks	$	17,415								19,340
Goodwill		24,820								24,261
Other		112,720								122,584
Total noninterest-earning assets	$	154,955								166,185
Noninterest-bearing funding sources
Deposits	$	176,908								174,529
Other liabilities		43,713								49,570
Total equity		120,856								112,778
Noninterest-bearing funding sources used to fund earning assets		(186,522	)							(170,692	)
Net noninterest-bearing funding sources	$	154,955								166,185
Total assets	$	1,224,180								1,274,926

(1)	Our average prime rate was 3.25% for the quarters ended June 30, 2010 and 2009. The average three-month London Interbank Offered Rate (LIBOR) was 0.44% and 0.84% for the same quarters, respectively.
(2)	Interest 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 include the effects of any unrealized gain or loss marks but those marks carried in other comprehensive income are not included in yield determination of affected earning assets. Thus yields are based on amortized cost balances computed on a settlement date basis.
(4)	Includes certain preferred securities.
(5)	Nonaccrual loans and related income are included in their respective loan categories.
(6)	Includes taxable-equivalent adjustments primarily related to tax-exempt income on certain loans and securities. The federal statutory tax rate was 35% for the periods presented.

- 23 -

Wells Fargo & Company and Subsidiaries
AVERAGE BALANCES, YIELDS AND RATES PAID (TAXABLE-EQUIVALENT BASIS)(1)(2)

	Six months ended June 30,
	2010								2009
							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	$	54,347			0.33	%	$	89		22,472			0.75	%	$	84
Trading assets		28,338			3.85			544		20,323			4.81			488
Debt securities available for sale (3):
Securities of U.S. Treasury and federal agencies		2,186			3.56			38		2,498			2.00			24
Securities of U.S. states and political subdivisions		14,951			6.53			476		12,201			6.45			419
Mortgage-backed securities:
Federal agencies		76,284			5.39			1,953		84,592			5.51			2,271
Residential and commercial		32,984			9.63			1,559		39,980			8.80			2,061
Total mortgage-backed securities		109,268			6.70			3,512		124,572			6.71			4,332
Other debt securities (4)		32,810			6.86			1,054		30,493			7.02			1,123
Total debt securities available for sale (4)		159,215			6.67			5,080		169,764			6.68			5,898
Mortgages held for sale (5)		31,784			4.99			792		37,151			5.17			960
Loans held for sale (5)		5,390			2.39			64		7,567			3.13			117
Loans:
Commercial and commercial real estate:
Commercial		152,192			4.97			3,752		192,186			3.99			3,806
Real estate mortgage		97,848			3.79			1,839		96,087			3.52			1,678
Real estate construction		34,448			3.25			555		42,370			2.86			601
Lease financing		13,814			9.38			648		15,277			8.99			687
Total commercial and commercial real estate		298,302			4.59			6,794		345,920			3.94			6,772
Consumer:
Real estate 1-4 family first mortgage		241,241			5.25			6,318		243,133			5.59			6,772
Real estate 1-4 family junior lien mortgage		104,151			4.50			2,330		109,270			4.91			2,665
Credit card		22,789			13.20			1,503		23,128			12.42			1,435
Other revolving credit and installment		89,566			6.49			2,879		91,770			6.66			3,029
Total consumer		457,747			5.72			13,030		467,301			5.98			13,901
Foreign		28,807			3.62			518		31,487			4.22			659
Total loans (5)		784,856			5.21			20,342		844,708			5.08			21,332
Other		6,075			3.40			103		6,110			2.89			88
Total earning assets	$	1,070,005			5.10	%	$	27,014		1,108,095			5.22	%	$	28,967
Funding sources
Deposits:
Interest-bearing checking	$	61,614			0.14	%	$	42		80,173			0.14	%	$	56
Market rate and other savings		408,026			0.27			553		323,813			0.47			755
Savings certificates		92,254			1.40			640		161,234			1.05			838
Other time deposits		15,405			1.97			152		23,597			1.98			232
Deposits in foreign offices		56,453			0.22			62		47,901			0.32			75
Total interest-bearing deposits		633,752			0.46			1,449		636,718			0.62			1,956
Short-term borrowings		45,082			0.20			44		67,911			0.54			181
Long-term debt		202,186			2.48			2,509		247,209			2.65			3,267
Other liabilities		6,203			3.38			104		4,194			3.64			76
Total interest-bearing liabilities		887,223			0.93			4,106		956,032			1.15			5,480
Portion of noninterest-bearing funding sources		182,782			-			-		152,063			-			-
Total funding sources	$	1,070,005			0.77			4,106		1,108,095			0.99			5,480
Net interest margin and net interest income on a taxable-equivalent basis (6)					4.33	%	$	22,908					4.23	%	$	23,487
Noninterest-earning assets
Cash and due from banks	$	17,730								19,795
Goodwill		24,818								23,725
Other		112,592								130,665
Total noninterest-earning assets	$	155,140								174,185
Noninterest-bearing funding sources
Deposits	$	174,487								167,458
Other liabilities		44,224								50,064
Total equity		119,211								108,726
Noninterest-bearing funding sources used to fund earning assets		(182,782	)							(152,063	)
Net noninterest-bearing funding sources	$	155,140								174,185
Total assets	$	1,225,145								1,282,280

(1)	Our average prime rate was 3.25% for the six months ended June 30, 2010 and 2009. The average three-month London Interbank Offered Rate (LIBOR) was 0.35% and 1.04% for the same six months, respectively.
(2)	Interest 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 include the effects of any unrealized gain or loss marks but those marks carried in other comprehensive income are not included in yield determination of affected earning assets. Thus yields are based on amortized cost balances computed on a settlement date basis.
(4)	Includes certain preferred securities.
(5)	Nonaccrual loans and related income are included in their respective loan categories.
(6)	Includes taxable-equivalent adjustments primarily related to tax-exempt income on certain loans and securities. The federal statutory tax rate was 35% for the periods presented.

- 24 -

Wells Fargo & Company and Subsidiaries

NONINTEREST INCOME

	Quarter ended June 30,								Six months ended June 30,
(in millions)	2010		2009			% Change			2010		2009			% Change
Service charges on deposit accounts	$	1,417		1,448			(2	)  %	$	2,749		2,842			(3	)  %
Trust and investment fees:
Trust, investment and IRA fees		1,035		839			23			2,084		1,561			34
Commissions and all other fees		1,708		1,574			9			3,328		3,067			9
Total trust and investment fees		2,743		2,413			14			5,412		4,628			17
Card fees		911		923			(1	)		1,776		1,776			-
Other fees:
Cash network fees		58		58			-			113		116			(3	)
Charges and fees on loans		401		440			(9	)		820		873			(6	)
Processing and all other fees		523		465			12			990		875			13
Total other fees		982		963			2			1,923		1,864			3
Mortgage banking (1):
Servicing income, net		1,218		816			49			2,584		1,722			50
Net gains on mortgage loan origination/sales activities		793		2,230			(64	)		1,897		3,828			(50	)
Total mortgage banking		2,011		3,046			(34	)		4,481		5,550			(19	)
Insurance		544		595			(9	)		1,165		1,176			(1	)
Net gains from trading activities		109		749			(85	)		646		1,536			(58	)
Net gains (losses) on debt securities available for sale		30		(78	)	NM				58		(197	)	NM
Net gains (losses) from equity investments		288		40			620			331		(117	)	NM
Operating leases		329		168			96			514		298			72
All other		581		476			22			1,191		1,028			16
Total	$	9,945		10,743			(7	)	$	20,246		20,384			(1	)

NM - Not meaningful
(1)	2009 categories have been revised to conform to current presentation.

NONINTEREST EXPENSE

	Quarter ended June 30,							Six months ended June 30,
(in millions)	2010		2009		% Change			2010		2009		% Change
Salaries	$	3,564		3,438		4	%	$	6,878		6,824		1	%
Commission and incentive compensation		2,225		2,060		8			4,217		3,884		9
Employee benefits		1,063		1,227		(13	)		2,385		2,511		(5	)
Equipment		588		575		2			1,266		1,262		-
Net occupancy		742		783		(5	)		1,538		1,579		(3	)
Core deposit and other intangibles		553		646		(14	)		1,102		1,293		(15	)
FDIC and other deposit assessments		295		981		(70	)		596		1,319		(55	)
Outside professional services		572		451		27			1,056		861		23
Contract services		384		256		50			731		472		55
Foreclosed assets		333		187		78			719		435		65
Outside data processing		276		282		(2	)		548		494		11
Postage, stationery and supplies		230		240		(4	)		472		490		(4	)
Operating losses		627		159		294			835		331		152
Insurance		164		259		(37	)		312		526		(41	)
Telecommunications		156		164		(5	)		299		322		(7	)
Travel and entertainment		196		131		50			367		236		56
Advertising and promotion		156		111		41			268		236		14
Operating leases		27		61		(56	)		64		131		(51	)
All other		595		686		(13	)		1,210		1,309		(8	)
Total	$	12,746		12,697		-		$	24,863		24,515		1

- 25 -

Wells Fargo & Company and Subsidiaries
FIVE QUARTER NONINTEREST INCOME

	Quarter ended
	June 30,		Mar. 31,		Dec. 31,		Sept. 30,			June 30,
(in millions)	2010		2010		2009		2009			2009
Service charges on deposit accounts	$	1,417		1,332		1,421		1,478			1,448
Trust and investment fees:
Trust, investment and IRA fees		1,035		1,049		1,038		989			839
Commissions and all other fees		1,708		1,620		1,567		1,513			1,574
Total trust and investment fees		2,743		2,669		2,605		2,502			2,413
Card fees		911		865		961		946			923
Other fees:
Cash network fees		58		55		55		60			58
Charges and fees on loans		401		419		475		453			440
Processing and all other fees		523		467		460		437			465
Total other fees		982		941		990		950			963
Mortgage banking (1):
Servicing income, net		1,218		1,366		2,150		1,919			816
Net gains on mortgage loan origination/sales activities		793		1,104		1,261		1,148			2,230
Total mortgage banking		2,011		2,470		3,411		3,067			3,046
Insurance		544		621		482		468			595
Net gains from trading activities		109		537		516		622			749
Net gains (losses) on debt securities available for sale		30		28		110		(40	)		(78	)
Net gains from equity investments		288		43		273		29			40
Operating leases		329		185		163		224			168
All other		581		610		264		536			476
Total	$	9,945		10,301		11,196		10,782			10,743

  (1) 2009 categories have been revised to conform to current presentation.

FIVE QUARTER NONINTEREST EXPENSE

	Quarter ended
	June 30,		Mar. 31,		Dec. 31,		Sept. 30,		June 30,
(in millions)	2010		2010		2009		2009		2009
Salaries	$	3,564		3,314		3,505		3,428		3,438
Commission and incentive compensation		2,225		1,992		2,086		2,051		2,060
Employee benefits		1,063		1,322		1,144		1,034		1,227
Equipment		588		678		681		563		575
Net occupancy		742		796		770		778		783
Core deposit and other intangibles		553		549		642		642		646
FDIC and other deposit assessments		295		301		302		228		981
Outside professional services		572		484		632		489		451
Contract services		384		347		362		254		256
Foreclosed assets		333		386		393		243		187
Outside data processing		276		272		282		251		282
Postage, stationery and supplies		230		242		232		211		240
Operating losses		627		208		427		117		159
Insurance		164		148		111		208		259
Telecommunications		156		143		146		142		164
Travel and entertainment		196		171		188		151		131
Advertising and promotion		156		112		176		160		111
Operating leases		27		37		44		52		61
All other		595		615		698		682		686
Total	$	12,746		12,117		12,821		11,684		12,697

- 26 -

Wells Fargo & Company and Subsidiaries

CONSOLIDATED BALANCE SHEET

	June 30,			Dec. 31,
(in millions, except shares)	2010			2009			% Change
Assets
Cash and due from banks	$	17,571			27,080			(35	)%
Federal funds sold, securities purchased under resale agreements and other short-term investments		73,898			40,885			81
Trading assets		47,132			43,039			10
Securities available for sale		157,927			172,710			(9	)
Mortgages held for sale (includes $34,877 and $36,962 carried at fair value)		38,581			39,094			(1	)
Loans held for sale (includes $238 and $149 carried at fair value)		3,999			5,733			(30	)
Loans (includes $367 carried at fair value at June 30, 2010)		766,265			782,770			(2	)
Allowance for loan losses		(24,584	)		(24,516	)		—
Net loans		741,681			758,254			(2	)
Mortgage servicing rights:
Measured at fair value (residential MSRs)		13,251			16,004			(17	)
Amortized		1,037			1,119			(7	)
Premises and equipment, net		10,508			10,736			(2	)
Goodwill		24,820			24,812			—
Other assets		95,457			104,180			(8	)
Total assets (1)	$	1,225,862			1,243,646			(1	)
Liabilities
Noninterest-bearing deposits	$	175,015			181,356			(3	)
Interest-bearing deposits		640,608			642,662			—
Total deposits		815,623			824,018			(1	)
Short-term borrowings		45,187			38,966			16
Accrued expenses and other liabilities		58,582			62,442			(6	)
Long-term debt (includes $361 carried at fair value at June 30, 2010)		185,072			203,861			(9	)
Total liabilities (2)		1,104,464			1,129,287			(2	)
Equity
Wells Fargo stockholders’ equity:
Preferred stock		8,980			8,485			6
Common stock — $1-2/3 par value, authorized 9,000,000,000 shares; issued 5,245,971,422 shares and 5,245,971,422 shares		8,743			8,743			—
Additional paid-in capital		52,687			52,878			—
Retained earnings		46,126			41,563			11
Cumulative other comprehensive income		4,844			3,009			61
Treasury stock - 14,575,741 shares and 67,346,829 shares		(631	)		(2,450	)		(74	)
Unearned ESOP shares		(977	)		(442	)		121
Total Wells Fargo stockholders’ equity		119,772			111,786			7
Noncontrolling interests		1,626			2,573			(37	)
Total equity		121,398			114,359			6
Total liabilities and equity	$	1,225,862			1,243,646			(1	)

(1)	Our consolidated assets at June 30, 2010, include the following assets of certain variable interest entities (VIEs) that can only be used to settle the liabilities of those VIEs: Cash and due from banks, $379 million; Trading assets, $93 million; Securities available for sale, $2.6 billion; Net loans, $20.5 billion; Other assets, $2.4 billion, and Total assets, $26.0 billion.
(2)	Our consolidated liabilities at June 30, 2010, include the following VIE liabilities for which the VIE creditors do not have recourse to Wells Fargo: Short-term borrowings, $346 million; Accrued expenses and other liabilities, $771 million; Long-term debt, $10.3 billion; and Total liabilities, $11.4 billion.

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Wells Fargo & Company and Subsidiaries
FIVE QUARTER CONSOLIDATED BALANCE SHEET

	June 30,			Mar. 31,			Dec. 31,			Sept. 30,			June 30,
(in millions)	2010			2010			2009			2009			2009
Assets
Cash and due from banks	$	17,571			16,301			27,080			17,233			20,632
Federal funds sold, securities purchased under resale agreements and other short-term investments		73,898			54,192			40,885			17,491			15,976
Trading assets		47,132			47,028			43,039			43,198			40,110
Securities available for sale		157,927			162,487			172,710			183,814			206,795
Mortgages held for sale		38,581			34,737			39,094			35,538			41,991
Loans held for sale		3,999			5,140			5,733			5,846			5,413
Loans		766,265			781,430			782,770			799,952			821,614
Allowance for loan losses		(24,584	)		(25,123	)		(24,516	)		(24,028	)		(23,035	)
Net loans		741,681			756,307			758,254			775,924			798,579
Mortgage servicing rights:
Measured at fair value (residential MSRs)		13,251			15,544			16,004			14,500			15,690
Amortized		1,037			1,069			1,119			1,162			1,205
Premises and equipment, net		10,508			10,405			10,736			11,040			11,151
Goodwill		24,820			24,819			24,812			24,052			24,619
Other assets		95,457			95,601			104,180			98,827			102,015
Total assets	$	1,225,862			1,223,630			1,243,646			1,228,625			1,284,176
Liabilities
Noninterest-bearing deposits	$	175,015			170,518			181,356			165,260			173,149
Interest-bearing deposits		640,608			634,375			642,662			631,488			640,586
Total deposits		815,623			804,893			824,018			796,748			813,735
Short-term borrowings		45,187			46,333			38,966			30,800			55,483
Accrued expenses and other liabilities		58,582			54,371			62,442			57,861			64,160
Long-term debt		185,072			199,879			203,861			214,292			229,416
Total liabilities		1,104,464			1,105,476			1,129,287			1,099,701			1,162,794
Equity
Wells Fargo stockholders’ equity:
Preferred stock		8,980			9,276			8,485			31,589			31,497
Common stock		8,743			8,743			8,743			7,927			7,927
Additional paid-in capital		52,687			53,156			52,878			40,343			40,270
Retained earnings		46,126			43,636			41,563			41,485			39,165
Cumulative other comprehensive income (loss)		4,844			4,087			3,009			4,088			(590	)
Treasury stock		(631	)		(1,460	)		(2,450	)		(2,771	)		(3,126	)
Unearned ESOP shares		(977	)		(1,296	)		(442	)		(511	)		(520	)
Total Wells Fargo stockholders’ equity		119,772			116,142			111,786			122,150			114,623
Noncontrolling interests		1,626			2,012			2,573			6,774			6,759
Total equity		121,398			118,154			114,359			128,924			121,382
Total liabilities and equity	$	1,225,862			1,223,630			1,243,646			1,228,625			1,284,176

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Wells Fargo & Company and Subsidiaries

FIVE QUARTER AVERAGE BALANCES

	Quarter ended
	June 30,			Mar. 31,			Dec. 31,			Sept. 30,			June 30,
(in millions)	2010			2010			2009			2009			2009
Earning assets
Federal funds sold, securities purchased under resale agreements and other short-term investments	$	67,712			40,833			46,031			16,356			20,889
Trading assets		28,760			27,911			23,179			20,518			18,464
Debt securities available for sale:
Securities of U.S. Treasury and federal agencies		2,094			2,278			2,381			2,545			2,102
Securities of U.S. states and political subdivisions		16,192			13,696			13,574			12,818			12,189
Mortgage-backed securities:
Federal agencies		72,876			79,730			85,063			94,457			92,550
Residential and commercial		33,197			32,768			43,243			43,214			41,257
Total mortgage-backed securities		106,073			112,498			128,306			137,671			133,807
Other debt securities (1)		33,270			32,346			33,710			33,294			30,901
Total debt securities available for sale (1)		157,629			160,818			177,971			186,328			178,999
Mortgages held for sale (2)		32,196			31,368			34,750			40,604			43,177
Loans held for sale (2)		4,386			6,406			5,104			4,975			7,188
Loans:
Commercial and commercial real estate:
Commercial		147,965			156,466			164,050			175,642			187,501
Real estate mortgage		97,731			97,967			97,296			95,612			96,131
Real estate construction		33,060			35,852			38,364			40,487			42,023
Lease financing		13,622			14,008			14,107			14,360			14,750
Total commercial and commercial real estate		292,378			304,293			313,817			326,101			340,405
Consumer:
Real estate 1-4 family first mortgage		237,500			245,024			232,273			235,051			240,798
Real estate 1-4 family junior lien mortgage		102,678			105,640			103,584			105,779			108,422
Credit card		22,239			23,345			23,717			23,448			22,963
Other revolving credit and installment		88,617			90,526			88,963			90,199			90,729
Total consumer		451,034			464,535			448,537			454,477			462,912
Foreign		29,048			28,561			30,086			29,613			30,628
Total loans (2)		772,460			797,389			792,440			810,191			833,945
Other		6,082			6,069			6,147			6,088			6,079
Total earning assets	$	1,069,225			1,070,794			1,085,622			1,085,060			1,108,741
Funding sources
Deposits:
Interest-bearing checking	$	61,212			62,021			61,229			59,467			79,955
Market rate and other savings		412,062			403,945			389,905			369,120			334,067
Savings certificates		89,773			94,763			109,306			129,698			152,444
Other time deposits		14,936			15,878			16,501			18,248			21,660
Deposits in foreign offices		57,461			55,434			59,870			56,820			49,885
Total interest-bearing deposits		635,444			632,041			636,811			633,353			638,011
Short-term borrowings		45,082			45,081			32,757			39,828			59,844
Long-term debt		195,440			209,008			210,707			222,580			235,590
Other liabilities		6,737			5,664			5,587			5,620			4,604
Total interest-bearing liabilities		882,703			891,794			885,862			901,381			938,049
Portion of noninterest-bearing funding sources		186,522			179,000			199,760			183,679			170,692
Total funding sources	$	1,069,225			1,070,794			1,085,622			1,085,060			1,108,741
Noninterest-earning assets
Cash and due from banks	$	17,415			18,049			19,216			18,084			19,340
Goodwill		24,820			24,816			24,093			24,435			24,261
Other		112,720			112,461			110,525			118,472			122,584
Total noninterest-earning assets	$	154,955			155,326			153,834			160,991			166,185
Noninterest-bearing funding sources
Deposits	$	176,908			172,039			179,204			172,588			174,529
Other liabilities		43,713			44,739			45,058			47,646			49,570
Total equity		120,856			117,548			129,332			124,436			112,778
Noninterest-bearing funding sources used to fund earning assets		(186,522	)		(179,000	)		(199,760	)		(183,679	)		(170,692	)
Net noninterest-bearing funding sources	$	154,955			155,326			153,834			160,991			166,185
Total assets	$	1,224,180			1,226,120			1,239,456			1,246,051			1,274,926

(1)	Includes certain preferred securities.
(2)	Nonaccrual loans are included in their respective loan categories.

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Wells Fargo & Company and Subsidiaries

FIVE QUARTER LOANS

	June 30,		Mar. 31,		Dec. 31,		Sept. 30,		June 30,
(in millions)	2010		2010		2009		2009		2009
Commercial and commercial real estate:
Commercial	$	146,084		150,587		158,352		169,610		182,037
Real estate mortgage (1)		99,626		97,846		97,527		95,787		95,611
Real estate construction (1)		30,879		34,505		36,978		39,374		41,281
Lease financing		13,492		13,887		14,210		14,115		14,555
Total commercial and commercial real estate		290,081		296,825		307,067		318,886		333,484
Consumer:
Real estate 1-4 family first mortgage		233,812		240,528		229,536		232,622		237,289
Real estate 1-4 family junior lien mortgage		101,327		103,800		103,708		104,538		107,024
Credit card		22,086		22,525		24,003		23,597		23,069
Other revolving credit and installment		88,485		89,463		89,058		90,027		90,654
Total consumer		445,710		456,316		446,305		450,784		458,036
Foreign		30,474		28,289		29,398		30,282		30,094
Total loans (net of unearned income) (2)	$	766,265		781,430		782,770		799,952		821,614

(1)	Effective June 30, 2010, real estate construction outstanding balances and all other related data include certain commercial real estate secured loans acquired from Wachovia previously classified as real estate mortgage. Prior periods have been revised to conform with the current presentation.
(2)	Includes $46.5 billion, $49.5 billion, $51.7 billion, $54.3 billion and $55.2 billion of purchased credit-impaired (PCI) loans at June 30, and March 31, 2010, and December 31, September 30, and June 30, 2009, respectively. See table on page 31 for detail of PCI loans.

FIVE QUARTER NONACCRUAL LOANS AND OTHER NONPERFORMING ASSETS

	June 30,			Mar. 31,		Dec. 31,		Sept. 30,		June 30,
(in millions)	2010			2010		2009		2009		2009
Nonaccrual loans:
Commercial and commercial real estate:
Commercial	$	3,843			4,273		4,397		4,540		2,910
Real estate mortgage		4,689			4,345		3,696		2,614		2,198
Real estate construction		3,429			3,327		3,313		2,953		2,355
Lease financing		163			185		171		157		130
Total commercial and commercial real estate		12,124			12,130		11,577		10,264		7,593
Consumer:
Real estate 1-4 family first mortgage		12,865			12,347		10,100		8,132		6,000
Real estate 1-4 family junior lien mortgage		2,391			2,355		2,263		1,985		1,652
Other revolving credit and installment		316			334		332		344		327
Total consumer		15,572			15,036		12,695		10,461		7,979
Foreign		115			135		146		144		226
Total nonaccrual loans (1)(2)		27,811			27,301		24,418		20,869		15,798
As a percentage of total loans		3.63	%		3.49		3.12		2.61		1.92
Foreclosed assets:
GNMA loans (3)	$	1,344			1,111		960		840		932
Other		3,650			2,970		2,199		1,687		1,592
Real estate and other nonaccrual investments (4)		131			118		62		55		20
Total nonaccrual loans and other nonperforming assets	$	32,936			31,500		27,639		23,451		18,342
As a percentage of total loans		4.30	%		4.03		3.53		2.93		2.23

(1)	Includes nonaccrual mortgages held for sale and loans held for sale in their respective loan categories.
(2)	Excludes loans acquired from Wachovia that are accounted for as PCI loans because they continue to earn interest income from accretable yield, independent of performance in accordance with their contractual terms.
(3)	Consistent with regulatory reporting requirements, foreclosed real estate securing Government National Mortgage Association (GNMA) loans is classified as nonperforming. Both principal and interest for GNMA loans secured by the foreclosed real estate are collectible because the GNMA loans are insured by the Federal Housing Administration or guaranteed by the Department of Veterans Affairs.
(4)	Includes real estate investments (contingent interest loans accounted for as investments) that would be classified as nonaccrual if these assets were recorded as loans, and nonaccrual debt securities.

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Wells Fargo & Company and Subsidiaries

LOANS 90 DAYS OR MORE PAST DUE AND STILL ACCRUING (EXCLUDING INSURED/GUARANTEED
GNMA AND SIMILAR LOANS) (1)

	June 30,		Mar. 31,		Dec. 31,		Sept. 30,		June 30,
(in millions)	2010		2010		2009		2009		2009
Commercial and commercial real estate:
Commercial	$	540		561		590		458		415
Real estate mortgage		654		947		1,014		646		575
Real estate construction		471		787		909		977		987
Total commercial and commercial real estate		1,665		2,295		2,513		2,081		1,977
Consumer:
Real estate 1-4 family first mortgage (2)		1,049		1,281		1,623		1,552		1,497
Real estate 1-4 family junior lien mortgage		352		414		515		484		660
Credit card		610		719		795		683		680
Other revolving credit and installment		1,300		1,219		1,333		1,138		1,160
Total consumer		3,311		3,633		4,266		3,857		3,997
Foreign		21		29		73		76		32
Total	$	4,997		5,957		6,852		6,014		6,006

(1)

The carrying value of purchased credit-impaired (PCI) loans contractually 90 days or more past due was $15.1 billion, $16.8 billion, $16.1 billion, $15.3 billion and $14.5 billion at June 30 and March 31, 2010, and December 31, September 30, and June 30, 2009, respectively. These amounts are excluded from the above table as PCI loan accretable yield interest recognition is independent from the underlying contractual loan delinquency status. See table on page 31 for detail of PCI loans.

(2)

Includes mortgage loans held for sale 90 days or more past due and still accruing.

- 31 -

Wells Fargo & Company and Subsidiaries

PURCHASED CREDIT-IMPAIRED (PCI) LOANS

At the time of acquisition, certain loans acquired from Wachovia had evidence of credit deterioration since origination and it was considered probable that we would not collect all contractually required principal and interest payments (referred to as “purchased credit-impaired” (PCI) loans). Such loans are accounted for under ASC 310-30,Receivables(American Institute of Certified Public Accountants Statement of Position 03-3,Accounting for Certain Loans or Debt Securities Acquired in a Transfer). These accounting provisions require that acquired loans be recorded at fair value at the acquisition date and prohibits carryover of the related allowance for loan losses. The difference between contractually required payments and cash flows expected to be collected is referred to as the nonaccretable difference and is used to absorb losses on PCI loans. We perform quarterly evaluations of cash flows and the loss content of our PCI loans. These evaluations may cause a reduction in the nonaccretable difference for lower loss estimates or an increase to our allowance for credit losses for increases in our loss estimates. The difference between the cash flows expected to be collected and the fair value is referred to as the accretable yield and is accreted into interest income over the estimated life of the PCI loans using the effective yield method. See the “Changes in Nonaccretable Difference for PCI Loans” and “Changes in Accretable Yield Related to PCI Loans” for more discussion about the nonaccretable difference and accretable yield.

At the time of acquisition, consumer PCI loans were aggregated and accounted for in discreet pools while commercial PCI loans were generally accounted for on an individual loan basis. From time to time individual loans are resolved by payment in full, foreclosure and liquidation of the underlying collateral or sale of the loan. For consumer PCI loans accounted for in pools, resolved loans are removed from the pool at the resolution amount received. The pool accretable yield is adjusted each quarter, as appropriate, for any material change in remaining effective yield caused by resolution removals and by other quarterly cash flow evaluation changes applicable to the pool. For resolved commercial PCI loans, the resolution income (the amount of nonaccretable difference not required to offset loss content) is recorded immediately as interest income if the loan is resolved directly with the borrower. Alternatively, resolution income is recorded immediately as noninterest income if the commercial PCI loan is resolved by sale to third parties. See the “Changes in Nonaccretable Difference for PCI Loans” for more discussion about the accounting for resolutions.

Because PCI loans were written down in purchase accounting to an amount estimated to be collectible, such loans are not classified as nonaccrual even though they may be contractually past due. Also, losses on such loans are charged against the nonaccretable difference established in purchase accounting and, as such, are not reported as charge-offs.

As a result of the application of ASC 310-30 to credit-impaired Wachovia loans, certain consolidated 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.

	June 30, 2010						December 31, 2009
			All						All
	PCI		other				PCI		other
(in millions)	loans		loans		Total		loans		loans		Total
Commercial and commercial real estate:
Commercial	$	1,113		144,971		146,084		1,911		156,441		158,352
Real estate mortgage		3,487		96,139		99,626		4,137		93,390		97,527
Real estate construction		4,194		26,685		30,879		5,207		31,771		36,978
Lease financing		—		13,492		13,492		—		14,210		14,210
Total commercial and commercial real estate		8,794		281,287		290,081		11,255		295,812		307,067
Consumer:
Real estate 1-4 family first mortgage		35,972		197,840		233,812		38,386		191,150		229,536
Real estate 1-4 family junior lien mortgage		290		101,037		101,327		331		103,377		103,708
Credit card		—		22,086		22,086		—		24,003		24,003
Other revolving credit and installment		—		88,485		88,485		—		89,058		89,058
Total consumer		36,262		409,448		445,710		38,717		407,588		446,305
Foreign		1,457		29,017		30,474		1,733		27,665		29,398
Total loans	$	46,513		719,752		766,265		51,705		731,065		782,770

- 32 -

Wells Fargo & Company and Subsidiaries
CHANGES IN NONACCRETABLE DIFFERENCE FOR PCI LOANS

The nonaccretable difference was established in purchase accounting for PCI loans to absorb losses expected at that time on those loans. Amounts absorbed by the nonaccretable difference do not affect the income statement or the allowance for credit losses. The following table provides an analysis of changes in the nonaccretable difference related to principal that is not expected to be collected. Substantially all of our commercial, CRE and foreign PCI loans are accounted for as individual loans. Conversely, Pick-a-Pay and other consumer PCI loans have been aggregated into several pools based on common risk characteristics. Each pool is accounted for as a single asset with a single composite interest rate and an aggregate expectation of cash flows. Resolutions of loans may include sales of loans to third parties, receipt of payments in full or in part from the borrower, or foreclosure and liquidation of the collateral. Our policy is to remove an individual loan from a pool based on comparing the amount received from its resolution with its contractual amount. Any difference between these amounts is absorbed by the nonaccretable difference. This removal method assumes that the amount received from resolution approximates original pool performance expectations at the time of acquisition. The remaining accretable yield balance is unaffected and any material change in remaining effective yield caused by this removal method is addressed by our quarterly cash flow evaluation process for each pool. For loans in pools that are resolved by payment in full, there is no release of the nonaccretable difference since there is no difference between the amount received at resolution and the contractual amount of the loan.

	Commercial,
	CRE and						Other
(in millions)	foreign			Pick-a-Pay			consumer			Total
Balance at December 31, 2008	$	10,410			26,485			4,069			40,964
Release of nonaccretable difference due to:
Loans resolved by settlement with borrower (1)		(330	)		-			-			(330	)
Loans resolved by sales to third parties (2)		(86	)		-			(85	)		(171	)
Reclassification to accretable yield for loans with improving cash flows (3)		(138	)		(27	)		(276	)		(441	)
Use of nonaccretable difference due to:
Losses from loan resolutions and write-downs (4)		(4,853	)		(10,218	)		(2,086	)		(17,157	)
Balance at December 31, 2009		5,003			16,240			1,622			22,865
Release of nonaccretable difference due to:
Loans resolved by settlement with borrower (1)		(586	)		-			-			(586	)
Loans resolved by sales to third parties (2)		(102	)		-			-			(102	)
Reclassification to accretable yield for loans with improving cash flows (3)		(169	)		(2,356	)		(70	)		(2,595	)
Use of nonaccretable difference due to:
Losses from loan resolutions and write-downs (4)		(1,223	)		(1,892	)		(263	)		(3,378	)
Balance at June 30, 2010	$	2,923			11,992			1,289			16,204
Balance at March 31, 2010	$	4,001			14,514			1,412			19,927
Release of nonaccretable difference due to:
Loans resolved by settlement with borrower (1)		(440	)		-			-			(440	)
Loans resolved by sales to third parties (2)		(66	)		-			-			(66	)
Reclassification to accretable yield for loans with improving cash flows (3)		(77	)		(1,807	)		(43	)		(1,927	)
Use of nonaccretable difference due to:
Losses from loan resolutions and write-downs (4)		(495	)		(715	)		(80	)		(1,290	)
Balance at June 30, 2010	$	2,923			11,992			1,289			16,204

(1)	Release of the nonaccretable difference for settlement with borrower, on individually accounted PCI loans, increases interest income in the period of settlement. Pick-a-Pay and Other consumer PCI loans do not reflect nonaccretable difference releases due to pool accounting for those loans, which assumes that the amount received approximates the original pool performance expectations at the time of acquisition.
(2)	Release of the nonaccretable difference as a result of sales to third parties increases noninterest income in the period of the sale.
(3)	Reclassification of nonaccretable difference for increased cash flow estimates to the accretable yield will result in increasing income and thus the rate of return realized. Amounts reclassified to accretable yield are expected to be probable of realization.
(4)	Write-downs to net realizable value of PCI loans are charged to the nonaccretable difference when 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.

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Wells Fargo & Company and Subsidiaries
CHANGES IN ACCRETABLE YIELD RELATED TO PCI LOANS

The excess of cash flows expected to be collected over the initial fair value of PCI loans is referred to as the accretable yield and is accreted into interest income over the estimated life of the PCI loans using the effective yield method. The accretable yield and resulting effective yield will change due to:

1)	estimate of the remaining life of PCI loans which may change the amount of future interest income, and possibly principal, expected to be collected;
2)	estimate of the amount of contractually required principal and interest payments over the estimated life that will not be collected (the nonaccretable difference); and
3)	indices for PCI loans with variable rates of interest and/or the changes in the estimated timing of cash receipts.

For PCI loans, the impact of loan modifications is included in the evaluation of expected cash flows for subsequent decreases or increases of cash flows. For variable rate PCI loans, expected future cash flows will be recalculated as the rates adjust over the lives of the loans. At acquisition, the expected future cash flows were based on the variable rates that were in effect at that time. The change in the accretable yield related to PCI loans is presented in the following table.

(in millions)
Total, December 31, 2008 (refined)	$	10,447
Accretion		(2,606	)
Reclassification from nonaccretable difference for loans with improving cash flows		441
Changes in expected cash flows that do not affect nonaccretable difference (1)		6,277
Total, December 31, 2009		14,559
Accretion		(1,329	)
Reclassification from nonaccretable difference for loans with improving cash flows		2,595
Changes in expected cash flows that do not affect nonaccretable difference (1)		(740	)
Total, June 30, 2010	$	15,085
Total, March 31, 2010	$	15,803
Accretion		(643	)
Reclassification from nonaccretable difference for loans with improving cash flows		1,927
Changes in expected cash flows that do not affect nonaccretable difference (1)		(2,002	)
Total, June 30, 2010	$	15,085

(1) Represents changes in interest cash flows due to the impact of modifications incorporated into the quarterly assessment of expected future cash flows and/or changes in interest rates on variable rate PCI loans.

CHANGES IN ALLOWANCE FOR PCI LOAN LOSSES

When it is estimated that the expected cash flows have decreased subsequent to acquisition for a PCI loan or pool of loans, an allowance is established and a provision for additional loss is recorded as a charge to income. The following table summarizes the changes in allowance for PCI loan losses.

	Commercial,
	CRE and					Other
(in millions)	foreign			Pick-a-Pay		consumer			Total
Balance at December 31, 2008	$	—			—		—			—
Provision for losses due to credit deterioration		850			—		3			853
Charge-offs		(520	)		—		—			(520	)
Balance at December 31, 2009		330			—		3			333
Provision for losses due to credit deterioration		376			—		26			402
Charge-offs		(500	)		—		(10	)		(510	)
Balance at June 30, 2010	$	206			—		19			225
Balance at March 31, 2010	$	231			—		16			247
Provision for losses due to credit deterioration		224			—		13			237
Charge-offs		(249	)		—		(10	)		(259	)
Balance at June 30, 2010	$	206			—		19			225

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Wells Fargo & Company and Subsidiaries

PICK-A-PAY PORTFOLIO (1)

	PCI loans										All other loans
								Ratio of
								carrying
	Unpaid		Current					value to			Unpaid		Current
	principal		LTV			Carrying		current			principal		LTV			Carrying
(in millions)	balance		ratio (2)			value (3)		value			balance		ratio (2)			value (3)
June 30, 2010
California	$	34,458		137	%	$	23,505		93	%	$	22,653		90	%	$	22,283
Florida		5,375		146			3,098		84			4,817		109			4,621
New Jersey		1,590		100			1,241		77			2,747		81			2,729
Texas		412		80			366		71			1,842		65			1,846
Washington		601		101			519		86			1,380		84			1,366
Other states		8,582		117			6,170		83			12,654		88			12,464
Total Pick-a-Pay loans	$	51,018				$	34,899				$	46,093				$	45,309
December 31, 2009
California	$	37,341		141	%	$	25,022		94	%	$	23,795		93	%	$	23,626
Florida		5,751		139			3,199		77			5,046		104			4,942
New Jersey		1,646		101			1,269		77			2,914		82			2,912
Texas		442		82			399		74			1,967		66			1,973
Washington		633		103			543		88			1,439		84			1,435
Other states		9,283		116			6,597		82			13,401		87			13,321
Total Pick-a-Pay loans	$	55,096				$	37,029				$	48,562				$	48,209

(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 2010. The December 31, 2009, table has been revised to conform to the 2010 presentation of top five states.
(2)	The current loan-to-value (LTV) ratio is calculated as the unpaid principal balance plus the unpaid principal balance of any equity lines of credit that share common collateral 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.
(3)	Carrying value, which does not reflect the allowance for loan losses, includes purchase accounting adjustments, which, for PCI loans, are 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.

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Wells Fargo & Company and Subsidiaries

HOME EQUITY PORTFOLIOS(1)

					% of loans
					two payments					Loss rate (annualized)
	Outstanding balances				or more past due					Quarter ended
	June 30,		Dec. 31,		June 30,			Dec. 31,		June 30,		Dec. 31,
(in millions)	2010		2009		2010			2009		2010		2009
Core portfolio(2)
California	$	28,819		30,264		3.67	%		4.12		4.70		6.12
Florida		12,616		12,038		4.95			5.48		6.02		6.98
New Jersey		8,416		8,379		2.45			2.50		1.84		1.51
Virginia		5,802		5,855		1.86			1.91		2.00		1.13
Pennsylvania		5,240		5,051		1.86			2.03		1.22		1.81
Other		54,439		53,811		2.73			2.85		2.96		3.04
Total		115,332		115,398		3.11			3.35		3.54		3.90
Liquidating portfolio
California		2,860		3,205		7.50			8.78		15.36		17.94
Florida		366		408		8.40			9.45		14.84		19.53
Arizona		169		193		8.78			10.46		22.31		19.29
Texas		141		154		2.24			1.94		2.57		2.40
Minnesota		100		108		5.70			4.15		7.59		7.53
Other		4,003		4,361		4.35			5.06		7.22		7.33
Total		7,639		8,429		5.80			6.74		10.90		12.16
Total core and liquidating portfolios	$	122,971		123,827		3.28			3.58		4.00		4.48

(1)	Consists of real estate 1-4 family junior lien mortgages and lines of credit secured by real estate from all groups, excluding PCI loans.
(2)	Includes equity lines of credit and closed-end second liens associated with the Pick-a-Pay portfolio totaling $1.7 billion at June 30, 2010, and $1.8 billion at December 31, 2009.

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Wells Fargo & Company and Subsidiaries
CHANGES IN ALLOWANCE FOR CREDIT LOSSES

	Quarter ended June 30,							Six months ended June 30,
(in millions)	2010				2009			2010			2009
Balance, beginning of period	$	25,656				22,846			25,031			21,711
Provision for credit losses		3,989				5,086			9,319			9,644
Adjustment for passage of time on certain impaired loans (1)		(62	)			—			(136	)		—
Loan charge-offs:
Commercial and commercial real estate:
Commercial		(810	)			(755	)		(1,577	)		(1,351	)
Real estate mortgage		(364	)			(125	)		(645	)		(154	)
Real estate construction		(289	)			(263	)		(694	)		(370	)
Lease financing		(31	)			(65	)		(65	)		(85	)
Total commercial and commercial real estate		(1,494	)			(1,208	)		(2,981	)		(1,960	)
Consumer:
Real estate 1-4 family first mortgage		(1,140	)			(790	)		(2,537	)		(1,214	)
Real estate 1-4 family junior lien mortgage		(1,239	)			(1,215	)		(2,735	)		(2,088	)
Credit card		(639	)			(712	)		(1,335	)		(1,334	)
Other revolving credit and installment		(542	)			(802	)		(1,292	)		(1,702	)
Total consumer		(3,560	)			(3,519	)		(7,899	)		(6,338	)
Foreign		(52	)			(56	)		(99	)		(110	)
Total loan charge-offs		(5,106	)			(4,783	)		(10,979	)		(8,408	)
Loan recoveries:
Commercial and commercial real estate:
Commercial		121				51			238			91
Real estate mortgage		4				6			14			16
Real estate construction		51				4			62			6
Lease financing		4				4			9			7
Total commercial and commercial real estate		180				65			323			120
Consumer:
Real estate 1-4 family first mortgage		131				32			217			65
Real estate 1-4 family junior lien mortgage		55				44			102			70
Credit card		60				48			113			88
Other revolving credit and installment		181				198			384			402
Total consumer		427				322			816			625
Foreign		10				10			21			19
Total loan recoveries		617				397			1,160			764
Net loan charge-offs (2)		(4,489	)			(4,386	)		(9,819	)		(7,644	)
Allowances related to business combinations/other (3)		(9	)			(16	)		690			(181	)
Balance, end of period	$	25,085				23,530			25,085			23,530
Components:
Allowance for loan losses	$	24,584				23,035			24,584			23,035
Reserve for unfunded credit commitments		501				495			501			495
Allowance for credit losses	$	25,085				23,530			25,085			23,530
Net loan charge-offs (annualized) as a percentage of average total loans (2)		2.33		%		2.11			2.52			1.82
Allowance for loan losses as a percentage of total loans (4)		3.21				2.80			3.21			2.80
Allowance for credit losses as a percentage of total loans (4)		3.27				2.86			3.27			2.86

(1)	Certain impaired loans have a valuation allowance determined by discounting expected cash flows at the respective loan’s effective interest rate. Accordingly, the valuation allowance for these impaired loans reduces with the passage of time and that reduction is recognized as interest income.
(2)	For PCI loans, charge-offs are only recorded to the extent that losses exceed the purchase accounting estimates.
(3)	Includes $693 million related to the adoption of consolidation accounting guidance on January 1, 2010.
(4)	The allowance for credit losses includes $225 million and $49 million at June 30, 2010 and 2009, 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.

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Wells Fargo & Company and Subsidiaries

FIVE QUARTER CHANGES IN ALLOWANCE FOR CREDIT LOSSES

	Quarter ended
	June 30,				Mar. 31,			Dec. 31,			Sept. 30,			June 30,
(in millions)	2010				2010			2009			2009			2009
Balance, beginning of quarter	$	25,656				25,031			24,528			23,530			22,846
Provision for credit losses		3,989				5,330			5,913			6,111			5,086
Adjustment for passage of time on certain impaired loans (1)		(62	)			(74	)		-			-			-
Loan charge-offs:
Commercial and commercial real estate:
Commercial		(810	)			(767	)		(1,028	)		(986	)		(755	)
Real estate mortgage		(364	)			(281	)		(326	)		(190	)		(125	)
Real estate construction		(289	)			(405	)		(414	)		(279	)		(263	)
Lease financing		(31	)			(34	)		(56	)		(88	)		(65	)
Total commercial and commercial real estate		(1,494	)			(1,487	)		(1,824	)		(1,543	)		(1,208	)
Consumer:
Real estate 1-4 family first mortgage		(1,140	)			(1,397	)		(1,089	)		(1,015	)		(790	)
Real estate 1-4 family junior lien mortgage		(1,239	)			(1,496	)		(1,384	)		(1,340	)		(1,215	)
Credit card		(639	)			(696	)		(683	)		(691	)		(712	)
Other revolving credit and installment		(542	)			(750	)		(861	)		(860	)		(802	)
Total consumer		(3,560	)			(4,339	)		(4,017	)		(3,906	)		(3,519	)
Foreign		(52	)			(47	)		(56	)		(71	)		(56	)
Total loan charge-offs		(5,106	)			(5,873	)		(5,897	)		(5,520	)		(4,783	)
Loan recoveries:
Commercial and commercial real estate:
Commercial		121				117			101			62			51
Real estate mortgage		4				10			11			6			6
Real estate construction		51				11			5			5			4
Lease financing		4				5			7			6			4
Total commercial and commercial real estate		180				143			124			79			65
Consumer:
Real estate 1-4 family first mortgage		131				86			71			49			32
Real estate 1-4 family junior lien mortgage		55				47			55			49			44
Credit card		60				53			49			43			48
Other revolving credit and installment		181				203			175			178			198
Total consumer		427				389			350			319			322
Foreign		10				11			10			11			10
Total loan recoveries		617				543			484			409			397
Net loan charge-offs		(4,489	)			(5,330	)		(5,413	)		(5,111	)		(4,386	)
Allowances related to business combinations/other		(9	)			699			3			(2	)		(16	)
Balance, end of quarter	$	25,085				25,656			25,031			24,528			23,530
Components:
Allowance for loan losses	$	24,584				25,123			24,516			24,028			23,035
Reserve for unfunded credit commitments		501				533			515			500			495
Allowance for credit losses	$	25,085				25,656			25,031			24,528			23,530
Net loan charge-offs (annualized) as a percentage of average total loans		2.33		%		2.71			2.71			2.50			2.11
Allowance for loan losses as a percentage of:
Total loans		3.21				3.22			3.13			3.00			2.80
Nonaccrual loans		88				92			100			115			146
Nonaccrual loans and other nonperforming assets		75				80			89			102			126
Allowance for credit losses as a percentage of:
Total loans		3.27				3.28			3.20			3.07			2.86
Nonaccrual loans		90				94			103			118			149
Nonaccrual loans and other nonperforming assets		76				81			91			105			128

(1) Certain impaired loans have a valuation allowance determined by discounting expected cash flows at the respective loan’s effective interest rate. Accordingly, the valuation allowance for these impaired loans reduces with the passage of time and that reduction is recognized as interest income.

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Wells Fargo & Company and Subsidiaries

CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN TOTAL EQUITY

	Six months ended June 30,
(in millions)	2010			2009
Balance, beginning of period (1)	$	114,359			102,316
Cumulative effect from change in accounting for VIEs (2)		183			-
Wells Fargo net income		5,609			6,217
Wells Fargo other comprehensive income (loss), net of tax, related to:
Translation adjustments		(13	)		35
Investment securities (3)		1,672			6,039
Derivative instruments and hedging activities		144			(300	)
Defined benefit pension plans		32			558
Common stock issued		865			9,308
Common stock repurchased		(68	)		(63	)
Preferred stock released to ESOP		505			33
Common stock warrants repurchased		(540	)		-
Common stock dividends		(520	)		(1,657	)
Preferred stock dividends, accretion and other		(359	)		(1,060	)
Noncontrolling interests and other, net		(471	)		(44	)
Balance, end of period	$	121,398			121,382

(1)	The impact of adopting new accounting provisions for recording other-than-temporary impairment on debt securities as prescribed in ASC 320-10,Investments — Debt and Equity Securities(FASB Staff Position (FSP) FAS 115-2 and FAS 124-2,Recognition and Presentation of Other-Than-Temporary Impairments), was to increase the 2009 beginning balance of retained earnings and reduce the 2009 beginning balance of other comprehensive income by $85 million ($53 million after tax).
(2)	Effective January 1, 2010, we adopted changes in consolidation accounting pursuant to amendments by ASU 2009-17 to ASC 810 (FAS 167) and, accordingly, consolidated certain VIEs that were not included in our consolidated financial statements at December 31, 2009. We recorded a $183 million increase to beginning retained earnings as a cumulative effect adjustment.
(3)	On March 31, 2009, we early adopted new fair value measurement provisions contained in ASC 820-10,Fair Value Measurements and Disclosures(FSP FAS 157-4,Determining Fair Value When the Volume and Level of Activity for the Asset or Liability Have Significantly Decreased and Identifying Transactions That Are Not Orderly). This guidance addresses determining fair values for securities in circumstances where the market for such securities is illiquid and transactions involve distressed sales. In such circumstances, ASC 820-10 permits use of other inputs in estimating fair value that may include pricing models.

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Wells Fargo & Company and Subsidiaries

TIER 1 COMMON EQUITY(1)

		Quarter ended
		June 30,			Mar. 31,
(in billions)		2010			2010
Total equity		$	121.4			118.1
Less: Noncontrolling interests			(1.6	)		(2.0	)
Total Wells Fargo stockholders’ equity			119.8			116.1
Less:  Preferred equity			(8.1	)		(8.1	)
Goodwill and intangible assets (other than MSRs)			(36.7	)		(37.2	)
Applicable deferred assets			5.0			5.2
MSRs over specified limitations			(1.5	)		(1.5	)
Cumulative other comprehensive income			(4.8	)		(4.0	)
Other			(0.3	)		(0.3	)
Tier 1 common equity	(A)	$	73.4			70.2
Total risk-weighted assets (2)	(B)	$	974.8			990.1
Tier 1 common equity to total risk-weighted assets	(A)/(B)		7.53	%		7.09

(1)

Tier 1 common equity is a non-GAAP financial measure that is used by investors, analysts and bank regulatory agencies to assess the capital position of financial services companies. Tier 1 common equity includes total Wells Fargo stockholders’ equity, less preferred equity, goodwill and intangible assets (excluding MSRs), net of related deferred taxes, adjusted for specified Tier 1 regulatory capital limitations covering deferred taxes, MSRs, and cumulative other comprehensive income. Management reviews Tier 1 common equity along with other measures of capital as part of its financial analyses and has 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)

Under the regulatory guidelines for risk-based capital, on-balance sheet assets and credit equivalent amounts of derivatives and off-balance sheet items are assigned to one of several broad risk categories according to the obligor or, if relevant, the guarantor or the nature of any collateral. The aggregate dollar amount in each risk category is then multiplied by the risk weight associated with that category. The resulting weighted values from each of the risk categories are aggregated for determining total risk-weighted assets. The Company’s June 30, 2010, preliminary risk-weighted assets reflect estimated on-balance sheet risk-weighted assets of $805.2 billion and derivative and off-balance sheet risk-weighted assets of $169.6 billion.

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Wells Fargo & Company and Subsidiaries

OPERATING SEGMENT RESULTS(1)

	Community				Wholesale				Wealth, Brokerage											Consolidated
	Banking				Banking				and Retirement					Other (2)						Company
(income/expense in millions, average balances in billions)	2010		2009		2010		2009		2010		2009			2010			2009			2010		2009
Quarter ended June 30,
Net interest income (3)	$	8,113		8,953		2,978		2,460		684		637			(326	)		(286	)		11,449		11,764
Provision for credit losses		3,357		4,303		626		738		81		111			(75	)		(66	)		3,989		5,086
Noninterest income		5,614		6,285		2,675		2,775		2,183		2,187			(527	)		(504	)		9,945		10,743
Noninterest expense		7,711		7,922		2,840		2,802		2,350		2,300			(155	)		(327	)		12,746		12,697
Income (loss) before income tax expense (benefit)		2,659		3,013		2,187		1,695		436		413			(623	)		(397	)		4,659		4,724
Income tax expense (benefit)		811		849		775		619		165		158			(237	)		(151	)		1,514		1,475
Net income (loss) before noncontrolling interests		1,848		2,164		1,412		1,076		271		255			(386	)		(246	)		3,145		3,249
Less: Net income (loss) from noncontrolling interests		82		73		—		7		1		(3	)		—			—			83		77
Net income (loss)	$	1,766		2,091		1,412		1,069		270		258			(386	)		(246	)		3,062		3,172
Average loans	$	539.1		565.8		223.4		258.4		42.6		46.0			(32.6	)		(36.3	)		772.5		833.9
Average assets		778.4		824.0		362.4		377.7		141.0		127.0			(57.6	)		(53.8	)		1,224.2		1,274.9
Average core deposits		533.4		565.6		161.5		137.4		121.5		113.5			(54.6	)		(50.8	)		761.8		765.7
Six months ended June 30,
Net interest income (3)	$	16,420		17,620		5,478		4,803		1,348		1,278			(650	)		(561	)		22,596		23,140
Provision for credit losses		7,887		8,323		1,425		1,281		144		134			(137	)		(94	)		9,319		9,644
Noninterest income		11,369		12,012		5,500		5,325		4,429		4,065			(1,052	)		(1,018	)		20,246		20,384
Noninterest expense		14,941		15,332		5,500		5,335		4,740		4,535			(318	)		(687	)		24,863		24,515
Income (loss) before income tax expense (benefit)		4,961		5,977		4,053		3,512		893		674			(1,247	)		(798	)		8,660		9,365
Income tax expense (benefit)		1,610		1,806		1,441		1,260		338		265			(474	)		(304	)		2,915		3,027
Net income (loss) before noncontrolling interests		3,351		4,171		2,612		2,252		555		409			(773	)		(494	)		5,745		6,338
Less: Net income (loss) from noncontrolling interests		130		134		3		12		3		(25	)		—			—			136		121
Net income (loss)	$	3,221		4,037		2,609		2,240		552		434			(773	)		(494	)		5,609		6,217
Average loans	$	547.1		566.8		227.8		268.3		43.2		46.3			(33.2	)		(36.7	)		784.9		844.7
Average assets		781.6		817.4		361.9		393.1		139.4		122.1			(57.8	)		(50.3	)		1,225.1		1,282.3
Average core deposits		532.8		560.3		161.2		138.5		121.3		108.2			(54.8	)		(47.2	)		760.5		759.8

(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.
(2)	Includes Wachovia integration expenses and the elimination of items that are included in both Community Banking and Wealth, Brokerage and Retirement, largely representing wealth management customers serviced and products sold in the 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.

- 41 -

Wells Fargo & Company and Subsidiaries
FIVE QUARTER OPERATING SEGMENT RESULTS(1)

													Quarter ended
	June 30,			Mar. 31,			Dec. 31,			Sept. 30,			June 30,
(income/expense in millions, average balances in billions)	2010			2010			2009			2009			2009
COMMUNITY BANKING
Net interest income (2)	$	8,113			8,307			8,537			8,841			8,953
Provision for credit losses		3,357			4,530			4,952			4,635			4,303
Noninterest income		5,614			5,755			7,043			6,709			6,285
Noninterest expense		7,711			7,230			7,676			7,034			7,922
Income before income tax expense		2,659			2,302			2,952			3,881			3,013
Income tax expense		811			799			605			1,089			849
Net income before noncontrolling interests		1,848			1,503			2,347			2,792			2,164
Less: Net income from noncontrolling interests		82			48			150			56			73
Segment net income	$	1,766			1,455			2,197			2,736			2,091
Average loans	$	539.1			555.2			543.8			553.2			565.8
Average assets		778.4			784.9			800.8			804.9			824.0
Average core deposits		533.4			532.2			542.8			550.2			565.6
WHOLESALE BANKING
Net interest income (2)	$	2,978			2,500			2,681			2,535			2,460
Provision for credit losses		626			799			955			1,368			738
Noninterest income		2,675			2,825			2,574			2,399			2,775
Noninterest expense		2,840			2,660			2,703			2,647			2,802
Income before income tax expense		2,187			1,866			1,597			919			1,695
Income tax expense		775			666			578			322			619
Net income before noncontrolling interests		1,412			1,200			1,019			597			1,076
Less: Net income from noncontrolling interests		-			3			11			3			7
Segment net income	$	1,412			1,197			1,008			594			1,069
Average loans	$	223.4			232.2			238.5			247.0			258.4
Average assets		362.4			361.4			362.5			368.4			377.7
Average core deposits		161.5			160.9			162.4			146.8			137.4
WEALTH, BROKERAGE AND RETIREMENT
Net interest income (2)	$	684			664			549			580			637
Provision for credit losses		81			63			93			233			111
Noninterest income		2,183			2,246			2,105			2,188			2,187
Noninterest expense		2,350			2,390			2,558			2,333			2,300
Income before income tax expense (benefit)		436			457			3			202			413
Income tax expense (benefit)		165			173			(10	)		69			158
Net income before noncontrolling interests		271			284			13			133			255
Less: Net income (loss) from noncontrolling interests		1			2			29			22			(3	)
Segment net income (loss)	$	270			282			(16	)		111			258
Average loans	$	42.6			43.8			44.8			45.4			46.0
Average assets		141.0			137.8			137.7			129.8			127.0
Average core deposits		121.5			121.1			124.1			116.3			113.5
OTHER (3)
Net interest income (2)	$	(326	)		(324	)		(267	)		(272	)		(286	)
Provision for credit losses		(75	)		(62	)		(87	)		(125	)		(66	)
Noninterest income		(527	)		(525	)		(526	)		(514	)		(504	)
Noninterest expense		(155	)		(163	)		(116	)		(330	)		(327	)
Loss before income tax benefit		(623	)		(624	)		(590	)		(331	)		(397	)
Income tax benefit		(237	)		(237	)		(224	)		(125	)		(151	)
Net loss before noncontrolling interests		(386	)		(387	)		(366	)		(206	)		(246	)
Less: Net income from noncontrolling interests		-			-			-			-			-
Other net loss	$	(386	)		(387	)		(366	)		(206	)		(246	)
Average loans	$	(32.6	)		(33.8	)		(34.7	)		(35.4	)		(36.3	)
Average assets		(57.6	)		(58.0	)		(61.5	)		(57.0	)		(53.8	)
Average core deposits		(54.6	)		(55.0	)		(58.5	)		(54.0	)		(50.8	)
CONSOLIDATED COMPANY
Net interest income (2)	$	11,449			11,147			11,500			11,684			11,764
Provision for credit losses		3,989			5,330			5,913			6,111			5,086
Noninterest income		9,945			10,301			11,196			10,782			10,743
Noninterest expense		12,746			12,117			12,821			11,684			12,697
Income before income tax expense		4,659			4,001			3,962			4,671			4,724
Income tax expense		1,514			1,401			949			1,355			1,475
Net income before noncontrolling interests		3,145			2,600			3,013			3,316			3,249
Less: Net income from noncontrolling interests		83			53			190			81			77
Wells Fargo net income	$	3,062			2,547			2,823			3,235			3,172
Average loans	$	772.5			797.4			792.4			810.2			833.9
Average assets		1,224.2			1,226.1			1,239.5			1,246.1			1,274.9
Average core deposits		761.8			759.2			770.8			759.3			765.7

(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. In first quarter 2010, we conformed certain funding and allocation methodologies of legacy Wachovia to those of Wells Fargo; in addition, amounts remaining in “Other” related to integration expense were revised to reflect only integration expense related to the Wachovia merger. Prior periods have been revised to reflect both changes.
(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 Wachovia integration expenses and the elimination of items that are included in both Community Banking and Wealth, Brokerage and Retirement, largely representing wealth management customers serviced and products sold in the stores.

- 42 -

Wells Fargo & Company and Subsidiaries

FIVE QUARTER CONSOLIDATED MORTGAGE SERVICING

	Quarter ended
	June 30,			Mar. 31,			Dec. 31,			Sept. 30,			June 30,
(in millions)	2010			2010			2009			2009			2009
Residential MSRs measured using the fair value method:
Fair value, beginning of quarter	$	15,544			16,004			14,500			15,690			12,391
Adjustments from adoption of consolidation accounting guidance		-			(118	)		-			-			-
Servicing from securitizations or asset transfers		943			1,054			1,181			1,517			2,081
Net additions		943			936			1,181			1,517			2,081
Changes in fair value:
Due to changes in valuation model inputs or assumptions (1)		(2,661	)		(777	)		1,052			(2,078	)		2,316
Other changes in fair value (2)		(575	)		(619	)		(729	)		(629	)		(1,098	)
Total changes in fair value		(3,236	)		(1,396	)		323			(2,707	)		1,218
Fair value, end of quarter	$	13,251			15,544			16,004			14,500			15,690

(1)	Principally reflects changes in discount rates and prepayment speed assumptions, mostly due to changes in interest rates.
(2)	Represents changes due to collection/realization of expected cash flows over time.

													Quarter ended
	June 30,			Mar. 31,			Dec. 31,			Sept. 30,			June 30,
(in millions)	2010			2010			2009			2009			2009
Amortized MSRs:
Balance, beginning of quarter	$	1,069			1,119			1,162			1,205			1,257
Adjustments from adoption of consolidation accounting guidance		-			(5	)		-			-			-
Purchases		7			1			1			-			6
Acquired from Wachovia (1)		-			-			-			-			(8	)
Servicing from securitizations or asset transfers		17			11			18			21			18
Amortization		(56	)		(57	)		(62	)		(64	)		(68	)
Balance, end of quarter (2)	$	1,037			1,069			1,119			1,162			1,205
Fair value of amortized MSRs:
Beginning of quarter	$	1,283			1,261			1,277			1,311			1,392
End of quarter		1,307			1,283			1,261			1,277			1,311

(1)	Reflects refinements to initial purchase accounting adjustments.
(2)	There was no valuation allowance recorded for the periods presented.

- 43 -

Wells Fargo & Company and Subsidiaries
FIVE QUARTER CONSOLIDATED MORTGAGE SERVICING (CONTINUED)

	Quarter ended
	June 30,			Mar. 31,			Dec. 31,			Sept. 30,			June 30,
(in millions)	2010			2010			2009			2009			2009
Servicing income, net:
Servicing fees (1)	$	1,223			1,053			1,059			1,085			951
Changes in fair value of residential MSRs:
Due to changes in valuation model inputs or assumptions (2)		(2,661	)		(777	)		1,052			(2,078	)		2,316
Other changes in fair value (3)		(575	)		(619	)		(729	)		(629	)		(1,098	)
Total changes in fair value of residential MSRs		(3,236	)		(1,396	)		323			(2,707	)		1,218
Amortization		(56	)		(57	)		(62	)		(64	)		(68	)
Net derivative gains (losses) from economic hedges (4)		3,287			1,766			830			3,605			(1,285	)
Total servicing income, net	$	1,218			1,366			2,150			1,919			816
Market-related valuation changes to MSRs, net of hedge results (2)+(4)	$	626			989			1,882			1,527			1,031

(1)	Includes contractually specified servicing fees, late charges and other ancillary revenues. 2009 amounts have been revised to conform to current presentation.
(2)	Principally reflects changes in discount rates and prepayment speed assumptions, mostly due to changes in interest rates.
(3)	Represents changes due to collection/realization of expected cash flows over time.
(4)	Represents results from free-standing derivatives (economic hedges) used to hedge the risk of changes in fair value of MSRs.

	June 30,			Mar. 31,		Dec. 31,		Sept. 30,		June 30,
(in billions)	2010			2010		2009		2009		2009
Managed servicing portfolio (1):
Residential mortgage servicing:
Serviced for others	$	1,437			1,417		1,422		1,419		1,394
Owned loans serviced		365			371		364		365		377
Subservicing		10			10		10		11		12
Total residential servicing		1,812			1,798		1,796		1,795		1,783
Commercial mortgage servicing:
Serviced for others		441			449		454		458		470
Owned loans serviced		100			105		105		103		104
Subservicing		10			10		10		10		10
Total commercial servicing		551			564		569		571		584
Total managed servicing portfolio	$	2,363			2,362		2,365		2,366		2,367
Total serviced for others	$	1,878			1,866		1,876		1,877		1,864
Ratio of MSRs to related loans serviced for others		0.76	%		0.89		0.91		0.83		0.91
Weighted-average note rate (mortgage loans serviced for others)		5.53			5.59		5.66		5.72		5.74

(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.

- 44 -

Wells Fargo & Company and Subsidiaries
SELECTED FIVE QUARTER RESIDENTIAL MORTGAGE PRODUCTION DATA

	Quarter ended
	June 30,			Mar. 31,		Dec. 31,		Sept. 30,		June 30,
(in billions)	2010			2010		2009		2009		2009
Application data:
Wells Fargo Home Mortgage first mortgage quarterly applications	$	143			125		144		123		194
Refinances as a percentage of applications		58	%		61		72		62		73
Wells Fargo Home Mortgage first mortgage unclosed pipeline, at quarter end	$	68			59		57		62		90
Residential Real Estate Originations:
Wells Fargo Home Mortgage first mortgage loans:
Retail	$	44			43		51		50		71
Correspondent/Wholesale		36			32		42		45		57
Other (1)		1			1		1		1		1
Total quarter-to-date	$	81			76		94		96		129
Total year-to-date	$	157			76		420		326		230

(1) Consists of home equity loans and lines and Wells Fargo Financial.

CHANGES IN RESERVE FOR MORTGAGE LOAN REPURCHASE LOSSES

							Six months
	Quarter ended						ended			Year ended
	June 30,			March 31,			June 30,			Dec. 31,
(in millions)	2010			2010			2010			2009
Balance, beginning of period	$	1,263			1,033			1,033			620	(1)
Additions:
Loan sales		36			44			80			302
Change in estimate - primarily due to credit deterioration		346			358			704			625
Total additions		382			402			784			927
Losses		(270	)		(172	)		(442	)		(514	)
Balance, end of period	$	1,375			1,263			1,375			1,033

(1) Reflects purchase accounting refinements.