Wells Fargo & Company (WFC) 8-K Results of Operations and Financial Condition

Exhibit 99

Media	Investors
Janis Smith	Bob Strickland
(415)396-7711	(415)396-0523

Tuesday, July 19, 2005
WELLS FARGO REPORTS RECORD QUARTERLY EARNINGS PER
SHARE AND NET INCOME

Second Quarter 2005 Highlights:

• Record diluted earnings per share of $1.12, up 12 percent from prior year’s $1.00, up 15 percent (annualized) from first quarter 2005

• Record net income of $1.91 billion, up 11 percent from prior year’s $1.71 billion, up 12 percent (annualized) from first quarter 2005

• Return on equity of 19.8 percent

• Revenue up 6 percent from prior year, up 16 percent in businesses other than Wells Fargo Home Mortgage; year-to-date revenue up 9.5 percent

• Strong balance sheet growth

• Average loans up 11 percent from prior year, up 12 percent (annualized) from prior quarter

• Average retail core deposits up 9 percent from prior year, up 13 percent (annualized) from prior quarter

• Improved asset quality

• Nonperforming assets down $14 million, or 1 percent, from prior quarter and $225 million, or 14 percent, from prior year

• Loss rates continued near historical low levels

Selected Financial Information	Second Quarter									Six months ended June 30,
							%									%
Earnings	2005			2004			Change			2005			2004			Change
Diluted earnings per share	$	1.12		$	1.00			12	%	$	2.20		$	2.03			8	%
Net income (in billions)		1.91			1.71			11			3.77			3.48			8
Asset Quality
Net charge-offs as % of avg. total loans		.62	%		.59	%		5			.72	%		.61	%		18
Nonperforming assets as % of total loans		.46			.60			(23	)		.46			.60			(23	)
Other
Revenue (in billions)	$	7.87		$	7.43			6		$	15.95		$	14.57			9
Average loans (in billions)		295.6			266.2			11			291.5			261.3			12
Average core deposits (in billions)		238.3			224.9			6			235.1			219.0			7

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SAN FRANCISCO – Wells Fargo & Company (NYSE:WFC) reported record diluted earnings per common share of $1.12 for second quarter 2005, up 12 percent from $1.00 in second quarter 2004. Net income was a record $1.91 billion, up 11 percent from $1.71 billion in second quarter 2004. For the first half of 2005, diluted earnings per share were $2.20 and net income was $3.77 billion, both up 8 percent from the first half of 2004.

“Thanks to the outstanding efforts of our more than 150,000 talented team members, this was another exceptional quarter of broad-based growth across our more than 80 businesses with continued double-digit growth in profit and earnings per share,” said Chairman and CEO Dick Kovacevich. “To satisfy all our customers’ financial needs and help them succeed financially, we continue to invest for future market share growth. During the first half of this year, for example, we opened 28 banking stores and added 22 mortgage stores, seven consumer finance stores and four regional commercial banking offices. We mergedWells Fargo Funds® andStrong Funds®, creatingWells Fargo Advantage Funds^SM, the nation’s 20th-largest mutual fund company, managing more than $100 billion in assets, with 120 funds spanning all asset classes and investment styles. We also announced new low- and no-cost online stock and mutual fund commissions to benefit our most loyal customers. To be the financial services company of choice for Latino customers, we expanded our remittance services beyond Mexico into El Salvador and Guatemala. Our bank remained the nation’s only ‘Aaa’ credit-rated bank, and we continued to earn more recognition for our corporate citizenship.Business Ethicsmagazine ranked us among the nation’s top 10 corporate citizens and the United Way of America recognized us with its top four awards for community involvement, only the second company in history to receive all four awards in one year.”

Financial Performance
Diluted earnings per share were a record $1.12, up 12 percent from $1.00 in second quarter 2004 and up 15 percent (annualized) from $1.08 in first quarter 2005. “We’re very pleased with yet another quarter of consistent, double-digit earnings growth,” said Chief Financial Officer Howard Atkins. “We continued to have strong growth in loans and core deposits, revenue growth again exceeded expense growth, credit quality remained exceptional, and our net interest margin - already one of the highest in the industry - improved further in the quarter. These outstanding results again demonstrate the value of having and successfully executing one of the most diverse business models in financial services. Despite a $559 million decline in revenue from Wells Fargo Home Mortgage (Home Mortgage) largely related to normal servicing revaluation, overall company earnings per share were still up 12 percent from second quarter 2004 led by double-digit revenue growth in our businesses other than Home Mortgage. We achieved particularly strong double-digit, year-over-year profit growth in regional banking, consumer finance, middle market/large corporate banking, asset-based lending, capital markets, corporate trust, international and private equity investing.”

Revenue
Revenue of $7.9 billion grew $439 million, or 6 percent, from a year ago. Home Mortgage revenue declined $559 million, or 42 percent, from $1.3 billion in second quarter 2004 to $774 million in second quarter 2005. Combined revenue of businesses other than Home Mortgage grew 16 percent in second quarter 2005 from second quarter 2004. “Revenue growth was broad based across most of our businesses and reflected solid growth in both net interest income and noninterest income,” said Atkins.

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Loans
Average loans of $295.6 billion increased $29.4 billion, or 11 percent, from second quarter 2004, and $8.4 billion, or 12 percent (annualized), on a linked-quarter basis. Average commercial and commercial real estate loans increased $11.5 billion, or 13 percent, from second quarter 2004, and $2.9 billion, or 12 percent (annualized), on a linked-quarter basis, the third consecutive quarter of double-digit, linked-quarter growth.

“Commercial loans grew across virtually all of our customer segments, including both year-over-year and linked-quarter (annualized) double-digit increases in small business direct, SBA lending, middle market, real estate and asset-based lending,” said Atkins.

Consumer loan growth remained strong with average consumer loans up 9 percent from second quarter 2004 and up 12 percent (annualized) on a linked-quarter basis. Consumer loans at June 30, 2005 were up $7.7 billion, or 17 percent (annualized), from March 31, 2005, reflecting double-digit (annualized) growth in residential first mortgages, home equity loans and credit cards and 7 percent (annualized) growth in other revolving credit and installment loans.

Deposits
Average core deposits of $238.3 billion grew $13.4 billion, or 6 percent, from second quarter 2004, and increased $6.5 billion, or 11 percent (annualized), on a linked-quarter basis. Average mortgage escrow deposits were $16.1 billion, down $354 million from second quarter 2004 and up $2.1 billion from first quarter 2005. Average retail core deposits grew $16.2 billion, or 9 percent, from second quarter 2004 and increased $6.2 billion, or 13 percent (annualized), on a linked-quarter basis.

Net Interest Income
Net interest income increased 7 percent both from second quarter 2004 and on a linked-quarter basis (annualized). The year-over-year increase in net interest income reflected 6 percent earning asset growth and a 6 basis point increase in the net interest margin to 4.89 percent in second quarter 2005 from 4.83 percent a year ago. The net interest margin increased 2 basis points on a linked-quarter basis, despite a flatter yield curve. Even though the Company sold $18 billion of adjustable rate mortgages and auto loans in early 2005, earning assets grew 6 percent to $374.5 billion. “While temporarily reducing earning asset growth, previous repositioning actions contributed to the increase in the net interest margin from second quarter 2004 and on a linked-quarter basis and positions us to improve net interest income as the loans are replaced at higher yields,” said Atkins. At June 30, 2005, the Company had $1.2 billion in unrealized gains on securities available for sale, up from $930 million at March 31, 2005.

Noninterest Income
Noninterest income increased $129 million, or 4 percent, from second quarter 2004. Excluding mortgage banking, noninterest income increased 14 percent from second quarter 2004. “The growth in noninterest income reflected double-digit increases in trust and investment fees, card fees, loan fees and gains from equity investments, offset by a $256 million decrease in mortgage banking noninterest income,” said Atkins. Mortgage banking servicing fees in second quarter 2005 included $304 million in mortgage servicing rights (MSRs) impairment provision (reduction in mortgage banking revenue) compared with a $585 million valuation allowance release (increase in mortgage banking revenue) in second quarter 2004. During the

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quarter, the Company recognized a net gain of $201 million from equity investments. At quarter end, the private equity portfolio had a cost basis of $1.5 billion and the $630 million public equity portfolio had unrealized gains of $261 million, up from $162 million at March 31, 2005. The debt securities portfolio had unrealized gains of $943 million at quarter-end.

On a linked-quarter basis, noninterest income decreased $307 million due to a $577 million decline in mortgage banking noninterest income reflecting a $304 million MSRs impairment provision recorded in the quarter compared with a $271 million MSRs valuation allowance release in the prior quarter. “The linked-quarter decline in mortgage banking noninterest income was partially offset by strong double-digit (annualized) growth in deposit fees, card fees, loan fees, insurance and gains from private equity investing,” said Atkins.

Noninterest Expense
Noninterest expense was up $201 million, or 5 percent, from second quarter 2004 and down $138 million, or 3 percent, on a linked-quarter basis. “We continued to invest for the future by adding stores and new sales-related team members,” said Atkins.

Credit Quality
“Second quarter credit results were excellent,” said Chief Credit Officer Dave Munio. “We have a well-diversified loan portfolio, measured by industry, geography and product type. Loans outstanding surpassed $300 billion at quarter end, an increase of $32 billion, or 12 percent, from a year ago. For our real estate loans, we underwrite the borrower, not the collateral, and the properties cover a range of locations and uses. We continually review real estate market trends and adjust our underwriting and products as market conditions change.”

Loss rates and nonperforming assets continued at or near historical lows. Total net credit losses were $454 million (.62 percent of average loans outstanding, annualized) compared with $585 million (.83 percent) in first quarter 2005 and $390 million (.59 percent) in second quarter 2004. Total first quarter 2005 losses included $163 million (.23 percent) related to the timing of credit loss recognition at Wells Fargo Financial upon adoption of Federal Financial Institutions Examination Council (FFIEC) guidelines. “We continued to see very low losses in our wholesale portfolios, and consumer losses remained below long-term average rates,” said Munio, “due to sound underwriting and collections practices and supported by strong collateral values and a good economy.”

Total nonperforming assets (NPAs) were $1.39 billion (.46 percent of total loans) at June 30, 2005, compared with $1.41 billion (.48 percent) at March 31, 2005, and $1.62 billion (.60 percent) at June 30, 2004. “We continued to see a shift in the overall NPA composition,” said Munio, “with Wholesale Banking NPAs at all-time lows and a gradual increase in consumer NPAs as our residential mortgage and auto portfolios grow and season. Delinquency rates on consumer portfolios were stable.”

At June 30, 2005, the allowance for credit losses was $3.94 billion, essentially flat compared with both March 31, 2005, and year-end 2004. The allowance provided over two times annualized net credit loss coverage and covered NPAs by almost three times. “We consider the allowance adequate to cover losses inherent in the loan portfolios at quarter end,” said Munio.

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Business Segment Performance
Wells Fargo has three lines of business for management reporting: Community Banking, Wholesale Banking and Wells Fargo Financial. Net income for each was:

	Second Quarter							Six months ended June 30,
					%							%
(in millions)	2005		2004		Change			2005		2004		Change
Community Banking	$	1,291	$	1,338		(4	)	$	2,695	$	2,521		7
Wholesale Banking		462		385		20			887		833		6
Wells Fargo Financial		157		105		50			184		241		(24	)

More financial information about the business segments is on pages 25 and 26.

Community Bankingoffers a complete line of diversified financial products and services for consumers and small businesses including investment, insurance and trust services primarily in 23 midwestern and western states, and mortgage and home equity loans in all 50 states.

Selected Financial Information	Second Quarter							Six months ended June 30,
					%							%
(in millions)	2005		2004		Change			2005		2004		Change
Total revenue	$	5,491	$	5,383		2		$	11,309	$	10,394		9
Provision for credit losses		213		213		—			416		427		(3	)
Noninterest expense		3,379		3,127		8			6,886		6,121		12
Net income		1,291		1,338		(4	)		2,695		2,521		7
Average loans (in billions)		197.0		185.9		6			194.9		183.1		6
Average assets (in billions)		302.0		299.1		1			302.5		288.4		5

• Average core deposits up 8 percent from prior year, up 16 percent (annualized) from prior quarter

• Average loans up 6 percent from prior year, up 9 percent (annualized) from prior quarter

• 6.8 million active online customers, up 21 percent from prior year

• 2.8 million bill pay customers, up 4.4 percent from prior year

Community Banking reported net income of $1.291 billion, down 4 percent from $1.338 billion in second quarter 2004. “Excluding a $559 million decline in Home Mortgage revenue, Community Banking’s second quarter results were outstanding, reflecting our consistent focus on our vision of satisfying all of our customers’ financial needs, and the continued dedication and hard work of our team members,” said John Stumpf, Group EVP, Community Banking. Revenue grew 2 percent compared with the same period of 2004. Net interest income increased by $163 million, compared with second quarter 2004, primarily due to a higher net interest margin and strong growth in consumer loans and growth in deposits. Noninterest income was down $55 million in second quarter 2005, compared with the same period last year, due to the decline in noninterest income in Home Mortgage, which more than offset solid growth in other fee lines. Noninterest expense increased by $252 million, or 8 percent, in second quarter 2005 compared with the same period of 2004, due primarily to an increase in the number of team members.

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Regional Banking Highlights

• Record core product sales of 3.97 million, up 15 percent from prior year

• Banker productivity of 4.92 core sales per day, up from 4.87 in the prior year

• Continued focus on customer experience with 5 percent improvement in retail household attrition from prior year

• Net consumer checking accounts up 4.6 percent from prior year

• Wells Fargo Package^SM sales increased 31 percent from prior year, penetration reached 42 percent of new households

• Record sales to small business in May, National Small Business month

“Second quarter results in Regional Banking were driven by continued strong sales performance, including a 15 percent increase in core product sales,” said Carrie Tolstedt, Group EVP, Regional Banking. “Small business remained a major focus for Regional Banking. Sales of store-based business solutions increased 27 percent from a year ago, a record performance. Loans to small businesses, primarily less than $100,000, grew 17 percent over the prior year. We are more than halfway toward our $1 billion lending goal to African American-owned small businesses, and on pace to meet the goal ahead of schedule.”

Home Mortgage and Home Equity Highlights

• Mortgage originations of $85 billion, up $20 billion from prior quarter

• Mortgage applications of $117 billion, up $26 billion from prior quarter

• Mortgage application pipeline of $73 billion, up $14 billion from prior quarter

• Owned mortgage servicing portfolio of $874 billion, up 17 percent from June 30, 2004

• Home equity loan portfolio of $56 billion, up 26 percent from June 30, 2004

“We were very pleased with the underlying performance of our residential real estate lending business,” said Mark Oman, Group EVP, Home and Consumer Finance. “With lower interest rates and a strong housing market, we saw significant growth in Home Mortgage applications in the quarter. Applications of $117 billion were up 17 percent from last year and we ended the quarter with a pipeline of $73 billion, up $14 billion, or 24 percent, from March 31, 2005. Reflecting the lower mortgage interest rates at quarter end, $304 million of provision for impairment of mortgage servicing rights was recorded in the quarter compared with a $271 million release in first quarter 2005. At quarter end, the mortgage servicing rights asset was valued at $8.5 billion, or 1.12 percent of loans serviced for others, compared with $8.5 billion, or 1.37 percent at June 30, 2004 and $9.0 billion, or 1.24 percent, at March 31, 2005.”

Home equity loans (1-4 family junior lien mortgages) were $56 billion at quarter end, up 26 percent from second quarter 2004. The credit quality of this portfolio remained very strong, with nonaccrual loans at $98 million, or .2 percent of the portfolio, and annualized net loss rates of 16 basis points, compared with 19 basis points in second quarter 2004 and 20 basis points in first quarter 2005.

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Wholesale Bankingserves customers coast to coast,including middle market banking, corporate banking, commercial real estate, treasury management, asset-based lending, insurance brokerage, foreign exchange, trade services, specialized lending, equipment finance, capital markets activities, and institutional investments.

Selected Financial Information	Second Quarter							Six months ended June 30,
						%							%
(in millions)	2005			2004		Change		2005			2004		Change
Total revenue	$	1,459		$	1,279		14	$	2,869		$	2,669		7
Provision (reversal of provision) for credit losses		(10	)		18		—		(6	)		41		—
Noninterest expense		750			663		13		1,495			1,332		12
Net income		462			385		20		887			833		6
Average loans (in billions)		61.3			52.1		18		60.4			51.2		18
Average assets (in billions)		88.0			75.8		16		86.5			75.8		14

• Net income up 20 percent from prior year

• Revenue up 14 percent from prior year

• Average loans up 18 percent from prior year; up 12 percent (annualized) from prior quarter

• Strong credit quality

• New wholesale offices in Atlanta, Cleveland, Hartford, Indianapolis and Tampa

Wholesale Banking reported net income of $462 million, up 20 percent from a year ago and up 9 percent from first quarter 2005. Revenue was $1,459 million, up 14 percent from $1,279 million in second quarter 2004, driven by continued strength in capital markets activities including realized gains in bonds and equities and the effect of the Strong Financial transaction. Noninterest expense was up 13 percent from the prior year, primarily due to the Strong Financial transaction. Average loans increased 18 percent to $61.3 billion from second quarter 2004, with double-digit loan growth across all wholesale lending businesses.

“We’re very pleased with our second quarter results, with double-digit, year-over-year increases in both revenue and net income,” said Dave Hoyt, Group EVP, Wholesale Banking. “We continued to focus on building new relationships, deepening relationships through cross-sell and improving customer satisfaction. We grew our wholesale businesses by delivering a broad product line to our customers and opening new wholesale offices in Atlanta, Cleveland, Hartford, Indianapolis and Tampa.

We achieved solid loan growth of 18 percent from the prior year, while we continued to see pressure in the market on pricing and structure. Credit quality remained strong, reflecting our consistent underwriting discipline as well as the liquidity in the market due to the current business cycle.”

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Wells Fargo Financialoffers consumer installment and home equity lending, automobile financing, consumer and private-label credit cards and commercial services to consumers and businesses throughout the United States and in Canada, Latin America, the Caribbean, Guam and Saipan.

Selected Financial Information	Second Quarter						Six months ended June 30,
					%						%
(in millions)	2005		2004		Change		2005		2004		Change
Total revenue	$	915	$	764		20	$	1,776	$	1,510		18
Provision for credit losses		251		209		20		629		376		67
Noninterest expense		425		387		10		865		753		15
Net income		157		105		50		184		241		(24	)
Average loans (in billions)		37.3		28.2		32		36.2		27.0		34
Average assets (in billions)		39.3		29.8		32		38.3		28.6		34

• Record net income up 50 percent from prior year

• Average loans up 32 percent from prior year

• Real estate-secured receivables up 45 percent to $16.7 billion at quarter end

• Auto finance receivables up 35 percent to $11.5 billion at quarter end

• Sound credit quality with losses within predicted ranges

Wells Fargo Financial reported net income of $157 million, compared with $105 million in second quarter 2004. For the first six months of 2005, net income was $184 million, compared with $241 million for the same period a year ago. First quarter 2005 results included $163 million in credit losses to conform Wells Fargo Financials’ charge-off timing estimates with FFIEC guidelines. Revenue was $915 million, up 20 percent from $764 million in second quarter 2004, and included a $23 million gain from the sale of loans. Average loans increased 32 percent to $37.3 billion from $28.2 billion a year ago. Noninterest expense increased 10 percent to $425 million from $387 million in second quarter 2004 primarily due to increasing the number of team members by 8 percent.

“Our 20,000 team members achieved double-digit growth in net income and revenue,” said Tom Shippee, Wells Fargo Financial president and chief executive officer. “Credit quality remained strong, and loss and delinquency rates were lower than a year ago.

At quarter end, our real estate-secured loan portfolio was $16.7 billion, an increase of 9 percent (unannualized) from March 31, 2005, and up 45 percent from June 30, 2004. This business, which offers primarily debt consolidation products, plus our $11.5 billion in auto receivables, continued to be the primary drivers fueling our loan growth. The success of those businesses and our other units have resulted in receivables at Wells Fargo Financial that totaled $38.8 billion, up 7 percent from the end of first quarter. Real estate-secured lending, auto lending and credit cards are successful businesses in their own right, and also generate significant cross-sell opportunities. During the quarter, we sold our Consumer Auto Receivables portfolio, representing less than 2 percent of our overall auto-lending receivables, which allows us to focus on our core auto-lending business where there is better opportunity to cross-sell our extensive array of financial products and services.”

Recorded Message
A recorded message reviewing Wells Fargo’s results will be available at 5:30 a.m. Pacific Time through July 22, 2005. Dial 800-642-1687 (domestic) or 706-645-9291 (international).

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Access code 6926608. The call is also available on the internet atwww.wellsfargo.com/ir andwww.vcall.com.

The following appears in accordance with the Private Securities Litigation Reform Act of 1995:

This news release contains forward-looking statements about the Company. Forward-looking statements consist of descriptions of plans or objectives for future operations, products or services, forecasts of revenues, earnings or other measures of economic performance, and assumptions underlying or relating to any of the foregoing. Because forward-looking statements discuss future events or conditions and not historical facts, they often include words such as “anticipate,” “believe,” “estimate,” “expect,” “intend,” “plan,” “project,” “target,” “can,” “could,” “may,” “should,” “will,” “would” or similar expressions. Examples of forward-looking statements in this release include statements about the impact on future net interest income from previous repositioning actions and future credit losses and credit quality.

Do not unduly rely on forward-looking statements. They give the Company’s expectations about the future and are not guarantees. Forward-looking statements speak only as of the date they are made, and the Company does not undertake any obligation to update them to reflect changes that occur after that date.

There are a number of factors—many beyond the Company’s control—that could cause results to differ significantly from the Company’s expectations. Factors such as credit, market, operational, liquidity, interest rate and other risks are described in the Company’s Quarterly Report on Form 10-Q for the quarter ended March 31, 2005, and Annual Report on Form 10-K for the year ended December 31, 2004, including information incorporated into the Form 10-K from the Company’s 2004 Annual Report to Stockholders, filed as Exhibit 13 to the Form 10-K. See, for example, “Financial Review—Risk Management” included in the 2004 Annual Report to Stockholders and incorporated by reference into the Form 10-K.

Other factors described in the Form 10-K include • business and economic conditions • fiscal and monetary policies • legislation and regulation including the Patriot Act and the Sarbanes-Oxley Act • customers choosing not to use banks for transactions or choosing to take money out of the bank and investing it in the stock market or elsewhere • competition generally and in light of the Gramm-Leach-Bliley Act • potential dividend restrictions • market acceptance and regulatory approval of new products and services • non-banking activities • reliance on other companies for infrastructure components • integration of acquired companies • attracting and retaining key personnel • stock price volatility. See, for example, “Factors That May Affect Future Results” in the March 31, 2005 Form 10-Q.

Any factor described in this news release, in the Form 10-K, or in any information incorporated by reference therein, could, by itself or together with one or more other factors, adversely affect the Company’s business, earnings and/or financial condition.

Wells Fargo & Company is a diversified financial services company with $435 billion in assets, providing banking, insurance, investments, mortgage and consumer finance to more than 23 million customers from more than 6,000 stores and the internet (wellsfargo.com) across North America and elsewhere internationally. Wells Fargo Bank, N.A. is the only bank in the United States to receive the highest possible credit rating, “Aaa,” from Moody’s Investors Service.

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Wells Fargo & Company and Subsidiaries
SUMMARY FINANCIAL DATA

	Quarter
	ended June 30					,	%			Six months ended June 30					,	%
(in millions, except per share amounts)	2005			2004			Change			2005			2004			Change
For the Period
Net income	$	1,910		$	1,714			11	%	$	3,766		$	3,481			8	%
Diluted earnings per common share		1.12			1.00			12			2.20			2.03			8
Profitability ratios (annualized)
Net income to average total assets (ROA)		1.76	%		1.68	%		5			1.75	%		1.76	%		(1	)
Net income applicable to common stock to average common stockholders’ equity (ROE)		19.76			19.57			1			19.68			19.94			(1	)
Efficiency ratio (1)		57.9			58.6			(1	)		58.0			57.5			1
Total revenue	$	7,865		$	7,426			6		$	15,954		$	14,573			9
Dividends declared per common share		.48			.45			7			.96			.90			7
Average common shares outstanding		1,687.7			1,688.1			—			1,691.5			1,693.7			—
Diluted average common shares outstanding		1,707.2			1,708.3			—			1,711.4			1,714.8			—
Average loans	$	295,636		$	266,231			11		$	291,483		$	261,340			12
Average assets		435,091			410,544			6			433,052			398,579			9
Average core deposits (2)		238,308			224,920			6			235,096			219,033			7
Average retail core deposits (3)		198,805			182,613			9			195,730			179,403			9
Net interest margin		4.89	%		4.83	%		1			4.88	%		4.89	%		—
At Period End
Securities available for sale	$	29,216		$	36,771			(21	)	$	29,216		$	36,771			(21	)
Loans		301,739			269,731			12			301,739			269,731			12
Allowance for loan losses		3,775			3,940			(4	)		3,775			3,940			(4	)
Goodwill		10,647			10,430			2			10,647			10,430			2
Assets		434,981			420,305			3			434,981			420,305			3
Core deposits (2)		239,615			222,166			8			239,615			222,166			8
Stockholders’ equity		39,278			35,478			11			39,278			35,478			11
Capital ratios
Stockholders’ equity to assets		9.03	%		8.44	%		7			9.03	%		8.44	%		7
Risk-based capital (4)
Tier 1 capital		8.57			8.24			4			8.57			8.24			4
Total capital		12.17			11.86			3			12.17			11.86			3
Tier 1 leverage (4)		7.28			6.84			6			7.28			6.84			6
Book value per common share	$	23.30		$	21.03			11		$	23.30		$	21.03			11
Team members (active, full-time equivalent)		148,600			142,600			4			148,600			142,600			4
Common Stock Price
High	$	62.22		$	59.72			4		$	62.75		$	59.72			5
Low		57.77			54.32			6			57.77			54.32			6
Period end		61.58			57.23			8			61.58			57.23			8

(1)	The efficiency ratio is defined as noninterest expense divided by total revenue (net interest income and noninterest income).
(2)	Core deposits consist of noninterest-bearing deposits, interest-bearing checking, savings certificates and market rate and other savings.
(3)	Retail core deposits consist of total core deposits excluding Wholesale Banking core deposits and mortgage escrow deposits.
(4)	The June 30, 2005 ratios are preliminary.

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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)	2005			2005			2004			2004			2004
For the Quarter
Net income	$	1,910		$	1,856		$	1,785		$	1,748		$	1,714
Diluted earnings per common share		1.12			1.08			1.04			1.02			1.00
Profitability ratios (annualized)
Net income to average total assets (ROA)		1.76	%		1.75	%		1.67	%		1.66	%		1.68	%
Net income applicable to common stock to average common stockholders’ equity (ROE)		19.76			19.60			19.07			19.34			19.57
Efficiency ratio (1)		57.9			58.0			60.9			57.7			58.6
Total revenue	$	7,865		$	8,089		$	8,168		$	7,318		$	7,426
Dividends declared per common share		.48			.48			.48			.48			.45
Average common shares outstanding		1,687.7			1,695.4			1,692.7			1,688.9			1,688.1
Diluted average common shares outstanding		1,707.2			1,715.7			1,715.0			1,708.7			1,708.3
Average loans	$	295,636		$	287,282		$	281,167		$	274,255		$	266,231
Average assets		435,091			430,990			425,259			419,636			410,544
Average core deposits (2)		238,308			231,847			230,249			225,027			224,920
Average retail core deposits (3)		198,805			192,621			189,788			186,175			182,613
Net interest margin		4.89	%		4.87	%		4.88	%		4.89	%		4.83	%
At Quarter End
Securities available for sale	$	29,216		$	31,685		$	33,717		$	35,121		$	36,771
Loans		301,739			290,588			287,586			279,310			269,731
Allowance for loan losses		3,775			3,783			3,762			3,782			3,940
Goodwill		10,647			10,645			10,681			10,431			10,430
Assets		434,981			435,643			427,849			421,549			420,305
Core deposits (2)		239,615			234,984			229,703			224,946			222,166
Stockholders’ equity		39,278			38,477			37,866			36,680			35,478
Capital ratios
Stockholders’ equity to assets		9.03	%		8.83	%		8.85	%		8.70	%		8.44	%
Risk-based capital (4)
Tier 1 capital		8.57			8.40			8.41			8.40			8.24
Total capital		12.17			12.37			12.07			12.15			11.86
Tier 1 leverage (4)		7.28			7.17			7.08			6.97			6.84
Book value per common share	$	23.30		$	22.76		$	22.36		$	21.71		$	21.03
Team members (active, full-time equivalent)		148,600			147,000			145,500			143,700			142,600
Common Stock Price
High	$	62.22		$	62.75		$	64.04		$	59.86		$	59.72
Low		57.77			58.15			57.55			56.12			54.32
Period end		61.58			59.80			62.15			59.63			57.23

(1)	The efficiency ratio is defined as noninterest expense divided by total revenue (net interest income and noninterest income).
(2)	Core deposits consist of noninterest-bearing deposits, interest-bearing checking, savings certificates and market rate and other savings.
(3)	Retail core deposits consist of total core deposits excluding Wholesale Banking core deposits and mortgage escrow deposits.
(4)	The June 30, 2005 ratios are preliminary.

-12-

Wells Fargo & Company and Subsidiaries
CONSOLIDATED STATEMENT OF INCOME

	Quarter ended June 30				,	%			Six months ended June 30				,	%
(in millions, except per share amounts)	2005		2004			Change			2005		2004			Change
INTEREST INCOME
Trading assets	$	54	$	39			38	%	$	98	$	73			34	%
Securities available for sale		429		457			(6	)		885		902			(2	)
Mortgages held for sale		481		470			2			911		804			13
Loans held for sale		15		66			(77	)		127		129			(2	)
Loans		5,163		4,011			29			9,943		7,968			25
Other interest income		58		26			123			109		51			114
Total interest income		6,200		5,069			22			12,073		9,927			22
INTEREST EXPENSE
Deposits		825		394			109			1,517		764			99
Short-term borrowings		164		59			178			313		122			157
Long-term debt		675		390			73			1,254		765			64
Total interest expense		1,664		843			97			3,084		1,651			87
NET INTEREST INCOME		4,536		4,226			7			8,989		8,276			9
Provision for credit losses		454		440			3			1,039		844			23
Net interest income after provision for credit losses		4,082		3,786			8			7,950		7,432			7
NONINTEREST INCOME
Service charges on deposit accounts		625		611			2			1,203		1,205			—
Trust and investment fees		597		530			13			1,199		1,065			13
Card fees		361		308			17			687		590			16
Other fees		478		437			9			931		848			10
Mortgage banking		237		493			(52	)		1,051		808			30
Operating leases		202		209			(3	)		410		418			(2	)
Insurance		358		347			3			695		664			5
Net gains (losses) on debt securities available for sale		39		(61	)		—			35		(28	)		—
Net gains from equity investments		201		81			148			272		176			55
Other		231		245			(6	)		482		551			(13	)
Total noninterest income		3,329		3,200			4			6,965		6,297			11
NONINTEREST EXPENSE
Salaries		1,551		1,295			20			3,031		2,572			18
Incentive compensation		562		441			27			1,027		832			23
Employee benefits		432		391			10			979		883			11
Equipment		263		271			(3	)		633		572			11
Net occupancy		310		304			2			714		598			19
Operating leases		157		156			1			315		311			1
Other		1,279		1,495			(14	)		2,547		2,614			(3	)
Total noninterest expense		4,554		4,353			5			9,246		8,382			10
INCOME BEFORE INCOME TAX EXPENSE		2,857		2,633			9			5,669		5,347			6
Income tax expense		947		919			3			1,903		1,866			2
NET INCOME	$	1,910	$	1,714			11		$	3,766	$	3,481			8
EARNINGS PER COMMON SHARE	$	1.14	$	1.02			12		$	2.23	$	2.06			8
DILUTED EARNINGS PER COMMON SHARE	$	1.12	$	1.00			12		$	2.20	$	2.03			8
DIVIDENDS DECLARED PER COMMON SHARE	$	.48	$	.45			7		$	.96	$	.90			7
Average common shares outstanding		1,687.7		1,688.1			—			1,691.5		1,693.7			—
Diluted average common shares outstanding		1,707.2		1,708.3			—			1,711.4		1,714.8			—

-13-

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)		2005			2005			2004			2004			2004
INTEREST INCOME
Trading assets		$	54		$	44		$	34		$	38		$	39
Securities available for sale			429			456			485			496			457
Mortgages held for sale			481			430			443			490			470
Loans held for sale			15			112			87			76			66
Loans			5,163			4,780			4,542			4,271			4,011
Other interest income			58			51			44			34			26
Total interest income			6,200			5,873			5,635			5,405			5,069
INTEREST EXPENSE
Deposits			825			692			576			487			394
Short-term borrowings			164			149			126			105			59
Long-term debt			675			579			477			395			390
Total interest expense			1,664			1,420			1,179			987			843
NET INTEREST INCOME			4,536			4,453			4,456			4,418			4,226
Provision for credit losses			454			585			465			408			440
Net interest income after provision for credit losses			4,082			3,868			3,991			4,010			3,786
NONINTEREST INCOME
Service charges on deposit accounts			625			578			594			618			611
Trust and investment fees			597			602			543			508			530
Card fees			361			326			321			319			308
Other fees			478			453			479			452			437
Mortgage banking			237			814			790			262			493
Operating leases			202			208			211			207			209
Insurance			358			337			265			264			347
Net gains (losses) on debt securities available for sale			39			(4	)		3			10			(61	)
Net gains from equity investments			201			71			170			48			81
Other			231			251			336			212			245
Total noninterest income			3,329			3,636			3,712			2,900			3,200
NONINTEREST EXPENSE	��
Salaries			1,551			1,480			1,438			1,383			1,295
Incentive compensation			562			465			526			449			441
Employee benefits			432			547			451			390			391
Equipment			263			370			410			254			271
Net occupancy			310			404			301			309			304
Operating leases			157			158			164			158			156
Other			1,279			1,268			1,681			1,277			1,495
Total noninterest expense			4,554			4,692			4,971			4,220			4,353
INCOME BEFORE INCOME TAX EXPENSE			2,857			2,812			2,732			2,690			2,633
Income tax expense			947			956			947			942			919
NET INCOME		$	1,910		$	1,856		$	1,785		$	1,748		$	1,714
EARNINGS PER COMMON SHARE		$	1.14		$	1.09		$	1.06		$	1.03		$	1.02
DILUTED EARNINGS PER COMMON SHARE		$	1.12		$	1.08		$	1.04		$	1.02		$	1.00
DIVIDENDS DECLARED PER COMMON SHARE		$	.48		$	.48		$	.48		$	.48		$	.45
Average common shares outstanding			1,687.7			1,695.4			1,692.7			1,688.9			1,688.1
Diluted average common shares outstanding			1,707.2			1,715.7			1,715.0			1,708.7			1,708.3

-14-

Wells Fargo & Company and Subsidiaries
CONSOLIDATED BALANCE SHEET

										% Change
										June 30, 2005 from
	June 30		,	Dec. 31		,	June 30		,	Dec. 31		,	June 30		,
(in millions, except shares)	2005			2004			2004			2004			2004
ASSETS
Cash and due from banks	$	13,962		$	12,903		$	13,449			8	%		4	%
Federal funds sold, securities purchased under resale agreements and other short-term investments		5,661			5,020			4,222			13			34
Trading assets		8,019			9,000			7,238			(11	)		11
Securities available for sale		29,216			33,717			36,771			(13	)		(21	)
Mortgages held for sale		31,733			29,723			39,424			7			(20	)
Loans held for sale		651			8,739			8,156			(93	)		(92	)
Loans		301,739			287,586			269,731			5			12
Allowance for loan losses		(3,775	)		(3,762	)		(3,940	)		—			(4	)
Net loans		297,964			283,824			265,791			5			12
Mortgage servicing rights, net		8,498			7,901			8,512			8			—
Premises and equipment, net		4,156			3,850			3,627			8			15
Goodwill		10,647			10,681			10,430			—			2
Other assets		24,474			22,491			22,685			9			8
Total assets	$	434,981		$	427,849		$	420,305			2			3
LIABILITIES
Noninterest-bearing deposits	$	86,791		$	81,082		$	78,926			7			10
Interest-bearing deposits		188,222			193,776			189,199			(3	)		(1	)
Total deposits		275,013			274,858			268,125			—			3
Short-term borrowings		17,905			21,962			29,831			(18	)		(40	)
Accrued expenses and other liabilities		19,930			19,583			21,266			2			(6	)
Long-term debt		82,855			73,580			65,605			13			26
Total liabilities		395,703			389,983			384,827			1			3
STOCKHOLDERS’ EQUITY
Preferred stock		462			270			387			71			19
Common stock – $1-2/3 par value, authorized 6,000,000,000 shares; issued 1,736,381,025 shares		2,894			2,894			2,894			—			—
Additional paid-in capital		9,862			9,806			9,744			1			1
Retained earnings		28,567			26,482			24,669			8			16
Cumulative other comprehensive income		771			950			735			(19	)		5
Treasury stock – 49,519,417 shares, 41,789,388 shares and 48,410,940 shares		(2,784	)		(2,247	)		(2,537	)		24			10
Unearned ESOP shares		(494	)		(289	)		(414	)		71			19
Total stockholders’ equity		39,278			37,866			35,478			4			11
Total liabilities and stockholders’ equity	$	434,981		$	427,849		$	420,305			2			3

-15-

Wells Fargo & Company and Subsidiaries
FIVE QUARTER CONSOLIDATED BALANCE SHEET

	June 30		,	Mar. 31		,	Dec. 31		,	Sept. 30		,	June 30		,
(in millions)	2005			2005			2004			2004			2004
ASSETS
Cash and due from banks	$	13,962		$	13,467		$	12,903		$	13,249		$	13,449
Federal funds sold, securities purchased under resale agreements and other short-term investments		5,661			4,784			5,020			5,029			4,222
Trading assets		8,019			8,487			9,000			8,107			7,238
Securities available for sale		29,216			31,685			33,717			35,121			36,771
Mortgages held for sale		31,733			38,724			29,723			30,783			39,424
Loans held for sale		651			1,769			8,739			8,434			8,156
Loans		301,739			290,588			287,586			279,310			269,731
Allowance for loan losses		(3,775	)		(3,783	)		(3,762	)		(3,782	)		(3,940	)
Net loans		297,964			286,805			283,824			275,528			265,791
Mortgage servicing rights, net		8,498			8,972			7,901			7,768			8,512
Premises and equipment, net		4,156			3,898			3,850			3,722			3,627
Goodwill		10,647			10,645			10,681			10,431			10,430
Other assets		24,474			26,407			22,491			23,377			22,685
Total assets	$	434,981		$	435,643		$	427,849		$	421,549		$	420,305
LIABILITIES
Noninterest-bearing deposits	$	86,791		$	82,872		$	81,082		$	79,090		$	78,926
Interest-bearing deposits		188,222			190,291			193,776			189,697			189,199
Total deposits		275,013			273,163			274,858			268,787			268,125
Short-term borrowings		17,905			24,451			21,962			24,278			29,831
Accrued expenses and other liabilities		19,930			22,649			19,583			20,484			21,266
Long-term debt		82,855			76,903			73,580			71,320			65,605
Total liabilities		395,703			397,166			389,983			384,869			384,827
STOCKHOLDERS’ EQUITY
Preferred stock		462			535			270			325			387
Common stock		2,894			2,894			2,894			2,894			2,894
Additional paid-in capital		9,862			9,843			9,806			9,767			9,744
Retained earnings		28,567			27,512			26,482			25,564			24,669
Cumulative other comprehensive income		771			693			950			914			735
Treasury stock		(2,784	)		(2,428	)		(2,247	)		(2,436	)		(2,537	)
Unearned ESOP shares		(494	)		(572	)		(289	)		(348	)		(414	)
Total stockholders’ equity		39,278			38,477			37,866			36,680			35,478
Total liabilities and stockholders’ equity	$	434,981		$	435,643		$	427,849		$	421,549		$	420,305

-16-

Wells Fargo & Company and Subsidiaries
FIVE QUARTER AVERAGE BALANCES

	Quarter ended
	June 30		,	Mar. 31		,	Dec. 31		,	Sept. 30		,	June 30		,
(in millions)	2005			2005			2004			2004			2004
EARNING ASSETS
Federal funds sold, securities purchased under resale agreements and other short-term investments	$	5,653		$	5,334		$	4,967		$	4,864		$	3,662
Trading assets		6,289			5,525			5,040			4,869			5,296
Debt securities available for sale:
Securities of U.S. Treasury and federal agencies		964			930			1,101			1,132			1,190
Securities of U.S. states and political subdivisions		3,434			3,572			3,624			3,586			3,456
Mortgage-backed securities:
Federal agencies		17,616			20,079			21,916			22,965			20,076
Private collateralized mortgage obligations		4,181			3,993			3,787			3,836			4,077
Total mortgage-backed securities		21,797			24,072			25,703			26,801			24,153
Other debt securities (1)		3,249			3,388			3,246			3,443			3,346
Total debt securities available for sale (1)		29,444			31,962			33,674			34,962			32,145
Mortgages held for sale		34,554			31,636			32,373			34,844			36,782
Loans held for sale		1,255			9,062			8,536			8,276			8,074
Loans:
Commercial and commercial real estate:
Commercial		57,749			55,178			51,896			49,517			48,711
Other real estate mortgage		29,504			29,869			29,412			29,025			28,586
Real estate construction		9,814			9,178			9,246			8,949			8,428
Lease financing		5,176			5,126			5,109			5,084			5,027
Total commercial and commercial real estate		102,243			99,351			95,663			92,575			90,752
Consumer:
Real estate 1-4 family first mortgage		79,533			84,589			86,389			88,689			89,351
Real estate 1-4 family junior lien mortgage		54,771			53,059			50,909			46,367			41,964
Credit card		10,285			10,157			9,706			8,948			8,508
Other revolving credit and installment		44,406			35,887			34,475			34,168			32,975
Total consumer		188,995			183,692			181,479			178,172			172,798
Foreign		4,398			4,239			4,025			3,508			2,681
Total loans (2)		295,636			287,282			281,167			274,255			266,231
Other		1,677			1,726			1,698			1,683			1,702
Total earning assets	$	374,508		$	372,527		$	367,455		$	363,753		$	353,892
FUNDING SOURCES
Deposits:
Interest-bearing checking	$	3,561		$	3,365		$	3,244		$	3,017		$	3,011
Market rate and other savings		128,333			127,346			125,350			124,090			121,647
Savings certificates		20,932			19,487			18,697			18,490			18,724
Other time deposits		26,378			28,814			30,460			36,089			29,654
Deposits in foreign offices		8,871			10,095			10,026			8,856			9,306
Total interest-bearing deposits		188,075			189,107			187,777			190,542			182,342
Short-term borrowings		22,687			25,434			26,315			29,840			22,689
Long-term debt		78,781			75,680			70,646			65,443			71,085
Total interest-bearing liabilities		289,543			290,221			284,738			285,825			276,116
Portion of noninterest-bearing funding sources		84,965			82,306			82,717			77,928			77,776
Total funding sources	$	374,508		$	372,527		$	367,455		$	363,753		$	353,892
NONINTEREST-EARNING ASSETS
Cash and due from banks	$	12,991		$	13,090		$	13,366		$	12,704		$	12,997
Goodwill		10,646			10,657			10,436			10,431			10,413
Other		36,946			34,716			34,002			32,748			33,242
Total noninterest-earning assets	$	60,583		$	58,463		$	57,804		$	55,883		$	56,652
NONINTEREST-BEARING FUNDING SOURCES
Deposits	$	85,482		$	81,649		$	82,958		$	79,430		$	81,538
Other liabilities		21,348			20,739			20,336			18,435			17,700
Stockholders’ equity		38,718			38,381			37,227			35,946			35,190
Noninterest-bearing funding sources used to fund earning assets		(84,965	)		(82,306	)		(82,717	)		(77,928	)		(77,776	)
Net noninterest-bearing funding sources	$	60,583		$	58,463		$	57,804		$	55,883		$	56,652
TOTAL ASSETS	$	435,091		$	430,990		$	425,259		$	419,636		$	410,544

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

-17-

Wells Fargo & Company and Subsidiaries
CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS’ EQUITY

	Six months ended June 30					,
(in millions)	2005			2004
Balance, beginning of period	$	37,866		$	34,469
Net income		3,766			3,481
Other comprehensive income (loss), net of tax:
Change in foreign currency translation adjustments		(3	)		(6	)
Change in valuation allowance related to:
Investment securities and other retained interests		(128	)		(177	)
Derivative instruments and hedging activities		(48	)		(20	)
Common stock issued		654			734
Common stock issued for acquisitions		—			9
Common stock repurchased		(1,373	)		(1,621	)
Preferred stock released to ESOP		170			148
Common stock dividends		(1,626	)		(1,526	)
Other, net		—			(13	)
Balance, end of period	$	39,278		$	35,478

-18-

Wells Fargo & Company and Subsidiaries
FIVE QUARTER LOANS

	June 30		,	Mar. 31		,	Dec. 31		,	Sept. 30		,	June 30		,
(in millions)	2005			2005			2004			2004			2004
Commercial and commercial real estate:
Commercial	$	58,877		$	56,245		$	54,517		$	50,750		$	49,962
Other real estate mortgage		28,282			29,941			29,804			29,406			28,975
Real estate construction		11,589			9,392			9,025			9,211			8,646
Lease financing		5,195			5,121			5,169			5,075			5,045
Total commercial and commercial real estate		103,943			100,699			98,515			94,442			92,628
Consumer:
Real estate 1-4 family first mortgage		81,615			77,281			87,686			87,587			87,776
Real estate 1-4 family junior lien mortgage		55,989			53,867			52,190			49,557			44,289
Credit card		10,608			10,128			10,260			9,439			8,692
Other revolving credit and installment		44,974			44,250			34,725			34,435			33,458
Total consumer		193,186			185,526			184,861			181,018			174,215
Foreign		4,610			4,363			4,210			3,850			2,888
Total loans (net of unearned income)	$	301,739		$	290,588		$	287,586		$	279,310		$	269,731

FIVE QUARTER NONACCRUAL LOANS AND OTHER ASSETS

	June 30		,	Mar. 31		,	Dec. 31		,	Sept. 30		,	June 30		,
(in millions)	2005			2005			2004			2004			2004
Nonaccrual loans:
Commercial and commercial real estate:
Commercial	$	338		$	357		$	345		$	382		$	422
Other real estate mortgage		193			191			229			258			324
Real estate construction		44			51			57			59			72
Lease financing		51			59			68			54			55
Total commercial and commercial real estate		626			658			699			753			873
Consumer:
Real estate 1-4 family first mortgage		357			327			386			360			317
Real estate 1-4 family junior lien mortgage		98			101			92			93			86
Other revolving credit and installment		101			87			160			155			97
Total consumer		556			515			638			608			500
Foreign		20			23			21			16			6
Total nonaccrual loans		1,202			1,196			1,358			1,377			1,379
As a percentage of total loans		.40	%		.41	%		.47	%		.49	%		.51	%
Foreclosed assets		187			207			212			190			235
Real estate investments		2			2			2			2			2
Total nonaccrual loans and other     assets	$	1,391		$	1,405		$	1,572		$	1,569		$	1,616
As a percentage of total loans		.46	%		.48	%		.55	%		.56	%		.60	%

-19-

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

	Quarter ended									Six months ended
	June 30		,	Mar. 31		,	June 30		,	June 30		,	June 30		,
(in millions)	2005			2005			2004			2005			2004
Balance, beginning of period	$	3,950		$	3,950		$	3,891		$	3,950		$	3,891
Provision for credit losses		454			585			440			1,039			844
Loan charge-offs:
Commercial and commercial real estate:
Commercial		(92	)		(84	)		(112	)		(176	)		(223	)
Other real estate mortgage		(2	)		(3	)		(7	)		(5	)		(14	)
Real estate construction		—			(5	)		—			(5	)		(3	)
Lease financing		(10	)		(10	)		(12	)		(20	)		(24	)
Total commercial and commercial real estate		(104	)		(102	)		(131	)		(206	)		(264	)
Consumer:
Real estate 1-4 family first mortgage		(23	)		(36	)		(11	)		(59	)		(24	)
Real estate 1-4 family junior lien mortgage		(30	)		(33	)		(27	)		(63	)		(56	)
Credit card		(134	)		(127	)		(119	)		(261	)		(228	)
Other revolving credit and installment		(296	)		(350	)		(212	)		(646	)		(436	)
Total consumer		(483	)		(546	)		(369	)		(1,029	)		(744	)
Foreign		(63	)		(81	)		(30	)		(144	)		(58	)
Total loan charge-offs		(650	)		(729	)		(530	)		(1,379	)		(1,066	)
Loan recoveries:
Commercial and commercial real estate:
Commercial		37			30			44			67			86
Other real estate mortgage		1			8			4			9			6
Real estate construction		7			—			1			7			2
Lease financing		6			5			6			11			12
Total commercial and commercial real estate		51			43			55			94			106
Consumer:
Real estate 1-4 family first mortgage		6			3			2			9			3
Real estate 1-4 family junior lien mortgage		8			6			7			14			11
Credit card		23			21			15			44			30
Other revolving credit and installment		90			63			55			153			111
Total consumer		127			93			79			220			155
Foreign		18			8			6			26			11
Total loan recoveries		196			144			140			340			272
Net loan charge-offs		(454	)		(585	)		(390	)		(1,039	)		(794	)
Other		(6	)		—			(1	)		(6	)		(1	)
Balance, end of period	$	3,944		$	3,950		$	3,940		$	3,944		$	3,940
Components:
Allowance for loan losses	$	3,775		$	3,783		$	3,940		$	3,775		$	3,940
Reserve for unfunded credit commitments (1)		169			167			—			169			—
Allowance for credit losses	$	3,944		$	3,950		$	3,940		$	3,944		$	3,940
Net loan charge-offs (annualized) as a percentage of average total loans		.62	%		.83	%		.59	%		.72	%		.61	%

(1) Effective September 30, 2004, we transferred the portion of the allowance for loan losses related to commercial lending commitments and letters of credit to other liabilities.

-20-

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

	Quarter ended
	June 30		,	Mar. 31		,	Dec. 31		,	Sept. 30		,	June 30		,
(in millions)	2005			2005			2004			2004			2004
Balance, beginning of quarter	$	3,950		$	3,950		$	3,945		$	3,940		$	3,891
Provision for credit losses		454			585			465			408			440
Loan charge-offs:
Commercial and commercial real estate:
Commercial		(92	)		(84	)		(103	)		(98	)		(112	)
Other real estate mortgage		(2	)		(3	)		(7	)		(4	)		(7	)
Real estate construction		—			(5	)		(1	)		(1	)		—
Lease financing		(10	)		(10	)		(14	)		(24	)		(12	)
Total commercial and commercial real estate		(104	)		(102	)		(125	)		(127	)		(131	)
Consumer:
Real estate 1-4 family first mortgage		(23	)		(36	)		(15	)		(14	)		(11	)
Real estate 1-4 family junior lien mortgage		(30	)		(33	)		(31	)		(20	)		(27	)
Credit card		(134	)		(127	)		(126	)		(109	)		(119	)
Other revolving credit and installment		(296	)		(350	)		(250	)		(233	)		(212	)
Total consumer		(483	)		(546	)		(422	)		(376	)		(369	)
Foreign		(63	)		(81	)		(48	)		(37	)		(30	)
Total loan charge-offs		(650	)		(729	)		(595	)		(540	)		(530	)
Loan recoveries:
Commercial and commercial real estate:
Commercial		37			30			33			31			44
Other real estate mortgage		1			8			3			8			4
Real estate construction		7			—			1			3			1
Lease financing		6			5			7			7			6
Total commercial and commercial real estate		51			43			44			49			55
Consumer:
Real estate 1-4 family first mortgage		6			3			2			1			2
Real estate 1-4 family junior lien mortgage		8			6			7			6			7
Credit card		23			21			17			15			15
Other revolving credit and installment		90			63			53			56			55
Total consumer		127			93			79			78			79
Foreign		18			8			7			6			6
Total loan recoveries		196			144			130			133			140
Net loan charge-offs		(454	)		(585	)		(465	)		(407	)		(390	)
Other		(6	)		—			5			4			(1	)
Balance, end of quarter	$	3,944		$	3,950		$	3,950		$	3,945		$	3,940
Components:
Allowance for loan losses	$	3,775		$	3,783		$	3,762		$	3,782		$	3,940
Reserve for unfunded credit commitments (1)		169			167			188			163			—
Allowance for credit losses	$	3,944		$	3,950		$	3,950		$	3,945		$	3,940
Net loan charge-offs (annualized) as a percentage of average total loans		.62	%		.83	%		.66	%		.59	%		.59	%
Allowance for loan losses:
As a percentage of total loans		1.25	%		1.30	%		1.31	%		1.35	%		1.46	%
As a percentage of nonaccrual loans		314			316			277			275			286
As a percentage of nonaccrual loans and other assets		271			269			239			241			244
Allowance for credit losses:
As a percentage of total loans		1.31	%		1.36	%		1.37	%		1.41	%		1.46	%
As a percentage of nonaccrual loans		328			330			291			286			286
As a percentage of nonaccrual loans and other assets		284			281			251			251			244

(1) Effective September 30, 2004, we transferred the portion of the allowance for loan losses related to commercial lending commitments and letters of credit to other liabilities.

-21-

Wells Fargo & Company and Subsidiaries
NONINTEREST INCOME

	Quarter ended June 30					,	%			Six months ended June 30				,	%
(in millions)	2005			2004			Change			2005		2004			Change
Service charges on deposit accounts	$	625		$	611			2	%	$	1,203	$	1,205			—	%
Trust and investment fees:
Trust, investment and IRA fees		456			383			19			901		758			19
Commissions and all other fees		141			147			(4	)		298		307			(3	)
Total trust and investment fees		597			530			13			1,199		1,065			13
Card fees		361			308			17			687		590			16
Other fees:
Cash network fees		47			46			2			90		89			1
Charges and fees on loans		260			224			16			505		435			16
All other		171			167			2			336		324			4
Total other fees		478			437			9			931		848			10
Mortgage banking:
Servicing fees, net of amortization and provision for impairment		(99	)		461			—			357		627			(43	)
Net gains (losses) on mortgage loan origination/sales activities		250			(52	)		—			543		46			—
All other		86			84			2			151		135			12
Total mortgage banking		237			493			(52	)		1,051		808			30
Operating leases		202			209			(3	)		410		418			(2	)
Insurance		358			347			3			695		664			5
Trading assets		64			101			(37	)		207		244			(15	)
Net gains (losses) on debt securities available for sale		39			(61	)		—			35		(28	)		—
Net gains from equity investments		201			81			148			272		176			55
Net gains on sales of loans		39			—			—			—		4			(100	)
Net gains on dispositions of operations		—			1			(100	)		1		2			(50	)
All other		128			143			(10	)		274		301			(9	)
Total	$	3,329		$	3,200			4		$	6,965	$	6,297			11

NONINTEREST EXPENSE

	Quarter ended June 30				,	%			Six months ended June 30				,	%
(in millions)	2005		2004			Change			2005		2004			Change
Salaries	$	1,551	$	1,295			20	%	$	3,031	$	2,572			18	%
Incentive compensation		562		441			27			1,027		832			23
Employee benefits		432		391			10			979		883			11
Equipment		263		271			(3	)		633		572			11
Net occupancy		310		304			2			714		598			19
Operating leases		157		156			1			315		311			1
Outside professional services		189		156			21			352		275			28
Contract services		141		157			(10	)		280		300			(7	)
Advertising and promotion		117		118			(1	)		206		202			2
Travel and entertainment		117		105			11			227		202			12
Outside data processing		121		106			14			227		205			11
Telecommunications		67		62			8			139		143			(3	)
Postage		68		63			8			140		138			1
Charitable donations		18		10			80			40		17			135
Insurance		100		96			4			179		167			7
Stationery and supplies		55		60			(8	)		100		120			(17	)
Operating losses		26		82			(68	)		104		99			5
Net losses from debt extinguishment		1		176			(99	)		—		176			(100	)
Security		42		40			5			83		80			4
Core deposit intangibles		31		34			(9	)		63		68			(7	)
All other		186		230			(19	)		407		422			(4	)
Total	$	4,554	$	4,353			5		$	9,246	$	8,382			10

-22-

Wells Fargo & Company and Subsidiaries
FIVE QUARTER NONINTEREST INCOME

	Quarter ended
	June 30		,	Mar. 31		,	Dec. 31		,	Sept. 30		,	June 30		,
(in millions)	2005			2005			2004			2004			2004
Service charges on deposit accounts	$	625		$	578		$	594		$	618		$	611
Trust and investment fees:
Trust, investment and IRA fees		456			445			385			366			383
Commissions and all other fees		141			157			158			142			147
Total trust and investment fees		597			602			543			508			530
Card fees		361			326			321			319			308
Other fees:
Cash network fees		47			43			44			47			46
Charges and fees on loans		260			245			252			234			224
All other		171			165			183			171			167
Total other fees		478			453			479			452			437
Mortgage banking:
Servicing fees, net of amortization and provision for impairment		(99	)		456			434			(24	)		461
Net gains (losses) on mortgage loan origination/sales activities		250			293			281			212			(52	)
All other		86			65			75			74			84
Total mortgage banking		237			814			790			262			493
Operating leases		202			208			211			207			209
Insurance		358			337			265			264			347
Trading assets		64			143			185			94			101
Net gains (losses) on debt securities available for sale		39			(4	)		3			10			(61	)
Net gains from equity investments		201			71			170			48			81
Net gains (losses) on sales of loans		39			(39	)		4			3			—
Net gains (losses) on dispositions of operations		—			1			(17	)		—			1
All other		128			146			164			115			143
Total	$	3,329		$	3,636		$	3,712		$	2,900		$	3,200

FIVE QUARTER NONINTEREST EXPENSE

	Quarter ended
	June 30		,	Mar. 31		,	Dec. 31		,	Sept. 30		,	June 30		,
(in millions)	2005			2005			2004			2004			2004
Salaries	$	1,551		$	1,480		$	1,438		$	1,383		$	1,295
Incentive compensation		562			465			526			449			441
Employee benefits		432			547			451			390			391
Equipment		263			370			410			254			271
Net occupancy		310			404			301			309			304
Operating leases		157			158			164			158			156
Outside professional services		189			163			229			165			156
Contract services		141			139			172			154			157
Advertising and promotion		117			89			144			113			118
Travel and entertainment		117			110			130			110			105
Outside data processing		121			106			104			109			106
Telecommunications		67			72			80			73			62
Postage		68			72			68			63			63
Charitable donations		18			22			224			7			10
Insurance		100			79			33			47			96
Stationery and supplies		55			45			63			57			60
Operating losses		26			78			48			45			82
Net losses (gains) from debt extinguishment		1			(1	)		(2	)		—			176
Security		42			41			41			40			40
Core deposit intangibles		31			32			33			33			34
All other		186			221			314			261			230
Total	$	4,554		$	4,692		$	4,971		$	4,220		$	4,353

-23-

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

	Quarter ended June 30																	,
	2005									2004
							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	$	5,653			2.83	%	$	40		$	3,662			1.14	%	$	10
Trading assets		6,289			3.42			54		��	5,296			2.97			39
Debt securities available for sale (3):
Securities of U.S. Treasury and federal agencies		964			3.73			9			1,190			3.94			12
Securities of U.S. states and political subdivisions		3,434			8.29			68			3,456			7.93			67
Mortgage-backed securities:
Federal agencies		17,616			6.11			260			20,076			6.03			294
Private collateralized mortgage obligations		4,181			5.58			57			4,077			4.96			48
Total mortgage-backed securities		21,797			6.00			317			24,153			5.85			342
Other debt securities (4)		3,249			7.38			59			3,346			7.77			59
Total debt securities available for sale (4)		29,444			6.34			453			32,145			6.19			480
Mortgages held for sale (3)		34,554			5.56			481			36,782			5.12			470
Loans held for sale (3)		1,255			4.54			15			8,074			3.29			66
Loans:
Commercial and commercial real estate:
Commercial		57,749			6.59			949			48,711			5.66			686
Other real estate mortgage		29,504			6.12			450			28,586			5.15			366
Real estate construction		9,814			6.48			159			8,428			5.12			108
Lease financing		5,176			6.02			78			5,027			6.37			80
Total commercial and commercial real estate		102,243			6.41			1,636			90,752			5.49			1,240
Consumer:
Real estate 1-4 family first mortgage		79,533			6.36			1,263			89,351			5.19			1,157
Real estate 1-4 family junior lien mortgage		54,771			6.38			871			41,964			4.93			514
Credit card		10,285			12.17			313			8,508			11.75			249
Other revolving credit and installment		44,406			8.42			932			32,975			9.03			742
Total consumer		188,995			7.17			3,379			172,798			6.18			2,662
Foreign		4,398			13.86			152			2,681			16.44			111
Total loans (5)		295,636			7.01			5,167			266,231			6.05			4,013
Other		1,677			4.70			17			1,702			3.70			16
Total earning assets	$	374,508			6.68			6,227		$	353,892			5.79			5,094
FUNDING SOURCES
Deposits:
Interest-bearing checking	$	3,561			1.31			12		$	3,011			.26			2
Market rate and other savings		128,333			1.30			417			121,647			.61			184
Savings certificates		20,932			2.71			142			18,724			2.21			103
Other time deposits		26,378			2.95			193			29,654			1.09			81
Deposits in foreign offices		8,871			2.77			61			9,306			1.06			24
Total interest-bearing deposits		188,075			1.76			825			182,342			.87			394
Short-term borrowings		22,687			2.90			164			22,689			1.04			59
Long-term debt		78,781			3.43			675			71,085			2.20			390
Total interest-bearing liabilities		289,543			2.31			1,664			276,116			1.23			843
Portion of noninterest-bearing funding sources		84,965			—			—			77,776			—			—
Total funding sources	$	374,508			1.79			1,664		$	353,892			.96			843
Net interest margin and net interest income on a taxable-equivalent basis(6)					4.89	%	$	4,563						4.83	%	$	4,251
NONINTEREST-EARNING ASSETS
Cash and due from banks	$	12,991								$	12,997
Goodwill		10,646									10,413
Other		36,946									33,242
Total noninterest-earning assets	$	60,583								$	56,652
NONINTEREST-BEARING FUNDING SOURCES
Deposits	$	85,482								$	81,538
Other liabilities		21,348									17,700
Stockholders’ equity		38,718									35,190
Noninterest-bearing funding sources used to fund earning assets		(84,965	)								(77,776	)
Net noninterest-bearing funding sources	$	60,583								$	56,652
TOTAL ASSETS	$	435,091								$	410,544

(1)	Our average prime rate was 5.92% and 4.00% for the quarters ended June 30, 2005 and 2004, respectively. The average three-month London Interbank Offered Rate (LIBOR) was 3.29% and 1.30% 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 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
AVERAGE BALANCES, YIELDS AND RATES PAID (TAXABLE-EQUIVALENT BASIS) (1)(2)

	Six months ended June 30																	,
	2005									2004
							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	$	5,495			2.62	%	$	72		$	3,586			1.14	%	$	20
Trading assets		5,909			3.33			98			5,621			2.61			73
Debt securities available for sale (3):
Securities of U.S. Treasury and federal agencies		947			3.83			18			1,207			4.05			24
Securities of U.S. states and political subdivisions		3,503			8.35			139			3,397			7.93			129
Mortgage-backed securities:
Federal agencies		18,840			6.05			551			20,356			6.02			592
Private collateralized mortgage obligations		4,087			5.51			110			3,395			5.09			83
Total mortgage-backed securities		22,927			5.96			661			23,751			5.89			675
Other debt securities (4)		3,319			7.29			116			3,444			7.68			119
Total debt securities available for sale (4)		30,696			6.30			934			31,799			6.22			947
Mortgages held for sale (3)		33,103			5.50			911			30,902			5.20			804
Loans held for sale (3)		5,137			4.97			127			7,993			3.24			129
Loans:
Commercial and commercial real estate:
Commercial		56,470			6.40			1,793			48,008			5.76			1,376
Other real estate mortgage		29,686			6.00			883			28,193			5.17			725
Real estate construction		9,498			6.29			297			8,346			5.03			209
Lease financing		5,151			6.08			157			5,040			6.44			162
Total commercial and commercial real estate		100,805			6.25			3,130			89,587			5.54			2,472
Consumer:
Real estate 1-4 family first mortgage		82,047			6.18			2,524			87,863			5.26			2,308
Real estate 1-4 family junior lien mortgage		53,920			6.20			1,658			40,146			5.01			1,000
Credit card		10,222			12.05			616			8,423			11.84			498
Other revolving credit and installment		40,170			8.65			1,725			32,726			9.03			1,472
Total consumer		186,359			7.04			6,523			169,158			6.26			5,278
Foreign		4,319			13.84			298			2,595			17.06			222
Total loans (5)		291,483			6.87			9,951			261,340			6.12			7,972
Other		1,700			4.51			36			1,727			3.62			31
Total earning assets	$	373,523			6.55		$	12,129		$	342,968			5.86			9,976
FUNDING SOURCES
Deposits:
Interest-bearing checking	$	3,464			1.18			21		$	2,986			.29			4
Market rate and other savings		127,842			1.17			742			119,510			.61			363
Savings certificates		20,214			2.60			261			19,110			2.23			212
Other time deposits		27,590			2.73			373			26,186			1.09			142
Deposits in foreign offices		9,480			2.56			120			8,239			1.05			43
Total interest-bearing deposits		188,590			1.62			1,517			176,031			.87			764
Short-term borrowings		24,051			2.63			313			24,159			1.01			122
Long-term debt		77,239			3.26			1,254			67,751			2.26			765
Total interest-bearing liabilities		289,880			2.14			3,084			267,941			1.24			1,651
Portion of noninterest-bearing funding sources		83,643			—			—			75,027			—			—
Total funding sources	$	373,523			1.67			3,084		$	342,968			.97			1,651
Net interest margin and net interest income on a taxable-equivalent basis(6)					4.88	%	$	9,045						4.89	%	$	8,325
NONINTEREST-EARNING ASSETS
Cash and due from banks	$	13,040								$	13,075
Goodwill		10,651									10,403
Other		35,838									32,133
Total noninterest-earning assets	$	59,529								$	55,611
NONINTEREST-BEARING FUNDING SOURCES
Deposits	$	83,576								$	77,427
Other liabilities		21,046									18,136
Stockholders’ equity		38,550									35,075
Noninterest-bearing funding sources used to fund earning assets		(83,643	)								(75,027	)
Net noninterest-bearing funding sources	$	59,529								$	55,611
TOTAL ASSETS	$	433,052								$	398,579

(1)	Our average prime rate was 5.68% and 4.00% for the six months ended June 30, 2005 and 2004, respectively. The average three-month London Interbank Offered Rate (LIBOR) was 3.07% and 1.21% for the same periods, 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 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.

-25-

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

(income/expense in millions,	Community				Wholesale					Wells Fargo									Consolidated
average balances in billions)	Banking				Banking					Financial				Other(2				)	Company
Quarter ended June 30,		2005		2004		2005			2004		2005		2004		2005		2004			2005		2004
Net interest income	$	3,150	$	2,987	$	588		$	559	$	798	$	680	$	—	$	—		$	4,536	$	4,226
Provision (reversal of provision) for credit losses		213		213		(10	)		18		251		209		—		—			454		440
Noninterest income		2,341		2,396		871			720		117		84		—		—			3,329		3,200
Noninterest expense		3,379		3,127		750			663		425		387		—		176			4,554		4,353
Income (loss) before income tax expense (benefit)		1,899		2,043		719			598		239		168		—		(176	)		2,857		2,633
Income tax expense (benefit)		608		705		257			213		82		63		—		(62	)		947		919
Net income (loss)	$	1,291	$	1,338	$	462		$	385	$	157	$	105	$	—	$	(114	)	$	1,910	$	1,714
Average loans	$	197.0	$	185.9	$	61.3		$	52.1	$	37.3	$	28.2	$	—	$	—		$	295.6	$	266.2
Average assets		302.0		299.1		88.0			75.8		39.3		29.8		5.8		5.8			435.1		410.5
Average core deposits		214.5		198.9		23.8			25.9		—		.1		—		—			238.3		224.9
Six months ended June 30,
Net interest income	$	6,269	$	5,831	$	1,153		$	1,121	$	1,567	$	1,324	$	—	$	—		$	8,989	$	8,276
Provision (reversal of provision) for credit losses		416		427		(6	)		41		629		376		—		—			1,039		844
Noninterest income		5,040		4,563		1,716			1,548		209		186		—		—			6,965		6,297
Noninterest expense		6,886		6,121		1,495			1,332		865		753		—		176			9,246		8,382
Income (loss) before income tax expense (benefit)		4,007		3,846		1,380			1,296		282		381		—		(176	)		5,669		5,347
Income tax expense (benefit)		1,312		1,325		493			463		98		140		—		(62	)		1,903		1,866
Net income (loss)	$	2,695	$	2,521	$	887		$	833	$	184	$	241	$	—	$	(114	)	$	3,766	$	3,481
Average loans	$	194.9	$	183.1	$	60.4		$	51.2	$	36.2	$	27.0	$	—	$	—		$	291.5	$	261.3
Average assets		302.5		288.4		86.5			75.8		38.3		28.6		5.8		5.8			433.1		398.6
Average core deposits		210.4		193.6		24.7			25.3		—		.1		—		—			235.1		219.0

(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. If the management structure and/or the allocation process changes, allocations, transfers and assignments may change. Due to a change in first quarter 2005, results for prior periods have been restated.

(2)

The noninterest expense item for second quarter 2004 is a $176 million loss on debt extinguishment recorded at the enterprise level. Average assets consist of unallocated goodwill held at the enterprise level.

-26-

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)	2005			2005			2004			2004			2004
COMMUNITY BANKING
Net interest income	$	3,150		$	3,119		$	3,145		$	3,172		$	2,987
Provision for credit losses		213			203			232			199			213
Noninterest income		2,341			2,699			2,807			2,084			2,396
Noninterest expense		3,379			3,507			3,814			3,144			3,127
Income before income tax expense		1,899			2,108			1,906			1,913			2,043
Income tax expense		608			704			653			665			705
Net income	$	1,291		$	1,404		$	1,253		$	1,248		$	1,338
Average loans	$	197.0		$	192.6		$	191.7		$	189.9		$	185.9
Average assets		302.0			302.9			302.8			303.9			299.1
Average core deposits		214.5			206.2			204.0			199.6			198.9
WHOLESALE BANKING
Net interest income	$	588		$	565		$	557		$	531		$	559
Provision (reversal of provision) for credit losses		(10	)		4			11			10			18
Noninterest income		871			845			799			723			720
Noninterest expense		750			745			718			678			663
Income before income tax expense		719			661			627			566			598
Income tax expense		257			236			224			203			213
Net income	$	462		$	425		$	403		$	363		$	385
Average loans	$	61.3		$	59.5		$	56.4		$	53.7		$	52.1
Average assets		88.0			85.1			81.6			77.4			75.8
Average core deposits		23.8			25.6			26.1			25.3			25.9
WELLS FARGO FINANCIAL
Net interest income	$	798		$	769		$	754		$	715		$	680
Provision for credit losses		251			378			222			199			209
Noninterest income		117			92			106			93			84
Noninterest expense		425			440			439			398			387
Income before income tax expense		239			43			199			211			168
Income tax expense		82			16			70			74			63
Net income	$	157		$	27		$	129		$	137		$	105
Average loans	$	37.3		$	35.2		$	33.1		$	30.7		$	28.2
Average assets		39.3			37.2			35.1			32.5			29.8
Average core deposits		—			—			.1			.1			.1
OTHER(2)
Net interest income	$	—		$	—		$	—		$	—		$	—
Provision for credit losses		—			—			—			—			—
Noninterest income		—			—			—			—			—
Noninterest expense		—			—			—			—			176
Income (loss) before income tax expense (benefit)		—			—			—			—			(176	)
Income tax expense (benefit)		—			—			—			—			(62	)
Net income (loss)	$	—		$	—		$	—		$	—		$	(114	)
Average loans	$	—		$	—		$	—		$	—		$	—
Average assets		5.8			5.8			5.8			5.8			5.8
Average core deposits		—			—			—			—			—
CONSOLIDATED COMPANY
Net interest income	$	4,536		$	4,453		$	4,456		$	4,418		$	4,226
Provision for credit losses		454			585			465			408			440
Noninterest income		3,329			3,636			3,712			2,900			3,200
Noninterest expense		4,554			4,692			4,971			4,220			4,353
Income before income tax expense		2,857			2,812			2,732			2,690			2,633
Income tax expense		947			956			947			942			919
Net income	$	1,910		$	1,856		$	1,785		$	1,748		$	1,714
Average loans	$	295.6		$	287.3		$	281.2		$	274.3		$	266.2
Average assets		435.1			431.0			425.3			419.6			410.5
Average core deposits		238.3			231.8			230.2			225.0			224.9

(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. If the management structure and/or the allocation process changes, allocations, transfers and assignments may change. Due to a change in first quarter 2005, results for prior periods have been restated.

(2)

The noninterest expense item for second quarter 2004 is a $176 million loss on debt extinguishment recorded at the enterprise level. Average assets consist of unallocated goodwill held at the enterprise level.

-27-

Wells Fargo & Company and Subsidiaries
FIVE QUARTER CONSOLIDATED MORTGAGE SERVICING

	Quarter ended
	June 30		,	Mar. 31		,	Dec. 31		,	Sept. 30		,	June 30		,
(in millions)	2005			2005			2004			2004			2004
Mortgage servicing rights:
Balance, beginning of quarter	$	10,266		$	9,466		$	9,567		$	10,100		$	8,270
Originations		529			385			369			465			597
Purchases		453			535			358			261			466
Amortization		(493	)		(470	)		(473	)		(411	)		(431	)
Other (includes changes in mortgage servicing rights due to hedging)		(659	)		350			(355	)		(848	)		1,198
Balance, end of quarter	$	10,096		$	10,266		$	9,466		$	9,567		$	10,100
Valuation allowance:
Balance, beginning of quarter	$	1,294		$	1,565		$	1,799		$	1,588		$	2,173
Provision (reversal of provision) for mortgage servicing rights in excess of fair value		304			(271	)		(234	)		211			(585	)
Balance, end of quarter	$	1,598		$	1,294		$	1,565		$	1,799		$	1,588
Mortgage servicing rights, net	$	8,498		$	8,972		$	7,901		$	7,768		$	8,512
Ratio of mortgage servicing rights to related loans serviced for others		1.12	%		1.24	%		1.15	%		1.18	%		1.37	%

	June 30		,	Mar. 31		,	Dec. 31		,	Sept. 30		,	June 30		,
(in billions)	2005			2005			2004			2004			2004
Managed servicing portfolio:
Loans serviced for others (1)	$	761		$	724		$	688		$	659		$	622
Owned loans serviced (2)		113			116			117			118			127
Total owned servicing		874			840			805			777			749
Sub-servicing		32			33			27			32			32
Total managed servicing portfolio	$	906		$	873		$	832		$	809		$	781
Weighted-average note rate (owned servicing only)		5.75	%		5.75	%		5.75	%		5.75	%		5.75	%

(1)	Consists of 1-4 family first mortgages and commercial mortgage loans.
(2)	Consists of mortgages held for sale and 1-4 family first mortgages.

	Quarter ended
	June 30		,	Mar. 31		,	Dec. 31		,	Sept. 30		,	June 30		,
(in millions)	2005			2005			2004			2004			2004
Servicing fees, net of amortization and provision for impairment:
Servicing fees and other	$	593		$	570		$	534		$	517		$	511
Amortization		(493	)		(470	)		(473	)		(411	)		(431	)
Reversal of provision (provision) for mortgage servicing rights in excess of fair value		(304	)		271			234			(211	)		585
Net derivative gains (losses) (3)		105			85			139			81			(204	)
Total servicing fees, net of amortization and impairment	$	(99	)	$	456		$	434		$	(24	)	$	461

(3) Net derivative gains (losses) included in total net servicing fees related to mortgage servicing rights hedging activities consist of gains (losses) excluded from the evaluation of hedge effectiveness and the ineffective portion of the change in the value of these derivatives. Gains and losses excluded from the evaluation of hedge effectiveness are those caused by market conditions (volatility) and the spread between spot and forward rates priced into the derivative contracts (the passage of time).

-28-

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

	Quarter ended
	June 30		,	Mar. 31		,	Dec. 31		,	Sept. 30		,	June 30		,
(in billions)	2005			2005			2004			2004			2004
Application Data:
Wells Fargo Home Mortgage first mortgage quarterly applications	$	117		$	91		$	80		$	83		$	100
Refinances as a percentage of applications		42	%		41	%		44	%		36	%		33	%
Wells Fargo Home Mortgage first mortgage unclosed pipeline, at quarter end	$	73		$	59		$	50		$	55		$	57

	Quarter ended
	June 30		,	Mar. 31		,	Dec. 31		,	Sept. 30		,	June 30		,
(in billions)	2005			2005			2004			2004			2004
Residential Real Estate Originations:(1)
Quarter:
Wells Fargo Home Mortgage first mortgage loans:
Retail	$	36		$	27		$	30		$	29		$	45
Correspondent/Wholesale		37			27			28			27			39
Home equity loans and lines		9			8			9			10			10
Wells Fargo Financial		3			3			2			2			2
Total	$	85		$	65		$	69		$	68		$	96
Year-to-date	$	150		$	65		$	298		$	229		$	161

(1) Consists of residential real estate originations from all Wells Fargo channels.