State Street (STT) 8-K State Street Reports Third-quarter 2015 Gaap-basis

	Exhibit 99.2
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
September 30, 2015
Table of Contents
	Page
GAAP-Basis Financial Information:
Consolidated Financial Highlights	1
Consolidated Results of Operations	2
Consolidated Statement of Condition	4
Average and Period-End Balance Sheet Trends	5
Average Statement of Condition - Rates Earned and Paid - Fully Taxable-Equivalent Basis	6
Assets Under Custody and Administration	7
Assets Under Management	8
Operating-Basis (Non-GAAP) Financial Information:
Reconciliations of Operating-Basis (Non-GAAP) Financial Information	9
Capital
Regulatory Capital	13
Reconciliation of Tangible Common Equity Ratio	14
Reconciliations of Common Equity Tier 1 Ratios	15
Reconciliations of Supplementary Leverage Ratios	20

This financial information should be read in conjunction with State Street's news release dated October 23, 2015. Additional financial and other information about State Street is available in its Annual Report on Form 10-K for the year ended December 31, 2014 and its quarterly reports on Form 10-Q for the quarter ended March 31, 2015 and June 30, 2015, which were previously filed with the SEC.

STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
CONSOLIDATED FINANCIAL HIGHLIGHTS
	Quarters																					% Change				Year-to-Date						% Change
(Dollars in millions, except per share amounts, or where otherwise noted)	1Q14			2Q14			3Q14			4Q14			1Q15			2Q15			3Q15			3Q15 vs. 3Q14		3Q15 vs. 2Q15		2014			2015			2015 vs. 2014
Revenue:
Fee revenue	$	1,924		$	2,039		$	2,012		$	2,056		$	2,060		$	2,082		$	2,108		4.8	%	1.2	%	$	5,975		$	6,250		4.6	%
Net interest revenue	555			561			570			574			546			535			513			(10.0	)	(4.1	)	1,686			1,594			(5.5	)
Net gains from sales of available-for-sale securities	15			—			—			—			—			(3		)	(2		)					15			(5		)
Net losses from other-than-temporary impairment	(1		)	—			—			—			(1		)	—			—							(1		)	(1		)
Net losses reclassified (from) to other comprehensive income	(8		)	(2		)	—			—			—			—			—							(10		)	—
Total revenue	2,485			2,598			2,582			2,630			2,605			2,614			2,619			1.4		0.2		7,665			7,838			2.3
Provision for loan losses	2			2			2			4			4			2			5							6			11
Total expenses	2,028			1,850			1,892			2,057			2,097			2,134			1,962			3.7		(8.1	)	5,770			6,193			7.3
Income before income tax expense	455			746			688			569			504			478			652			(5.2	)	36.4		1,889			1,634			(13.5	)
Income tax expense	92			124			128			77			95			56			68			(46.9	)	21.4		344			219			(36.3	)
Net income from minority interest	—			—			—			—			—			—			1			—		—		—			1			—
Net income	363			622			560			492			409			422			585			4.5		38.6		1,545			1,416			(8.3	)
Net income available to common shareholders	356			602			542			473			377			393			543			0.2		38.2		1,500			1,313			(12.5	)
Diluted earnings per common share	.81			1.38			1.26			1.12			.90			.94			1.32			4.8		40.4		3.45			3.16			(8.4	)
Average diluted common shares outstanding (in thousands)	438,815			435,320			429,736			424,339			418,750			416,712			412,167			(4.1	)	(1.1	)	434,510			415,772			(4.3	)
Cash dividends declared per common share	$	.26		$	.30		$	.30		$	.30		$	.30		$	.34		$	.34		13.3		—		$	.86		$	.98		14.0
Closing price per share of common stock (as of quarter end)	69.55			67.26			73.61			78.50			73.53			77.00			67.21			(8.7	)	(12.7	)	73.61			67.21			(8.7	)
Ratios:
Return on average common equity	7.2		%	11.9		%	10.6		%	9.4		%	7.9		%	8.3		%	11.3		%	6.6		36.1		10.0		%	9.2		%	(8.0	)
Pre-tax operating margin	18.3			28.7			26.6			21.6			19.3			18.3			24.9			(6.4	)	36.1		24.6			20.8			(15.4	)
Common equity tier 1 risk-based capital1,2	NA			12.8			12.8			12.5			12.2			12.2			12.1			(5.5	)	(0.8	)	12.8			12.1			(5.5	)
Tier 1 risk-based capital1	NA			14.1			14.2			14.6			14.2			14.9			14.9			4.9		—		14.2			14.9			4.9
Total risk-based capital1	NA			16.1			16.2			16.6			16.3			16.9			16.9			4.3		—		16.2			16.9			4.3
Tier 1 leverage1	NA			6.9			6.4			6.4			5.8			6.0			6.3			(1.6	)	5.0		6.4			6.3			(1.6	)
Tangible common equity2	6.7			6.8			6.6			6.8			6.0			6.6			6.6			—		—		6.6			6.6			—
At quarter-end:
Assets under custody and administration (in trillions)3	$	27.48		$	28.40		$	28.47		$	28.19		$	28.49		$	28.65		$	27.27		(4.2	)	(4.8	)	$	28.40		$	27.27		(4.0	)
Asset under management (in trillions)	2.38			2.48			2.42			2.45			2.44			2.37			2.20			(9.1	)	(7.2	)	2.48			2.20			(11.3	)
Total assets	256,663			282,324			274,805			274,119			279,476			294,571			247,274			(10.0	)	(16.1	)	274,805			247,274			(10.0	)
Investment securities	117,504			117,303			115,319			112,636			112,857			101,463			97,560			(15.4	)	(3.8	)	115,319			97,560			(15.4	)
Deposits	194,648			218,834			207,968			209,040			211,352			230,591			186,367			(10.4	)	(19.2	)	207,968			186,367			(10.4	)
Long-term debt	9,503			9,037			9,016			10,042			9,174			9,085			12,025			33.4		32.4		9,016			12,025			33.4
Total shareholders' equity	21,273			21,700			21,156			21,473			20,819			21,500			21,500			1.6		—		21,156			21,500			1.6
1  In early 2014, we announced that we had completed our Basel III qualification period. As a result, our regulatory capital ratios as of June 30, 2014, September 30, 2014, December 31, 2014, March 31, 2015, June 30, 2015 and September 30, 2015 presented in the table above have been calculated under the advanced approaches provisions of the Basel III final rule. Regulatory capital ratios as of March 31, 2014 were calculated under Basel I, are not directly comparable to such ratios as of June 30, 2014, September 30, 2014, December 31, 2014, March 31, 2015, June 30, 2015 and September 30, 2015, and are not disclosed. Refer to page 13 of this earnings release addendum for additional information about our regulatory capital ratios as of June 30, 2014, September 30, 2014, December 31, 2014, March 31, 2015, June 30, 2015 and September 30, 2015.
2  Tangible common equity ratios as of March 31, 2014, June 30, 2014, September 30, 2014, December 31, 2014, March 31, 2015, June 30, 2015 and September 30, 2015 are non-GAAP financial measures. Refer to accompanying reconciliations on page 14 for additional information.
3  Included assets under custody of $21.00 trillion, $21.69 trillion, $21.71 trillion, $21.66 trillion, $21.98 trillion, $22.06 trillion and $20.95 trillion as of March 31, 2014, June 30, 2014, September 30, 2014, December 31, 2014, March 31, 2015, June 30, 2015 and September 30, 2015, respectively.

1        

STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
CONSOLIDATED RESULTS OF OPERATIONS
	Quarters																			% Change				Year-to-Date						% Change
(Dollars in millions, except per share amounts, or where otherwise noted)	1Q14			2Q14			3Q14		4Q14		1Q15			2Q15			3Q15			3Q15 vs. 3Q14		3Q15 vs. 2Q15		2014			2015			2015 vs. 2014
Reported Results
Fee revenue:
Servicing fees	$	1,238		$	1,288		$	1,302	$	1,301	$	1,273		$	1,325		$	1,294		(0.6	)%	(2.3	)%	$	3,828		$	3,892		1.7	%
Management fees	292			300			316		299		301			304			287			(9.2	)	(5.6	)	908			892			(1.8	)
Trading services:
Direct sales and trading	71			79			101		110		135			88			108			6.9		22.7		251			331			31.9
Indirect foreign exchange trading1	63			65			60		58		68			79			69			15.0		(12.7	)	188			216			14.9
Total foreign exchange trading	134			144			161		168		203			167			177			9.9		6.0		439			547			24.6
Electronic foreign exchange services	48			43			44		46		48			44			46			4.5		4.5		135			138			2.2
Other trading, transition management and brokerage	71			73			73		79		73			70			71			(2.7	)	1.4		217			214			(1.4	)
Total brokerage and other trading services	119			116			117		125		121			114			117			—		2.6		352			352			—
Total trading services	253			260			278		293		324			281			294			5.8		4.6		791			899			13.7
Securities finance	85			147			99		106		101			155			113			14.1		(27.1	)	331			369			11.5
Processing fees and other	56			44			17		57		61			17			120			605.9		605.9		117			198			69.2
Total fee revenue	1,924			2,039			2,012		2,056		2,060			2,082			2,108			4.8		1.2		5,975			6,250			4.6
Net interest revenue:
Interest revenue	655			650			671		676		642			629			614			(8.5	)	(2.4	)	1,976			1,885			(4.6	)
Interest expense	100			89			101		102		96			94			101			—		7.4		290			291			0.3
Net interest revenue	555			561			570		574		546			535			513			(10.0	)	(4.1	)	1,686			1,594			(5.5	)
Gains (losses) related to investment securities, net:
Net gains (losses) from sales of available-for-sale securities	15			—			—		—		—			(3		)	(2		)					15			(5		)
Losses from other-than-temporary impairment	(1		)	—			—		—		(1		)	—			—							(1		)	(1		)
Losses reclassified (from) to other comprehensive income	(8		)	(2		)	—		—		—			—			—							(10		)	—
Gains (losses) related to investment securities, net	6			(2		)	—		—		(1		)	(3		)	(2		)					4			(6		)
Total revenue	2,485			2,598			2,582		2,630		2,605			2,614			2,619			1.4		0.2		7,665			7,838			2.3
Provision for loan losses	2			2			2		4		4			2			5							6			11
Expenses:
Compensation and employee benefits	1,157			978			953		972		1,087			984			1,051			10.3		6.8		3,088			3,122			1.1
Information systems and communications	244			244			242		246		247			249			265			9.5		6.4		730			761			4.2
Transaction processing services	191			193			199		201		197			201			201			1.0		—		583			599			2.7
Occupancy	114			115			119		113		113			109			110			(7.6	)	0.9		348			332			(4.6	)
Acquisition and restructuring costs	33			28			20		52		6			3			10			(50.0	)	233.3		81			19			(76.5	)
Other	289			292			359		473		447			588			325			(9.5	)	(44.7	)	940			1,360			44.7
Total expenses	2,028			1,850			1,892		2,057		2,097			2,134			1,962			3.7		(8.1	)	5,770			6,193			7.3
Income before income tax expense	455			746			688		569		504			478			652			(5.2	)	36.4		1,889			1,634			(13.5	)
Income tax expense	92			124			128		77		95			56			68			(46.9	)	21.4		344			219			(36.3	)
Net income from minority interest	—			—			—		—		—			—			1			—		—		—			1			—
Net income	$	363		$	622		$	560	$	492	$	409		$	422		$	585		4.5		38.6		$	1,545		$	1,416		(8.3	)

2        

STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
CONSOLIDATED RESULTS OF OPERATIONS (Continued)
	Quarters																					% Change				Year-to-Date						% Change
(Dollars in millions, except per share amounts, or where otherwise noted)	1Q14			2Q14			3Q14			4Q14			1Q15			2Q15			3Q15			3Q15 vs. 3Q14		3Q15 vs. 2Q15		2014			2015			2015 vs. 2014
Adjustments to net income:
Dividends on preferred stock	$	(6	)	$	(19	)	$	(18	)	$	(18	)	$	(31	)	$	(29	)	$	(42	)	133.3	%	44.8	%	$	(43	)	$	(102	)	137.2	%
Earnings allocated to participating securities	(1		)	(1		)	—			(1		)	(1		)	—			—			—		—		(2		)	(1		)	(50.0	)
Net income available to common shareholders	$	356		$	602		$	542		$	473		$	377		$	393		$	543		0.2		38.2		$	1,500		$	1,313		(12.5	)
Earnings per common share:
Basic	$	.83		$	1.41		$	1.28		$	1.14		$	.91		$	.96		$	1.34		4.7		39.6		$	3.52		$	3.20		(9.1	)
Diluted	.81			1.38			1.26			1.12			.90			.94			1.32			4.8		40.4		3.45			3.16			(8.4	)
Average common shares outstanding:
Basic	430,621			427,824			421,974			416,651			412,225			410,674			406,612			(3.6	)	(1.0	)	426,775			409,816			(4.0	)
Diluted	438,815			435,320			429,736			424,339			418,750			416,712			412,167			(4.1	)	(1.1	)	434,510			415,772			(4.3	)
Cash dividends declared per common share	$	.26		$	.30		$	.30		$	.30		$	.30		$	.34		$	.34		13.3		—		$	.86		$	.98		14.0
Closing price per share of common stock (as of quarter end)	69.55			67.26			73.61			78.50			73.53			77.00			67.21			(8.7	)	(12.7	)	73.61			67.21			(8.7	)
Financial ratios:
Return on average common equity	7.2		%	11.9		%	10.6		%	9.4		%	7.9		%	8.3		%	11.3		%	6.6		36.1		10.0		%	9.2		%	(8.0	)
Pre-tax operating margin	18.3			28.7			26.6			21.6			19.3			18.3			24.9			(6.4	)	36.1		24.6			20.8			(15.4	)
After-tax margin	14.6			23.9			21.7			18.7			15.7			16.2			22.3			2.8		37.7		20.2			18.1			(10.4	)
Internal capital generation rate	5.0			9.4			8.2			6.9			5.3			5.3			8.5			3.7		60.4		7.5			6.4			(14.7	)
Common dividend payout ratio	31.5			21.2			23.3			26.3			32.8			35.3			25.3			8.6		(28.3	)	24.4			30.4			24.6
1  We calculate revenue for indirect foreign exchange using an attribution methodology. This methodology takes into consideration estimated effective mark-ups/downs and observed client volumes. Direct sales and trading revenue is total foreign exchange trading revenue excluding the revenue attributed to indirect foreign exchange.

3        

STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
CONSOLIDATED STATEMENT OF CONDITION
	As of Quarter End																					% Change
(Dollars in millions, except per share amounts)	1Q14			2Q14			3Q14			4Q14			1Q15			2Q15			3Q15			3Q15 vs. 3Q14		3Q15 vs. 2Q15
Assets:
Cash and due from banks	$	3,877		$	6,247		$	4,146		$	1,855		$	3,149		$	3,084		$	3,660		(11.7	)%	18.7	%
Interest-bearing deposits with banks	75,796			98,386			86,946			93,523			83,398			116,728			68,361			(21.4	)	(41.4	)
Securities purchased under resale agreements	6,087			3,681			2,603			2,390			11,331			4,447			9,155			251.7		105.9
Trading account assets	889			941			1,033			924			1,145			1,373			1,223			18.4		(10.9	)
Investment securities:
Investment securities available for sale	99,162			98,546			96,552			94,913			96,612			85,308			80,097			(17.0	)	(6.1	)
Investment securities held to maturity1	18,342			18,757			18,767			17,723			16,245			16,155			17,463			(6.9	)	8.1
Total investment securities	117,504			117,303			115,319			112,636			112,857			101,463			97,560			(15.4	)	(3.8	)
Loans and leases2	16,084			16,767			18,364			18,161			18,278			18,547			19,019			3.6		2.5
Premises and equipment3	1,896			1,920			1,911			1,937			1,933			2,035			1,984			3.8		(2.5	)
Accrued interest and fees receivable	2,197			2,221			2,318			2,242			2,281			2,385			2,271			(2.0	)	(4.8	)
Goodwill	6,038			6,037			5,899			5,826			5,663			5,729			5,716			(3.1	)	(0.2	)
Other intangible assets	2,306			2,247			2,121			2,025			1,892			1,871			1,820			(14.2	)	(2.7	)
Other assets	23,989			26,574			34,145			32,600			37,549			36,909			36,505			6.9		(1.1	)
Total assets	$	256,663		$	282,324		$	274,805		$	274,119		$	279,476		$	294,571		$	247,274		(10.0	)	(16.1	)
Liabilities:
Deposits:
Noninterest-bearing	$	72,800		$	73,109		$	66,134		$	70,490		$	72,704		$	83,120		$	58,426		(11.7	)	(29.7	)
Interest-bearing -- U.S.	15,327			27,584			24,435			33,012			30,769			32,839			30,407			24.4		(7.4	)
Interest-bearing -- Non-U.S.	106,521			118,141			117,399			105,538			107,879			114,632			97,534			(16.9	)	(14.9	)
Total deposits	194,648			218,834			207,968			209,040			211,352			230,591			186,367			(10.4	)	(19.2	)
Securities sold under repurchase agreements	8,953			9,168			9,385			8,925			10,158			10,978			7,760			(17.3	)	(29.3	)
Federal funds purchased	18			14			17			21			17			15			25			47.1		66.7
Other short-term borrowings	3,811			4,322			4,307			4,381			4,346			4,756			3,761			(12.7	)	(20.9	)
Accrued expenses and other liabilities	18,457			19,249			22,956			20,237			23,610			17,646			15,804			(31.2	)	(10.4	)
Long-term debt	9,503			9,037			9,016			10,042			9,174			9,085			12,025			33.4		32.4
Total liabilities	235,390			260,624			253,649			252,646			258,657			273,071			225,742			(11.0	)	(17.3	)
Shareholders' equity:
Preferred stock, no par, 3,500,000 shares authorized:
Series C, 5,000 shares issued and outstanding	491			491			491			491			491			491			491			—		—
Series D, 7,500 shares issued and outstanding	742			742			742			742			742			742			742			—		—
Series E, 7,500 shares issued and outstanding	—			—			—			728			728			728			728			—		—
Series F, 7,500 shares issued and outstanding	—			—			—			—			—			742			742			—		—
Common stock, $1 par, 750,000,000 shares authorized4	504			504			504			504			504			504			504			—		—
Surplus	9,737			9,765			9,780			9,791			9,744			9,744			9,742			(0.4	)	—
Retained earnings	13,639			14,114			14,531			14,882			15,135			15,390			15,795			8.7		2.6
Accumulated other comprehensive income (loss)	188			489			(107		)	(507		)	(1,006		)	(1,011		)	(1,101		)	929.0		8.9
Treasury stock, at cost5	(4,028		)	(4,405		)	(4,785		)	(5,158		)	(5,519		)	(5,830		)	(6,143		)	28.4		5.4
Total shareholders' equity	21,273			21,700			21,156			21,473			20,819			21,500			21,500			1.6		—
Non-controlling interest-equity	—			—			—			—			—			—			32
Total equity	21,273			21,700			21,156			21,473			20,819			21,500			21,532
Total liabilities and equity	$	256,663		$	282,324		$	274,805		$	274,119		$	279,476		$	294,571		$	247,274		(10.0	)	(16.1	)
1  Fair value of investment securities held to maturity as of Q1, Q2, Q3 and Q4 2014, Q1, Q2 and Q3 2015 was $18,326, $18,864, $18,865, $17,842, $16,417, $16,198 and $17,536, respectively.
2  Allowance for loan losses as of Q1, Q2, Q3 and Q4 2014, Q1, Q2 and Q3 2015 was $30, $32, $34, $38, $41, $43 and $48, respectively.
3  Accumulated depreciation for premises and equipment as of Q1, Q2, Q3 and Q4 2014, Q1, Q2 and Q3 2015 was $4,521, $4,620, $4,538, $4,599, $4,653, $4,780 and $4,768 respectively.
4  Common stock shares issued as of Q1, Q2, Q3 and Q4 2014, Q1, Q2 and Q3 2015 was 503,881,095, 503,881,095, 503,880,120, 503,880,120, 503,879,642, 503,879,642 and 503,879,642 respectively.
5  Treasury stock shares as of Q1, Q2, Q3 and Q4 2014, Q1, Q2, Q3 2015 was 73,440,407, 78,910,844, 83,948,535, 88,684,969, 92,569,079, 96,125,524 and 100,086,970 respectively.

4        

STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
AVERAGE AND PERIOD-END BALANCE SHEET TRENDS
(Dollars in millions)	Quarters														% Change
Average Balance Sheet Mix	1Q14		2Q14		3Q14		4Q14		1Q15		2Q15		3Q15		3Q15 vs. 3Q14		3Q15 vs. 2Q15
Investment securities and short-duration instruments	79.9	%	81.5	%	81.7	%	81.2	%	80.4	%	81.8	%	81.2	%	(0.6	)%	(0.7	)%
Loans and leases	6.8		6.4		6.5		7.1		7.0		6.6		7.0		7.7		6.1
Noninterest-earning assets	13.3		12.1		11.8		11.7		12.6		11.6		11.8		—		1.7
Total	100.0	%	100.0	%	100.0	%	100.0	%	100.0	%	100.0	%	100.0	%
Client funds bearing interest	61.5	%	64.1	%	64.6	%	62.8	%	59.9	%	61.5	%	61.6	%	(4.6	)	0.2
Client funds not bearing interest	18.9		17.9		18.0		19.2		21.2		21.3		20.4		13.3		(4.2	)
Other noninterest-bearing liabilities	5.6		4.9		5.1		5.9		6.9		5.6		5.1		—		(8.9	)
Long-term debt and common shareholders' equity	13.7		12.6		11.8		11.5		11.2		10.7		11.8		—		10.3
Preferred shareholders' equity	0.3		0.5		0.5		0.6		0.8		0.9		1.1		120.0		22.2
Total	100.0	%	100.0	%	100.0	%	100.0	%	100.0	%	100.0	%	100.0	%

(Dollars in millions)	Quarters														% Change
Average Asset Backed Securities	1Q14		2Q14		3Q14		4Q14		1Q15		2Q15		3Q15		3Q15 vs. 3Q14		3Q15 vs. 2Q15
Fixed	$	1,490	$	1,480	$	1,408	$	1,405	$	1,293	$	1,748	$	2,231	58.5	%	27.6	%
Floating	53,178		51,889		49,214		43,425		40,306		36,931		29,973		(39.1	)	(18.8	)
Total	$	54,668	$	53,369	$	50,622	$	44,830	$	41,599	$	38,679	$	32,204

(Dollars in millions)	Quarters																					% Change
Investment Securities - Appreciation (Depreciation)	1Q14			2Q14			3Q14			4Q14			1Q15			2Q15			3Q15			3Q15 vs. 3Q14		3Q15 vs. 2Q15
Held to maturity:
Amortized cost (book value)	$	18,342		$	18,757		$	18,767		$	17,723		$	16,245		$	16,155		$	17,463		(6.9	)%	8.1	%
Fair value	18,326			18,864			18,865			17,842			16,417			16,198			17,536			(7.0	)	8.3
Appreciation (depreciation)	(16		)	107			98			119			172			43			73			(25.5	)	69.8
Available for sale:
Amortized cost	98,770			97,739			95,834			94,108			95,524			84,689			79,415			(17.1	)	(6.2	)
Fair value (book value)	99,162			98,546			96,552			94,913			96,612			85,308			80,097			(17.0	)	(6.1	)
Appreciation (depreciation)	392			807			718			805			1,088			619			682			(5.0	)	10.2
Pre-tax depreciation related to securities available for sale transferred to held to maturity	(170		)	(153		)	(130		)	(112		)	(95		)	(86		)	(70		)	(46.2	)	(18.6	)
Total pre-tax appreciation (depreciation) related to investment securities portfolio	206			761			686			812			1,165			576			685			(0.1	)	18.9
Total after-tax appreciation (depreciation) related to investment securities portfolio	124			456			411			487			699			346			411			—		18.8

(Dollars in millions)	Quarters														% Change
Securities on Loan	1Q14		2Q14		3Q14		4Q14		1Q15		2Q15		3Q15		3Q15 vs. 3Q14		3Q15 vs. 2Q15
Average securities on loan	$	333	$	357	$	354	$	346	$	350	$	356	$	331	(6.5	)%	(7.0	)%
End-of-period securities on loan	348		364		341		351		350		333		332		(2.6	)	(0.3	)

5        

STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
AVERAGE STATEMENT OF CONDITION - RATES EARNED AND PAID - FULLY TAXABLE-EQUIVALENT BASIS
The following table presents consolidated average interest-earning assets, average interest-bearing liabilities and related average rates earned and paid, respectively, for the quarters indicated, on a fully taxable-equivalent basis, which is a non-GAAP measure. Tax-equivalent adjustments were calculated using a federal income tax rate of 35%, adjusted for applicable state income taxes, net of related federal benefit. Refer to page 9 of this earnings release addendum for reconciliations of GAAP basis to fully taxable-equivalent basis net interest revenue for each of the periods shown below.
	Quarters																																			% Change
	1Q14					2Q14					3Q14					4Q14					1Q15					2Q15					3Q15					3Q15 vs. 3Q14		3Q15 vs. 2Q15
(Dollars in millions; fully-taxable equivalent basis)	Average balance		Average rates			Average balance		Average rates			Average balance		Average rates			Average balance		Average rates			Average balance		Average rates			Average balance		Average rates			Average balance		Average rates			Average balance		Average balance
Assets:
Interest-bearing deposits with banks	$	33,410	0.42		%	$	53,564	0.38		%	$	63,160	0.33		%	$	70,780	0.32		%	$	71,568	0.30		%	$	79,435	0.27		%	$	73,466	0.29		%	16.3	%	(7.5	)%
Securities purchased under resale agreements	6,631		0.53			4,307		0.94			3,249		1.05			2,178		1.99			2,449		1.88			2,662		2.24			4,838		1.51			48.9		81.7
Trading account assets	901		—			953		—			985		—			995		—			1,117		—			1,243		—			1,338		—			35.8		7.6
Investment securities
U.S. Treasury and federal agencies
Direct obligations	5,992		2.02			8,027		1.97			11,570		1.69			15,858		1.65			17,123		1.60			18,189		1.57			20,179		1.56			74.4		10.9
Mortgage- and asset-backed securities	23,506		2.26			22,547		2.21			21,544		2.17			20,797		2.18			20,944		2.18			20,217		2.08			19,123		2.08			(11.2	)	(5.4	)
State and political subdivisions	10,452		4.37			10,562		3.30			10,636		3.80			10,821		3.76			10,963		3.73			10,827		3.77			10,300		3.87			(3.2	)	(4.9	)
Other investments
Asset-backed securities	54,668		1.35			53,369		1.38			50,622		1.45			44,830		1.43			41,599		1.36			38,679		1.40			32,204		1.61			(36.4	)	(16.7	)
Collateralized mortgage-backed securities and obligations	8,068		2.80			7,972		2.78			7,979		2.72			7,490		2.59			7,757		2.57			7,226		2.60			5,632		2.66			(29.4	)	(22.1	)
Money market mutual funds	670		—			442		—			390		—			232		—			531		—			493		—			166		—			(57.4	)	(66.3	)
Other debt investments and equity securities	14,479		2.14			14,674		2.12			14,877		2.21			14,194		2.14			13,739		1.97			13,322		1.94			12,571		1.89			(15.5	)	(5.6	)
Total investment securities	117,835		2.02			117,593		1.94			117,618		1.99			114,222		1.98			112,656		1.93			108,953		1.93			100,175		2.02			(14.8	)	(8.1	)
Loans and leases	14,602		1.61			15,061		1.62			16,002		1.59			17,945		1.84			18,025		1.65			17,508		1.77			17,606		1.77			10.0		0.6
Other interest-earning assets	13,527		0.02			14,845		0.06			17,003		0.05			18,338		0.05			20,544		0.06			23,610		0.03			24,001		0.03			41.2		1.7
Total interest-earning assets	186,906		1.52			206,323		1.34			218,017		1.30			224,458		1.27			226,359		1.23			233,411		1.16			221,424		1.18			1.6		(5.1	)
Cash and due from banks	4,618					5,304					4,240					2,416					2,397					2,807					2,526					(40.4	)	(10.0	)
Other assets	24,045					23,037					25,053					27,565					30,326					27,644					27,096					8.2		(2.0	)
Total assets	$	215,569				$	234,664				$	247,310				$	254,439				$	259,082				$	263,862				$	251,046				1.5	%	(4.9	)%
Liabilities:
Interest-bearing deposits:
U.S.	$	12,072	0.03		%	$	20,698	0.09		%	$	24,144	0.11		%	$	28,063	0.12		%	$	30,174	0.13		%	$	28,165	0.13		%	$	36,033	0.16		%	49.2	%	27.9	%
Non-U.S. transaction accounts	99,808					106,894					112,856					109,260					102,624					109,560					99,873					(11.5	)	(8.8	)
Non-U.S. nontransaction accounts	1,474					2,396					1,900					1,258					1,207					1,382					1,424					(25.1	)	3.0
Total Non-U.S.	101,282		0.06			109,290		0.05			114,756		0.09			110,518		0.08			103,831		0.06			110,942		0.02			101,297		0.05			(11.7	)	(8.7	)
Securities sold under repurchase agreements	8,424		—			8,747		—			9,111		—			8,977		—			9,354		—			10,155		0.02			9,220		—			1.2		(9.2	)
Federal funds purchased	20		—			19		—			18		—			22		—			24		—			22		—			17		—			(5.6	)	(22.7	)
Other short-term borrowings	3,909		1.57			4,000		(1.20		)	4,376		—			4,415		0.13			4,448		0.13			4,400		0.16			3,791		0.18			(13.4	)	(13.8	)
Long-term debt	9,668		2.60			9,340		2.73			9,020		2.64			9,216		2.56			9,736		2.54			9,154		2.67			10,530		2.35			16.7		15.0
Other interest-bearing liabilities	6,758		0.43			7,559		0.99			7,386		0.42			7,690		0.50			7,465		0.41			8,609		0.74			4,463		0.88			(39.6	)	(48.2	)
Total interest-bearing liabilities	142,133		0.29			159,653		0.22			168,811		0.24			168,901		0.24			165,032		0.24			171,447		0.22			165,351		0.24			(2.0	)	(3.6	)
Non-interest bearing deposits	40,711					41,906					44,503					48,951					55,066					56,281					51,155					14.9		(9.1	)
Other liabilities	12,034					11,541					12,513					15,069					17,767					14,713					12,814					2.4		(12.9	)
Preferred shareholders' equity	722					1,233					1,233					1,526					1,961					2,295					2,703					119.2		17.8
Common shareholders' equity	19,969					20,331					20,250					19,992					19,256					19,126					19,023					(6.1	)	(0.5	)
Total liabilities and shareholders' equity	$	215,569				$	234,664				$	247,310				$	254,439				$	259,082				$	263,862				$	251,046				1.5	%	(4.9	)%
Excess of rate earned over rate paid			1.23		%			1.12		%			1.06		%			1.03		%			0.99		%			0.94		%			0.94		%
Net interest margin			1.30		%			1.17		%			1.12		%			1.09		%			1.06		%			1.00		%			1.00		%
Net interest revenue, fully taxable-equivalent basis			$	599				$	603				$	613				$	618				$	590				$	579				$	556
Tax-equivalent adjustment			(44		)			(42		)			(43		)			(44		)			(44		)			(44		)			(43		)
Net interest revenue, GAAP basis			$	555				$	561				$	570				$	574				$	546				$	535				$	513

6        

STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
ASSETS UNDER CUSTODY AND ADMINISTRATION1
	Quarters														% Change
(Dollars in billions)	1Q14		2Q14		3Q14		4Q14		1Q15		2Q15		3Q15		3Q15 vs. 3Q14		3Q15 vs. 2Q15
Assets Under Custody and Administration
By Product Classification:
Mutual funds	$	6,908	$	7,122	$	7,035	$	6,992	$	7,073	$	7,107	$	6,698	(4.8	)%	(5.8	)%
Collective funds	6,637		6,956		6,919		6,949		7,113		7,189		6,883		(0.5	)	(4.3	)
Pension products	5,472		5,613		5,780		5,746		5,745		5,830		5,497		(4.9	)	(5.7	)
Insurance and other products	8,460		8,709		8,731		8,501		8,560		8,524		8,187		(6.2	)	(4.0	)
Total Assets Under Custody and Administration	$	27,477	$	28,400	$	28,465	$	28,188	$	28,491	$	28,650	$	27,265	(4.2	)	(4.8	)
By Financial Instrument:
Equities	$	15,040	$	15,607	$	15,616	$	15,876	$	15,660	$	16,006	$	14,223	(8.9	)%	(11.1	)%
Fixed-income	9,053		9,255		9,298		8,739		9,157		8,939		9,470		1.8		5.9
Short-term and other investments	3,384		3,538		3,551		3,573		3,674		3,705		3,572		0.6		(3.6	)
Total Assets Under Custody and Administration	$	27,477	$	28,400	$	28,465	$	28,188	$	28,491	$	28,650	$	27,265	(4.2	)	(4.8	)
By Geographic Location2:
North America	$	20,540	$	21,199	$	21,255	$	21,217	$	21,554	$	21,667	$	20,536	(3.4	)%	(5.2	)%
Europe/Middle East/Africa	5,704		5,923		5,869		5,633		5,590		5,621		5,452		(7.1	)	(3.0	)
Asia/Pacific	1,233		1,278		1,341		1,338		1,347		1,362		1,277		(4.8	)	(6.2	)
Total Assets Under Custody and Administration	$	27,477	$	28,400	$	28,465	$	28,188	$	28,491	$	28,650	$	27,265	(4.2	)	(4.8	)
Assets Under Custody3
By Product Classification:
Mutual funds	$	6,596	$	6,812	$	6,669	$	6,634	$	6,786	$	6,744	$	6,369	(4.5	)%	(5.6	)%
Collective funds	5,110		5,375		5,354		5,475		5,626		5,674		5,412		1.1		(4.6	)
Pension products	4,868		4,985		5,188		5,161		5,160		5,243		4,921		(5.1	)	(6.1	)
Insurance and other products	4,422		4,515		4,496		4,386		4,406		4,403		4,245		(5.6	)	(3.6	)
Total Assets Under Custody	$	20,996	$	21,687	$	21,707	$	21,656	$	21,978	$	22,064	$	20,947	(3.5	)	(5.1	)
By Geographic Location2:
North America	$	16,220	$	16,743	$	16,813	$	16,903	$	17,221	$	17,255	$	16,379	(2.6	)%	(5.1	)%
Europe/Middle East/Africa	3,806		3,956		3,858		3,729		3,732		3,779		3,615		(6.3	)	(4.3	)
Asia/Pacific	970		988		1,036		1,024		1,025		1,030		953		(8.0	)	(7.5	)
Total Assets Under Custody	$	20,996	$	21,687	$	21,707	$	21,656	$	21,978	$	22,064	$	20,947	(3.5	)	(5.1	)
1 Amounts as of quarter-end.
2 Geographic mix is based on the location at which the assets are serviced.
3 Assets under custody are a component of assets under custody and administration presented above.

7        

STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
ASSETS UNDER MANAGEMENT1
	Quarters														% Change
(Dollars in billions)	1Q14		2Q14		3Q14		4Q14		1Q15		2Q15		3Q15		3Q15 vs. 3Q14		3Q15 vs. 2Q15
Assets Under Management
By Asset Class and Investment Approach:
Equity:
Active	$	42	$	42	$	40	$	39	$	38	$	36	$	29	(27.5	)%	(19.4	)%
Passive	1,323		1,390		1,371		1,436		1,434		1,386		1,237		(9.8	)	(10.8	)
Total Equity	1,365		1,432		1,411		1,475		1,472		1,422		1,266		(10.3	)	(11.0	)
Fixed-Income:
Active	16		16		16		17		17		17		16		—		(5.9	)
Passive	320		336		322		302		306		303		300		(6.8	)	(1.0	)
Total Fixed-Income	336		352		338		319		323		320		316		(6.5	)	(1.3	)
Cash2	419		413		410		399		393		376		380		(7.3	)	1.1
Multi-Asset-Class Solutions:
Active	25		34		34		30		31		29		26		(23.5	)	(10.3	)
Passive	108		116		104		97		84		89		85		(18.3	)	(4.5	)
Total Multi-Asset-Class Solutions	133		150		138		127		115		118		111		(19.6	)	(5.9	)
Alternative Investments3:
Active	16		18		17		17		17		18		17		—		(5.6	)
Passive	112		115		107		111		123		120		113		5.6		(5.8	)
Total Alternative Investments	128		133		124		128		140		138		130		4.8		(5.8	)
Total Assets Under Management	$	2,381	$	2,480	$	2,421	$	2,448	$	2,443	$	2,374	$	2,203	(9.0	)	(7.2	)
By Geographic Location4:
North America	$	1,480	$	1,533	$	1,502	$	1,568	$	1,549	$	1,486	$	1,409	(6.2	)%	(5.2	)%
Europe/Middle East/Africa	562		589		565		559		566		563		500		(11.5	)	(11.2	)
Asia/Pacific	339		358		354		321		328		325		294		(16.9	)	(9.5	)
Total Assets Under Management	$	2,381	$	2,480	$	2,421	$	2,448	$	2,443	$	2,374	$	2,203	(9.0	)	(7.2	)
1  Amounts as of quarter-end.
2  Includes both floating- and constant-net-asset-value portfolios held in commingled structures or separate accounts.
3  Includes real estate investment trusts, currency and commodities, including SPDR® Gold Fund for which State Street is not the investment manager, but acts as distribution agent.
4  Geographic mix is based on client location or fund management location.
Exchange-Traded Funds5
By Asset Class:
Alternative investments	$	42	$	43	$	40	$	38	$	40	$	37	$	35	(12.5	)%	(5.4	)%
Cash	1		1		1		1		1		2		3		200.0		50.0
Equity	308		331		338		388		356		342		323		(4.4	)	(5.6	)
Fixed-income	36		38		37		39		43		41		39		5.4		(4.9	)
Total Exchange-Traded Funds	$	387	$	413	$	416	$	466	$	440	$	422	$	400	(3.8	)	(5.2	)
5  Exchange-traded funds are a component of assets under management presented above.

8        

STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
RECONCILIATIONS OF OPERATING-BASIS (NON-GAAP) FINANCIAL INFORMATION
In addition to presenting State Street’s financial results in conformity with U.S. generally accepted accounting principles, referred to as GAAP, management also presents results on a non-GAAP, or "operating" basis, as it believes that this presentation supports meaningful comparisons from period to period and the analysis of comparable financial trends with respect to State Street’s normal ongoing business operations.
Management believes that operating-basis financial information, which reports revenue from non-taxable sources, such as interest revenue from tax-exempt investment securities and processing fees and other revenue associated with tax-advantaged investments, on a fully taxable-equivalent basis and excludes the impact of revenue and expenses outside of State Street's normal course of business, facilitates an investor's understanding and analysis of State Street's underlying financial performance and trends in addition to financial information prepared and reported in conformity with GAAP. Non-GAAP financial measures should be considered in addition to, not as a substitute for or superior to, financial measures determined in conformity with GAAP.
The accompanying materials present financial information prepared on a GAAP as well as on an operating basis; accordingly, this earnings release addendum provides reconciliations of operating-basis financial measures. The following tables reconcile operating-basis financial information presented in the accompanying earnings release to financial information prepared and reported in conformity with GAAP.
		Quarters																					% Change						Year-to-Date						% Change
(Dollars in millions, except per share amounts, or where otherwise noted)		1Q14			2Q14			3Q14			4Q14			1Q15			2Q15			3Q15			3Q15 vs. 3Q14			3Q15 vs. 2Q15			3Q14			3Q15			YTD 3Q15 vs. YTD 3Q14
Total Revenue:
Total revenue, GAAP basis		$	2,485		$	2,598		$	2,582		$	2,630		$	2,605		$	2,614		$	2,619		1.4	%		0.2	%		$	7,665		$	7,838		2.3	%
	Adjustment to processing fees and other revenue (see below)	57			64			86			81			53			98			12									207			163
	Adjustment to net interest revenue (see below)	44			42			43			44			44			44			43									129			131
	Adjustment to net interest revenue (see below)	(27		)	(28		)	(33		)	(31		)	(25		)	(23		)	(27		)							(88		)	(75		)
Total revenue, operating basis1,2,3		$	2,559		$	2,676		$	2,678		$	2,724		$	2,677		$	2,733		$	2,647		(1.16	)		(3.15	)		$	7,913		$	8,057		1.82
Fee Revenue:
Total fee revenue, GAAP basis		$	1,924		$	2,039		$	2,012		$	2,056		$	2,060		$	2,082		$	2,108		4.8			1.2			$	5,975		$	6,250		4.6
	Tax-equivalent adjustment associated with tax-advantaged investments	57			64			86			81			53			98			95									207			246
	Gain on sale of commercial real estate	—			—			—			—			—			—			(83		)							—			(83		)
Total fee revenue, operating basis		$	1,981		$	2,103		$	2,098		$	2,137		$	2,113		$	2,180		$	2,120		1.0			(2.8	)		$	6,182		$	6,413		3.7
Processing Fees and Other Revenue:
Total processing fees and other revenue, GAAP basis		$	56		$	44		$	17		$	57		$	61		$	17		$	120		605.9			605.9			$	117		$	198		69.2
	Tax-equivalent adjustment associated with tax-advantaged investments	57			64			86			81			53			98			95									207			246
	Gain on sale of commercial real estate	—			—			—			—			—			—			(83		)							—			(83		)
Total processing fees and other revenue, operating basis		$	113		$	108		$	103		$	138		$	114		$	115		$	132		28.2			14.8			$	324		$	361		11.4
Net Interest Revenue:
Net interest revenue, GAAP basis		$	555		$	561		$	570		$	574		$	546		$	535		$	513		(10.0	)		(4.1	)		$	1,686		$	1,594		(5.5	)
	Tax-equivalent adjustment associated with tax-exempt investment securities	44			42			43			44			44			44			43									129			131
Net interest revenue, fully taxable-equivalent basis4		599			603			613			618			590			579			556									1,815			1,725
	Discount accretion associated with former conduit securities	(27		)	(28		)	(33		)	(31		)	(25		)	(23		)	(27		)							(88		)	(75		)
Net interest revenue, operating basis4		$	572		$	575		$	580		$	587		$	565		$	556		$	529		(8.8	)		(4.9	)		$	1,727		$	1,650		(4.5	)
Net Interest Margin:
Net interest margin, fully taxable-equivalent basis4		1.30		%	1.17		%	1.12		%	1.09		%	1.06		%	1.00		%	1.00		%	(12	)	bps	—		bps	1.19		%	1.02		%	(17	)	bps
	Effect of discount accretion	0.06			0.05			0.06			0.05			0.05			0.04			0.05									0.06			0.05
Net interest margin, operating basis		1.24		%	1.12		%	1.06		%	1.04		%	1.01		%	0.96		%	0.95		%	(11	)		(1	)		1.13		%	0.97		%	(16	)

9        

STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
RECONCILIATIONS OF OPERATING-BASIS (NON-GAAP) FINANCIAL INFORMATION (Continued)
		Quarters																					% Change				Year-to-Date						% Change
(Dollars in millions, except per share amounts, or where otherwise noted)		1Q14			2Q14			3Q14			4Q14			1Q15			2Q15			3Q15			3Q15 vs. 3Q14		3Q15 vs. 2Q15		3Q14			3Q15			YTD 3Q15 vs. YTD 3Q14
Expenses:
Total expenses, GAAP basis		$	2,028		$	1,850		$	1,892		$	2,057		$	2,097		$	2,134		$	1,962		3.7	%	(8.1	)%	$	5,770		$	6,193		7.3	%
	Severance costs associated with staffing realignment	(72		)	(4		)	2			(10		)	1			—			(75		)					(74		)	(74		)
	Provisions for legal contingencies	(6		)	—			(66		)	(115		)	(150		)	(250		)	—							(72		)	(400		)
	Acquisition costs	(21		)	(15		)	(12		)	(10		)	(5		)	(3		)	(7		)					(48		)	(15		)
	Restructuring charges, net	(12		)	(13		)	(8		)	(42		)	(1		)	—			(3		)					(33		)	(4		)
Total expenses, operating basis1,2,3		$	1,917		$	1,818		$	1,808		$	1,880		$	1,942		$	1,881		$	1,877		3.82		(0.21	)	$	5,543		$	5,700		2.83
Compensation and Employee Benefits Expenses:
Total compensation and employee benefits expenses, GAAP basis		$	1,157		$	978		$	953		$	972		$	1,087		$	984		$	1,051		10.3		6.8		$	3,088		$	3,122		1.1
	Severance costs associated with staffing realignment	(72		)	(4		)	2			(10		)	1			—			(75		)					(74		)	(74		)
Total compensation and employee benefits expenses, operating basis		$	1,085		$	974		$	955		$	962		$	1,088		$	984		$	976		2.2		(0.8	)	$	3,014		$	3,048		1.1
Other Expenses:
Total other expenses, GAAP basis		$	289		$	292		$	359		$	473		$	447		$	588		$	325		(9.5	)	(44.7	)	$	940		$	1,360		44.7
	Provisions for legal contingencies	(6		)	—			(66		)	(115		)	(150		)	(250		)	—							(72		)	(400		)
Total other expenses, operating basis		$	283		$	292		$	293		$	358		$	297		$	338		$	325		10.9		(3.8	)	$	868		$	960		10.6
Income Before Income Tax Expense:
Income before income tax expense, GAAP basis		$	455		$	746		$	688		$	569		$	504		$	478		$	652		(5.2	)	36.4		$	1,889		$	1,634		(13.5	)
	Net pre-tax effect of non-operating adjustments to revenue and expenses	185			110			180			271			227			372			113							475			712
Income before income tax expense, operating basis		$	640		$	856		$	868		$	840		$	731		$	850		$	765		(11.9	)	(10.0	)	$	2,364		$	2,346		(0.8	)
Pre-tax operating margin:
Pre-tax operating margin, GAAP basis		18.3		%	28.7		%	26.6		%	21.6		%	19.3		%	18.3		%	24.9		%					24.6		%	20.8		%
	Net effect of non-operating adjustments	6.7			3.3			5.8			9.2			8.0			12.8			4.0							5.3			8.3
Pre-tax operating margin, operating basis5		25.0		%	32.0		%	32.4		%	30.8		%	27.3		%	31.1		%	28.9		%					29.9		%	29.1		%
Income Tax Expense:
Income tax expense, GAAP basis		$	92		$	124		$	128		$	77		$	95		$	56		$	68		(46.9	)	21.4		$	344		$	219		(36.3	)
	Aggregate tax-equivalent adjustments	101			106			129			125			97			142			138							336			377
	Gain on sale of commercial real estate	—			—			—			—			—			—			(34		)					—			(34		)
	Italian deferred tax liability	—			—			—			—			—			—			59							—			59
	One-time Italian tax on banks and insurance companies	(11		)	—			—			—			—			—			—							(11		)	—
	Net tax effect of non-operating adjustments	18			3			12			37			16			54			13							33			83
Income tax expense, operating basis		$	200		$	233		$	269		$	239		$	208		$	252		$	244		(9.3	)	(3.2	)	$	702		$	704		0.3
																																	��

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STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
RECONCILIATIONS OF OPERATING-BASIS (NON-GAAP) FINANCIAL INFORMATION (Continued)
		Quarters																					% Change						Year-to-Date						% Change
(Dollars in millions, except per share amounts, or where otherwise noted)		1Q14			2Q14			3Q14			4Q14			1Q15			2Q15			3Q15			3Q15 vs. 3Q14			3Q15 vs. 2Q15			3Q14			3Q15			YTD 3Q15 vs. YTD 3Q14
Effective Tax Rate:
Income before income tax expense, operating basis		$	640		$	856		$	868		$	840		$	731		$	850		$	765								$	2,364		$	2,346
Income tax expense, operating basis		200			233			269			239			208			252			244									702			704
Effective tax rate, operating basis		31.2		%	27.2		%	31.0		%	28.5		%	28.4		%	29.6		%	32.0		%							29.7		%	30.0		%
Net Income Available to Common Shareholders:
Net income available to common shareholders, GAAP basis		$	356		$	602		$	542		$	473		$	377		$	393		$	543		0.2	%		38.2	%		$	1,500		$	1,313		(12.5	)%
Net after-tax effect of non-operating adjustments to processing fees and other revenue, net interest revenue, expenses and income tax expense		77			1			39			109			114			176			(63		)							117			227
Net income available to common shareholders, operating basis		$	433		$	603		$	581		$	582		$	491		$	569		$	480		(17.4	)		(15.6	)		$	1,617		$	1,540		(4.8	)
Diluted Earnings per Common Share:
Diluted earnings per common share, GAAP basis		$	.81		$	1.38		$	1.26		$	1.12		$	.90		$	.94		$	1.32		4.8			40.4			$	3.45		$	3.16		(8.4	)
	Severance costs	.11			.01			—			.01			—			—			.11									.11			.11
	Provisions for legal contingencies	.01			—			.12			.22			.36			.37			—									.12			.74
	Acquisition costs	.03			.02			.02			.01			.01			—			.01									.07			.02
	Restructuring charges, net	.02			.02			.01			.06			—			—			—									.05			.01
	Effect on income tax of non-operating adjustments	.02			—			(.01		)	(.01		)	(.06		)	.08			.02									.01			.03
	Discount accretion associated with former conduit securities	(.04		)	(.04		)	(.05		)	(.04		)	(.04		)	(.02		)	(.04		)							(.12		)	(.11		)
	Gain on sale of commercial real estate	—			—			—			—			—			—			(.12		)							—			(.12		)
	Italian deferred tax liability	—			—			—			—			—			—			(.14		)							—			(.14		)
	One-time Italian tax on banks and insurance companies	.03			—			—			—			—			—			—									.03			—
Diluted earnings per common share, operating basis		$	.99		$	1.39		$	1.35		$	1.37		$	1.17		$	1.37		$	1.16		(14.1	)		(15.3	)		$	3.72		$	3.70		(0.5	)
Return on Average Common Equity:
Return on average common equity, GAAP basis		7.2		%	11.9		%	10.6		%	9.4		%	7.9		%	8.3		%	11.3		%	70		bps	300		bps	10.0		%	9.2		%	(80	)	bps
	Severance costs	1.0			—			—			.1			—			—			1.0									.3			.3
	Provisions for legal contingencies	.1			—			.9			1.8			3.2			3.3			—									.4			2.1
	Acquisition costs	.3			.2			.2			.2			.1			—			.1									.2			.1
	Restructuring charges, net	.1			.1			.1			.6			—			—			—									.1			—
	Effect on income tax of non-operating adjustments	.2			—			—			(.1		)	(.5		)	.7			.1									—			.1
	Discount accretion associated with former conduit securities	(.3		)	(.3		)	(.4		)	(.4		)	(.3		)	(.3		)	(.3		)							(.4		)	(.3		)
	Gain on sale of commercial real estate	—			—			—			—			—			—			(1.0		)							—			(.3		)
	Italian deferred tax liability	—			—			—			—			—			—			(1.2		)							—			(.4		)
	One-time Italian tax on banks and insurance companies	.2			—			—			—			—			—			—									.1			—
Return on average common equity, operating basis		8.8		%	11.9		%	11.4		%	11.6		%	10.4		%	12.0		%	10.0		%	(140	)		(200	)		10.7		%	10.8		%	10

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STATE STREET CORPORATION

EARNINGS RELEASE ADDENDUM

RECONCILIATIONS OF OPERATING-BASIS (NON-GAAP) FINANCIAL INFORMATION (Continued)

1 For the quarters ended September 30, 2015 and September 30, 2014, negative operating leverage in the year-over-year comparison was approximately 497 basis points, based on an decrease in total operating-basis revenue of 1.16% and an increase in total operating-basis expenses of 3.82%.

2 For the quarters ended September 30, 2015 and June 31, 2015, negative operating leverage in the quarter-over-quarter comparison was approximately 293 basis points, based on an decrease in total operating-basis revenue of 3.15% and a decrease in total operating-basis expenses of 0.21%.

3 For the nine months ended September 30, 2015 and September 30, 2014, negative operating leverage in the year-over-year comparison was approximately 102 basis points, based on an increase in total operating-basis revenue of 1.82% and an increase in total operating-basis expenses of 2.83%.

4 Fully taxable-equivalent net interest margin for the first, second, third and fourth quarters of 2014 and first, second and third quarters of 2015 represented fully taxable-equivalent net interest revenue of $599 million, $603 million, $613 million, $618 million, $590 million, $579 million and $556 milliion, respectively (GAAP-basis net interest revenue of $555 million, $561 million, $570 million, $574 million, $546 million, $535 million and $513 million plus tax-equivalent adjustments of $44 million, $42 million, $43 million, $44 million, $44 million, $44 million and $43 million, respectively), on an annualized basis, as a percentage of average total interest-earning assets for the quarters presented.

5 Pre-tax operating margin for the first, second, third and fourth quarters of 2014 and first, second and third quarters of 2015 was calculated by dividing income before income tax expense by total revenue.

12        

STATE STREET CORPORATION

EARNINGS RELEASE ADDENDUM

Regulatory Capital

     The accompanying materials present capital ratios in addition to, or adjusted from, those calculated in conformity with applicable regulatory requirements. These include capital ratios based on tangible common equity, as well as capital ratios adjusted to reflect our estimate of the impact of the relevant Basel III requirements, as specified in the July 2013 final rule issued by the Board of Governors of the Federal Reserve System, referred to as the Basel III final rule. These non-regulatory and adjusted capital measures are non-GAAP financial measures. Management currently calculates the non-GAAP capital ratios presented in the news release to aid in its understanding of State Street’s capital position under a variety of standards, including currently applicable and transitioning regulatory requirements. Management believes that the use of the non-GAAP capital ratios presented in the accompanying materials similarly aids in an investor's understanding of State Street's capital position and therefore is of interest to investors.

     The common equity tier 1 risk-based capital, or CET1, tier 1 risk-based capital, total risk-based capital and tier 1 leverage ratios have each been calculated in conformity with applicable regulatory requirements as of the dates that each was first publicly disclosed. The capital component, or numerator, of these ratios was calculated in conformity with the provisions of the Basel III final rule. As of June 30, 2014, September 30, 2014 and December 31, 2014, the total risk-weighted assets component, or denominator, used in the calculation of the CET1, tier 1 risk-based capital and total risk-based capital ratios were each calculated in conformity with both the advanced approaches and transitional provisions of Basel III, as the case may be. As of March 31, 2015, June 30, 2015 and September 30, 2015, the total risk-weighted assets component, or denominator, used in the calculation of the CET1, tier 1 risk-based capital and total risk-based capital ratios were each calculated in conformity with the advanced approaches and standardized approach provisions of Basel III, as the case may be.

     The tangible common equity, or TCE, ratio is an additional capital ratio that management believes provides context useful in understanding and assessing State Street's capital adequacy. The TCE ratio is calculated by dividing consolidated total common shareholders’ equity by consolidated total assets, after reducing both amounts by goodwill and other intangible assets net of related deferred taxes. Total assets reflected in the TCE ratio also exclude cash balances on deposit at the Federal Reserve Bank and other central banks in excess of required reserves. The TCE ratio is not required by GAAP or by banking regulations, but is a metric used by management to evaluate the adequacy of State Street’s capital levels. Since there is no authoritative requirement to calculate the TCE ratio, our TCE ratio is not necessarily comparable to similar capital measures disclosed or used by other companies in the financial services industry. Tangible common equity and adjusted tangible assets are non-GAAP financial measures and should be considered in addition to, not as a substitute for or superior to, financial measures determined in accordance with GAAP or other applicable requirements. Reconciliations with respect to the calculation of the TCE ratios are provided on page 14 of this earnings release addendum.

    The following table presents State Street's regulatory capital ratios and underlying components, calculated in conformity with applicable regulatory requirements as described above.

	Quarters
	2Q14						3Q14						4Q14						1Q15						2Q15						3Q15
(Dollars in millions)	Basel III Advanced Approach2			Basel III Transitional Approach1			Basel III Advanced Approach2			Basel III Transitional Approach1			Basel III Advanced Approach2			Basel III Transitional Approach1			Basel III Advanced Approach2			Basel III Standardized Approach3			Basel III Advanced Approach2			Basel III Standardized Approach3			Basel III Advanced Approach2			Basel III Standardized Approach3
RATIOS:
Common equity tier 1 capital	12.8		%	16.0		%	12.8		%	15.0		%	12.5		%	14.9		%	12.2		%	10.4		%	12.2		%	11.6		%	12.1		%	12.0		%
Tier 1 capital	14.1			17.7			14.2			16.7			14.6			17.4			14.2			12.1			14.9			14.2			14.9			14.7
Total capital	16.1			20.2			16.2			19.1			16.6			19.8			16.3			13.9			16.9			16.1			16.9			16.8
Tier 1 leverage	6.9			6.9			6.4			6.4			6.4			6.4			5.8			5.8			6.0			6.0			6.3			6.3
Supporting Calculations:
Common equity tier 1 capital	$	14,165		$	14,165		$	13,781		$	13,781		$	13,473		$	13,473		$	12,644		$	12,644		$	12,713		$	12,713		$	12,672		$	12,672
Total risk-weighted assets	111,015			88,607			108,078			91,800			107,827			90,412			103,998			121,946			104,533			109,788			104,367			105,762
Common equity tier 1 risk-based capital	12.8		%	16.0		%	12.8		%	15.0		%	12.5		%	14.9		%	12.2		%	10.4		%	12.2		%	11.6		%	12.1		%	12.0		%
Tier 1 capital	$	15,708		$	15,708		$	15,318		$	15,318		$	15,764		$	15,764		$	14,748		$	14,748		$	15,555		$	15,555		$	15,518		$	15,518
Total risk-weighted assets	111,015			88,607			108,078			91,800			107,827			90,412			103,998			121,946			104,533			109,788			104,367			105,762
Tier 1 risk-based capital ratio	14.1		%	17.7		%	14.2		%	16.7		%	14.6		%	17.4		%	14.2		%	12.1		%	14.9		%	14.2		%	14.9		%	14.7		%
Total capital	$	17,924		$	17,924		$	17,534		$	17,534		$	17,861		$	17,861		$	16,902		$	16,902		$	17,708		$	17,708		$	17,683		$	17,740
Total risk-weighted assets	111,015			88,607			108,078			91,800			107,827			90,412			103,998			121,946			104,533			109,788			104,367			105,762
Total risk-based capital ratio	16.1		%	20.2		%	16.2		%	19.1		%	16.6		%	19.8		%	16.3		%	13.9		%	16.9		%	16.1		%	16.9		%	16.8		%
Tier 1 capital	$	15,708		$	15,708		$	15,318		$	15,318		$	15,764		$	15,764		$	14,748		$	14,748		$	15,555		$	15,555		$	15,518		$	15,518
Adjusted quarterly average assets	227,815			227,815			240,529			240,529			247,740			247,740			252,406			252,406			257,227			257,227			244,553			244,553
Tier 1 leverage ratio	6.9		%	6.9		%	6.4		%	6.4		%	6.4		%	6.4		%	5.8		%	5.8		%	6.0		%	6.0		%	6.3		%	6.3		%

¹ CET1, tier 1 capital, total capital, and tier 1 leverage ratios as of June 30, 2014, September 30, 2014 and December 31, 2014 were calculated in conformity with the transitional provisions of the Basel III final rule. Specifically, these ratios reflect total and tier 1 capital, as applicable (the numerator), calculated in conformity with the advanced approaches provisions of the Basel III final rule, and total risk-weighted assets or, with respect to the tier 1 leverage ratio, quarterly average assets (in both cases, the denominator), calculated in conformity with the provisions of Basel I.

²CET1, tier 1 capital, total capital and tier 1 leverage ratios as of June 30, 2014, September 30, 2014, December 31, 2014, March 31, 2015, June 30, 2015 and September 30, 2015 were calculated in conformity with the advanced approaches provisions of the Basel III final rule.

³ CET1, tier 1 capital, total capital and tier 1 leverage ratios as of March 31, 2015, June 30, 2015 and September 30, 2015 were calculated in conformity with the standardized approaches provisions of the Basel III final rule.

13        

STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
RECONCILIATION OF TANGIBLE COMMON EQUITY RATIO
The following table presents the calculation of State Street's ratios of tangible common equity to total tangible assets.
(Dollars in millions)		2Q14			3Q14			4Q14			1Q15			2Q15			3Q15
Consolidated Total Assets		$	282,324		$	274,805		$	274,119		$	279,476		$	294,571		$	247,274
Less:
Goodwill		6,037			5,899			5,826			5,663			5,729			5,716
Other intangible assets		2,247			2,121			2,025			1,892			1,871			1,820
Cash balances held at central banks in excess of required reserves		87,081			74,570			83,402			71,740			106,202			60,160
Adjusted assets		186,959			192,215			182,866			200,181			180,769			179,578
Plus related deferred tax liabilities		898			874			821			814			834			713
Total tangible assets	A	187,857			193,089			183,687			200,995			181,603			180,291
Consolidated Total Common Shareholders' Equity		$	20,467		$	19,923		$	19,512		$	18,858		$	18,797		$	18,797
Less:
Goodwill		6,037			5,899			5,826			5,663			5,729			5,716
Other intangible assets		2,247			2,121			2,025			1,892			1,871			1,820
Adjusted equity		12,183			11,903			11,661			11,303			11,197			11,261
Plus related deferred tax liabilities		898			874			821			814			834			713
Total tangible common equity	B	$	13,081		$	12,777		$	12,482		$	12,117		$	12,031		$	11,974
Tangible common equity ratio	B/A	7.0		%	6.6		%	6.8		%	6.0		%	6.6		%	6.6		%

14        

STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
RECONCILIATIONS OF COMMON EQUITY TIER 1 RATIOS
Provisions of the Basel III final rule, issued in July 2013, become effective under a transition timetable which began on January 1, 2014. We have used the advanced approaches provisions provided in the Basel III final rule to calculate our regulatory capital ratios beginning with the second quarter of 2014. Beginning with the first quarter of 2015, we began to also use the standardized approach provisions provided in the Basel III final rule to calculate our regulatory capital ratios.
Prior to the first quarter of 2015, the lower of our regulatory capital ratios calculated under the Basel III advanced approaches and those ratios calculated under the transitional provisions of Basel III were applied in the assessment of our capital adequacy for regulatory purposes. Beginning in the first quarter of 2015, capital ratios calculated under the Basel III standardized approach replaced the transitional ratios in the assessment of our capital adequacy for regulatory purposes.
The following tables reconcile our fully phased-in estimated pro forma CET1 ratios calculated in conformity with the Basel III final rule, as described, to our CET1 ratios calculated in conformity with applicable regulatory requirements as of the dates indicated.
As of September 30, 2015 (Dollars in millions)	Basel III Final Rule Advanced Approaches1				Basel III Final Rule Standardized Approach1			Basel III Fully Phased-In Advanced Approaches (Estimated)2   Pro-Forma			Basel III Fully Phased-In Standardized Approach (Estimated)3   Pro-Forma
Tier 1 Capital	$	15,518			$	15,518		$	14,520		$	14,520
Less:
Trust preferred capital securities	237				237			—			—
Preferred stock	2,703				2,703			2,703			2,703
Plus: Other	94				94			—			—
Common equity tier 1 capital	12,672			A	12,672			11,817			11,817
Total Risk-Weighted Assets	104,367			B	105,762			103,889			105,311
Common equity tier 1 risk-based capital ratio	12.1		%	A/B	12.0		%	11.4		%	11.2		%
1 CET 1 ratio as of September 30, 2015 was calculated in conformity with the advanced approaches and standardized approach provisions of the Basel III final rule, as the case may be.
2 Estimated pro forma fully phased-in Basel III CET1 ratio (advanced approaches) as of September 30, 2015 (fully phased in as of January 1, 2019, as per Basel III phase-in requirements for capital) reflects capital calculated under the Basel III final rule and total risk-weighted assets calculated in conformity with the advanced approaches (fully phased-in) in the Basel III final rule based on our interpretations of the Basel III final rule as of October 23, 2015 and as applied to our businesses and operations as of September 30, 2015. Under such application of the fully phased-in advanced approaches, total risk-weighted assets used in the calculation of the CET1 ratio decreased by $478 million as a result of applying the advanced approaches provisions of the Basel III final rule to total risk-weighted assets of $104.37 billion as of September 30, 2015, calculated in conformity with the advanced approaches provisions of the Basel III final rule.
3 Estimated pro forma fully phased-in Basel III CET1 ratio (standardized approach) as of September 30, 2015 (fully phased in as of January 1, 2019, as per Basel III phase-in requirements for capital) reflects capital calculated under the Basel III final rule and total risk-weighted assets calculated in conformity with the standardized approach (fully phased-in) in the Basel III final rule based on our interpretations of the Basel III final rule as of October 23, 2015 and as applied to our businesses and operations as of September 30, 2015. Under such application of the fully phased-in standardized approach, total risk-weighted assets used in the calculation of the CET1 ratio decreased by $451 million as a result of applying the standardized approach provisions of the Basel III final rule to total risk-weighted assets of $105.76 billion as of September 30, 2015, calculated in conformity with the standardized approach provisions of the Basel III final rule.

15        

STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
RECONCILIATIONS OF COMMON EQUITY TIER 1 RATIOS
As of June 30, 2015 (Dollars in millions)	Basel III Final Rule Advanced Approaches1				Basel III Final Rule Standardized Approach1			Basel III Fully Phased-In Advanced Approaches (Estimated)2   Pro-Forma			Basel III Fully Phased-In Standardized Approach (Estimated)3   Pro-Forma
Tier 1 Capital	$	15,555			$	15,555		$	14,570		$	14,570
Less:
Trust preferred capital securities	237				237			—			—
Preferred stock	2,703				2,703			2,703			2,703
Plus: Other	98				98			—			—
Common equity tier 1 capital	12,713			C	12,713			11,867			11,867
Total Risk-Weighted Assets	104,533			D	109,788			104,052			109,335
Common equity tier 1 risk-based capital ratio	12.2		%	C/D	11.6		%	11.4		%	10.9		%
1 CET 1 ratio as of June 30, 2015 was calculated in conformity with the advanced approaches and standardized approach provisions of the Basel III final rule, as the case may be.
2 Estimated pro forma fully phased-in Basel III CET1 ratio (advanced approaches) as of June 30, 2015 (fully phased in as of January 1, 2019, as per Basel III phase-in requirements for capital) reflects capital calculated under the Basel III final rule and total risk-weighted assets calculated in conformity with the advanced approaches (fully phased-in) in the Basel III final rule based on our interpretations of the Basel III final rule as of July 24, 2015 and as applied to our businesses and operations as of June 30, 2015. Under such application of the fully phased-in advanced approaches, total risk-weighted assets used in the calculation of the CET1 ratio decreased by $481 million as a result of applying the advanced approaches provisions of the Basel III final rule to total risk-weighted assets of $104.53 billion as of June 30, 2015, calculated in conformity with the advanced approaches provisions of the Basel III final rule.
3 Estimated pro forma fully phased-in Basel III CET1 ratio (standardized approach) as of June 30, 2015 (fully phased in as of January 1, 2019, as per Basel III phase-in requirements for capital) reflects capital calculated under the Basel III final rule and total risk-weighted assets calculated in conformity with the standardized approach (fully phased-in) in the Basel III final rule based on our interpretations of the Basel III final rule as of July 24, 2015 and as applied to our businesses and operations as of June 30, 2015. Under such application of the fully phased-in standardized approach, total risk-weighted assets used in the calculation of the CET1 ratio decreased by $453 million as a result of applying the standardized approach provisions of the Basel III final rule to total risk-weighted assets of $109.79 billion as of June 30, 2015, calculated in conformity with the standardized approach provisions of the Basel III final rule.

16        

STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
RECONCILIATIONS OF COMMON EQUITY TIER 1 RATIOS (Continued)
As of March 31, 2015 (Dollars in millions)	Basel III Final Rule Advanced Approaches1				Basel III Final Rule Standardized Approach1			Basel III Fully Phased-In Advanced Approaches (Estimated)2   Pro-Forma			Basel III Fully Phased-In Standardized Approach (Estimated)3   Pro-Forma
Tier 1 Capital	$	14,748			$	14,748		$	13,921		$	13,921
Less:
Trust preferred capital securities	237				237			—			—
Preferred stock	1,961				1,961			1,961			1,961
Plus: Other	94				94			—			—
Common equity tier 1 capital	12,644			E	12,644			11,960			11,960
Total Risk-Weighted Assets	103,998			F	121,946			103,446			121,426
Common equity tier 1 risk-based capital ratio	12.2		%	E/F	10.4		%	11.6		%	9.8		%
1 CET 1 ratio as of March 31, 2015 was calculated in conformity with the advanced approaches and standardized approach provisions of the Basel III final rule, as the case may be.
2 Estimated pro forma fully phased-in Basel III CET1 ratio (advanced approaches) as of March 31, 2015 (fully phased in as of January 1, 2019, as per Basel III phase-in requirements for capital) reflects capital calculated under the Basel III final rule and total risk-weighted assets calculated in conformity with the advanced approaches (fully phased-in) in the Basel III final rule based on our interpretations of the Basel III final rule as of April 24, 2015 and as applied to our businesses and operations as of March 31, 2015. Under such application of the fully phased-in advanced approaches, total risk-weighted assets used in the calculation of the CET1 ratio decreased by $552 million as a result of applying the advanced approaches provisions of the Basel III final rule to total risk-weighted assets of $104.00 billion as of March 31, 2015, calculated in conformity with the advanced approaches provisions of the Basel III final rule.
3 Estimated pro forma fully phased-in Basel III CET1 ratio (standardized approach) as of March 31, 2015 (fully phased in as of January 1, 2019, as per Basel III phase-in requirements for capital) reflects capital calculated under the Basel III final rule and total risk-weighted assets calculated in conformity with the standardized approach (fully phased-in) in the Basel III final rule based on our interpretations of the Basel III final rule as of April 24, 2015 and as applied to our businesses and operations as of March 31, 2015. Under such application of the fully phased-in standardized approach, total risk-weighted assets used in the calculation of the CET1 ratio decreased by $520 million as a result of applying the standardized approach provisions of the Basel III final rule to total risk-weighted assets of $121.95 billion as of March 31, 2015, calculated in conformity with the standardized approach provisions of the Basel III final rule.

17        

STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
RECONCILIATIONS OF COMMON EQUITY TIER 1 RATIOS (Continued)
As of December 31, 2014 (Dollars in millions)	Basel III Final Rule Advanced Approaches4				Basel III Final Rule Standardized Approach (Estimated)5			Basel III Fully Phased-In Advanced Approaches (Estimated)6 Proforma			Basel III Fully Phased-In Standardized Approach (Estimated)7 Proforma
Tier 1 Capital	$	15,764			$	15,764		$	14,261		$	14,261
Less:
Trust preferred capital securities	475				475			—			—
Preferred stock	1,961				1,961			1,961			1,961
Plus: Other	145				145			—			—
Common equity tier 1 capital	13,473			G	13,473			12,300			12,300
Total Risk-Weighted Assets	107,827			H	125,011			106,817			124,058
Common equity tier 1 risk-based capital ratio	12.5		%	G/H	10.8		%	11.5		%	9.9		%
4 CET1 ratio as of December 31, 2014 was calculated in conformity with the advanced approaches provisions of the Basel III final rule.
5 Estimated pro forma CET1 ratio (standardized approach) as of December 31, 2014 reflects capital calculated in conformity with the provisions of the Basel III final rule and total risk-weighted assets calculated in conformity with the standardized approach in the Basel III final rule based on our interpretations of the Basel III final rule as of January 23, 2015 and as applied to our businesses and operations as of December 31, 2014. Under such application of the standardized approach, total risk-weighted assets used in the calculation of the CET1 ratio increased by $17.18 billion as a result of applying the standardized approach provisions of the Basel III final rule to total risk-weighted assets of $107.83 billion as of December 31, 2014, calculated in conformity with the advanced approaches provisions of the Basel III final rule.
6 Estimated pro forma fully phased-in Basel III CET1 ratio (advanced approaches) as of December 31, 2014 (fully phased in as of January 1, 2019, as per Basel III phase-in requirements for capital) reflects capital calculated under the Basel III final rule and total risk-weighted assets calculated in conformity with the advanced approaches (fully phased-in) in the Basel III final rule based on our interpretations of the Basel III final rule as of January 23, 2015 and as applied to our businesses and operations as of December 31, 2014. Under such application of the fully phased-in advanced approaches, total risk-weighted assets used in the calculation of the CET1 ratio decreased by $1.01 billion as a result of applying the advanced approaches provisions of the Basel III final rule to total risk-weighted assets of $107.83 billion as of December 31, 2014, calculated in conformity with the advanced approaches provisions of the Basel III final rule (as of December 31, 2014; i.e., not fully phased-in).
7 Estimated pro forma fully phased-in Basel III CET1 ratio (standardized approach) as of December 31, 2014 (fully phased in as of January 1, 2019, as per Basel III phase-in requirements for capital) reflects capital calculated under the Basel III final rule and total risk-weighted assets calculated in conformity with the standardized approach (fully phased-in) in the Basel III final rule based on our interpretations of the Basel III final rule as of January 23, 2015 and as applied to our businesses and operations as of December 31, 2014. Under such application of the fully phased-in standardized approach, total risk-weighted assets used in the calculation of the CET1 ratio decreased by $953 million as a result of applying the standardized approach provisions of the Basel III final rule to total risk-weighted assets of $125.01 billion as of December 31, 2014, calculated in conformity with the standardized approach provisions of the Basel III final rule (as of December 31, 2014; i.e., not fully phased-in).

18        

STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
RECONCILIATIONS OF COMMON EQUITY TIER 1 RATIOS (Continued)
As of September 30, 2014 (Dollars in millions)	Basel III Final Rule Advanced Approaches8				Basel III Final Rule Standardized Approach (Estimated)9 ProForma
Tier 1 Capital	$	15,318			$	15,318
Less:
Trust preferred capital securities	475				475
Preferred stock	1,233				1,233
Plus: Other	171				171
Common equity tier 1 capital	13,781			I	13,781
Total Risk-Weighted Assets	108,078			J	126,356
Common equity tier 1 risk-based capital ratio	12.8		%	I/J	10.9		%
8 CET1 ratio as of September 30, 2014 was calculated in conformity with the advanced approaches provisions of the Basel III final rule.
9 Estimated pro forma CET1 ratio (standardized approach) as of September 30, 2014 reflects capital calculated in conformity with the provisions of the Basel III final rule and total risk-weighted assets calculated in conformity with the standardized approach in the Basel III final rule based on our interpretations of the Basel III final rule as of October 24, 2014 and as applied to our businesses and operations as of September 30, 2014. Under such application of the standardized approach, total risk-weighted assets used in the calculation of the CET1 ratio increased by $18.30 billion as a result of applying the standardized approach provisions of the Basel III final rule to total risk-weighted assets of $108.08 billion as of September 30, 2014, calculated in conformity with the advanced approaches provisions of the Basel III final rule.
As of June 30, 2014 (Dollars in millions)	Basel III Final Rule Advanced Approach10				Basel III Final Rule Standardized Approach (Estimated)11
Tier 1 Capital	$	15,708			$	15,708
Less:
Trust preferred capital securities	475				475
Preferred stock	1,233				1,233
Plus: Other	165				165
Tier 1 common capital	14,165			K	14,165
Total Risk-Weighted Assets	111,015			L	125,575
Tier 1 common risk-based capital ratio	12.8		%	K/L	11.3		%
10 Tier 1 common ratio as of June 30, 2014 was calculated in conformity with the advanced approaches provisions of the Basel III final rule.
11 Estimated tier 1 common ratio as of June 30, 2014 reflects capital calculated in conformity with the provisions of the Basel III final rule and total risk-weighted assets calculated in conformity with the standardized approach in the Basel III final rule. Under the standardized approach, total risk-weighted assets used in the calculation of the tier 1 common ratio increased by $14.56 billion as a result of applying the standardized provisions of the Basel III final rule to total risk-weighted assets of $111.02 billion as of June 30, 2014, calculated in conformity with the advanced approaches provisions of the Basel III final rule.

19        

STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
RECONCILIATIONS OF SUPPLEMENTARY LEVERAGE RATIOS
In 2014, U.S. banking regulators issued final rules implementing a supplementary leverage ratio, or SLR, for certain bank holding companies, like State Street, and their insured depository institution subsidiaries, like State Street Bank. We refer to these final rules as the SLR final rule. Under the SLR final rule, upon implementation as of January 1, 2018, (i) State Street Bank must maintain an SLR of at least 6% to be well capitalized under the U.S. banking regulators’ Prompt Corrective Action framework and (ii) if State Street maintains an SLR of at least 5%, it is not subject to limitations on distribution and discretionary bonus payments under the SLR final rule. Beginning with reporting for March 31, 2015, State Street is required to include SLR disclosures with its other Basel disclosures.
Estimated pro forma fully phased-in SLR ratios as of September 30, 2015, June 30, 2015 and March 31, 2015 are preliminary estimates by State Street (in each case, fully phased-in as of January 1, 2018, as per the phase-in requirements of the SLR final rule), calculated based on our interpretations of the SLR final rule as of October 23, 2015 and as applied to our businesses and operations as of September 30, 2015, June 30, 2015 and March 31, 2015. Estimated pro forma fully phased-in SLR ratios as of December 31, 2014 are preliminary estimates by State Street, calculated based on our interpretations of the SLR final rule as of January 23, 2015 and as applied to our businesses and operations as of December 31, 2014.
The following tables reconcile our estimated pro forma fully-phased in SLR ratios as of September 30, 2015, June 30, 2015, March 31, 2015 and December 31, 2014 calculated in conformity with the SLR final rule, as described, to our SLR ratios calculated in conformity with applicable regulatory requirements as of the dates indicated.
	State Street							State Street Bank
As of September 30, 2015 (Dollars in millions)	Transitional SLR				Fully Phased-In SLR			Transitional SLR			Fully Phased-In SLR
Tier 1 Capital	$	15,518		A	$	14,520		$	15,020		$	14,319
On-and off-balance sheet leverage exposure	276,673				276,673			271,347			271,347
Less: regulatory deductions	(5,911		)		(6,399		)	(5,550		)	(5,993		)
Total assets for SLR	270,762			B	270,274			265,797			265,354
Supplementary Leverage Ratio	5.7		%	A/B	5.4		%	5.7		%	5.4		%
	State Street							State Street Bank
As of June 30, 2015 (Dollars in millions)	Transitional SLR				Fully Phased-In SLR			Transitional SLR			Fully Phased-In SLR
Tier 1 Capital	$	15,555		C	$	14,570		$	14,506		$	13,821
On-and off-balance sheet leverage exposure	291,875				291,875			286,851			286,851
Less: regulatory deductions	(6,138		)		(6,930		)	(5,776		)	(6,515		)
Total assets for SLR	285,737			D	284,945			281,075			280,336
Supplementary Leverage Ratio	5.4		%	C/D	5.1		%	5.2		%	4.9		%
	State Street							State Street Bank
As of March 31, 2015 (Dollars in millions)	Transitional SLR				Fully Phased-In SLR			Transitional SLR			Fully Phased-In SLR
Tier 1 Capital	$	14,784		E	$	13,921		$	13,920		$	13,394
On-and off-balance sheet leverage exposure	288,932				288,932			284,060			284,060
Less: regulatory deductions	(6,088		)		(6,898		)	(5,734		)	(6,489		)
Total assets for SLR	282,844			F	282,034			278,326			277,571
Supplementary Leverage Ratio	5.2		%	E/F	4.9		%	5.0		%	4.8		%

20        

STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
RECONCILIATIONS OF SUPPLEMENTARY LEVERAGE RATIOS (Continued)
	State Street							State Street Bank
As of December 31, 2014 (Dollars in millions)	Transitional SLR				Fully Phased-In SLR			Transitional SLR			Fully Phased-In SLR
Tier 1 Capital	$	15,764		G	$	14,261		$	14,043		$	13,102
On-and off-balance sheet leverage exposure	284,740				284,740			280,036			280,036
Less: regulatory deductions	(6,050		)		(7,211		)	(5,705		)	(6,790		)
Total assets for SLR	278,690			H	277,529			274,331			273,246
Supplementary Leverage Ratio	5.7		%	G/H	5.1		%	5.1		%	4.8		%
	State Street				State Street Bank
As of September 30, 2014 (Dollars in millions)	Transitional SLR
Tier 1 Capital	$	15,318		I	$	14,316
On-and off-balance sheet leverage exposure	276,529				271,547
Less: regulatory deductions	(6,156		)		(5,804		)
Total assets for SLR	270,373			J	265,743
Supplementary Leverage Ratio	5.7		%	I/J	5.4		%
	State Street				State Street Bank
As of June 30, 2014 (Dollars in millions)	Transitional SLR
Tier 1 Capital	$	15,707		I	$	14,767
On-and off-balance sheet leverage exposure	264,432				259,912
Less: regulatory deductions	(6,308		)		(5,942		)
Total assets for SLR	258,124			J	253,970
Supplementary Leverage Ratio	6.1		%	I/J	5.8		%

21