EXHIBIT 99(b)
WELLS FARGO & COMPANY AND SUBSIDIARIES
COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES
AND PREFERRED DIVIDENDS
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Quarter ended March 31,
(in millions) 1996 1995
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EARNINGS, INCLUDING INTEREST ON DEPOSITS (1):
Income before income tax expense $ 462 $ 370
Fixed charges 348 377
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$ 810 $ 747
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Preferred dividend requirement $ 10 $ 10
Ratio of income before income tax expense to
net income 1.75 1.59
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Preferred dividends (2) $ 18 $ 16
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Fixed charges (1):
Interest expense 330 360
Estimated interest component of net
rental expense 18 17
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348 377
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Fixed charges and preferred dividends $ 366 $ 393
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Ratio of earnings to fixed charges and preferred
dividends (3) 2.21 1.90
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EARNINGS, EXCLUDING INTEREST ON DEPOSITS:
Income before income tax expense $ 462 $ 370
Fixed charges 107 135
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$ 569 $ 505
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Preferred dividends (2) $ 18 $ 16
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Fixed charges (1):
Interest expense 330 360
Less interest on deposits (241) (242)
Estimated interest component of net
rental expense 18 17
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107 135
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Fixed charges and preferred dividends $ 125 $ 151
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Ratio of earnings to fixed charges and
preferred dividends (3) 4.55 3.34
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(1) As defined in Item 503(d) of Regulation S-K.
(2) The preferred dividends were increased to amounts representing the pretax
earnings that would be required to cover such dividend requirements.
(3) These computations are included herein in compliance with Securities and
Exchange Commission regulations. However, management believes that fixed
charge ratios are not meaningful measures for the business of the Company
because of two factors. First, even if there was no change in net
income, the ratios would decline with an increase in the proportion of
income which is tax-exempt or, conversely, they would increase with a
decrease in the proportion of income which is tax-exempt. Second, even
if there was no change in net income, the ratios would decline if interest
income and interest expense increase by the same amount due to an
increase in the level of interest rates or, conversely, they would
increase if interest income and interest expense decrease by the same
amount due to a decrease in the level of interest rates.