EXHIBIT 99.3 CONSOLIDATED BALANCE SHEETS
COMERICA INCORPORATED AND SUBSIDIARIES
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December 31, December 31,
(IN THOUSANDS, EXCEPT SHARE DATA) 1996 1995
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ASSETS
Cash and due from banks $ 1,901,760 $ 2,028,375
Interest-bearing deposits
with banks 27,329 23,568
Federal funds sold and
securities purchased
under agreements to
resell 32,200 203,798
Trading account securities 6,009 10,668
Loans held for sale 38,069 511,562
Investment securities
available for sale 4,800,034 6,859,310
Commercial loans 13,520,246 12,041,009
International loans 1,706,388 1,384,814
Real estate construction
loans 750,760 641,432
Commercial mortgage loans 3,445,562 3,254,041
Residential mortgage loans 1,743,876 2,221,359
Consumer loans 4,634,258 4,570,015
Lease financing 405,618 329,608
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Total loans 26,206,708 24,442,278
Less allowance for loan losses (367,165) (341,344)
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Net loans 25,839,543 24,100,934
Premises and equipment 407,663 455,002
Customers' liability on
acceptances outstanding 33,102 21,135
Accrued income and other
assets 1,120,362 1,255,522
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Total assets $34,206,071 $35,469,874
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LIABILITIES AND SHAREHOLDERS'
EQUITY
Demand deposits
(noninterest-bearing) $ 6,712,985 $ 5,579,536
Interest-bearing deposits 15,357,840 15,461,213
Deposits in foreign offices 296,348 2,126,466
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Total deposits 22,367,173 23,167,215
Federal funds purchased and
securities sold under
agreements to repurchase 1,395,540 3,206,612
Other borrowed funds 3,093,651 1,467,550
Acceptances outstanding 33,102 21,135
Accrued expenses and other
liabilities 459,267 355,219
Medium- and long-term debt 4,241,769 4,644,416
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Total liabilities 31,590,502 32,862,147
Nonredeemable preferred stock
- $50 stated value:
Authorized - 5,000,000 shares
Issued - 5,000,000 shares at
12/31/96 250,000 -
Common stock - $5 par value:
Authorized - 250,000,000
shares
Issued - 107,297,345 shares
at 12/31/96, 115,094,531
shares at 12/31/95 536,487 575,473
Capital surplus - 410,618
Unrealized gains and losses
on investment securities
available for sale (22,789) (4,141)
Retained earnings 1,854,116 1,640,980
Deferred compensation (2,245) (1,974)
Less cost of common stock in
treasury-490,704 shares
at 12/31/95 - (13,229)
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Total shareholders' equity 2,615,569 2,607,727
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Total liabilities and
shareholders' equity $34,206,071 $35,469,874
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CONSOLIDATED STATEMENTS OF INCOME
Comerica Incorporated and Subsidiaries
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Three Months Ended Year Ended
December 31 December 31
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(IN THOUSANDS, EXCEPT PER SHARE DATA) 1996 1995 1996 1995
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INTEREST INCOME
Interest and fees on loans $ 543,083 $ 540,761 $2,160,981 $2,090,854
Interest on investment securities:
Taxable 84,498 120,120 372,331 473,759
Exempt from federal income tax 3,189 5,975 17,443 26,189
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Total interest on investment securities 87,687 126,095 389,774 499,948
Trading account interest 54 58 210 227
Interest on federal funds sold and securities purchased
under agreements to resell 756 1,361 5,068 7,402
Interest on time deposits with banks 395 482 1,827 8,032
Interest on loans held for sale 762 1,875 4,920 7,461
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Total interest income 632,737 670,632 2,562,780 2,613,924
INTEREST EXPENSE
Interest on deposits 165,161 183,281 685,539 721,475
Interest on short-term borrowings:
Federal funds purchased and securities sold
under agreements to repurchase 34,059 47,616 111,729 165,544
Other borrowed funds 22,343 23,617 107,155 135,667
Interest on medium-and long-term debt 70,750 77,857 294,990 288,990
Net interest rate swap (income)/expense (12,837) (2,761) (48,911) 2,365
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Total interest expense 279,476 329,610 1,150,502 1,314,041
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Net interest income 353,261 341,022 1,412,278 1,299,883
Provision for loan losses 32,000 33,000 114,000 86,500
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Net interest income after provision
for loan losses 321,261 308,022 1,298,278 1,213,383
NONINTEREST INCOME
Income from fiduciary activities 34,094 31,175 133,482 125,038
Service charges on deposit accounts 35,075 33,111 140,436 130,249
Customhouse broker fees - 8,949 10,764 36,086
Revolving credit fees 5,935 10,020 22,670 36,248
Securities gains 10,194 10,960 13,588 11,748
Other noninterest income 47,110 46,350 186,014 159,356
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Total noninterest income 132,408 140,565 506,954 498,725
NONINTEREST EXPENSES
Salaries and employee benefits 136,769 141,785 560,784 562,159
Net occupancy expense 22,821 25,639 99,211 98,945
Equipment expense 17,483 17,202 68,827 67,872
FDIC insurance expense 695 2,399 8,139 23,817
Telecommunications expense 7,659 7,617 29,092 29,644
Restructuring charge 90,000 - 90,000 -
Other noninterest expenses 80,793 93,803 302,973 303,977
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Total noninterest expenses 356,220 288,445 1,159,026 1,086,414
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Income before income taxes 97,449 160,142 646,206 625,694
Provision for income taxes 36,633 53,632 229,045 212,328
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NET INCOME $ 60,816 $ 106,510 $ 417,161 $ 413,366
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Net income applicable to common stock $ 56,541 $ 106,510 $ 408,136 $ 413,366
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Primary net income per share $ 0.52 $ 0.92 $ 3.55 $ 3.54
Average common and common equivalent shares 109,703 116,041 114,854 116,894
Cash dividends declared on common stock $ 41,789 $ 40,072 $ 170,067 $ 158,309
Dividends per common share $ 0.39 $ 0.35 $ 1.52 $ 1.37
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CONSOLIDATED FINANCIAL HIGHLIGHTS
COMERICA INCORPORATED AND SUBSIDIARIES
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Three Months Ended Year Ended
(IN THOUSANDS, EXCEPT PER SHARE DATA, December 31 December 31
AVERAGE BALANCES AND RATIOS) 1996 1995 1996 1995
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PER SHARE AND COMMON STOCK DATA
Net income $0.52 $0.92 $3.55 $3.54
Net income (excluding
restructuring charge) 1.06 N/A 4.08 N/A
Cash dividends declared 0.39 0.35 1.52 1.37
Common shareholders' equity
(at December 31) 22.05 22.75
Average common and common equivalent shares 109,703 116,041 114,854 116,894
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KEY RATIOS
Return on average common 9.42% 16.49% 15.98% 16.46%
equity
Return on average common
equity (excluding restructuring 19.41% N/A 18.33% N/A
charge)
Return on average assets 0.72% 1.23% 1.22% 1.21%
Return on average assets (excluding
restructuring charge) 1.44% N/A 1.40% N/A
Average common equity as a
percentage of average assets 7.13% 7.46% 7.47% 7.36%
Core capital ratio 7.18% 7.63%
Total capital ratio 10.99% 11.21%
Leverage ratio 7.07% 6.87%
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AVERAGE BALANCES (in millions)
Commercial loans (including
lease financing) $13,323 $11,902 $13,037 $11,587
International loans 1,670 1,421 1,541 1,257
Real estate construction loans 744 632 707 541
Commercial mortgage loans 3,424 3,201 3,483 3,157
Residential mortgage loans 1,760 2,398 1,960 2,450
Consumer loans 4,574 4,809 4,624 4,569
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Total loans $25,495 $24,363 $25,352 $23,561
Earning assets 30,744 31,942 31,370 31,537
Total assets 33,645 34,631 34,195 34,129
Interest-bearing deposits 16,088 16,927 16,669 16,888
Noninterest-bearing deposits 5,791 4,980 5,589 4,767
Total interest-bearing
liabilities 24,781 26,700 25,519 26,527
Common shareholders' equity 2,400 2,584 2,554 2,511
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NET INTEREST INCOME
Net interest
income (fully taxable
equivalent basis) $356,116 $345,285 $1,426,976 $1,320,959
Fully taxable equivalent 2,855 4,263 14,698 21,076
adjustment
Net interest margin 4.61% 4.31% 4.54% 4.19%
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CREDIT QUALITY
Nonaccrual loans $103,294 $130,403
Reduced-rate loans 8,009 3,244
Other real estate 28,398 29,384
Total nonperforming assets 139,701 163,031
Loans 90 days past due 51,748 57,134
Gross charge-offs 35,258 45,197 $125,912 $119,028
Recoveries 12,967 9,219 41,363 43,009
Net charge-offs 22,291 35,978 84,549 76,019
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Allowance for loan losses
as a percentage of total
loans 1.40% 1.40%
Nonperforming assets as a
percentage of total
loans and other real
estate 0.53% 0.67%
Net loans charged off as
a percentage of average
total loans 0.35% 0.59% 0.33% 0.32%
Allowance for loan losses
as a percentage of total
nonperforming assets
263% 209%
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ADDITIONAL DATA
Goodwill $250,926 $228,106
Core deposit intangible 28,688 35,009
Other intangibles 5,709 8,632
Mortgage servicing rights 22,744 15,817
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