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EXHIBIT 99.B
CONSOLIDATED AVERAGE BALANCES AND NET INTEREST EARNINGS
J.P. Morgan & Co. Incorporated
Dollars in millions,
Interest and average rates Three months ended
On a taxable-equivalent basis December 31, 1998 December 31, 1997
Average Average Average Average
balance Interest rate balance Interest rate
ASSETS
Interest-earning deposits with banks,
mainly in offices outside the U.S. $ 2,472 $ 58 9.31% $ 2,305 $ 75 12.91%
Debt investment securities in
offices in the U.S. (a):
U.S. Treasury 664 15 8.96 1,219 22 7.16
U.S. state and political
Subdivision 1,916 51 10.56 1,174 34 11.49
Other 26,679 370 5.50 15,957 247 6.14
Debt investment securities in offices
outside the U.S. (a) 870 14 6.38 3,025 57 7.48
Trading account assets:
In offices in the U.S. 31,519 419 5.27 30,292 484 6.34
In offices outside the U.S. 30,117 488 6.43 37,935 676 7.07
Securities purchased under agreements
to resell,
In offices in the U.S. 24,188 322 5.28 15,372 247 6.37
In offices outside the U.S. 15,493 216 5.53 26,705 310 4.61
Securities borrowed,
mainly in offices in the U.S. 40,797 510 4.96 41,221 500 4.81
Loans:
In offices in the U.S. 5,931 107 7.16 5,712 100 6.95
In offices outside the U.S. 22,636 386 6.77 27,439 455 6.58
Other interest-earning assets (b):
In offices in the U.S. 1,646 13 * 943 37 *
In offices outside the U.S. 775 80 * 571 44 *
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Total interest-earning assets 205,703 3,049 5.88 209,870 3,288 6.22
Cash and due from banks 1,639 775
Other noninterest-earning assets 79,144 59,047
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Total assets 286,486 269,692
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Interest and average rates applying to the following asset categories have been
adjusted to a taxable-equivalent basis: Debt investment securities in offices in
the U.S.; Trading account assets in offices in the U.S.; and Loans in offices in
the U.S. The applicable tax rate used to determine these adjustments was
approximately 41% for the three months ended December 1998 and 1997.
(a) For the three months ended December 31, 1998 and 1997, average debt
investment securities are computed based on historical amortized cost, excluding
the effects of SFAS No. 115 adjustments.
(b) Interest revenue includes the effect of certain off-balance sheet
transactions.
* Not meaningful
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CONSOLIDATED AVERAGE BALANCES AND NET INTEREST EARNINGS
J.P. Morgan & Co. Incorporated
Dollars in millions,
Interest and average rates Three months ended
On a taxable-equivalent basis December 31, 1998 December 31, 1997
Average Average Average Average
balance Interest Rate balance Interest rate
LIABILITIES AND STOCKHOLDERS' EQUITY
Interest-bearing deposits:
In offices in the U.S. $ 8,730 $ 91 4.14% $ 9,900 $ 137 5.49%
In offices outside the U.S. 46,052 594 5.12 47,620 573 4.77
Trading account liabilities:
In offices in the U.S. 7,798 112 5.70 13,142 236 7.12
In offices outside the U.S. 16,739 211 5.00 16,149 238 5.85
Securities sold under agreements to
repurchase and federal funds
purchased, mainly in offices in
the U.S. 70,497 923 5.19 68,364 915 5.31
Commercial paper, mainly in offices
in the U.S. 10,627 144 5.38 6,086 84 5.48
Other interest-bearing liabilities:
In offices in the U.S. 10,468 176 6.67 14,410 234 6.44
In offices outside the U.S. 1,657 58 13.89 3,111 56 7.14
Long-term debt,
mainly in offices in the U.S. 27,011 392 5.76 22,599 343 6.02
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Total interest-bearing liabilities 199,579 2,701 5.37 201,381 2,816 5.55
Noninterest-bearing deposits:
In offices in the U.S. 896 1,028
In offices outside the U.S. 564 594
Other noninterest-bearing
liabilities 74,340 55,221
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Total liabilities 275,379 258,224
Stockholders' equity 11,107 11,468
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Total liabilities and stockholders'
Equity 286,486 269,692
Net yield on interest-earning assets 0.67 0.89
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Net interest earnings 348 472
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CONSOLIDATED AVERAGE BALANCES AND NET INTEREST EARNINGS
J.P. Morgan & Co. Incorporated
Dollars in millions,
Interest and average rates Twelve months ended
on a taxable-equivalent basis December 31, 1998 December 31, 1997
Average Average Average Average
balance Interest rate balance Interest rate
ASSETS
Interest-earning deposits with banks,
mainly in offices outside the U.S. $ 2,079 $ 294 14.14% $ 2,035 $ 199 9.78%
Debt investment securities in
offices in the U.S. (a):
U.S. Treasury 723 61 8.44 1,296 95 7.33
U.S. state and political
Subdivision 1,535 168 10.94 1,264 148 11.71
Other 21,128 1,185 5.61 17,260 1,095 6.34
Debt investment securities in offices
outside the U.S. (a) 1,519 109 7.18 3,733 273 7.31
Trading account assets:
In offices in the U.S. 30,394 1,837 6.04 25,245 1,587 6.29
In offices outside the U.S. 36,227 2,509 6.93 39,367 2,693 6.84
Securities purchased under agreements
to resell and federal funds sold,
In offices in the U.S. 17,372 939 5.41 15,660 895 5.72
In offices outside the U.S. 21,478 1,092 5.08 24,785 1,164 4.70
Securities borrowed,
mainly in offices in the U.S. 40,680 2,088 5.13 36,287 1,784 4.92
Loans:
In offices in the U.S. 6,452 464 7.19 5,146 381 7.40
In offices outside the U.S. 24,491 1,650 6.74 25,490 1,661 6.52
Other interest-earning assets (b):
In offices in the U.S. 2,112 122 * 774 168 *
In offices outside the U.S. 944 199 * 707 282 *
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Total interest-earning assets 207,134 12,717 6.14 199,049 12,425 6.24
Cash and due from banks 1,429 797
Other noninterest-earning assets 74,621 53,049
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Total assets 283,184 252,895
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Interest and average rates applying to the following asset categories have been
adjusted to a taxable-equivalent basis: Debt investment securities in offices in
the U.S.; Trading account assets in offices in the U.S.; and Loans in offices in
the U.S. The applicable tax rate used to determine these adjustments was
approximately 41% for the twelve months ended December 31,1998 and 1997.
(a) For the twelve months ended December 31, 1998 and 1997, average debt
investment securities are computed based on historical amortized cost, excluding
the effects of SFAS No. 115 adjustments.
(b) Interest revenue includes the effect of certain off-balance sheet
transactions.
* Not meaningful
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CONSOLIDATED AVERAGE BALANCES AND NET INTEREST EARNINGS
J.P. Morgan & Co. Incorporated
Dollars in millions,
Interest and average rates Twelve months ended
on a taxable-equivalent basis December 31, 1998 December 31, 1997
Average Average Average Average
Balance Interest Rate balance Interest rate
LIABILITIES AND STOCKHOLDERS' EQUITY
Interest-bearing deposits:
In offices in the U.S. $ 7,674 $ 397 5.17% $ 9,676 $ 538 5.56%
In offices outside the U.S. 49,044 2,426 4.95 46,254 2,215 4.79
Trading account liabilities:
In offices in the U.S. 9,424 665 7.06 11,390 785 6.89
In offices outside the U.S. 15,085 876 5.81 14,291 867 6.07
Securities sold under agreements to
repurchase and federal funds
purchased, mainly in offices in
the U.S. 70,537 3,846 5.45 67,121 3,532 5.26
Commercial paper, mainly in offices
in the U.S. 9,682 539 5.57 4,858 262 5.39
Other interest-bearing liabilities:
In offices in the U.S. 12,323 811 6.58 15,590 958 6.14
In offices outside the U.S. 3,360 263 7.83 4,026 227 5.64
Long-term debt, mainly in offices in the U.S. 26,066 1,537 5.90 18,155 1,097 6.04
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Total interest-bearing liabilities 203,195 11,360 5.59 191,361 10,481 5.48
Noninterest-bearing deposits:
In offices in the U.S. 884 1,033
In offices outside the U.S. 784 452
Other noninterest-bearing
liabilities 66,812 48,696
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Total liabilities 271,675 241,542
Stockholders' equity 11,509 11,353
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Total liabilities and stockholders'
Equity 283,184 252,895
Net yield on interest-earning assets 0.66 0.98
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Net interest earnings 1,357 1,944
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