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U.S. Bancorp Loan Products Up, but Not Lease Financing


U.S. Bancorp reported net income of $1,350 million for the fourth quarter of 2011 and while new lending activity saw a $17.6% increase on a quarter basis, $70.0 billion, Leasing Financing saw a 3% decline compared to the previous 4th quarter and 4.5% decline for the full year:

Lease Financing

2011 Fourth Quarter $5,834
2011 Third Quarter $5,860
2012 Fourth Quarter $6,012
Full Year 2011 $5,910
Full Year 2010 $6,188

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Leasing Financing

Allowance for Credit Losses
Net Charge-Off Ratios
2011 Fourth Quarter
2011 Third Quarter
2011 Second Quarter
2011 First Quarter
2010 Fourth Quarter

In the total allowance for credit losses the fourth quarter 2011 was $5,014 million compared to the previous fourth quarter of 2010 at $5,531 million.

Tier 1 capital ratio 10.8%. The Tier 1 common equity ratio was 8.6% at December 31, 2011, compared with 8.5% at September 30, 2011, and 7.8% at December 31, 2010.

In a conference report U.S. Bancorp Chairman, President, and Chief executive Officer Richard K. Davis said the bank will continue to build loans in 2012, but at a slower pace than in the fourth quarter. "I think the fact that there is loan growth at all says that the economy is doing pretty well," he said in the conference call with analysts.

The bank's increase in loans was "broad-based geographically and by size of business," Chief Financial Officer Andrew Cecere told Reuters. But anything related to housing is "certainly not growing," he said.

Stock analysts refer to the bank as a "regional bank" although the bank has 3,012 branches and 5,323 bilingual ATM ( and at least would be a “Super Regional Bank.” The definition mayh ang up on not being in the top 5 or a world wide presence.

USB stock closed at $29.08 although Seeking Alpha has opinions it should be selling for $40.00 a share.

Fourth Quarter 8-K: